Chennai,  At a time when the workers of two car manufacturers are negotiating severance package and wage revision, Hyundai Motors India Ltd has announced the inking of wage agreement with its worker's union.

On Thursday, Hyundai Motor India announced the signing of a wage agreement with United Union of Hyundai Employees (UUHE).

The wage agreement will be effective from 1.4.2021 and valid till 31.3.2024 with handsome wage hike.

"Hyundai Motors is a running company. Ours is on the verge of closing," said a worker at Ford India Pvt Ltd's plant near here.

"The company management seems to be on a stronger wicket as about 1,400 workers have resumed production out of 2,600 workers. About 130 EcoSport models are rolled out daily in a single shift while service parts production is done on double shifts," the senior worker told IANS preferring anonymity.

According to him, there is not much progress in the talks on the severance package.

However, workers have started reporting to duty after (a) agreeing with the severance package (b) not agreeing with the severance package, he added.

Ford India has extended the plant shutdown date till July end. Earlier the company said it would wind up production at its Maraimalainagar plant by June end.

On the other hand, the arbitration proceedings in respect of wage revision for workers of Renault Nissan Automotive India Private Ltd is progressing, said an officer bearer of Renault Nissan India Thozhilalar Sangam (RNITS)/worker's union told IANS.

He said some interim payments have been made by the company to the workers.