Anton Wundrak

8/10/2019 Anton Wundrak

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STRENGTHENING TRADE UNION NETWORKS THROUGH INTERNATIONALFRAMEWORK AGREEMENTS. A CASE STUDY AT VOLKSWAGEN,

DAIMLER AND BOSCH IN THE INDIAN AUTO CLUSTER PUNE.

Paper prepared for presentation at the workshop Transnational industrial relations and thesearch for alternatives. Greenwich University, London, May 31-June 1, 2012.

Anton Wundrak*


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ABSTRACT

India has been following its New Economic Policy now for more than two

decades. One impact of that has been the further flexibilisation and

informalisation of work. The Indian labour movement has not yet been able to

develop adequate strategies to counter these problems. The traditional

national unions influence in the auto industry, particularly in the newer plants,

is limited due to the widespread existence of so called independent or

unattached plant level unions.

By looking at the implementation of International Framework Agreements

(IFAs) at the local level, this paper explores the union situation at three plants

in the automotive cluster Pune (Volkswagen, Daimler, and Bosch). It turned

out that knowledge of the IFAs was either absent, or, if the IFA was at least

vaguely known, the potential importance or use of IFAs was not recognised.

The local unions lack resources such as time, infrastructure, and detailed

knowledge on labour laws, to fulfil their trade union work more effectively and

inclusively. So far the unions do only include workers with permanent

contracts in their membership and negotiations. These workers, however,

account currently for the minority of the workers in all the studied plants.

It is argued that a more inclusive approach to IFAs by the original negotiating


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INTRODUCTION

The basis for this paper has been a three

months long trip to India from September to

November 2011. Six weeks in the capital Delhiwere followed by another six weeks in Pune.

The project was aimed at finding out more

about what role International Framework

Agreements (IFAs) do actually play in India,

especially locally at the plant level. Since the

study was supported by two German

foundations, the Otto Brenner Stiftung (OBS)1

and the Friedrich Ebert Stiftung (FES), this was

done by looking at three German global players

in the auto industry; namely, Volkswagen,

Daimler and Bosch, and their plants in the

region of Pune.

Our2 general research approach was

driven by the following assumptions: First, that

the implementation of IFAs along atransnational corporations (TNC) global

production and value chain must empower

integrated concept for dissemination and

implementation of IFAs.

Despite a growing number of publications

on IFAs (i.a. Papadakis 2008, Stevis 2010), the

available case study literature that looks into

the very question if and how IFAs have been

implemented is still limited3. Our project was

initiated to address this gap.

Before our field trip to India we had a

planning phase of roughly two months in

Germany. During that time we spoke to the

respective works councils of the three

companies, compared the different IFA texts,

and collected literature on Indian industrial

relations. We learned that in all three plants we

were going to look at a trade union existed,

however, only for the permanent workers.

The Volkswagen IFA was the first

agreement signed in the auto sector, dating


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is the Volkswagen IFA.5 Despite the vague

language, the IFAs content can nonetheless

be considered of potential use to advance

workers rights. If not as a legally binding tool,

then at least in terms of providing something

with which to raise awareness for workers

rights and create pressure on the companies

decision makers.

Two pragmatic main questions resultedfrom the planning phase:

1.) What is needed so that the local

unions in Pune understand and use the full

potential of the IFAs as a tool to make

demands against local and/or central

management?

2.) How could the local unions in Pune

use the IFAs to better the working conditions

for non-permanent workers?

To get a better idea of the Indian

circumstances, we used the time in Delhi to

this network we were able to fix appointments

with trade union representatives at all three

selected plants. On the management side,

however, we were only successful at

Volkswagen and Daimler. Without official

instructions from Germany, the local Bosch did

not want to talk to us.

My extended written report in German,

which I started writing once I was back in Berlinin December 2011, is now being used as an

internal working paper by IG Metalls

international department. A shortened version

has been published by the Otto Brenner

Stiftung.6


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TRADE UNIONS AND INDUSTRIAL RELATIONS IN INDIA

Unorganised and organised sector

Indias economy is often subdivided in an

organised or formal, and an unorganised or

informal sector. This distinction is not based on

trade union density, but on whether basic

labour law and social security provisions apply

or are absent. According to Indias National

Commission for Enterprises in the Unorganised

Sector (NCEUS),

[the] informal sector consists of allunincorporated private enterprisesowned by individuals or householdsengaged in the sale and productionof goods and services operated on a

proprietary or partnership basis andwith less than ten total workers(Naik 2009, p. 3).

India has been following its so called New

Economic Policy (NEP) now for more than two

decades. One obvious impact of the NEP has

been the further flexibilisation and

informalisation of work. In 1991, when this

k t lib li ti li i t d d th

sector. On the other hand, there are areas

such as agriculture that are literally closed

informal sectors. This is where a majority ofIndias informal women workers work. Women

are particularly affected by informal work; they

constitute 94 percent of all working women in

India.8

Informal workers are defined by NCEUS

as people

working in the informal sector orhouseholds, excluding regularworkers with social security benefits

provided by the employers and theworkers in the formal sector without

any employment and social securitybenefits provided by the employers(Naik 2009, p. 5).

The latter already make up for around 50

percent of the workers in the so called formal

sector (ibid.). In manufacturing they count for

around 75 percent (cf. Sinha 2006). In sum,

circa 470 million people face a precarious

it ti hi h i t j it f Indias


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(Sinha 2006, p. 7). With respect to this

phenomenon, it is important to mention that the

caste system is still deeply rooted in large parts

of Indias society. Regarding the informal

sector, Bhowmik (2011) e.g. highlights that

despite industrialisation the master-servant

relationship did not change to employer-

employee. In fact, he says, after 1991 [t]he

pre-industrial/feudal relations ... were

reinforced in this sector (ibid. , p. 1).

Indian Labour Law

India has ratified only four out of the eight

ILO core conventions. Conventions 87 and 98

are not among them; however, the Indianconstitution guarantees the right to form trade

unions.9 In the aftermath of the NEP, Indian

labour law has not yet been undergone a

reformation. Though, it is constantly being

debated and pushed for. In particular, big

business calls for more flexibility and less

regulation. Government authorities call Indian

Employment/Standing Orders Act (1946), the

Industrial Disputes Act (1947), the Factories

Act (1948), and the Contract Labour Regulation

and Abolition Act (1970). These are all national

laws10; they only apply in the formal sector and

are amended by various state level laws.11

The Trade Unions Act defines the

requirements for trade unions to become

officially registered by the authorities. Until2001 any seven people working in a factory or

industry could apply for registration. This

number has been raised to 100 workers, or ten

percent of the respective plant or industry,

whatever is less. However, not all trade unions

are officially registered, especially at the plant

level. The same goes with legal recognition as

the employers bargaining partner, which is

ruled by state law. As mentioned above,

forming a union is a constitutional right. If

management does not oppose the union and

enters into negotiations without official


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often not in favour of the union, especially so in

the case of management opposition.12

The Industrial Employment/Standing

Orders Act requires employers with a minimum

of 100 employees belonging to the category

workman13, to have working conditions laid

down in written form. E.g., all types of workers

must be classified according to the respective

employment status.

