RINL employees face heat as deadline for restarting BF-3 nears

As the management of Rashtriya Ispat Nigam Limited (RINL), the corporate entity of Visakhapatnam Steel Plant has stepped up its efforts to restart the third blast furnace after idling it for a long time due to raw material shortage in next few days, the workforce is under tremendous pressure as more number of employees are being offered Voluntary Retirement Scheme.

At present, the PSU, for which the Centre sanctioned Rs.11,440-crore revival package early this year, is operating only two blast furnaces. The revival of BF-3 named Annapurna by June-end, as per a posting made by Union Minister for Steel and Heavy Industries H.D. Kumaraswamy on X, will help India's first shore-based steel plant achieve production at its full capacity of 7.3 million tonnes. RINL had a permanent workforce of 14,000 and contract workers numbering 16,000 in 2017-18. Due to downsizing through the first phase of VRS and not filling posts caused by superannuation, the number has now come down to 11,000 on regular payrolls. The contract workers' strength has been slashed by not renewing gate-passes to 2,500. Unions say as part of the hidden agenda of revival, there is a plan to reduce it further by 2,000.

Under the VRS launched with an allocation of Rs.500 crore, 1160 have been sent home. Sources say under VRS 2.0 which is now being implemented, 800 have already opted for it even as there are two weeks left for the deadline to to opt for it to come to an end.. "The situation now is highly deplorable. Most of the works like capital repairs and maintenance are being offered to private parties through Expression of Interest to cut down the cost and reduce the deployment of private manpower compromising the quality of safety protocols," D. Adinarayana, national vice-president of AITUC and Visakha Steel Workers' Union honorary president, told Bizz Buzz.

He said under VRS 2.0 the guidelines for opting for it have been liberalised so as to send more permanent workers home. He said Bokaro Steel Plant of SAIL is producing 5 million tonnes by engaging 9,400 permanent employees and 20,000 contract workers as against production of 4.4 million tonnes by Rourkela Steel Plant with 9,500 permanent employees and 14,000 contract workers.

The revival package approved by the Cabinet in January, envisaged infusion of 10,300 crore as equity capital, putting an end to its decision to disinvest RINL and its joint ventures and subsidiaries by way of 100% privatisation following public outcry.