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Workers union file multiple cases against General Motors in the Maharashtra Industrial Court, Auto News, ET Auto


MUMBAI: Unionized workers at Common Motors India has lodged 11 totally different circumstances in Maharashtra industrial courts even because the US automaker awaits the closure of the sale of its plant within the state to Nice Wall Motors.

In one among these circumstances, the union has argued {that a} wage pact signed in 2017 required the service phrases of workmen to be included in any future association, together with restructuring, of the plant at Talegaon close to Pune. Therefore, GM’s time period sheet with Nice Wall Motors ought to have included the switch of workforce, the union claimed.

GM spokesman George Svigos advised ET that the workers union is arguing contradictory positions – each towards the sale of the plant and for employment continuity with the customer. The corporate doesn’t suggest to take care of union by the media and GM firmly believes it has remained in compliance with relevant legal guidelines and it’s ready to defend its place, he stated.

GM, the spokesman stated, had clearly communicated to the union and all staff that there can be no switch of workforce when the time period sheet was signed in January 2020.

“The truth that staff wouldn’t switch to the brand new proprietor as a part of the sale was communicated to all stakeholders together with the union and staff on January 17, months earlier than Covid affected India. The corporate gave virtually 12 months’ discover of the tip of GM manufacturing and communicated on quite a few events that it’s ready to supply a separation bundle in extra of authorized necessities,” Svigos stated.

To make certain, Maharashtra has rejected the closure utility by the US carmaker. Common Motors had expressed its shock on the transfer and had stated Mantralaya’s determination to ‘forestall an orderly exit of a long-time investor’ is shocking because it ‘diverges sharply’ from the state’s business-friendly status.

The union has additionally reached out to Prime Minister Narendra Modi and Prakash Javdekar, Union Minister for Heavy Industries, in search of their assist to guard about 1,550 plant jobs.

There are two separate disputes being lodged towards the corporate – one on the Industrial Courtroom and the opposite on the Bombay Excessive Courtroom on the closure of the plant.

A case in Bombay Excessive Courtroom pertains to the truth that GM entered right into a sale settlement with Nice Wall Motors with out approval from Maharashtra Industrial Improvement Company (MIDC), which is proprietor of the land. MIDC had tendered the property to Common Motors on a long- time period lease. Based on the City Land Ceiling Act, for the sale of the leased land, a purchaser (GM) must take permission from MIDC earlier than getting into into an settlement.

Towards the statutory requirement of 15 days’ compensation for annually of service rendered by an worker, GM is providing 75 days compensation for yearly of service rendered and this can be renegotiated on the upper aspect if the union formally negotiates, the corporate stated earlier.

Svigos reiterated that since 2017, the native management on the plant has communicated that it was exploring strategic choices for the long run. In 2019, it was confirmed there can be no new product program after the present program completed. Since January 2020, the corporate has communicated that worker switch was not a part of the sale.

Based on the union president, they’ve reached out to the administration over a dozen occasions to get assurance on job safety, however the administration has been non-committal. The union claims it is able to have a constructive dialogue with the administration.

Svigos says it’s absurd for the union to assert that it isn’t conscious the corporate desires to barter the separation bundle and wage settlement.

“The corporate has already put ahead a proposed important wage improve backdated to the expiry of the final settlement, to the interval when the plant was not operational attributable to Covid, in addition to a separation bundle in extra of authorized necessities. The corporate has additionally paid important bonuses, regardless of the tough financial scenario,” added GM spokesperson.

The union president stated there was no manufacturing outage by the lockdown months.

GM, on its half, stated it paid full wages throughout all the lockdown, with out requiring negotiation with the union and the corporate invested considerably to implement a complete Covid 19 protocol with no enter from the union when manufacturing resumed.

In a variety of areas globally, firm staff had been required to defer or sacrifice wage, however native management didn’t apply this to the hourly workforce on the Talegaon website, GM stated.



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