Maruti Suzuki tumbles over 8 pc in morning trade
Posted on: 10:59 AM IST Jul 19, 2012
Mumbai: Shares of Maruti Suzuki India tumbled more than eight per cent in morning trade on the bourses after production at its Manesar plant got affected following a scuffle between workers and management employees.
One person was killed and at least 40 were injured in a clash on Thursday morning between workers and the managerial staff at the Maruti Suzuki India's Manesar plant, forcing stoppage of work.
Shares of the company opened at a weak note and then fell as much as eight per cent to an early low of Rs 1,126.70 on the BSE.
Similarly, shares of the company tumbled over 8.20 per cent and touched a low of Rs 1,126 on the NSE.
The company has lost as much as 16.65 per cent from its 52-week high of Rs 1,428.20 on March 16. Moreover the stock had outperformed the broader market till Wednesday, rising more than 12 per cent as against the Sensex's 2.87 per cent rise.
While the workers alleged that the scuffle broke out after a supervisor made rude remarks against a Dalit worker, management sources said some of the senior officials at the plant were severely beaten up.
Labour unrest is not a new phenomenon in Manesar plant which mainly produces Swift. The factory had witnessed three such instances last year causing a total production loss of about 83,000 units.