Samsung Chennai agrees to key demands, say TN Ministers Rajaa, Anbarasan; spurned CITU says strike not over

CHENNAI: The Samsung Electronics management has agreed to protesting workers’ demand for wage hike and other benefits, claimed Tamil Nadu Industries Minister TRB Rajaa, adding that the company would consider other demands after the employees return to work.

Hours earlier, the State government had unofficially circulated a memorandum of agreement signed by Samsung India Electronics Pvt Ltd managing director Yon Sung-hyum and workers to end “illegal strike” and return to work.

The agreement states that workers would get Rs 5,000 per month incentive from October to March, assurance to extend AC buses on all 108 routes from the current five routes, and Rs 1 lakh immediate assistance if a worker dies.

However, as what Rajaa claimed to be was a “major breakthrough” sidestepped the demand for recognising the CITU-backed workers’ union, the CITU and DMK ally CPM rejected the purported agreement and said the strike would continue till the union was recognised.

“After several marathon meetings between the three-member ministerial team and various stakeholders, Samsung’s management has agreed to key demands raised by their employees, including a significant wage hike and additional benefits while also agreeing to consider some other demands once the rest of the employees return to work,” Rajaa said.

The team held discussions with the South Korean company and workers for nearly 12 hours, he said, appreciating both parties for moving forward to end the protest that has entered fourth week.

“As for the issue of union recognition, it remains subjudice and we respect the legal process to take its course,” he added.

Hours earlier, MSMEs Minister TM Anbarasan, who is part of the ministerial delegation, also claimed that an agreement has been reached between Samsung India and workers accepting all their demands.

“The only unfulfilled demand is the CITU’s demand to hold talks with it [on recognising the union affiliated to it]. As there is a court case, we cannot intervene in the issue,” Anbarasan told reporters at the Secretariat in the presence of Industries Minister TRB Rajaa and Labour Minister CV Ganesan.

“We want both workers and companies to not suffer,” he added.

Meanwhile, CITU Tamil Nadu unit president A Soundararajan, who took part in the negotiations on Monday, told DT Next that the Samsung management has signed an agreement with some workers who are not part of the strike. “As many as 1,500 workers of Samsung Electronics are continuing their strike seeking registration of the union and its recognition. The agreement that Samsung management signed was with some workers who are not representatives of the striking workers. We will continue the strike until our demands are met,” Soundararajan said.

CITU Kancheepuram district secretary E Muthukumar said no agreement was reached in the talks with the ministers. “Samsung’s announcement is not only against the majority workers' wish but also a diversionary tactic,” he alleged.