Trade Union leaders elated over government’s swift move

The State Government on Saturday withdrew its order issued on July 2 against frequent revisions of pay and allowances offered to employees of State public sector undertakings (PSU) after The Hindu carried a news report in these columns on Friday on the G.O. having created a furore among trade unions.

The G.O. had ordered Chief Executive Officers of the PSUs such as Tamil Nadu State Transport Corporation, Tamil Nadu Generation and Distribution Corporation, Tamil Nadu Sugar Corporation, Tamil Nadu Cements Corporation, Tamil Nadu Magnesite Limited and Arasu Rubber Corporation to desist from revising wages once in three to four years.

It held that the periodicity of wage settlements, reached as a package deal between the PSUs and their trade unions under the Industrial Disputes Act, 1947, must follow the Pay Commission cycle (once in 10 years) if the employees were receiving pay scales equivalent to government servants and between five to 10 years if the pay scale was lesser.

A number of trade union leaders, including those associated with Centre for Indian Trade Unions (CITU), Labour Progressive Federation (LPF) and Tamil Nadu State Transport Corporation Staff Federation (TNSTCSF), expressed their displeasure over government’s stand. While talking to The Hindu, they said plans were afoot to stage protests demanding the withdrawal of the G.O.

Within a day of publication of the news story, the Finance Department issued another single-line G.O. which read: “The orders issued in G.O. MS. No. 224, Finance (BPE) Department, dated July 2, 2013 is withdrawn with immediate effect.”

Welcoming the move, TNSTCSF treasurer S.Sampath thanked Chief Minister J.Jayalalithaa for having taken immediate action.

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