Centre of Indian Trade Unions (CITU) extends strong solidarity with the Striking Ferro Scrap Nigam Limited (FSNL) workers who have resorted to massive indefinite strike from 28th September 2024. The workers were compelled to go for Strike as the NDA government was desperately trying to privatize FSNL, demolishing all legal premises of our country. CITU asks the Central government to immediately roll back the anti-national decision of gifting out its highly strategic, profiteering Mini Ratna Company to one M/s. Konoike Transport Co. Ltd., an MNC of Japan.
It is a matter of grievous concern that, while the office of Chief Labour Commissioner (Central) is engaged to conciliate with the unions of all the six plants of FSNL, viz. Durgapur, Burnpur, Vizag, Rorkela, Bokaro and Bhilai, the Central government is aggressively advancing to sell the company, even violating the provisions of Industrial Dispute Act 1946 and other Labour Laws.
Steel is the backbone of Modern India and our public steel sector Nava Ratna Company i.e., SAIL and also RINL plants are completely dependent on FSNL for scrap handling since its inception. With utter surprise, no consultation with them has at all been initiated by the government on such a vital issue and the top managements of FSNL are also not properly aware of this clandestine move.
FSNL is a company having a reserve fund of about Rs 200 crore and movable assets worth Rs100 crore employing more than 600 employees and 5,000 contract workers. During the year ended March 31, 2022, Company has paid Interim Dividend for FY 2021-22 amounting to Rs 9.50 per equity shares.FSNL achieved a dispatch of 36.54 lakh metric tons of scrap and 107.13 lakh metric tons of slag haulage (in total 143.67 lakh ton) which is an improvement of 12.88% with respect to previous financial year. The company operated at 97.81% capacity in the year 2021-22. So no one can challenge the expertise of FSNL.
Such a golden egg producing company is straight away being guillotined by the government because of its sheer obsession for privatization factually without any valid reason. There already exists a wise recommendation of JP Shukla Committee set up by the Steel Ministry as per which the FSNL was to be converted into a subsidiary of SAIL or Joint Venture Company of SAIL, RINL and MSTC. CITU has approached the Central government a number of times to implement the recommendation. Instead of that, the well-performing government undertaking is being sold out,that too in a severely undervalued manner to a foreign corporate; this will be a permanent loss to India’s public sector industry and thus people in general.
CITU once again condemns the authoritarian anti-National move of the Modi government and stands strong with striking FSNL workers. CITU calls upon all its units to take this issue to all sections of workers and mobilize them insolidarity with this anti-privatization struggle.
Issued by
(Tapan Sen)
General Secretary