The Industrial Disputes Act regulates i.a.

dismissal protection, strikes and so called

unfair labour practices. E.g., if an employer,

with more than 100 employees, wants to

dismiss a worker with a permanent contract,

this is only possible with prior permission of the

authorities.

The Factories Act is concerned i.a. with

questions of health, safety, work hours, and the

employers duty of care. Federal factory

inspectors are meant to ensure compliance

ith th t

accompanied further increase of contract

labour, this Act and has become central to

many labour disputes. The basic controversy is

always around the question whether a certain

kind of work done by contract labourers is of

permanent or perennial nature. If it is ruled so,

the employer has to abolish the contract

labour. In the past, in some cases, it was also

ruled that the employer must then grant

permanency to those contract workers.14

However, this does not mirror current court

ruling anymore.15 For persons that can prove

they have worked a minimum of 240 days in

one year, the possibility to claim absorption into

the category of permanent workers is also

there under the act under some circumstances.

Indias Trade Union Landscape

There are four main groups of Indian

trade unions. On the national level there are

currently 11 Central Trade Union Organisations

(CTUOs). Attached to them are industrial


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emerged. However, up to day there are few of

them established at the national level. One

example is the New Trade Union Initiative

(NTUI). The NTUI sees itself as an

organisation that gives space for the co-

existence of multiple progressive political

tendencies. It pursues the goal of a plant level

union organisation based on industrial

coordination and participatory processes.16The

fourth group are plant level and - not very

widespread - company unions. They either

belong to one of the CTUOs, or, if this is not

the case, are called unattached, unaffiliatedor

independent unions. Among the latter,

however, some have links to non-party political

federations such as the NTUI.

The status of a CTUO requires a

minimum of 500.000 members spread over

different states and industries. The NTUI is

currently applying for this status; however,

among the established CTUOs an initiative has

1951, four years after independence from the

British was reached, there were already three

other CTUOs, all split-offs from AITUC due to

political differences. Table 2 (p. 10) gives an

overview of the biggest official CTUOs plus the

NTUI.

In general, the Indian unions public

reputation is considered to be not good at the

moment (cf. Bhowmik 2011). The picture ofunions that has been drawn by mass media in

post-1991 India is one of inefficiency,

inflexibility, corruption, egoism and sabotage of

economic progress. It is not always totally

wrong and frustration at the unions basis has

been there for a long time. One major concern

of the workers is the unions prevalent power-

focused and centralised style of leadership.

Over the 1970s and 1980s the number of

split-ups and new formations ofunattached/independent unions increased

while the traditional CTUOs influence


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All 11 official CTUOs have come together

in the National Convention of Workers and

demand i.a. the following:

[s]trict enforcement of all basiclabour laws without any exception orexemption; universal socialsecurity cover for the unorganizedsector workers without anyrestriction; [n]o contractorisation ofwork of permanent/perennial natureand till then payment of wages andbenefits to the contract workers atthe same rate as available to theregular workers of theindustry/establishment;[a]mendment of Minimum Wages

Act to ensure universal coverageirrespective of the schedules andfixation of statutory minimum wageat not less than Rs.10,000/- permonth with indexation; [a]ssured

pension for all; [c]ompulsory

registration of trade unions within aperiod of 45 days and immediateratification of the ILO Conventions

nos 87 and 98.17

These demands are shared by the NTUI

as well.


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10

Table 2: Indian CTUOs at a glance

Name of CTUO Year offormation

General politicalorientation

Party affiliation Members(2002 verification)

Members (own numbers,officially non-confirmed)*

Bharatiya Mazdoor Sangh(BMS)

1955 hindu-nationalistic Bharatiya JanataParty

6.215.797 10.000.000

Indian National TradeUnion Congress (INTUC)

1947 moderate-conservative

Indian NationalCongress

3.954.012 8.000.000

All India Trade UnionCongress (AITUC)

1920 communistic Communist Partyof India

3.442.239 3.600.000

Hind Mazdoor Sabha(HMS)

1948 socialistic none, on formationPraja SocialistParty

3.338.491 5.300.000

Centre of Indian TradeUnions (CITU)

1970 communistic-marxist Communist Partyof India (Marxist)

2.678.473 3.400.000

Self Employed WomenAssociation (SEWA)

1972 support women in theinformal sector

none 688.140 1.250.000

New Trade Union Initiative(NTUI)

2001 progressive-leftpluralistic

none - 500.000

*These numbers are from the German Embassy in New-Delhi and its social-political report 2010.


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AUTOMOBILE INDUSTRY AND THE PUNE REGION

Industry Overview

Indias automobile industry has been

growing intensively since 1991. Nearly all

globally operating companies have set up

plants in one of the three main auto clusters.

Aside from Pune, these clusters are located

south of Delhi in the northern state Haryana,

and in and around Chennai (Tamil Nadu) in the

south east. The biggest players are Maruti-

Suzuki and Tata Motors with the former

dominating the passenger car segment and the

latter the commercial vehicle sector. According

to the International Organization of MotorVehicle Manufacturers (OICA), car production

has been doubled since 2001 culminating in a

growth rate of 30 percent and 3.5 million sold

vehicles in 2010. Although export rates are

increasing, it is the domestic demand that

made up for the vast majority of sold cars.

Thanks to a growing middle and upper class.18

In terms of employment too, the

predictions are quite astronomical. The Indian

Government (2006) officially pursues the visionthat until 2016, the auto industry shall

contribute ten percent to the GDP and create

25 million additional jobs. Today, the industry

employs between 450.000 and 700.000

people. Another ten million jobs are in one way

or another linked to it (cf. Graham 2010).

However, whether this vision will come true,

depends on an adequate infrastructure which is

still widely lacking.

Numbers on the nature of employmentvary and are hard to obtain. With regard to the

automobile industry, a 2010 ILO study

(Graham) speaks of at least 30 percent

contract workers and another 30 to 40 percent

people with non-permanent employment

status.

