Renault-Nissan signs deal with employees union

Chennai: Renault Nissan Automotive India Private Limited (RNAIPL), whose plant is located in Oragadam on the outskirts of Chennai, on Wednesday, signed a wage agreement with its employees' union that guarantees salary hike of Rs 18,000 over the next three years.

The three-year "Long Term of Settlement agreement" was signed between RNAIPL and Renault Nissan India Thozhilalar Sangam (RNITS) that would come into effect retrospectively from April 1, 2016. The agreement expires on March 31, 2019. Together, the manufacturing plant and R&D facility have created more than 40,000 jobs.

Colin MacDonald, CEO of RNAIPL,  said, "Employees are the driving force for the sustainable growth of Renault-Nissan. So, the company places great importance on establishing a workplace that maximizes the performance of all. This will also help build a sustainable and performing organization."

The Chennai manufacturing facility is one of the largest plants in the Renault and Nissan Alliance and started operation in March 2010.  The Alliance has invested Rs 61 billion till date and introduced 32 new Renault, Nissan and Datsun models and derivatives to its production line.

The plant caters to both domestic and international markets and has developed into India's second-largest car exporter with more than 600,000 units shipped to
106 countries since 2010. Earlier this year the factory reached the production milestone of one million cars and recently, started third shift operations in response to increasing demand for its products.