Maruti wage deal to give workers Rs16,800 hike in monthly pay in 3 years

Maruti Suzuki Motors, the country's largest car maker, has reached a wage settlement with workers of its Gurgaon and Manesar plants, under which the workers will get a salary hike of Rs16,800 per month over a 3-year period.

Under the three-year agreement, the average hike in the salary of workers will be 38 per cent over three years compared with their remuneration in 2014-15, company sources said, adding that the agreement will be implemented with retrospective effect from April this year.

Workers will receive 50 per cent cent of the increased salary in the first year and 25 per cent each in the remaining two years.

This means, the workers will on an average get a salary hike of Rs8,430 per month in the first year, followed by Rs4,200 each in the second and third years.

Talks between the workers and the management had been on since April this year. The agreement was reached last evening, union sources said, adding that it was the first time that the unions of both Gurgaon and Manesar plants, including those of Maruti Suzuki Powertrain, reached an amicable agreement with the management.

Besides, union sources said, managing director and CEO Kenichi Ayukawa has promised to pay Rs3,000 each to the workers as a one-time incentive for the peaceful settlement of the dispute.

Maruti Suzuki had, in September 2012, signed a wage settlement pact with its Gurgaon workers under which workers were given an average salary hike of Rs18,000 per month spread over three years.

Prior to that in July that year, the company's plant in Manesar was hit by worker violence in which an HR executive was killed (See: One dead, 85 injured in violence at Maruti's Manesar plant).