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Calcutta, Aug 22: The Citu-affiliated Indian Oxygen Workmen's Union is planning to form an all-India federation to counter the "attacks" of the BOC India management, which has recently announced the closure of its Asansol unit with effect from September 30, 1998.
Union officials told reporters here on Saturday that once the all-India federation came up in September, the united struggle of the entire workforce of BOC India would begin. They alleged that the stoppage of production since the end of July this year had seriously affected supplies of life saving oxygen in the region.
They said that "by illegally and arbitrarily closing down its Asansol unit, the company wants to intimidate the BOC workmen all over the country." The company's entire workforce in West Bengal went in for a day's total strike on July 31, 1998, (two days after the closure notice was issued) while in all other units protest actions were organised, the union sources added.
The West Bengal government has already declared the closure Calcutta, Aug 22: The Citu-affiliated Indian Oxygen Workmen's Union is planning to form an all-India federation to counter the "attacks" of the BOC India management, which has recently announced the closure of its Asansol unit with effect from September 30, 1998.
Union officials told reporters here on Saturday that once the all-India federation came up in September, the united struggle of the entire workforce of BOC India would begin. They alleged that the stoppage of production since the end of July this year had seriously affected supplies of life saving oxygen in the region.
They said that "by illegally and arbitrarily closing down its Asansol unit, the company wants to intimidate the BOC workmen all over the country." The company's entire workforce in West Bengal went in for a day's total strike on July 31, 1998, (two days after the closure notice was issued) while in all other units protest actions were organised, the union sources added.
The West Bengal government has already declared the closure`illegal'. In a letter to the BOC operations manager of the Asansol unit, dated August 18, 1998, the state labour department stated that the company notice proposing closure of the Asansol undertaking did not attract provisions of section 25-FFA of the Industrial Disputes Act, 1947, and was "not tenable in the eye of law."
It further advised the management not to close down the Asansol unit as it would be "violative" of the provisions of the Industrial Disputes Act.
The union has also disputed the management contention that the Asansol unit was unviable and running at a loss. Union sources said that in March 1998 the company "compelled" 13 workmen of its supply centre at Durgapur (under Asansol unit) to accept voluntary retirement on the ground that such a measure would strengthen the financial viability of the Asansol unit.
Union sources pointed out that the company had a workforce of 2480 employees and 318 officers in 1991 which had since come down to 934 employees and 386 officers. They alleged thatthe management spent large sums in 1997-98 such as "group supporting fees" of Rs 1 crore paid to BOC, UK, performance bonus of Rs 75 lakh to officers and interest-free advance of Rs 1.10 crore to officers for purchase of cars.
BOC India's net profit of Rs 2.20 crore shown in the first nine months of the financial year 1997-98 could have been on the higher side had the management economised on these expenditures, the union sources observed.
The management, they noted, was unable to close down the loss-making unit in Mumbai which had become sick and was reporting losses for the last four years. Instead, the Asansol unit had been closed down although it was a declared "utility service" and was earning profits.
They revealed that at the last tripartite meeting convened by the state labour commissioner on August 20, the management did not participate as it preferred a separate meeting with government officials. The union is planning to meet the chief minister shortly to seek his intervention and preventclosure of the unit.
Asansol closure unavoidable, says management
The closure of the Asansol unit was simply a "question of business viability" and there was no industrial dispute in Asansol, the BOC management clarified in a press release issued on Saturday.
The company was closing down the Asansol unit "simply because there is no business there to justify continued operations," the release pointed out. It added that "there is a capacity beyond which no company can haemorrhage.
" The company has nothing against either the workmen at Asansol or their representatives."
As for the union's charge that the management was avoiding tripartite meetings, the management has stated that participation is required only when there is a labour dispute under the Industrial Disputes Act.
The case of Asansol unit is not comparable to the Ghatkopar unit in Mumbai, which is making losses but is not dependent on a single customer like the Asansol unit. It is dependent solely on the Iisco plant, according tothe release.
Besides, the Mumbai staff have taken VRS and their numbers have dwindled from about 500 to just about 130 now. On the contrary, the statement pointed out, workmen at Asansol "chose to be misled by their union leaders and refused VRS" despite being told over the last couple of years that closure was inevitable.
"We have also been more than fair to the workmen -- the generous VRS scheme was withdrawn on March 31, 1998, after being available to the workmen for five years," the statement maintained. It refuted allegations of shortages of medical gases in the Asansol region and called it "completely false and clearly motivated." "The only shortfall occurred when a section of the workmen illegally seized five of our trucks carrying supplies. With the help of state government officials and the police, these trucks were released and since then, supplies have been normal," it added.
Infrastructure ministry in offing
Union commerce minister Ramakrishna Hegde said on Saturday that a newministry will be created to look into the development of infrastructure to boost industry in the country. Hegde said prime minister Atal Bihari Vajpayee had already agreed to create such a ministry. He also favoured the imposition of a prohibitive countervailing duty on imported tea so that the domestic tea industry was not put at a competitive disadvantage.
Copyright © 1998 Indian Express Newspapers (Bombay) Ltd.
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