Maruti Suzuki to hire 2,000 workers for Manesar 3rd line
By March this year, the car market leader also aims to completely finish with contract positions in operations directly related to manufacturing, but may keep them for other jobs like material handling and maintenance. ďAt Manesar we donít need them (contract workers) at all and at Gurgaon the process is on of converting the contract to temporary workers. By the end of March we should be completing this,Ē Bhargava said.
However, other sources in the company indicated that while the conversion may be possible for the fewer employees at the relatively newer Manesar plant (started in 2007), the process would take much longer for its first Gurgaon facility and in all probability miss the March deadline. Though contract workers get lower pay and lesser job benefits, they make up the bulk of the labour force today ó in the Gurgaon plant only 40% of the workers are permanent.
With a 50% wage hike announced last September (average monthly pay is Rs 38,000), combined with the conversion of over 5,000 contract workers to higher-paying permanent positions, over Rs 100 crore is expected to be added to Marutiís current wage bill. Though company officials including CFO Ajay Seth have previously said that the impact on financials will be minimal, employee expenses as a percentage of net sales
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