Lift the Illegal lockout at Maruti-Suzuki’s Manesar plant

Delhi, 29 August 2011: The New Trade Union Initiative strongly condemns Maruti-Suzuki India Ltd’s illegal, unjustified and unwarranted lockout imposed at its Manesar plant since the start of work this morning after insisting that its workers sign a “good conduct bond” as a condition to enter the plant. Not just do both these actions amount to grievous unfair labour practices but the imposition of the “good conduct bond” by employers has been held to be an act of “force” and “coercion” by the courts.

Last evening, at the behest of the Maruti-Suzuki management, the Haryana police deployed a force in the range of 300-400 personal. Under the cover of police protection the Maruti-Suzuki management sealed the gates and prepared for its unilateral action this morning. The so-called “good conduct bond”, as a condition for entry into the factory, amounts to coercion and the use of force by employers since workers are faced with the threat of industrial closure, wage loss and even job loss on the one hand and a complete surrender of their democratic rights as workers as provided by our constitution, on the other hand. This action of the Maruti-Suzuki management amounts to an unfair labour practice under section 2 (ra) of the Industrial Disputes Act, 1947. With the Maruti-Suzuki management keeping out workers willing to work, at the morning shift and at every shift thereafter, it has unambiguously declared an illegal, unjustified and unwarranted lockout under the provisions of law. The illegality of the lockout is further confirmed by the very actions of the Maruti-Suzuki management who has failed to disclose its unilateral actions as required by the Companies Act, 1956 and other related legislation. Until the end of the working day the Maruti-Suzuki management had made no disclosure including to the stock exchanges which companies are duty bound to make and was thereby intentionally sought to keep away from the markets, what is in every sense of the term, price sensitive information.

Since the resolution of the earlier industrial action on 17 June 2011, Maruti-Suzuki management has initiated various types of disciplinary actions, including punitive measures, against 84 workers amounting to 10% of its regular workforce, trying to build a case for indiscipline in the factory. Despite this sustained attack on them, workers have continued to carry out their tasks in the factory while simultaneously maintaining their demand for the recognition of the union of their choice, the Maruti Suzuki Employees Union. This morning, the Maruti-Suzuki management illegally suspended a further 10 workers, and dismissed 5 workers and 6 trainees on alleged grounds of sabotage, as part of its persistent strategy to cause fear amongst workers and deter them from standing up for their rights. These actions of the Maruti-Suzuki management are not just continuing instances of unfair labour practice but also in violation of industrial law that provides for due process to be completed before disciplinary actions against employees are undertaken. NTUI condemns the illegal suspension and termination of workers and trainees and demands their immediate and unconditional reinstatement.

The NTUI condemns the complicity of the Government of Haryana in providing Maruti-Suzuki the police personnel when no cause of action had occurred at the Manesar plant and there was no report of any violence what so ever. And yet while there can be no doubt that the Government of Haryana has been well aware that an “industrial dispute exists” at the plant for well over twenty-four hours now, it has been complicit with the Maruti-Suzuki management in failing to refer the dispute and call for conciliation proceedings in order to find a resolution under the powers the government enjoys under section 10 of the Industrial Disputes Act, 1947. At a time when the judiciary is constantly overreaching itself on various issues, and has in recent months taken suo moto action to put down strikes, when it comes to well reported illegal actions of employers and the collusion of governments with such actions it somehow has chosen today to allow law to take its own course.

The NTUI demands that the Maruti Suzuki management immediately and unconditionally:

• Lifts the illegal lockout at the Manesar plant and allows workers to resume work,
• Withdraws the “good conduct bond” as a condition for continued employment,
• Pays the locked out workers the wages for the period of the illegal lockout at double the wage rate by way of compensation,
• Reinstates the illegally suspended and terminated workers and trainees and withdraws all disciplinary action for which it has not followed due process.

And if the Maruti-Suzuki management fails to act within the framework of the law, the NTUI demands that

• The Government of Haryana declares the Maruti-Suzuki management’s lockout illegal, unjustified and unwarranted and ensures that the illegal lockout is lifted, the good conduct bond is withdrawn, workers are duly compensated, illegally suspended and terminated workers and trainees are reinstated and all disciplinary actions for which the due process of law has not been followed are withdrawn.