INTUC in favour of RINL-NMDC merger

Visakhapatnam | Updated on March 21, 2011 Published on March 20, 2011

The Indian National Trade Union Congress (INTUC) is in favour of merging the Rashtriya Ispat Nigam Ltd (Vizag Steel Plant) here with the National Mineral Development Corporation (NMDC) to solve the problem of lack of captive iron ore mines faced by the steel plant.

Mr G. Sanjiva Reddy, President of the INTUC, said at a press meet here on Sunday that the union would strive to get captive iron ore mines to the steel plant and, if for any reason the Union Government was not in a position to secure mines for the plant, the best solution would be to merge it with the NMDC. “Both are central PSUs. NMDC has many iron ore mines and there will be great synergy in such a move. It will pave the way for raw material security to the steel plant and the NMDC will also gain. There will be a big PSU in the steel sector ready to face competition from the major private sector players entering the Indian market such as the Mittals, Posco and others. In fact, we won't mind even the merger of the SAIL, RINL and NMDC. We want strengthening of these PSU units to face competition. We are opposed to all moves to disinvest, or privatise, these plants,” Mr Sanjiva Reddy said.

On the question of the Bharat Heavy Plate and Vessels here, he said BHEL had only taken over the ailing BHPV a few years and complete merger had not been achieved. Therefore, the long-pending problems of R-series workers and wage revision had not been solved.

“The Union Government has agreed in principle to take steps for the merger of BHPV with BHEL and even the BHEL board is in favour of it. Steps are being taken for that purpose. I am sure it will be completed in a few months' time. Merger would pave the way for further growth of BHPV and workers' problems would also be solved.

Co-ordination committee of unions: Mr Sanjiva Reddy said that for the first time since Independence, all the central unions had formed a co-ordination committee two years ago and were striving to achieve their demands. The committee, headed by Mr Sanjiva Reddy himself, submitted a memorandum to the Union Government listing the five main demands. The unions wanted the Union Government to curb prise rise,take steps against MNCs violating labour laws, abolish the contract system and take steps to help unorganised labour.

Besides, the Government should desist from any steps, such as disinvestment, which would weakenthe PSUs in the country. He said that if the Government did not respond positively, the unions would intensify the agitation.

A pension scheme for workers in public sector units was in the offing, he added. Dr Mohan Kumar, District President of the INTUC, also participated in the press meet.

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Published on March 20, 2011
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