The Taiwan-based manufacturing plant, Wistron, which primarily manufactures iPhones in India was vandalised by its own employees over payment issues. The Wistron plant, which is situated in Karnataka’s Narsapura was ransacked by the employees for not paying the salary that was promised to them. Now as per the latest report, during the violence thousands of iPhones were stolen and the property was damaged, which led to a total loss of around Rs 437 crore.
As per a Times of India report, it was reported that thousands of iPhones were looted and Wistron’s factory equipment was destroyed during the attack, the manufacturing plant in its complaint had stated. Karnataka labour minister Shivaram Hebbar had condemned the attack on the company.
On December 12, over 2000 employees went on a rampage destroying the company’s equipment, furniture and even tried to douse vehicles that were present at the manufacturing plant. The offices of seniors executives were also attacked by the employees. It was being reported that the employees were enraged because they were not being paid the salary that was promised to them at the time of joining.
“While an engineering graduate was promised Rs 21,000 per month, his/her salary had reduced to Rs 16,000 and, subsequently, to Rs 12,000 in the recent months. Non-engineering graduates’ monthly salary had reduced to Rs 8,000. The salary amount being credited to our accounts have been reducing and it was frustrating to see this,” an employee alleged. Reports also revealed that some employees received as low as Rs 500 in their bank accounts as they monthly payouts.
According to the government, the dispute between Wistron and the contract labourers has been going on for three months. Hebbar said Wistron had contracted six subsidiary companies to hire 8,900 people for its Kolar unit.
“Besides, the company had 1,200 permanent employees,” he added. Industries minister Jagadish Shettar said the violence was, perhaps, fueled by miscommunication between Wistron, the contractors and the employees.
“What we hear is that the company had made payments to the labour contractors, who delayed payments to the employees. This is being verified,” he said. Hebbar said the labour department has issued notices to Wistron, asking the firm to pay the dues in three days.