Automotive Cluster Pune


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Development Corporation (MIDC) Chakan is

home to a Special Economic Zone (SEZ).19

Over 750 large and small industries are based

in the area. Volkswagen, Daimler and Bosch

do have their plants in Chakan too. According

to a local labour consultant; the workforce in

Punes auto industry is of a rather young age

ranging from 20 to 40 years.

The CTUOs AITUC and CITU have littleground in Maharashtra, however, HMS, INTUC

and BMS have a considerable part of their

membership in this state (cf. Sundar 2009).

Traditionally, though, unattached plant level

unions are a widespread phenomenon in

Maharashtra. In 2005, they made up more than

40 percent of all registered unions (ibid.). This

nationwide trend has its roots in the Mumbai of

the 1970s (Bhattacherjee 2001). According to

interviewed managers and unionists, 90

percent of the unions in Punes auto industry

are plant level unions.

legitimated, it becomes difficult for others to get

a foot in the door.20

Shramik Ekta Mahasangh

Shramik Ekta Mahasangh (SEM)21,

formed in 2004, is an intersectoral initiative not

affiliated to any of the traditional CTUOs. Its

goal is to bring the regions isolated plant level

unions together under one roof. Some 80

unions and more than 18.000 workers belong

currently to SEM. According to an interviewed

NTUI representative approximately 40 percent

of SEM members have links with the NTUI.

Most members are from the automobile and

engineering sector, i.a. Daimler, Bosch, SKF,Atlas Copco, Sandvik, GM, Bajaj, Hyundai,

Reiter, Tenneco, Wheels India, and Tata

Yazaki. According to the SEM president, the

organisations formation and work has been

inspired by the IMF. Just recently, SEM

became officially affiliated to the same.

Winning new members and education of


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high degree of identification among the

members. On the other hand, because most

union representatives are not exempted partly

or full time from the job on the line to take care

of union work, meetings take place on an

irregular basis. Exemptions have to be asked

for in advance and depend on the respective

managements goodwill. This means, that

members have to come together in their rare

free time, e.g. at their only day off which is

either Thursday or Sunday. SEM does not

have an office; meetings are held in private

places or restaurants etcetera. These

infrastructural problems are i.a. due to SEMs

financial model. Member unions do only have

to pay a symbolic Rupee per member per year.

This sums up to 18.000 Rupees per annum.22

Member dues are symbolic, SEMs president

expressed, because otherwise there would be

too much of a financial barrier to join SEM.

SEM representatives that we spoke to


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EMPLOYMENT AND UNION SITUATION AT VOLKSWAGEN, DAIMLER & BOSCH IN PUNE

Table 3: Selected plant numbers at a glance

in Pune

since

Total no. of

workers on site*

No. of union

members

Union members wagesin 2012**

in Euro***

Volkswagen 2009 4.000 600 16.000 - 18.000INR/month

246 - 277

Daimler 1995 650 146 32.000 - 40.000INR/month

492 - 615

Bosch 2006 800 140 24.000 INR/month 369

Tata 1966 20.000 8.000 22.000 - 35.000INR/month

338 - 538

*Mean numbers, incl. blue collar workers in the production facilities, outsourced services and contract work, excl. whitecollar staff. Numbers given varied from interviewee to interviewee.**Numbers are either according to the latest wage settlement (Volkswagen, Daimler) or were so stated by interviewedunionists (Bosch, Tata). Numbers are Cost to Company(CTC), i.e. social insurance contributions, costs for canteen,transportation etc., which the company may deduct, as well as income tax, are not considered here.***Approximate value according to conversion rate from January 20, 2012.

Table 3 displays selected numbers of the

researched plants. Tata Motors has been

included here in order to have a comparison

between an influential domestic and the foreign

owned plants. At Tata too, we interviewed both

management and union representatives.

Volkswagen India Private Limited

Attached to the plant is the Volkswagen

Academy, which serves for in-house vocational

training purposes. Traditionally, in India,

vocational training is run by the Industrial

Training Institutes (ITIs). However, technical

equipment there is not up to date and so

Volkswagen in coordination with the

th iti h t it f ilit Th


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apprentice, badli/substitute.23 Security,

cleaning, canteen etc. are outsourced. Valid

numbers on contract work could not be

obtained. According to the union there are

much less of them today than earlier. Most of

the approximately 4.000 blue collar workers

seem to be from the trainee category. They are

not entitled to any benefit available to the

regular workman. Trainees earn between 9.000

and 13.000 Rupees per month (130/188

Euro)24.

The regular/permanent workers are

currently around 600. Although membership is

voluntarily, all of them are union members.

Dues are 50 Rupees per month. There are no

union members from other categories and the

union expressed that they cannot officially

bargain for other categories, however, in case

of a wage increase they would ask

management to raise the others wages as well

in order to not make the gap too high.

and one year after the unions official

registration. According to the union, which was

formed by the permanent workers due to

discontent with their then payment of only

8.000 Rupees per month, it was a very lengthy

process; a settlement would not have been

reached without the support of the central

works council in Wolfsburg/Germany, which

learned about the situation during a visit in April

2011. One outcome of this visit was that the

union has got an office now with regular daily

opening hours from 3.30 pm to 5.30 pm.

Furthermore, the unions president and general

secretary are exempted from the work on the

line. This is fixed in the settlement.

The interviewed union members showed

scepticism towards CTUOs and other forms of

external organisations. Outside organisations

would increase the risk of corruption so one

argument. There is no contact to the union at

the Aurangabad plant. SEM is known but


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Labor Relations. On this, however, the union

denied any knowledge.

Mercedes-Benz India Private Limited

In Pune, Daimler is operating under its

premium brand Mercedes-Benz since 1995.

The Chakan plant was opened in 2009. Prior to

that, production took place in Chinchwad. The

capacity of the plant is 10.000 luxury car units

and 2.500 commercial vehicles per annum.

Daimler plans to shift the production of

commercial vehicles to its Chennai plant and

focus primarily on the luxury car segment in

Pune. From March 2011 to March 2012 the

company sold 7.430 units in comparison to5.819 units of 2010 to 2011 (cf. Sharma 2012).

The local unions name is Mercedes-Benz

Employees Association and exists since 2001.

Prior to the union there had been a so-called

coordination committee. Until recently the

union had no office. With the latest wage

settlement this changed There are no set

All 146 regular workers are in the union

as compared to zero from the non-permanent

categories. The latest settlement speaks of the

union members as bargainable, permanent or

eligible workmen. Between 1996 and 2011

the number of the latter was stagnant with 121.

Recently, then, 25 trainees were promoted.

According to the management, plans are to

promote another 80 to 90 trainees. Trainees,

like at Volkswagen, account for the majority of

the plants workforce; between 250 and 300.

