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‘We suffered a loss of USD 100 million due to workers strike’: Samsung informs Madras HC

The company says the workers cannot use the word Samsung in the name of the new trade union affiliated to the CITU

Workers of the Samsung India Electronics factory take a fellow worker for medical assistance during their strike at Sriperumbudur | PTI

A week after the Samsung workers strike came to a close after several rounds of parleys, Samsung India Electronics Private Limited (SIEPL) on Tuesday informed the Madras High Court that it had suffered a loss of USD 100 million due to the protest by its employees. The workers went on strike boycotting work for 37 days demanding that the Samsung India Thozhilalar Sangam, affiliated with the Centre of Indian Trade Unions (CITU), has to be registered.

About two thirds of the 1,800 employees of SIEPL at Sriperumbudur went on a strike from September 9, demanding higher wages, an eight-hour work day, better working conditions and for the recognition of their recently formed labour union — the Samsung India Workers Union (SIWU). The protesters, however, returned to work after the state government intervened and made peace between the company and the employees, on condition that they will go by the court verdict. 

The writ petition filed by P. Ellan, general secretary of the new trade union came before Justice R.N. Manjula in the Madras High Court. Appearing for Samsung, senior counsel G. Rajagopalan, argued in the court that the trade unions cannot be allowed to use the word Samsung as it would affect the reputation of the company.

Appearing for the employees and representing Ellan, advocate N.G.R. Prasad, told the court that Samsung was not a necessary party in the writ petition and that its petition should be dismissed. He also argued that Samsung cannot raise objections to the use of its name by the trade union as it is not a trademark dispute case. Rajagopalan intervened to say that the company should be allowed to file an impleading petition.

The court, while allowing SIEPL to file the impleading petition, postponed the next hearing to November 11. SIEPL has to file its counter affidavit on November 11. 

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