Overview of the Strike
A labour strike at Samsung’s Sriperumbudur plant in India has drawn attention to the Centre of Indian Trade Unions (CITU). The strike, which has now lasted five days, is disrupting production and highlighting challenges faced by India’s “Make in India” initiative, which aims to boost domestic electronics manufacturing and attract foreign investment.
CITU’s Role and Demands
CITU, a prominent labour organization with 6.6 million members, is advocating for better worker wages and rights. The strike at Samsung underscores the pressures on Prime Minister Narendra Modi’s strategy to expand India’s manufacturing sector. Workers, who currently earn about 25,000 rupees ($300) per month, are demanding a raise to 36,000 rupees ($430) over three years.
Impact on Samsung and the Electronics Sector
The strike has significant implications for Samsung, affecting about a third of its $12 billion annual revenue from India. This level of industrial unrest is rare in the electronics sector but highlights increasing dissatisfaction with wages and working conditions.
CITU’s Broader Goals
CITU’s efforts extend beyond Samsung, targeting other electronics firms such as Flex and Sanmina. The union aims to secure better wages and union recognition in a sector where it believes labour practices need improvement. Flex has stated it follows high global standards for labor practices, but other involved parties have yet to comment.
Government and Company Responses
Samsung has announced that it is in discussions with workers to address the issues raised by the strike. The situation emphasizes the broader challenges multinational companies face in India and the need for improved labour laws and practices.
