Samsung sues Indian labour union over strike as dispute escalates

Employees of Samsung facility attend a strike demanding greater wages at Sriperumbudur close to Chennai on September 16, 2024.

Samsung Electronics’ Indian unit has sued members of a labour union that has led a strike for 11 days at its solely India dwelling home equipment plant within the southern state of Tamil Nadu, escalating tensions with its employees, authorized papers present.

Samsung’s lawsuit dated September 12, which Reuters is the primary to report, asks a district courtroom within the state for a brief injunction to restrain the union and its members from agitating, sloganeering and making speeches in and across the manufacturing facility situated close to Chennai.

Attorneys gathered in a courtroom, close to Chennai, in Kancheepuram district, the place the case was anticipated to be heard on Thursday.

Employees’ protest

A whole bunch of Samsung employees have since September 9 disrupted work and protested in a close-by makeshift tent, demanding greater wages and recognition of a union on the plant that contributes roughly a 3rd of Samsung’s annual India income of $12 billion.

The protests have forged a shadow over Prime Minister Narendra Modi’s plan to courtroom overseas buyers to “Make in India” and to triple electronics manufacturing to $500 billion in six years.

Samsung’s 14-page courtroom submitting, which isn’t public, mentioned the union’s actions “might disrupt the manufacturing facility’s operations and stop keen staff from fulfilling their duties”. Such actions “are more likely to escalate, endangering the graceful functioning of the manufacturing facility and the protection of its staff,” Samsung mentioned.

Samsung didn’t reply to a request for remark. Final week, it instructed Reuters in a press release it had initiated discussions with employees on the plant “to resolve all points on the earliest”.

Samsung sues CITU

The labour unrest is among the many largest such strikes in recent times in India. In its lawsuit, Samsung has sued prime officers of the influential labour group, Centre of Indian Commerce Unions (CITU), which has mobilised the corporate’s employees. Samsung shouldn’t be eager to recognise any union backed by a nationwide labour group, and talks with employees and state officers haven’t yielded a decision.

CITU chief E. Muthukumar instructed Reuters the employees are “lawfully hanging”, including they’ll problem Samsung’s assertions in courtroom. Police briefly detained greater than 100 protesting employees as they have been planning a march on Monday with out permission. The strike provides to Samsung’s challenges in India.

Job cuts deliberate

Samsung is planning job cuts of as much as 30% of its abroad workers in some divisions, together with in India. And India’s antitrust physique has discovered Samsung and different smartphone firms colluded with e-commerce giants to launch gadgets solely, violating competitors legal guidelines, Reuters has reported.

The Samsung plant employs roughly 1,800 employees and greater than 1,000 of them have been on strike. The manufacturing facility makes home equipment resembling fridges, TVs and washing machines. One other Samsung plant that makes smartphones within the northern state of Uttar Pradesh has had no unrest.