A riot by workers that left Awanish Kumar Dev, General Manager HR dead in a fire accident and resulted in 90 employees being jailed, is likely to affect the company’s operations and disrupt supplies of models.
The company is now facing a lengthy shutdown that could cost $15 million a day and result in disruption of supplies for its models including Swift. The police have said that they are looking to detail the whole of 3,000 strong workforce of the company’s Manesar factory in Haryana in the incident.
The workers at the factory resorted t rioting after disciplinary incident with a single employee. Several people were reportedly injured, including the company’s Japanese officials and a part of the assembly line was burnt.
The violent riot comes just nine months after the strike at the factory ended. The rioting in the previous year had resulted in more than $500 million in lost production and affected the overall industry. The new riots have renewed concerns by the investors that the company has not been able to resolve its issues with the workforce.
The shares of the company fell 5.7 percent over trading two sessions reducing its market capitalization by more than $570 million.
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