Trainees earn between 7.500 and 8.500

Rupees per month (109/123 Euro)26. This is a

fraction of what is paid to the permanent

workers/union members who earn between

32.000 and 40.000 Rupees a month.

Management pointed out that this is still more

than the 5.500 Rupees (79 Euro)27 minimum

wage required by the state for this sector.

According to the union, trainees start off

under the government subsidised Maharashtra

28


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category. The latter option is less probable.29In

fact, management said that trainees would find

jobs at other plants in the region without any

problems, e.g. at Tata, Mahindra or

Volkswagen. Changing the trainee-based

concept is not considered due to the high legal

barriers to dismissing workers in India as

compared to Europe, so the management

further. It is important to highlight here, that

trainees are not apprentices. They usually have

successfully completed a study or vocational

training.

Union members spoke of approximately

200 contract workers whose exact salaries they

did not know. However, they assumed it to be

even less than what the trainees get. Contract

workers would only work in cleaning, security,

transportation, gardening and the canteen

under supervision of the respective assigned

service company, so the management.

According to the management there are around

reason for the comparatively wide spread of

unaffiliated plant level unions in Pune, the

interviewed management representatives -

both Indians - said that the peoples culture in

the region is rather peaceliking and not so

demanding. Management could not imagine

how trainees or other non-employees, as they

called trainees in this context, might join the

local union. To them, it seemed not feasible.

However, they said that those workers might

be able to join unions at the industrial level.

The interviewed union members did not

recognise the IFA, and management too did

not seem very familiar with the document. A

concrete significance of the IFA for the plant

was not mentioned. Management, however,

pointed out various programmes and benefits

that would well go beyond what is required by

the IFA. This would make Daimler a

benchmark in the region when it comes to

labour relations.30 The proposed idea of


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which they are not a member. Despite this,

they expressed the interest to learn more about

the workers situation at Daimler in Germany

(i.a. working conditions, wages, and employee

benefits). They said this would enable them to

have a better comparison of what is granted in

Germany and in India, and to make more

adequate demands. Of course, they added,

differences in living costs would have to be

considered.

Bosch Chassis Systems India Limited

Bosch is active in India since 60 years

and today employs around 22.000 people

spread over 15 locations. The companyscurrent focus lies on automotive and industrial

technology. Massive investments have been

made in recent years, nearly a quarter of it for

research and development purposes.

Production is growing.31 In Pune/Chakan,

Bosch took over a plant from the Indian Kalyani

group in 2006, and since then produces

members, all of them with permanent

contracts. An office is there but without regular

opening times. On average workers are in their

early 30s. Dues are 100 Rupees per month.

According to our interviewee, forming the union

took a long way and became only possible in

2007 under Bosch ownership of the plant.

Kalyani had always followed a strong union

avoidance stance.

Though, forming a union became possible

under the Bosch roof, the old management was

still in charge. According to the union, this

made the first collective bargaining process

difficult and lengthy. It went on from April to

November 2007. They got help from a local

labour consultant in drafting their charter of

demands and handling the negotiations.

Until 2009, no contact had been

established with the central works council inGermany. Then, a dispute over refused pay

rises led to an 85 day long work stoppage.


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local labour ministry. The dispute was finally

settled when the company agreed to pay the

outstanding pay rises and to reemploy a

previously suspended union representative.

The demand for equal work for equal pay was

not met, but, following a later court ruling,

contract work had to be abolished.

Now, according to the union, there is no

more contract work. However, since the unions

formation not a single worker got promoted into

the permanent category. Therefore, the

number of union members has been stagnant,

respectively falls, because at the moment

promotion into posts with better salary and

supervisory tasks is concomitant with having to

resign from the union. This creates a dilemma

for those workers offered a promotion, because

some would perceive it as having to make a

decision for or against the colleagues with

whom they have fought together so intensively

in 2009. Today, there are 140 union

Uncertainty was expressed about the role and

influence the central works council really has.

Recently, the works council organised a Bosch

World Meeting in Germany; however, the three

present Indian representatives came from other

plants (Jaipur, Nashik, and Naganathapura).

Regarding the IFA, on which they came

across in 2006 during their own internet

research, they regretted that nobody ever has

explained to them in detail what exactly it offers

to them in terms of rights and their daily union

work. E.g. would they be interested in how far it

could help in sustaining union membership in

case of promotion. Beyond that, they too would

be interested to learn more about collective

agreements at Bosch in Germany.

CTUO affiliation was not considered an

option by the union due to similar reasons as

heard by the other interviewees. They are SEMmembers though, and described SEM as a

platform on which all independent unions come


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DISCUSSION AND CONCLUSIONS

IFA implementation at the plant level

Our point of departure has been the

question what is needed so that the local

unions in Pune understand and use the full

potential of the IFAs as a tool to make

demands against local and/or central

management; the inherent assumption being

that IFAs if actually communicated andexplained at the local level can contribute to

the workers self-empowerment.

Knowledge and comprehensive

understanding of the IFAs are inevitable for an

active use by the local unions. Such an

understanding, however, could not be asserted

in the conversations held with local union

representatives, neither at Volkswagen nor at

Daimler and Bosch. Hence, internal company

communication, which ensures that therespective workforce knows and understands

the IFA, has not taken place in none of the

understand the IFAs. 33 Likewise, the workers

representatives involved in the original IFA

negotiations, which in the studied cases weremainly the companies global or euro works

councils under the lead of the German central

works councils, along with IG Metall and the

IMF, have not done enough either with regard

to Pune. Thus, of the IFA negotiating parties,

neither the internal company actors (works

councils, central management) nor the external

actors (IMF, IG Metall) have been pursuing an

effective IFA implementation strategy yet.

Even if considered rather weak by todaysstandards34, the Volkswagen, Daimler and

Bosch IFAs could still be used to press for the

right to collective bargaining for all workers in

Pune, including the trainees and other currently

unrepresented worker categories. It should be

in the interest of the IMF, the works councils,

and IG Metall, to empower the workers in Pune


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Isolated and exclusive plant level unions

The trend towards unaffiliated unionism,

spreading out from Mumbai in the 70s and 80s,

and the zeitgeist of market liberalisation

following the 1991 NEP, together with the bad

reputation of CTUOs, made it possible for the

foreign TNCs investing in India to follow a plant

centred labour politics undermining the

workers capability of bargaining at the

industrial and interplant level. It also created a

societal and political-economic situation, in

which employment in the formal sector came

under increasing pressure. This has been

resulting in the growth of insecure jobs, and a

concomitant division of the workforce into a

majority of non-bargainable and a minority of

bargainable employees.

