Strike action affects Turkish production of Renault, Fiat

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Workers are demanding higher wages

Production at the Turkish factories of Renault and Fiat has been temporarily suspended as a result of industrial action by the plants' workers. According to a Reuters report, production at both factories remained down yesterday (17 May) amid protests by workers who are demanding wage increases. Renault operates its plant as a joint venture with Turkish army pension fund Oyak in the northwestern city of Bursa. Renault workers started their action on 14 May and were supported by their counterparts at Tofas – a joint venture between Italy's Fiat and Turkey's Koc Holding – on 15 May. Meanwhile, union officials have termed the industrial action as protests while staying clear of calling the action strikes. Workers are demanding higher wages, citing the example of an automotive industry plant in the region whose management agreed to a 60% wage increase. According to a report by Cihan News Agency, workers at auto-parts maker Çoskunöz Holding also protested and were supported by workers from companies such as Beltan Trelleborg Vibracoustic (TBVC), Delphi, SKT, Ototrim Automotive, Rollmech, and Mako. Meanwhile, the Metal Industrialists' Union (MESS) and the Turkish Confederation of Employers' Unions (TİSK), have urged the workers to end their protests.

Significance: The workers are not affiliated to labour unions and, therefore, the unions are not directly involved in the matter. The relationship between workers' unions and workers in Turkey has gone sour in recent years with unions registering sharp declines in memberships. Unions are often accused of acceding to the proposals of the governments and automakers, and of not protecting the interests of workers. The workers are understood to have resigned from the Metal Workers' Trade Union of Turkey (Türk Metal), which is authorised to engage in collective bargaining agreements with Renault. It is important to note that a collective bargaining agreement for the period 2014-17 was reached between the management and union nearly eight months ago. Oyak Renault manufactures the Clio, Fluence, and Megane models, while Tofas builds Fiat's Linea car, Doblo van, and other models for Peugeot, Citroën, and Opel at their Bursa factories.

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