In Short:
Samsung India has informed the Tamil Nadu government that its Chennai plant workers earn, on average, 1.8 times more than similar employees in the electronics industry. The company disputes claims that workers with over 10 years’ service earn just Rs 23,000 monthly. Samsung, following a “No Work, No Pay” policy, urges striking workers to return as production continues, especially in AC and washing machine segments.
BENGALURU: Samsung India has informed the Tamil Nadu government that the average monthly salary for its permanent manufacturing employees at the Chennai facility is 1.8 times greater than that of comparable workers in the electronics sector, according to sources familiar with the matter.
The local subsidiary of South Korea’s Samsung Electronics has refuted allegations claiming that employees, despite over a decade of service, earn only Rs 23,000 per month. The company described these assertions as “a gross misrepresentation of facts,” clarifying that only one employee, after 10 years of service, has a monthly wage of approximately Rs 24,000, excluding other benefits.
Company Policy on Strikes
Samsung has communicated to the striking workforce that wages will not be compensated for the duration of the illegal strike, in line with their ‘No Work, No Pay’ policy. The company is dedicated to addressing all concerns, including salaries, benefits, and working conditions, through direct negotiations with its employees, rather than involving a third party.
Current Production Status
According to insiders, Samsung has successfully resumed production at its Chennai facility, ensuring that consumer services remain uninterrupted during the festive season. The management has encouraged striking workers to return to their posts.
One source noted that the government’s stance regarding Samsung is one of caution, aiming to prevent escalations from either party. Although production continues, the refrigerator segment has experienced some impact, while the air conditioning and washing machine units remain operational.
Union Negotiations
While Samsung prefers to engage in direct dialogue with employees, the Centre of Indian Trade Unions (CITU) is attempting to negotiate on behalf of the workers.
