Indian workers at riot-hit car plant win 75% pay hike

NEW DELHI (AFP) - India's largest carmaker, Maruti Suzuki, has given workers at a plant where rioters went on a deadly rampage in July a record pay hike of 75 per cent, a spokesman said on Wednesday.

Workers at the Manesar plant will see their pay and allowances rise by around 18,000 rupees (S$415) a month on average over the next three years, making them among the top-earning factory workers in the country.

An increase in transport and other allowances makes the package work out to "an increase of 75 per cent", said the spokesman, who said a permanent worker's average pay packet was around 25,000 rupees.

While wages had been increased "labour costs will continue to make up 2.4 to 2.5 per cent of total sales... it is in our business plan," said the spokesman, who spoke on condition of anonymity in line with company policy.