In a letter to the company on Monday, GMEU said the retrenchment is illegal as the company is not well within its rights to use the provisions enshrined under Section 25-M. Neither the Central nor the State Government has declared the pandemic as a “Natural Calamity.” Therefore, GM should have taken prior permission from the appropriate authority.
Amid the pandemic, the Central and the State governments have requested the industries to take care of their employees. Leave aside, taking care, GM under the pretext of the pandemic is laying off people, said GMEU. According to the Union, since the matter is in the District Labour Court and the final order is still pending, General Motors
India should not have arbitrarily changed the terms of agreement and announced retrenchment, said the GMEU letter. A copy of the letter has been reviewed by Business Standard.
GM had offered employees a separation package but the duo failed to reach an amicable settlement on the terms of separation. GM therefore, resorted to retrenchment for wind-down of operations at the site.
The spokesperson claimed production at the Talegaon plant ceased on December 24, 2020. The company gave employees and the union more than a year’s notice regarding the end of production. No vehicles have been manufactured since production ended on December 24, 2020, and there is no prospect of the company resuming production at the site.
Business Standard has always strived hard to provide up-to-date information and commentary on developments that are of interest to you and have wider political and economic implications for the country and the world. Your encouragement and constant feedback on how to improve our offering have only made our resolve and commitment to these ideals stronger. Even during these difficult times arising out of Covid-19, we continue to remain committed to keeping you informed and updated with credible news, authoritative views and incisive commentary on topical issues of relevance.
We, however, have a request.
As we battle the economic impact of the pandemic, we need your support even more, so that we can continue to offer you more quality content. Our subscription model has seen an encouraging response from many of you, who have subscribed to our online content. More subscription to our online content can only help us achieve the goals of offering you even better and more relevant content. We believe in free, fair and credible journalism. Your support through more subscriptions can help us practise the journalism to which we are committed.
Support quality journalism and subscribe to Business Standard.