Deadly Labor Wars Hinder India's Rise
By PETER WONACOTT

COIMBATORE, India -- This ancient city has turned itself in recent
years into a manufacturing dynamo emblematic of India's economic
rebirth. But a homicide case playing out in an auto-parts factory here
is raising concerns about whether the Indian industrial miracle is
hitting a wall of industrial unrest.

Pricol Ltd., which makes instrument panels for the likes of Toyota
Motor Corp. and General Motors Corp., was rocked in late September
when workers burst into the office of Roy George, its 46-year-old
human-resources boss. Angry over a wage freeze, they carried iron
rods, witnesses say, and left Mr. George in a pool of blood. Police
arrested 50 union members in connection with his death, their lawyer
says. Charges haven't been filed.

Battle lines are being drawn in labor actions across India. Factory
managers, amid the global economic downturn, want to pare labor costs
and remove defiant workers. Unions are attempting to stop them, with
slowdowns and strikes that have led at times to bloodshed.

full: http://online.wsj.com/article/SB125858061728954325.html
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