On September 16, Indian police announced that they had detained over 100 workers at a Samsung Electronics factory in the southern part of the country. The reason for the detention was that these workers planned to hold a rally without permission on that day.
Local police officials stated that the area where the workers planned to rally had multiple schools and hospitals, making it a key area. They expressed concerns that the protest would “completely paralyze” the area and “disrupt public order.”
The senior police officer mentioned that they detained 104 workers in several wedding halls as the police station was unable to accommodate such a large number of people.
This detention marks an escalation of the strike by workers at the Samsung home appliance factory near Chennai, the capital of Tamil Nadu. The workers are demanding higher wages, improved working hours, and have been on strike for a week, leading to production disruptions.
The Samsung factory employs around 1,800 workers, with over 1,000 of them participating in the strike.
The workers have been protesting near the factory in temporary tents, demanding that Samsung recognize a union supported by the influential Centre of Indian Trade Unions (CITU).
Samsung is unwilling to recognize any national union supported by organizations like CITU. Negotiations between the company, workers, and state government officials have failed to reach any resolution.
The CITU stated that the police detained one of their senior leaders, who was a key figure in the protest activities.
The factory on strike produces appliances such as refrigerators, televisions, and washing machines. The annual production value of this appliance factory is approximately $4 billion, accounting for about one-third of Samsung’s annual revenue of $12 billion in India.
Another Samsung smartphone factory in Uttar Pradesh has not experienced any protests or strikes.
This strike poses challenges to Samsung in India, a critical growth market for the company.
According to Reuters, Samsung plans to cut as much as 30% of its overseas staff, including in India.
Previously, India’s antitrust regulator accused Samsung and other smartphone companies of colluding with e-commerce giants to introduce exclusive devices, violating competition laws.
The strike also casts a shadow over Prime Minister Narendra Modi’s initiative to attract foreign investment and achieve the “Make in India” plan. Modi aims to increase the production value of electronic products to $500 billion within six years.
(This article referenced reports from Reuters)