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Indian private security guards stand in front of the main gate of Maruti Suzuki Production Facility in Manesar.—AFP Photo
Indian private security guards stand in front of the main gate of Maruti Suzuki Production Facility in Manesar.—AFP Photo

MUMBAI: India's biggest carmaker Maruti Suzuki will continue to operate at the troubled Manesar factory, and will build its third plant at the site by the middle of next year, The Economic Times newspaper reported on Saturday, quoting Managing Director Shinzo Nakanishi.

Maruti Suzuki stopped production at the factory on Wednesday after workers attacked managers at the plant and set fire to company property. It faces a shutdown that could last several weeks or more.

The violence, just nine months after the end of strikes at the facility that cost more than $500 million in lost production, spooked investors and raised the prospects of supply disruptions for Maruti's most popular hatchback, which is assembled at the 550,000 vehicle-per-year plant.

Comments (3) Closed

Tanvir Afgan Jul 21, 2012 08:24am
Such strikes and violence reflect complete breakdown in communications with violence needing only a spark to produce a mayhem. While maximising profits is a the major goal of all business enterprise, corporate social responsibility entails good communications and employee friendly policies which in the long run boosts production. Line Managers must not leave employee relations to HR specialists only, who in many cases do not feel the pulse of the workers, which can only be felt by line supervisors and managers.
BNS Jul 21, 2012 12:45pm
I wish the news ihad provided some background details as well as to why the violence?
Riaz Buit Jul 23, 2012 06:22am
Well, good observations by Mr. Tanvir. What I would like to state is what is missing is the contact between the workers and Management. When contacts becoming loose or reducing , then definately some frustation may appear on the surface. Bascially what is IR(Industrial Relations) is to take workers into confidence in almost all areas of the business without compromising the company policy and regulations and discipline. Such incidents do not happen in a day or two, it carries months and become severe when no body listens. I feel major gap of communication between management and workers. Second element might be some outside professional labour leaders interervention for seeking vested benefits. Thirdly weak/poor management.