Strike threat looms over Hyundai's Chennai plant

South Korean automotive giant Hyundai Motor's India unit faces a potential worker strike at its plant near Chennai from a union backed by the Communist Party of India (Marxist) or the CPI(M), if the outcome of ongoing triennial wage negotiations is not to the union's satisfaction.

- Ayaan Kartik & Nehal Chaliawala

The same union had earlier halted operations at the nearby manufacturing facility of Samsung, another Korean giant.

Hyundai had received a temporary stay from the Madras High Court in March against any disruption from workers, as per the company's writ petition, a copy of which Mint has seen, but that could change depending on the outcome of the wage negotiations.

The Hyundai Motor India Employees Union (HMIEU), which is backed by the CPI(M)-affiliated CITU (Centre of Indian Trade Unions), has called for a secret ballot to establish itself as the majority union of Hyundai's factory workers in India, according to CITU's state president A.

Soundararajan. The association also wants the company to engage with it for the wage negotiations. "The union is asking the management to recognize them as the majority union as now they have 2,000 workers associated under them," said Soundararajan.

"This can be done using a secret paper ballot." The current majority union for Hyundai's two integrated manufacturing facilities near Chennai is the United Union of Hyundai Employees (UUHE), which is not affiliated to any political party. UUHE has disputed HMIEU's claims that it holds majority affiliations from workers. "We have 2,000 members and have all required documents to prove the membership. The negotiations with the management are ongoing," UUHE's president Ramanathan said.