Maruti Unrest; What's Next?

After the tragic incident that happened at the Maruti premises in Manesar, today the top management and the Haryana Government, including the chief minister, Bhupinder Singh Hooda, are to meet and decide the future of the new workers’ union that was formed at the Manesar plant.

Stating on the occasion, an official said that there is a doubt that there is involvement of the union members in the attack that happened on the management officials on Wednesday. The factory has been on a lockout since Saturday. The company is in favor of de-recognising the union but they will take any further steps after they get a consensus from the labor department of Haryana.

The Maruti vendors and the markets have started feeling the adversities of the Manesar plant’s lockout. The shares of Maruti India have further fallen down by nearly 4%. The auto market is anyway feeling the brunt of the taxes and fuel prices, and this incident is expected to bring in further slowdown. The most awaited new version of the 800cc model is further delayed due to this. The vendors are already losing a lot of money since their supplies to the factory have been stopped completely.

Maruti being one of the most prominent company that drives the Indian economy, will have to decide quickly and get back to their regular functioning otherwise, the Indian economy is sure to be hard hit. We had recently reported that Narendra Modi is planning to meet the officials to convince them to move the Indian operations to Gujarat. There hasn’t been any further news on this so far. This might prove to be a boon, looking at how the Gujarat government handled Tata Motors functioning once it shifted from West Bengal, where they were facing immense trouble.

Probably by the end of the day today, the auto industry would know what next steps Maruti and Haryana government are going to take with regards to the Maruti operations in Manesar. Here is one, hoping for the best… 

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