Honda may shut down operations in Manesar due to protests

Michelle L.

March 3, 2020

The protests surround HMSI’s workers and them going on strike to demand Rs 1 lakh yearly compensation.

Honda Motorcycle and Scooter India (HMSI) | Photo credits: Livemint

Honda Motorcycle and Scooter India (HMSI) may potentially shut down its manufacturing facility in Manesar due to major protests by over 2,000 contractual workers. The protests took place starting last week when a certain amount of contractual workers, whose contracts had expired or were nearing the end of the contract, were forced to go on indefinite leave.

HMSI Manesar is India‘s second-largest two-wheeler manufacturer. It has an average monthly despatch of over 5 lakh two-wheelers from its plants.

An official statement by HMSI has said that 200 contractual members whose term had been completed have been relieved. It also stated that “necessary recruitment will be considered on the basis of future market requirements.”

“Based on demand fluctuations and production adjustment 200 contractual members whose term had been completed are relieved from their work. Necessary recruitment will be considered on the basis of future market requirements,” the statement reads.