General Motors' dealerships, employees to hold protest in Delhi tomorrow

GM dealers and their employees will protest as a result of the huge losses and job losses to them as a result of the company's decision to exit the Indian market announced last month.

General Motors' dealerships, employees to hold protest in Delhi tomorrow
A GM worker taking a look at the Chevrolet car in India. Photo: General Motors official website
By ZeeBiz WebTeam
Updated: Mon, Jun 26, 2017
06:27 pm
Mumbai, ZeeBiz WebDesk
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Key highlights:

  • GM India dealerships will hold a Dharna at Jantar Mantar in New Delhi tomorrow
  • Loss to the GM dealers apart, over 15,000 people working in the sales and service outlets have been rendered jobless
  • GM decision is contrary to the assurances given by the company, says dealerships

General Motors (GM) India dealerships will hold a Dharna tomorrow in New Delhi in order to protest against the losses caused due to their decision to exit the Indian market. The GM India's dealers and their employees will hold the protest on June 27 at Jantar Mantar in New Delhi at 12:30 pm.

The Federation of Automobile Dealers Associations (FADA), Secretary General Gulshan Ahuja said that this sudden decision of General Motors has caused immense loss and suffering to around 100 General Motors’ dealers and others connected with the sales and service activities.

“Loss to the GM dealers apart, over 15,000 people working in the sales and service outlets have been rendered jobless and the customers left high and dry, as a result of the General Motors’ decision to exit the Indian market. The GM dealers were always made to believe that GM India has long-term commitment to the Indian market and would make further investments to revive its operations in the Indian market,” he said.

The abrupt and shocking decision of the GM is contrary to the assurances given by the company to its dealers from time to time and clearly a breach of trust on the part of the company, Ahuja added.

The dealers through this protest expect to draw the government's attention to the GM India issue.

GM in mid last month (May 18) announced its decision to exit the domestic Indian market, but said it would still continue production in India for export markets. During this the company's management also assured that they were in talks with dealerships and would provide all support to their stakeholders.

GM said that they will provide support to all their stakeholders such as vendors and dealers in the coming months. GM currently has 150 dealerships in India. They however did not mention any details of a compensation to dealerships.

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