01-Oct-2024
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Samsung workers in strike for wages
In the outskirts of Chennai, India, over 1000 workers at a Samsung India Electronics plant have been on a massive strike for over three weeks. Their demands are clear – a pay hike in the average monthly salary of INR 25,000-35,000, and, more importantly, for Samsung to recognise the formation and rights of their newly-formed union, called the Samsung India Labour Welfare Union (SILWU), which is backed by the Centre of Indian Trade Unions (CITU).
The plant, which was established 17 years ago in Sriperumbadur, Tamil Nadu, contributes $4 billion in revenue every year, roughly a third of Samsung's annual $12 billion revenue in India. According to workers, over 70% of all production at the plant has come to a stop due to the strike, which is especially harmful to the company given the upcoming festival season in India, during which electronics are purchased in large quantities. Samsung has also seen a fall in its share price since the beginning of the protest.
Higher wages and better hours
The company has moved a district court in Tamil Nadu against the workers’ protest in order to stop protests and agitations within a 500-meter radius of the plant, and has sued members of the labour union. Last week, 104 workers were detained by the police for protesting without permission. Through the union, workers want to negotiate higher wages and better hours with management.
Workers at the plant especially want to establish a CITU-backed union because they find that their wage is not nearly enough to keep up with the increased cost of living. The minimum wage for workers in the Electronics industry in Tamil Nadu is a total of INR 387.15 per day, and Samsung management argues that the company pays its plant workers 1.8 times more than the average salary of similar workers employed at other regional companies. A Samsung official, under the condition of anonymity, also explained that management at the company want to resolve the strike directly with the workers instead of through a union such as the CITU.
Right to freedom of association
Despite the company threatening to withhold pay if the workers do not resume work, union leaders have confirmed that they intend to hold the strike indefinitely until their demand for the recognition of the union is met. This is not the first time Samsung has come under scrutiny for the treatment of its workers – protests against Samsung by workers have a long history dating back to 2007. Recent protests in South Korea brought together almost 40,000 workers in their demand for better wages and hours from Samsung.
According to the Indian legal system, the right to freedom of association is described in the constitution and guaranteed under the Trade Union Act. The Trade Union Act defines a trade union as any combination, whether temporary or permanent, formed primarily for the purpose of regulating the relations between workmen and employers or between workmen and workmen, or between employers and employers, or for imposing restrictive conditions on the conduct of any trade or business, and includes any federation of two or more Trade Unions. Read more about trade unions in states across India.
Sources
https://apnews.com/article/samung-strike-india-a61306e6c8d8a37713daa0345077e8f8