India: Let's make cars, at $25/hour?
Friday, December 19, 2008
Why don't we make more cars? The chart at left shows why US auto companies are in trouble; COST & Entitlement mentality; the average US autoworker costs $71 per hour. That is Rs 3,500 per hour.
Assuming an 37.5 hour work week and 52 weeks of work in a year gives an average annual cost of Rs 48.75 lakhs. Almost Rs 50 lakhs per annum on average...WTF.
(click on image for sharper picture)
The average Japanese autoworker is costing $49/hour...Rs 2,500/hour or Rs 35 lakhs per year.
I wonder what the average Tata Motors and Maruti factory worker costs. Somehow, I doubt the average cost is even Rs 10 lakhs per annum...it must be our lack of graduates in technical disciplines.
