Renault-Nissan to stop production until May 30

According to reports, the car manufacturer Renault-Nissan will halt the production at its manufacturing plant located near Chennai until May 30, 2021 due to the rising number of cases of COVID-19 and to ensure safety of its workers.

Biju Balendran, Chief Executive, Renault-Nissan India, said in a note, “We will continue to closely monitor the situation in Chennai and Tamil Nadu and come back to you shortly with information on when the plant will restart”.

This news came a day after the worker’s union at the Tamil Nadu plant of Renault-Nissan warned of a strike if they did not meet the safety norms related to COVID-19. The Tamil Nadu plant of Renault-Nissan employs over 8,000 workers amongst which over 400 employees tested positive of COVID-19 and 4 of them died.

The workers’ union demanded better social distancing measures, higher insurance cover including medical expenses and vaccination for their families and said to return to work post reviewing safety measures. Biju Balendran, said, the company was in talks with the workers’ union representative and, “This will include careful consideration of what additional measures we may need to introduce, as well as an audit of current procedures”.

On the similar lines, Hyundai India on Monday said that it will also halt its production at its plant based in Tamil Nadu until May 30 post the workers staged a protest amidst the rising cases of COVID-19. Renault-Nissan and Hyundai both of which manufacturing plants are located in Tamil Nadu together account for over one-fifth of the passenger cars in the Indian market.

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