Coimbatore:
The industry is in shock after a senior executive was attacked and killed in Coimbatore, by the workers at his company - allegedly under Naxal influence.
On Tuesday, IIM alumnus Joy George paid the price for continuing labour unrest at Pricol, one of the country's biggest auto component manufacturers. George, who was Vice President for Human Resources at the company, was attacked after 42 workers were sacked on disciplinary grounds. Sources claim that local goons were also involved in the attack.
In a sign of how pre-meditated the killing was, workers switched off security cameras at their factory before the attack. The executive died after repeatedly being hit on the head with iron rods. 12 workers have been arrested for the murder so far.
The management claim workers are being incited by a local union. "A majority of our workers do not support this CPI (Maoist) led union. After this incident our workers are scared to report to work. It's really worrisome that this is the state of one of the country's oldest engineering companies. But the government and the police officials have promised us all possible support to wade over the crisis," says Vijay Mohan, CMD, Pricol.
Pricol has been battling labour problems for more than two years. One of the oldest industrial houses of Coimbatore, Pricol is now planning to move its operations to other states. The killing of Joy George has sent shivers down the spine of companies in this industrial town.
Other companies in Tamil Nadu too have witnessed recent labour strikes, as Hyundai, MRF and Shanti Gears. Industry associations say that investments in coimbatore and in other parts of the state will take a hit if trade unions are not controlled.
"This incident will definitely affect the industries in Coimbatore. Of late many foreign companies and companies from up north have shown keen interest in investing in Coimbatore. But such incidents will make them think twice before investing," says Swaminathan, Chairman of the Confederation of Indian Industries for the Southern Region.
George's killing is not a one off incident. Ironically on the same date last year, agitating workers killed Lalit Kishore Choudhary, CEO of an Italian company in Noida. With the recession bottoming out and investments starting to flow in, widespread labour unrest is India Inc's worst nightmare.