Car manufacturers in Tamil Nadu, the industrial hub of India, have suspended operations and reduced work shifts in their factories as employees threaten to strike due to health concerns regarding COVID-19 in the southern state. Renault Nissan Automotive India has entered into a legal dispute with workers at its factory near Chennai, dubbed India’s Detroit, who argue that their safety should not be compromised to meet production targets. Workers have challenged the state's decision to exempt the auto industry from local lockdown rules.
In response to the lawsuit filed in the Madras High Court, Renault Nissan stated that it has taken necessary precautions to protect its employees, including reducing daily shifts from three to two and arranging transportation and vaccination. The company emphasized the need to keep the factory operational as permitted by local laws and noted its commitment to fulfilling export demands.
Similarly, Hyundai Motor India has halted operations in Chennai until May 29 following a rise in infections and a strike last Monday. The company stated, "We have always prioritized the safety, health, and well-being of our employees."
### Pandemic Toll
Seven workers at the car manufacturing plant died from COVID-19 last month, and there are 750 confirmed cases, according to E. Muthukumari, head of the union representing Hyundai employees. Muthukumari noted that there will be two shifts per day when the factory reopens on Monday, May 31, instead of the usual three. However, a spokesperson for Hyundai stated that there would be no such change.
The pandemic has hit India hard, resulting in nearly 27 million confirmed cases and over 307,000 deaths, although the actual numbers are likely much higher. Tamil Nadu is among the most affected states, with infections nearing 1.9 million and approximately 21,000 recorded deaths.
The confrontation between car manufacturers and workers underscores the struggle for companies and local authorities to balance economic interests with public health demands. A stringent lockdown threatens to slow the economy and jeopardize jobs, while allowing factories to operate could exacerbate the spread of COVID-19. In this context, state governments in India have exempted certain sectors deemed essential from lockdown rules.
The Madras High Court has instructed the Tamil Nadu government to oversee the working conditions at the Renault Nissan factory, inquiring whether production has been reduced, as the plant has an annual production capacity of 480,000 units, with court sessions continuing on May 31.
### Response from Other Companies
Maruti Suzuki India, the largest car manufacturer in the country, has halved its production capacity due to the pandemic. Hero MotoCorp, the world’s largest two-wheeler manufacturer, announced last month that it has temporarily suspended operations at all of its manufacturing facilities. Truck manufacturer Ashok Leyland has also reduced its operations.