Reaching agreement with management

Reaching agreement with management

SWU wins better conditions for Siemens India workers.

08.12.2016

Siemens Workers' Union (SWU) has signed a wage settlement agreement with Siemens Ltd for workers employed at the transformer unit of the company factory in Thane, India.

SWU filed the case in court, noting the importance of improvement of workers’ service condition and job security. The court decided in favour of the workers and in 2013 they became SWU members. Some 215 workers of whom 170 are now union members have been affected by the court decision.

Following the court decision management came forward with a discussion proposal to SWU.

After series of negotiations a wage settlement for the transformer unit was signed on 30 November 2016. The terms of the settlement include among other definition of executive technicians as workmen, they will be paid an inflation allowance and enter in the company incentive scheme and other service conditions.

This settlement is very different and important in the history of both Siemens Workers’ Union and the company itself. The transformer unit workers commenced in 2006 and their employment grew from 2006 through 2012. Initially workers were employed as technicians.

Despite the fact that these employees performed similar work as other workmen, upon completion of their training they were assigned to the status of executive technicians. As consequence, these workers were not covered by a collective bargaining agreement, their wages were lower, and according to Indian legislation, they could not join the union of their choice, in this particular case SWU.

This issue was first raised at the Siemens international meeting organized jointly by Siemens Works Council members and IndustriALL Global Union in 2012.