That the interviewed union

representatives in Pune claimed labour law

would not allow other than permanent

employees to join their unions, while this in fact

Freedom of association and collectivebargaining in Indian labour law

According to an advocate from the High

Court in Mumbai, there is no legal impediment

in allowing temporary workers, trainees,

casuals, fixed terms etc. in joining unions.35In

principal, unions can bargain over wages and

working conditions for all workers, permanent

and non-permanent. However, only if the

employer agrees to the same; and this is thecrux of the matter. Most labour laws do not

apply to non-permanent workers. In case of a

dismissal there is no legal protection. Thus, out

of this insecure position the barrier to call for

ones right to collective bargaining is high,especially so if the permanent workers do not

show a great deal of solidarity.

Another apparent but common myth

concerns the rights of office staff and

employees with managerial and supervisory

functions. Accordingly, for staff there is also no

l l i di t ith i j i i i t t


22/37

An in-depth analysis of Indian labour law

is beyond this papers scope. However, it is an

undeniable fact that freedom of association is a

guaranteed institutional right. The Trade

Unions Act reinforces this right for all

workmen defining them as all persons

employed in trade or industry, without any

restriction.

It is the Industrial Disputes Act, the piece

that deals with collective bargaining, which

makes things more complicated. Here,

workmen are defined as

any person including an apprenticeemployed in any industry to do any

manual, unskilled, skilled, technical,operational, clerical or supervisorywork for hire or reward.

However, unlike in the constitution or the

Trade Unions Act some restrictions are added

in the Industrial Disputes Act, namely, that a

workman does not include anysuch person who is employedmainly in a managerial ord i i t ti it h

DCosta 2000). The cases of Volkswagen,

Daimler and Bosch in Pune illustrate this.

In sum, the situation can be described in

the following way: On the one hand,everybodys freedom of association is

constitutionally guaranteed; on the other hand,

collective bargaining, which is the necessary

pendant to make actual use of your freedom of

association in the context of labour relations, is

only granted to blue collar workers having

regular permanent contracts and no

supervisory functions.

IMF as a global networking coordinator

To improve the asserted situation of IFAs

being quasi insignificant to the local actors in

Pune, broad networking efforts are inevitable

and must include all relevant stakeholders at all

levels, local to international. The IMF and its

regional office have to play a central role in

this. Until now, the IMFs work seems rather to

be of an ad-hoc supportive nature than based


23/37

must have a lead in their dissemination,

enforcement and development. Of course,

internal company channels need to be used to

spread the word on IFAs. However, without

mobilising GUF driven forces from outside the

companies, IFAs will not become something

significant with which to push for a global

industrial relations framework. Unlike internal

company works councils, external actors such

as the GUFs can focus on and reach where the

former do not; provided they are properly

staffed and organised. Whereas works councils

could indeed support the closing of the union

representation gap among workers directly

employed by their company, they themselves

will hardly launch an organising drive in the

companys supply chain. Thus, activities aimed

at strengthening union power around TNCs

and their global supply chains are something to

be coordinated by GUFs and their regionaloffices.

long term planning and enormous growth

prognoses!

However, for this to be done strategically,

the IMF, and the GUFs in general, would needmore authority and resources. GUFs face the

dilemma that the number of represented

workers has been increasing, mainly due to

new joiners from the Global South and the

former Soviet states, while the available

resources have not. The contributions newer

members are able to afford do not match the

rise of requirements for the GUFs. Thus, there

is a discrepancy between the obvious

necessity to increase the transnational capacity

to act, and the further shrinking of this capacity

(cf. Linder 2011, Mller, Platzer, & Rb 2010).

In order to overcome this discrepancy, better

off unions from the Global Northwill have to

commit themselves even stronger, politically

and monetary, to the transnational challenges

and the GUFs, and must not reduce their


24/37

Action Programme 2009-2013, adopted at the

32ndWorld Congress, the IMF has already put

increased emphasis on building trade union

networks in TNCs. The subsequently published

Guidelines on Trade Unions Networks in TNCs

reinforced the IMFs positionand its will to build

strong networks also along the TNCs supply

chains.38

Networking ideas for the Pune region

Through SEM, the IMF has a new

member which is well connected in the Pune

region. Aside from unions from vehicle

producing companies such as Daimler,

General Motors and Baja, there are also

various unions from companies that supply

components to the regional auto

manufacturers.

According to a recent ILO paper, SEM

also uses networks to address the issues

concerning non-regular workers (Sundar 2011).

Thus SEM not only opens up direct links into

companies are SEM members? E.g. Bosch

and Tata Yazaki were reported to supply

components to Volkswagen, a company which

has signed an IFA but is not a SEM member.

How have the companies structured their

regional supply chains? Who produces what for

whom? Where is the most money made?

Which services are contracted out? What is the

respective union situation at the different

plants? Which laws apply? What is the local

peoples opinion of the companies?

Such an analysis could start off with the

IMF regional office requesting first hand

information from the SEM, followed by

assigning an expert team to research the

situation more in-depth at site. Parallel to that,

SEM members should be made familiar with

the IFA instrument and the plan to use it as a

tool to support the organising of new workers

into unions. This will take time and effort and

should be planned and realised carefully.


25/37

available capacities and resources. Since all

SEM representatives are workers themselves,

the IMF should deploy staff to the region to

support, accompany and coordinate the

activities. This would then be also the local

interface ensuring regular communication with

the IMF.

In addition to more IFA-focused IMF

seminars, IG Metall could also initiate

knowledge transfer in form of a joint workshop

for unionists from German and Indian plants of

the same German TNC. Such a workshop

would provide space for the exchange on

problems and how they have been approached

so far, and ideally lead to the identification of

common challenges. What mandate do the

works councils have in Germany? How are the

union representatives elected in India? How

does coordination at the company and

industrial level function in Germany and

Europe? What are the experiences with

In addition to these approaches,

considerations should take place how SEM

could enhance its role as the regional labour

educator. A joint fight for the unconditional

exemption for union work of at least one worker

per member union could be one of the

activities. This would leave them with more

time for exchange among themselves.

A further step could lie in an affiliation to a

national level federation with more resources

and full-time officers at its disposal. Party

political independence is a unifying element for

SEM members. Therefore, NTUI seems the

only option in this respect at the moment, since

it is the only federation without party political

links. Alternatively, the IMF could support

networking activities among unattached unions

at the national level too.

Enforcing IFAs through strategiccampaigns

As already said earlier, if global


26/37

campaigns and other cross-border activities

has already been published (i.a.

