After three meetings, Nokia, and Indian based workers still at an impasse
What they may not realize however, is that the manufacturing plant in Chennai is currently in the hands of the Indian government, the center of a multi-billion dollar tax dispute. The facility alone employs over 8,000 people and they are concerned about job security.
Workers at the plant have said that production at the facility has fallen dramatically, from more than 13 million units-per-month to less than 4 million units-per-month. The plant has apparently ceased all production of the Asha line of devices, with other factories picking up the slack.
We also know the new line of Android powered Nokia X devices is not being manufactured in India. Taking those production concerns, if accurate, into account while the national and state level governments of India demand large sums of money (not even the total bill) in disputed taxes, and there is certainly a cause to worry.
Nokia had no immediate statement about the meetings with union reps, but the company has stated in the past that seeing the assets transfer to Microsoft was the desired outcome. Operating the facility under contract was possible for a short time. The union staged a one-day hunger strike over the factory a few days ago.
While this may seem like a headache Nokia does not need, if the company can persuade the government to reconsider its assessments on the tax issue, it could break the log-jam between the two entities.
source: Business Standard
1. NokiaFTW (Posts: 2003; Member since: 24 Oct 2012)
Oh c'mon! Just lower the taxes and stop this madness! The government in my country sucks! Hoping for a change in the upcoming elections.
2. SleepingOz (unregistered)
So you love nokia more than the people in your country..
That's a whole new level of fanboyism.
3. microsoftnokiawin (Posts: 966; Member since: 30 Mar 2012)
MAYBE he just don't like his government !
10. NokiaFTW (Posts: 2003; Member since: 24 Oct 2012)
It's not about Nokia, its about those workers, who already struggle to make ends meet and on top of that, this whole tax problem. I'm not like some other country's citizens, who show blind love towards their country, even when they act foolish or are wrong. I love my country and I love Nokia. But where my government's wrong, its wrong. Then again, a Nokia hater like you won't understand this.
13. SleepingOz (unregistered)
Taxes aren't for nothing. It's gonna benefit the country economy, thus the people. And exactly, you're right! Nokia is toying with their workers' situations, which is disgusting. I'm no Nokia hater buddy, I used to be a fanboy like you. The only difference is that I wasn't as blind as you.
11. NokiaFTW (Posts: 2003; Member since: 24 Oct 2012)
And too add, I love the people in my country. I'm a proud Indian. But I don't like my country's govt. Did you even read the entire comment?
12. Pinder4u (Posts: 8; Member since: 24 Feb 2014)
its nokia today tomorrow some other company will do it... you cant just let corporate world do what ever or how ever they want... taxes aren't made for mango(common) people only
14. SleepingOz (unregistered)
I did, thus my comment. You might be indian but seems like your only concern about this case is your blind fanboyism towards nokia. If you've been following this case since the beginning, you'd understand how this affects their workers.
6. b1acktiger (Posts: 207; Member since: 19 May 2012)
You should ashame of yourself. These taxes are funds which is again investing into infrastructure development.
8. asingha94 (Posts: 288; Member since: 08 Apr 2012)
hey man I also live in india but nokia needs to pay their taxes....Its a rule..Its not a fish market..
7. digitalw (Posts: 51; Member since: 20 Dec 2011)
It's complicated. The problem is not that Nokia dont pays taxes, the problem is that the goverment want more money from Nokia (and not only Nokia, BMW and others are too in the basket) And the companies refuse to pay more taxes that they have agreed. ?
It is bad if some of the sides don't respect the laws of the country and it is bad if some goverment want to take more money than it should, in that case, they will scare the investors ant they will go somwere else...
So the statment: "So you love nokia more than the people in your country.. " it's wrong.