Wistron to resume manufacturing operations within a week: Karnataka govt

The statement confirming the resuming of operations comes almost two months after the Taiwanese manufacturing giant was forced to shut its shop floors when a protest by contract workers took a violent turn on December 12

The first shift at Apple Inc’s manufacturing partner, Wistron, is likely to begin within a week as all requisite clearances have been given to the company, a senior Karnataka government official said.

A protest by contract workers took a violent turn on December 12, 2020 at the factory site in Narasapura in Kolar district, about 60km from Bengaluru.ß (REUTERS)

“The police verification for the 6,000-strong labour workforce is done and they can likely start one shift within a week’s time,” Gunjan Krishna, Karnataka’s commissioner for Industrial Development and Director, Department of Industries & Commerce, said on Thursday.

The official added that the company has received its updated factory licence and other clearances as well.

The statement confirming the resuming of operations comes almost two months after the Taiwanese manufacturing giant was forced to shut its shop floors when a protest by contract workers took a violent turn on December 12 at the factory site in Narasapura in Kolar district, about 60km from Bengaluru.

The industries department has continuously engaged with the senior management of the company to resume operations ever since the incident.

Wistron manufactures iPhones-7 and iPhone-SE for Apple among other products at its new plant in Narasapura.

The incident, which made global headlines, threatened to dent Karnataka’s investor-friendly image and potentially prove a setback for Prime Minister Narendra Modi’s flagship “Make in India” campaign.

Contract workers, at the time, said that they were facing wage dues, unexplained cuts in salaries and 12-hour shifts with inadequate compensation among other issues. The role of contractors came into question as they were suspected to have held back payments and retained a portion of workers’ wages.

At least two Karnataka government-commissioned reports have confirmed allegations made by the workers and several other violations by the company.

Apple had suspended any new business to Wistron after its internal investigation too found violations. Wistron reacted by removing its vice-president overlooking India operations.

A senior executive at Wistron declined to comment and a mail sent to the company’s headquarters in Taiwan remains unanswered.

Days after the violence, the Karnataka government had said that they will ensure reopening of the company within 15 days; however, it has been nearly two months since.

Karnataka is one of the most industrious states and attracts huge investments each year from both domestic and international corporations.

About 43km away from Wistron’s plant, over 2,000 shop floor workers of Japanese car-maker Toyota Kirloskar Motors (TKM) remain on strike since November 10.

TKM’s operations have been hit after workers initially protested the suspension of one union member which eventually led to the company declaring a lockout. The Karnataka labour department held reconciliation meetings and ordered workers to return to their shifts from November 19. The company extended the lockout four days later citing “lack of congenial and safe atmosphere” at the plant.

The company withdrew the lock out on January 12, but workers have refused to return due to the insistence of the management that they sign an undertaking on safety and productivity, which the latter maintain is not a government mandate.