RINL unions urge defence panel to consider merger with SAIL

Visakhapatnam: Visakha Ukku Parirakshana Porata Committee--an umbrella organisation of several unions formed to fight against privatisation on Wednesday urged Radha Mohan Singh, Chairperson, Parliamentary Standing Committee on Defence to direct the government to save Rashtriya Ispat Nigam Limited (RINL), the corporate entity of Visakhapatnam Steel Plant, from being handed over to private hands by weakening its finances.

Taking strong exception to privatisation of critical areas of steel production operations, the committee asked Singh to consider merger of RINL with Steel Authority of India Limited (SAIL) as a mutually convenient decision. Both the PSUs are under the Ministry of Steel.

The union leaders, who met Singh, demanded taking back of the removed contract workers and initiate measures to strengthen the workforce. Despite better productivity compared to SAIL units, VSP employees continue to receive wages as per the 2007 and 2012 wage agreements, while wage revisions applicable to SAIL employees have not been extended to VSP. The management has unilaterally linked wages to production, withdrawn house rent subsidies, imposed electricity charges on Steel City residents, closed schools, neglected hospitals, and shut down canteens. Senior officers raising genuine concerns are reportedly being insulted, suspended, or transferred, creating an atmosphere of fear and intimidation. "In view of the above, we submit that consideration of merger of RINL–VSP with SAIL is the most viable and sustainable solution for revival of the plant and is fully aligned with India’s objective of achieving 300 million tonnes of steel production capacity by 2030," the committee said in a representation to Singh.

Besides Singh, the parliamentary committee consisted of V Selvaraj, Jyothi Mani, Jagadish Shetter, Rajiv Bharadwaj, Mujbullah Khan and Bishnu Panda Ray.