Inside Story: How factory workers convinced Hyundai India to suspend plant operations

Sources from Hyundai Motor India told CNBC-TV18 that the decision to shut shop temporarily was arrived at on Monday after a meeting between Hyundai’s plant management, some factory workers, and a handful of union representatives took place.

“At 11 am, over a hundred employees turned up at the plant’s administrative wing during what would have been their lunchtime, asking to speak with senior management,” said a top-level source at Hyundai, “Plant security explained to the employees that it would not be possible for the entire contingent to meet with management owing to concerns over social distancing.”

Once a handful of representatives were chosen to speak with management, Hyundai management decided to have two senior executives represent them — Stephen Sudhakar, Vice President, Human Resources and Ganesh Mani, Director, Production.

CNBC-TV18 learns that factory representatives evinced concerns over having to turn up to work in the midst of a lockdown and rapidly rising COVID-19 caseload in Tamil Nadu.

“The workers pointed out that it was unfair to expect them to turn up for work during the midst of a total lockdown, said a source, “However, the management explained that as a continuous process industry, Hyundai Motor India was exempt from having to shut shop.”

CNBC-TV18 learns that factory workers wanted to know of the blueprint for their health and safety, given the pandemic and the rising number of cases within the plant. Sources from Hyundai Motor India say the total number of cases within the plant is “well below 100.” The plant sees over 10,000 employees turn up for duty across three shifts.

While the parley between workers and management kept progressing, Hyundai management went into a backroom huddle, involving more senior members on immediate decision-making.

“In the end the management considered and acceded to giving all employees leave for five days in the hope to re-start operations on May 29,” said the source. “Hyundai will spend the next five days deep-cleansing and sanitizing the plant to ensure it is safe for employees on their return,” the source added.

If the account is to be believed, Hyundai’s plant employees coerced company management to part with five days’ worth of leave in the interest of the safety and health of its employees. However, the decision comes at a time when other automobile plants in Tamil Nadu are seeing unrest among labour unions.

Down Chennai’s automobile corridor in Oragadam, the Renault-Nissan plant will see employees stage a protest on Wednesday over being asked to report to work, and the lack of social distancing at the plant amid the pandemic.

Even as reports of labour unrest emerged at Hyundai and Renault Nissan, the New Democratic Labour Front, a well-known labour union based in Tamil Nadu and Puducherry called on the Tamil Nadu Government to shut automobile plants in the state.

“Most automobile and two-wheeler plants do not provide for transport or accommodation for employees in the midst of the pandemic,” said a release issued by the organization, “Some plants have seen over 50 to 60 employees affected by COVID-19, and the managements continue to run operations after telling affected employees to go on leave.”

The organization alleged that employees were not provided with paid leave and testing among plant employees was curtailed. The front squarely blamed automobile plants for spreading COVID-19 under the garb of being continuous process industries, which are regarded as essential services.

“All automobile plants continue to run three shifts with 100 percent workforce,” the release said, before calling on such plants to shut shop temporarily and grant its workforce paid leave, during the pandemic.