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Home Business Samsung India says it pays its Chennai factory workers 1.8 times over the industry average: Report

Samsung India says it pays its Chennai factory workers 1.8 times over the industry average: Report

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Oct 06, 2024 08:49 AM IST

Samsung India dismisses the allegation that its workers earn only ₹23,000 after over 10 years of service as “a gross misrepresentation of facts.”

Samsung India has told the Tamil Nadu government that the average monthly salary of its permanent manufacturing workers at the protest-laced Chennai plant is 1.8 times the average salary workers in similar jobs in the electronics sector get, the Economic Times reported, citing unnamed sources. HT couldn’t independently verify the information.

Samsung plant protests: A motorcyclist rides past Samsung company plant in Sriperumbudur, on the outskirts of Chennai.(AP)
Samsung plant protests: A motorcyclist rides past Samsung company plant in Sriperumbudur, on the outskirts of Chennai.(AP)

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How much does Samsung say it pays its Chennai plant workers?

The allegation that Samsung India’s workers earn only 23,000 after over 10 years of service is “a gross misrepresentation of facts,” the report quoted the company as saying.

There was only one worker who had a salary of 24,000 per month after 10 years of service, before other perks, the report added.

“Samsung has informed the striking workers that they will not be paid for the duration of the illegal strike, in accordance with the ‘No Work, No Pay’ policy,” the report quoted one of the persons who did not wish to be named. “The company is committed to resolving all issues, including wages, benefits and working conditions, by negotiating with its workers directly, not with a third party.”

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Despite the strikes, production at the Chennai factory had been normalised enough to cater to the festive season’s demand.

Which Samsung product segments have been affected by the strikes?

Currently, only the refrigerator segment has been slightly affected by the strikes, but the AC and washing machine segments are still functioning well, according to the report, which added that Samsung is currently waiting for the government to make a move on the matter.

The South Korean consumer electronics conglomerate prefers to engage with its workers directly, but the Centre of Indian Trade Unions (CITU) is still trying to negotiate with Samsung on behalf of the workers.

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