Maharashtra Deputy Chief Minister Ajit Pawar on Tuesday announced in the winter session of the Maharashtra legislative assembly that each affected worker of the General Motors Employees' Union will be paid Rs 25 lakh in cash.
The employee union of General Motors India initiated a chain hunger strike on October 2, demanding the transfer of all its workers to Hyundai Motor, which plans to acquire its manufacturing facility in Talegaon. The American automobile giant ceased selling its cars in India in 2017. The union had earlier accused the Eknath Shinde-led Shiv Sena-BJP government of not taking the issue of unemployment among thousands of auto firm workers seriously. It will be the 80th day of the hunger strike on Wednesday.
"In the unfortunate closure of General Motors Company in the Talegaon area, Hyundai is set to take over. Recognising the impact on workers from western Maharashtra, our government is taking special measures. Each worker will receive a compensation of Rs 25 lakh in cash. Hyundai will also employ several workers based on specific criteria. Our government is committed to ensuring justice for the workers affected by this transition," Pawar said in Nagpur.
Union refuses to call off the strike
Sandeep Bhegade, President of General Motors Employees’ Union, clarified that the union will not end its chain hunger strike, and tagged Ajit Pawar's statement as misleading. He highlighted that the mentioned compensation amount was already rejected by the union, emphasizing the demand for employee transfers to the new company and an immediate meeting with both companies and Chief Minister Eknath Shinde, Deputy Chief Ministers Devendra Fadnavis, and Ajit Pawar to reach a resolution.
The employees’ union and GM are locked in multiple lawsuits in industrial courts in Maharashtra, as well as in the Bombay High Court and the Supreme Court.
General Motors is selling its Talegaon plant to Hyundai Motor, but 1,000 permanent workers of General Motors are not being hired by the new company (Hyundai). As a result, thousands of workers are facing unemployment.
After operating in India for over two decades, the American auto firm ceased selling its cars in the domestic market in 2017 as part of its global restructuring plan. The Talegaon manufacturing facility has an installed capacity of approximately 1.3 lakh units annually. The Korean automaker announced that it had signed an asset purchase agreement to acquire and assign identified assets related to General Motors India's Talegaon plant.