Bronfenbrenner 2007).39

To ensure that the right to collectivebargaining is granted to all workers at the Pune

plants of Volkswagen, Daimler and Bosch plus

their regional suppliers, an approach would

have to be pursued that goes beyond the

capacity of the existent plant unions and the

central works councils. Besides sporadic

appeals to managements goodwill, it is

pressure and publicity that is needed.

To achieve this, an analysis of the

companies economic, political and social linksshould be followed by an identification of

strategic points for attack. Topics need to be

presented and explained in such a way as to

win the concerned working peoples interest

and commitment for the battle and to raise

public awareness and criticism.

I d t b ff ti th i

councils could support organising drives of

non-regular workers by asking central

management to call upon the local

management to remain neutral; this being done

best in written form.

Workers at suppliers could be taught that

Volkswagen, Daimler and Bosch expect their

business partners to hold on to the same

standards. If these workers decide to fight for

their right to collective bargaining, pressure

could be exercised through solidarity by the

plant unions at Volkswagen, Daimler and

Bosch in Pune, orchestrated by support from

the IMF, the central works councils and IG

Metall.

In case central management shows

passiveness pointing to the independence of its

subsidiaries, public pressure in Germany

should be escalated. Awareness could be

created by highlighting the discrepancy

between long term planning and short term


27/37

hinder employers in pushing on the global race

to the bottom.

Tomorrows IFAs: Global ownership

through early inclusion of existent networks

Strategic campaigns are worth to consider

regarding the negotiation of new IFAs too.

Companies not willing to sign an agreement

could be put under pressure. If the instrument

is to be further expanded geographically40,

campaigns will probably have to become part

of the overall strategy right from the beginning.

Where co-determination and social partnership

is weak or absent, international campaigns

could build the necessary pressure in order to

bring the respective decision makers to the

negotiation table.

The IMFs call for building networks in

TNCs does also offer various possibilities for

an early inclusion of diverse perspectives into

the IFA negotiation process. Of course, it will

not be feasible to include too many actors

this may then translate into a notion of

ownership and a proactive approach of local

actors towards IFAs, eventually strengthening

workers at different sites and hence the global

trade union movement as a whole.

A further aspect concerning the

negotiation of future IFAs is that of a lacking

set of intersectoral standards in language and

content. Among the older IFAs almost no

agreement is actually called International

Framework Agreement. Newer ones signed by

the IMF after 2008, e.g. MAN and Ford, do now

include this formulation. However, other GUFs

such as UNI continue to speak of Global

Agreements or Global Framework Agreements.

If the GUFs could come up with a consistent

title, this would increase the instruments

recognition factor. What is more, if a certain

wording, highlighting the need for a global

industrial relations framework and the GUFs

importance in it, to be included in every


28/37

standortvorteile, and here especially over

labour costs, German workers assertiveness in

their demands is directly linked to the situation

of workers employed by the same company in

Pune. The ongoing undermining and erosion of

labour rights in India, which Indian employers

and the Indian government had already started

before 1991 (Hensman 2009), together with

Indias integration in the global economy, only

made it possible for employers to drive

standards down in industrialised countries such

as Germany.

But workers and their unions, no matter

where, should question and reject the logic of

concessions imposed on them, withstand to

blame their colleagues abroad, and instead

make use of the chances globalisation offers to

them. As Rohini Hensman, a Mumbai based

writer, independent scholar and social activist,

says:

If globalization has weakened thef

differences in the unions political and financial

power and influence. This is a real challenge

and implies the ability to put oneself in the

others place; the will to critically reflect upon

ones own situation;and to give up prejudices.

In the cases looked at for this study, this

could e.g. simply mean, to dig a little bit

deeper. Is it actually true what the local

management has said on the issue of non-

regular workers and union membership? Who

would be a good person to crosscheck this

information? What do the wages paid mean by

German standards?

That this is something what Indian unionswould welcome is illustrated by the following

NTUI statement, published in the aftermath of

an IMF meeting held last November in Pune:

At the meeting [it was]expressed that substantive global

solidarity through company councilscould assist in unionising contractworkers and advance the right tofreedom of association if the unions


29/37

factoring for lower productivity, the net cost

advantage is about 30 percent (Kamala &

Doreswamy 2007). These circumstances led

the Jus Semper Global Alliance42, an NGO

concerned with closing the global living wage

gap, to the remark:

Indias real wages in themanufacturing sector are light yearsaway from reaching the quality ofwhat would constitute a living wage

in its economy. This makes thequality of these wages whatconstitutes, in todays globalisedeconomy, an outright modern slavework ethos. (TJSGA 2010)

Even though, wages paid at Volkswagen,

Daimler, and Bosch in Pune might be above

the average, at least those of the regular

workers, they still would not constitute a living

wage by German standards after adjustment in

prices. Against this background, unions in the

Global North must ask themselves how

serious their current solidarity in fact is. Howstrong mutual cooperation and support in the

future can really be will not least depend on


30/37

REFERENCES

Bhattacherjee, Debashish (2001). The evolution of Indian industrial relations: A comparative perspective . In:Industrial Relations Journal 32, 3.

Bhowmik, Sharit K. (2011). Social and economic situation in India. Paper presented at the IMF Automotive

Working Group Meeting, November 2-4, Pune, India.

Bronfenbrenner, Kate (Ed.) (2007). Global Unions: Challenging Transnational Capital Through Cross-BorderCampaigns.Ithaca: Cornell University Press.

DCosta, Bennet (2000). Industrial Relations Problems in the Matter of Supervisory & Management Staff: Law,Practice & Procedure. In: Workers Rights and Labour Laws: A backgrounder for the workshop on labour,2931 December 2000 at the National Conference on Human Rights, Social Movements, Globalisationand the Law. Panchgani (Maharashtra): India Centre for Human Rights & Law.

Fichter, Michael; Helfen, Markus (2011). Building transnational union networks around global productionnetworks: A step towards globalizing industrial relations?Paper presented at the BJIR 50th AnniversaryConference, December 12 - 13, 2011, London School of Economics.

German Automobile Industry Association (2012, 06.01.12.). Deutsche Automobilindustrie verstrktMarktprsenz in Indien. Pressemitteilung. http://www.vda.de/de/meldungen/news/20120106-1.html (May26, 2012).

Graham, Ian (2010).Automotive Industry: Trends and reflections. Genf: IAO.

Hensman, Rohini (2009). Labour and Globalization: Union Responses in India. In: Global Labour Journal 1, 1,112-131.

Indian Government (2007). Economic Survey 2005-2006. Ministry of Finance.

