Taking the two labour strikes in automobile units this year as sudden sign of distress, the auto component industry said on Monday that the government must reconsider the economic benefits of auto ancillary manufacturing.The Automotive Component Manufacturing Association of India (ACMA) said there was a need to look positively and more seriously at the organised manufacturing units, particularly those based in north and west India, which have been taken by surprise by twin strikes this fiscal.The latest move by roughly 800 workers at Honda Motorcycle and Scooters India Ltd (HMSI) has left the company with 200 of its regular employees, who have managed to operate at 30 per cent of capacity all this fortnight.HMSI, according to sources, has hired temporary staff to replace the 800 picketing workers, who are said to have been driven by Left parties active in Manesar. The area was supposed to be a safe haven for the auto manufacturing sector.Auto industry sources said HMSI had actually raised wages by 100-150 per cent this year, but ACMA officials said the existing labour laws, though inflexible, had not caused such a situation before.‘‘Labour laws are an impediment as such but we have never faced such a problem (of strikes) before,’’ said ACMA chief Deep Kapuria.‘‘The Manesar area is chiefly driven by auto manufacturing and component makers. This industry is a key driver of the economy and if we play our cards right, India can actually be a big player on the worldwide map. There is a window of opportunity today, but it will not stay open forever if we go wrong,’’ Kapuria said.
