Samsung issues ‘no work, no pay’ warnings to protesting Indian employees. Layoffs on the cards?

  • The labour dispute at Samsung Electronics' manufacturing facility in Sriperumbudur, Chennai, has taken a confrontational turn, with the company issuing warnings to striking employees, invoking a 'no work, no pay' policy and threatening potential lay-offs.

Livemint
Published24 Sep 2024, 01:47 PM IST
Samsung issues ‘No work, no pay’ warnings to protesting Indian labourers
Samsung issues ‘No work, no pay’ warnings to protesting Indian labourers

The labour dispute at Samsung Electronics' manufacturing facility in Sriperumbudur, Chennai, entered the 16th day with the company reportedly issuing warnings to striking employees, invoking a 'no work, no pay' policy and threatening potential layoffs if the strike continues. More than 1,000 Samsung workers have been on strike seeking the implementation of 20 demands that they have put forth to the management of the electronics giant.

What has happened so far?

The industrial action, which began on September 9, has the backing of the Centre of Indian Trade Unions (CITU). Recent developments include:

  1. Some workers reportedly returned to their posts on Monday following the company's warning notice.

Also Read | Samsung is being hammered by Apple and Vivo. Can it strike back?
  • More than 1,000 Samsung workers have been on strike since September 9 to get their 20 demands implemented, including wage hike, union recognition and 8-hour work.
  • The company notice informed workers that they would not receive pay for the duration of what the company termed an "illegal strike."

Also Read | Best Samsung 55 inch TVs: Top 6 picks to experience stunning clarity
  • A Samsung representative stated: “The management has already indicated that all issues can be resolved through discussions and has made various harmonious attempts to resolve differences and for you to report to duty.”
  • Workers were allegedly warned of potential dismissal if they persisted with the strike. The notice reportedly said: “If you fail to report to work within four days from the date of receipt of this notice, you are directed to show cause within seven days from the date of receipt of this notice as to why you should not be dismissed from service.”
  • The ongoing strike has reportedly affected the production of various consumer electronics products, including televisions, refrigerators, and washing machines.

Also Read | Flipkart Big Billion Days Sale: Top deals on mobiles from Nothing, Samsung, more
  • An unnamed company official was quoted as saying: “The welfare of our workers is our top priority, and we will continue to engage with them to address any grievances they may have. At the same time, we have also ensured that there is no disruption to our consumers ahead of the festive season,”  Hindustan Times reported.
  • Earlier, Centre of Indian Trade Unions (CITU) Tamil Nadu Secretary Muthukumar alleged that Samsung management had initiated a case in a court that the protesting workers should sit 500 metres away from the factory, while they were already sitting 2 kilometres away.

Catch all the Business News , Corporate news , Breaking News Events and Latest News Updates on Live Mint. Download The Mint News App to get Daily Market Updates.

Business NewsCompaniesNewsSamsung issues ‘no work, no pay’ warnings to protesting Indian employees. Layoffs on the cards?
MoreLess