Indische Regierung (2006).Automotive Mission Plan 2006 - 2016. Neu-Delhi: Ministry of Heavy Industries and

Public Enterprises.

Kamala, T.N.; Doreswamy, A.G. (2007). Strategies for Enhancing Competitiveness of Indian Auto ComponentIndustries Kozhikode: Indian Institute of Management
http://www.vda.de/de/meldungen/news/20120106-1.htmlhttp://www.vda.de/de/meldungen/news/20120106-1.html


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National Convention of Workers (2011). Declaration. Mavalanker Hall, September 7, New-Delhi. In: eigeneUnterlagen.

New Trade Union Initiative (2011).Auto workers build global networks: IMF heads towards a Restructuring. In:Union Power November 2011.

Papadakis, Konstantinos (Ed.) (2008). Cross-Border Social Dialogue and Agreements: An emerging globalindustrial relations framework?Genf: IAO.

Sharma, Vidyadhar (2012, May 15). Mercedes Benz Registered 30 Percent Growth in India in 2011 .CarDekho.com. http://www.cardekho.com/india-car-news/mercedes-benz-registered-30-percent-growth-in-india-in-2011-7698.htm (May 15, 2012).

Sinha, Pravin (2006). Securing Labour Rights in a Globalising Economy: The Case of India. Workshop-Papier,"Global Challenge for Labour", 5.-6. April 2006, Universitt Kassel.

Stevis, Dimitris (2010). International framework agreements and global social dialogue: Parameters andprospects. Employment Working Paper No. 47. Geneva: International Labour Office.

Sundar, K.R. Shyam (2009). Current State and Evolution of Industrial Relations in Maharashtra. Genf: IAO.

Sundar, K.R. Shyam (2011). Non-regular workers in India: Social dialogue and organizational and bargainingstrategies and practices. Dialogue. Working Paper No. 30. Geneva: ILO.

The Hindu Business Line (2010, 04.01.). Bosch to invest Rs 2,000 cr in India .http://www.thehindubusinessline.com/todays-paper/tp-corporate/article974739.ece (May 26, 2012).

The Jus Semper Global Alliance (2010). Indias living-wage gap: another modern slave work ethos.http://www.jussemper.org/Resources/Economic%20Data/Resources/India_LW_gap.pdf (May 26, 2012).

Times of India (2001, 30.08.). SC shock for contract labour. http://articles.timesofindia.indiatimes.com/2001-08-30/kolkata/27227031_1_contract-labour-labour-union-judgement (May 26, 2012).

Volkswagen India Private Limited, Chakan, Pune (2011). Certified Standing Orders under the IndustrialEmployment (standing orders) Act, 1946. In: own documents.
http://www.cardekho.com/india-car-news/mercedes-benz-registered-30-percent-growth-in-india-in-2011-7698.htmhttp://www.cardekho.com/india-car-news/mercedes-benz-registered-30-percent-growth-in-india-in-2011-7698.htmhttp://www.thehindubusinessline.com/todays-paper/tp-corporate/article974739.ecehttp://www.jussemper.org/Resources/Economic%20Data/Resources/India_LW_gap.pdfhttp://articles.timesofindia.indiatimes.com/2001-08-30/kolkata/27227031_1_contract-labour-labour-union-judgementhttp://articles.timesofindia.indiatimes.com/2001-08-30/kolkata/27227031_1_contract-labour-labour-union-judgementhttp://articles.timesofindia.indiatimes.com/2001-08-30/kolkata/27227031_1_contract-labour-labour-union-judgementhttp://articles.timesofindia.indiatimes.com/2001-08-30/kolkata/27227031_1_contract-labour-labour-union-judgementhttp://www.jussemper.org/Resources/Economic%20Data/Resources/India_LW_gap.pdfhttp://www.thehindubusinessline.com/todays-paper/tp-corporate/article974739.ecehttp://www.cardekho.com/india-car-news/mercedes-benz-registered-30-percent-growth-in-india-in-2011-7698.htmhttp://www.cardekho.com/india-car-news/mercedes-benz-registered-30-percent-growth-in-india-in-2011-7698.htm


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ANNEX

Email correspondence with labour lawyerfrom Mumbai (January 2012)

1.) In a nutshell what are the legal issuesinvolved in allowing temporary workers such as

trainees, casuals, fixed terms etc. join the

union that so far consists only of permanent

workers?

Answer: There is no legal impediment in

allowing temporary workers, trainees, casuals,

fixed terms etc. in joining unions. Unions can

collectively bargain and enter into agreements

with employer for wages and service conditions

of temporary and casual employees, if theemployer agrees to the same. The problem

arises as trainees and fixed term etc. have no

protection of employment under law; hence

their service can be terminated by the

employer with impunity once the fixed termcontract period is over. (Temporary and casual

workers have some entitlements if they have

2.) In the same line, are they any realbarriers in the law that prohibit managerial staff

or supervisors and officers to join the same

union as the blue collar workers, or

alternatively to form there own association for

collective representation and bargaining?

Answer: Similarly managerial staff /

supervisors and officers can join same unions

as blue collar workers or alternatively form their

own associations and also enter into collective

bargaining agreements with the employer solong as the employer is doing to voluntarily.

The same union / association cannot take legal

recourse in case the employer refuses to

bargain collectively with managerial staff,

supervisors or officers, most of the labour

legislation covers only blue collar workers and

supervisors earning less than a particular


33/37

33

Table 1: The IFAs of Volkswagen, Daimler and Bosch in comparison 43

Volkswagen Daimler Bosch

Signed June 2002 September 2002 March 2004

By (in order ofappearance)

Volkswagen Group Global Works Council,

Volkswagen Central Management,

International Metalworkers Federation

Daimler Central Management,

Daimler World Employee Committee,


Bosch Central Management,

Euro-Committee of the Bosch Group,


Scope the countries and regions represented in

the Group Global Works Council (Preamble)/

Volkswagen supports and expresslyencourages its contractors to take thisdeclaration into account in their ownrespective corporate policy. It views this asan advantageous basis for mutualrelationships. (2.2)

The following principles ... have been

implemented by DaimlerChrysler worldwide (Preamble)

These principles are binding uponDaimlerChrysler throughout the world./

Daimler expects its suppliers to incorporatethese principles as a basis for relations withDaimler./

Daimler regards the above as a favorablebasis for enduring business relations.

We respect and support compliance withinternationally recognized human rights, inparticular as regards those of our associatesand business partners. (1)

Reference to ILO-Core Conventions,

Universal HumanRights etc.

