Foxconn refuses to give way as talks fail again, deadlock continues

Despite parleys, deadlock continues between Taiwanese electronics major Foxconn...

Chennai | Published: December 27, 2014 11:00:36 am

Despite parleys, deadlock continues between Taiwanese electronics major Foxconn, the workers’ union and the Tamil Nadu labour department on the fate of workers at the company’s Chennai plant.

The fourth round of tripartite talks — between the management, Foxconn’s union leaders and assistant labour commissioner of Sriperumbdur — remained inconclusive on Friday with both the management and union sticking to their stands.

The union maintained that the workers would not agree to a VRS package — they wanted their jobs back. But the management reiterated that since the company didn’t have any orders for the Chennai plant, it had no choice but to shut it down and offer a severance package. The next meeting is scheduled for December 31.

While the management maintains that discussions for an amicable solution were still on, the union outright refuses the VRS/severance package option.

Earlier, the management said it had held five rounds of talks with three unions. Tripartite meetings, involving assistant labour commissioner of Sriperumbudur, were held on December 12 and 18. Senior union officials said the management had declared that salaries would be given only up to January 31, 2015.

Foxconn had announced it was suspending operations at the facility effective December 24 due to lack of orders. Close to 70% of the parts manufactured at the facility were for telecom major Nokia, which suspended operations at its Sriperumbudur unit in November.

The fate of around 1,700 employees hangs in the balance.


By: |The Financial Express

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