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Tamil Nadu

Samsung denies reports of shifting manufacturing base out of TN

The protests at Samsung’s facility have entered their second month, with workers demanding recognition of their union and improvements in working conditions.

ENS Economic Bureau

NEW DELHI: Technology giant Samsung announced on Thursday that it will continue to work with the Government of India and various states where it operates.

This statement from the South Korean tech giant came in response to media reports from Tamil Nadu suggesting that the company is planning to leave the state following prolonged protests at its Sriperumbudur plant.

Thousands of workers have been protesting at Samsung’s facility in Sriperumbudur, just outside Chennai. The protests have entered their second month, with workers demanding recognition of their union and improvements in working conditions.

“Samsung has been a strong partner in India's growth journey for nearly three decades and committed to the government’s “Make in India” initiative. We will continue to work with the Government of India and various states where we are present, to realize their vision of nation-building through investments in manufacturing, R&D, responsible citizenship and transformational innovations. We are thankful to the Tamil Nadu Government for their support,” said a spokesperson of Samsung.

Samsung’s Sriperumbudur plant, operational since 2007, has never before encountered such a protest. This plant is a crucial production unit, accounting for one-third of its annual revenue in India, approximately USD 12 billion.

The strike, which began on September 9, was driven by workers’ demands for higher wages, specifically a raise from Rs 25,000 to Rs 36,000 over the next three years, as well as official recognition of their union, backed by the Centre of Indian Trade Unions (CITU).

In response, Samsung has taken legal action by approaching a district court to obtain a temporary injunction against the union, aiming to prevent protests near the factory.

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