Despite pay hike offer, workers' strike still on at Samsung’s Chennai unit

The workers' strike at Samsung Electronics plant at Sriperumbudur has entered its 30th day on Tuesday, as Centre of Indian Trade Unions (CITU), the union leading the charge, claimed that its major demands are not yet fulfilled. This is despite the company agreeing to pay a special incentive to the employees. The company signed an MoU with representatives of its workmen, in which it agreed to pay a special incentive of Rs 5,000 to its employees.

CITU, which was leading the strike in which around 1,300 participated, was not part of the talks with the company.

 “We held talks with the government. Our major demand of a CITU registered Union is not met. Until that is heard, we will go ahead with the strike. Those who signed the memorandum of understanding with the company are part of a committee set up by the company itself,” a senior CITU leader told a leading daily.  

According to the MoU, the company will provide a Productivity Stabilisation Incentive of Rs 5,000 per month, starting from October 2024 through March 2025. During wage negotiations with employees, this special incentive will be considered for the annual wage increment for 2025-26.

The Union is stuck to the demand that Samsung India Workers’ Union (SIWU) president E Muthukumar, a veteran CITU leader who is not an employee of the company, should be included in the discussions. The company, on its part, had made it clear that it will talk to only its employees and not any third party.