
Analysts say stock is in a downward trend
Employees of Maruti Suzuki shout slogans against the management at the Maruti Suzuki plant in Manesar on the outskirts of New Delhi on October 13, 2011. Manesar, which employs 2,000 workers, normally produces up to 1,200 of Maruti’s top-selling Swift and A-Star hatchbacks and SX4 sedans daily.
Workers at India’s largest car maker, Maruti-Suzuki, finally declared an end to a 14-day strike on Friday morning after the company agreed to take back 64 permanent workers and around 1,200 casual workers. Some 30 other permanent workers will remain suspended, NDTV reports.
Management, workers and the government of Haryana also agreed that two committees for grievance redressal and labor welfare will be set up to ensure a harmonious working environment at the plant, the news channel said.
However, the Economic Times reports that the end of the strike may not be the end of Maruti’s troubles, as the company’s stock is set for a further downward slide due to its need to provide higher discounts amid increased competition.
Workers at the company’s Manesar, Haryana, plant had been on strike since October 7 demanding reinstatement of about 1,200 casual workers and 44 permanent workers who have been suspended following an agreement signed on October 1 to end a previous 33-day-long strike, along with 50 workers who have been dismissed or suspended during the current labor action, the channel said.
Workers at Suzuki Powertrain India Ltd (SPIL) and Suzuki Motorcycle India Pvt Ltd (SMIPL) who had also gone on strike from October 7 in support of their colleagues at Maruti Suzuki India (MSI) have also agreed to call off their strike.