The social rights and principles described inthis declaration take the Conventions of the

International Labour Organisationconcerned into consideration.(Preamble)

The following principles ... are orientated atthe conventions of the [ILO] (Preamble)

DaimlerChrysler respects and supportscompliance with the internationally acceptedhuman rights./

Daimler acknowledges ... the nine principlesthat form the basis of the [United Nations]Global Compact.44(Preamble)

The principles ... take their lead from the[ILOs] basic labor standards. (Preamble)

All enterprises in the Bosch Group willadhere to the stipulations of ILO Conventionno. 138 and no. 182. (5)/

We observe the provisions of ILO Conventionno. 100 with respect to the principle of equalremuneration for work of equal value.(7)/

We respect and support compliance withinternationally recognized human rights, inparticular as regards those of our associates

and business partners. (1)

Emphasis inrelation to nationallaw

The realisation of the following goalsensues under the consideration ofapplicable law and prevailing customs in thedifferent countries and locations.(Preamble)

[C]ollective bargaining] is subject to nationalstatutory regulations and existing agreements.Freedom of association will be granted evenin those countries in which freedom ofassociation is not protected by law./

During organization campaigns the companyand the executives will remain neutral

Within the framework of respective legalregulationsinsofar as these are in harmonywith the ILO Convention no. 98we respectthe right to collective bargaining for thesettlement of disputes pertaining to workingconditions (6)

43All three IFAs are available atwww.imfmetal.org/ifa.

44For the ten principles seehttp://www.unglobalcompact.org.
http://www.imfmetal.org/ifahttp://www.unglobalcompact.org/http://www.unglobalcompact.org/http://www.imfmetal.org/ifa


34/37

34

Paragraphs on Freedom of Association, No Discrimination,Free Choice of Employment, No ChildLabour, Compensation, Work Hours,Occupational Safety and Health Protection,Realisation

Forced Labor, Child Labor, EqualOpportunities, Equal Pay for Equal Work,Collective Bargaining, Freedom of

Association, Protection of Health,Compensation, Working Hours, Training,Suppliers, Implementation procedure

Human Rights, Equal Opportunities,Integration of Handicapped People, FreeChoice of Jobs, Rights of Children, Relationswith Associate Representatives and theirInstitutions, , Fair Working Conditions,Occupational Health and Safety, Qualification,Environment, Implementation

Salaries correspond at least to the respectivenational legal minimum requirements or

those of the respective economic sectors(1.5)

no less than the legally establishedminimum-wage and the local job market

conform at the very least to national or localstatutory standards, provisions, or respective

agreements (7)

Implementationagreements

The employees of Volkswagen will beinformed about all of the provisions of thisdeclaration. (2.1)/

Within the context of the respective plantpractice, unions or existing electedemployee representatives will have thepossibility to inform the workforce togetherwith representatives of management.(2.1)/

At the suggestion of the Board ofManagement of Volkswagen AG or theVolkswagen Group Global Works Council,this declaration and its realisation will bediscussed and considered withrepresentatives of management ofVolkswagen AG within the framework of themeeting of the Group Global Works Council.If necessary, appropriate measures will beagreed upon.(2.3)

For all employees, including executives, theprinciples will be set down in the IntegrityCode and then implemented./

These principles will be made available to allemployees and their representatives in anappropriate form. The methods ofcommunication will be previously discussedwith the employee representatives./

The senior managers of each business unit

are responsible for ensuring compliance withthese principles; They will designatecontacts to whom business partners,customers and employees can turn in case ofdifficulty./

Corporate Audit will also examinecompliance with these principles in its reviewsand will include them in the audit criteria./

a general open line ... shall be the point toaccept allegation of non-compliance withthese principles at a decentralized level. Uponindication of violation, Corporate Audit will

take appropriate action./corporate management will regularly report toand consult with the international employeerepresentatives on social responsibility of thecompany and the implementation of theseprinciples

These principles will be incorporated into theManagement System Manual for Quality,Environment, Safety, and Security in theBosch Group. Responsibility for theirimplementation lies with the seniormanagement of the respective companylocations. (11)/

Bosch will not work with any suppliers whohave demonstrably failed to comply with basic

ILO labor standards. (11)/Following consultation with the respectiveassociate representatives, associates will beinformed through the proper channels about

the content of the above principles. (11)/

Complaints regarding possible breaches ofthe above principles will be investigated; anyaction required will be discussed andimplemented by the senior management andassociate representatives responsible. TheExecutive Committee of the Europa

Committee of the Bosch Group will beinformed about any complaints that cannot bedealt with satisfactorily at a national level. Ifnecessary, the implementation of thisdeclaration will be discussed at meetingsbetween the Board of Management and the

Europa Committee. (11)


35/37

35

Table 4: Designations and definitions of workers at Volkswagen Pune according to Certified Standing Orders

Designation/ Worker category Definition

Permanent Workman engaged on a permanent basis in a permanent post confirmed in writing by themanager satisfactorily completed his probationary period

Probationer Workman who is provisionally employed to fill a vacancy in a permanent post.

probation may be six months but it may be extended by a period of six months each ata time

Trainee alearner who may or may not be paid stipend during the period of training but doesnot include an Apprentice. services can be terminated at any time without noticeor without assigning any reason. no obligation to provide employment aftercompletion of training period. not entitled to any benefit available to theregular Workman. period of training shall not exceed two years.

Temporary Workman employed for work which is essentially of a temporary nature and likely to becompleted within a specific period or

engaged temporarily as an additional Workman in connection with temporary additionalwork of permanent nature or ...

employed in the leave vacancy of another Workman ...

engaged on trial basis preceding his employment being considered ...

services ... will automatically come to an end on the expiry of the period or oncompletion of the work for which he was appointed. ...

not ... eligible for benefits granted to any other class of Workmen.

Casual Workman employed in work of casual nature or ... unexpected and unforeseen work which is ...not likely to last for a long period ... not eligible for benefits granted to any other class of

Workmen. ... services [may] ... be terminated without any noticeApprentice engaged under theManagement Scheme for training on the job, trade or craft

essentially in learning any skilled work ... period ... shall not exceed two years ...irrespective of his being paid a stipend or not ... No apprentice shall have any claim forany appointment after[wards]

Substitute engaged to the post of permanent Workman or probationer, who is temporarily absentor on leave on any day ... will not be entitled to any wages or compensation for the dayon which he is not provided with the work.


36/37

36

Figure 1: Daimler in Pune. Employee benefits at a glance.

Source: Human Resources Department Pune/Chakan plant. The ticks mark the benefits granted to Trainees as well.


37/37

37

Figure 2: PCSRA model for planning transnational trade union campaigns (Wundrak 2011)

Documents

Anton Wundrak