Automobiles News

Layoff packages were seven times the norm, says General Motors as workers begin an indefinite chain hunger strike


Mumbai: General Motors on Monday maintained that it has done everything possible to resolve amicably the deadlock with workers at its now-closed India factory near Pune, including offering compensation at seven times the statutory requirement, even as more than 1,000 sacked workers began an indefinite chain hunger strike.

The striking former workers are protesting unemployment and their non-absorption by Hyundai Motor India, which has signed an initial agreement to acquire the Talegaon facility. The American automaker is now keen on signing the final agreement with Hyundai Motor India, a spokesperson at GM said.

“Everyone previously employed by General Motors at the Talegaon plant has been legally separated from GM and were offered a separation package more than seven times the statutory requirement. The labour union declined to sign and accept this package, even when it was offered through the Bombay High Court. General Motors took all necessary steps, and more, to offer fair compensation of employees, despite the actions of the union,” a GM spokesperson said in an email response to ET.

Commenting on the commercial agreement with Hyundai, the spokesperson said GM is “looking forward to signing the final agreement for the sale of the Talegaon Plant so that the buyer can begin to invest in opportunities and growth in Maharashtra”.

Hyundai Motor India signed a term sheet with the Detroit-based auto firm in March this year for a potential acquisition of the Talegaon facility. Subsequently, the Maharashtra government accepted the plant-based closure application.


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