Covid Fears Paralyse Global Carmakers In India's Detroit

The face-off between automakers and workers underscores the struggle for companies and local authorities to balance economic interests with public health demands.

Automakers with plants in Tamil Nadu, the industry's hub in India, are suspending operations and reducing shifts as employees threaten to go on strike due to health concerns about Covid-19 in the southern state. Renault Nissan Automotive India Pvt. is caught in a legal dispute with workers at its factory near Chennai, nicknamed the Detroit of India, who say their safety shouldn't be compromised to meet production targets. The workers have also challenged the state's decision to exempt the auto industry from local lockdown rules. In response to the lawsuit at the Madras High Court, Renault Nissan said it has taken necessary precautions to safeguard employees, including reducing daily shifts to two from three and arranging for transport and vaccinations. The company said it needs to keep the plant running -- and is allowed to under local laws -- as it has a commitment to meet export orders. Hyundai Motor India Ltd. has suspended operations in Chennai until May 29 after a spike in infections and a walkout Monday. The company "has always prioritized the safety, health and well-being of its employees," it said in a statement.