Company earns profit of Rs. 184.6 crores
HYDERABAD: Singareni Collieries Company Limited (SCCL) on Saturday announced a special incentive of 12 per cent to its 84,000 workforce, out of its profit for 2005-06. The company made a profit after tax of Rs. 184.6 crores during 2005-06, the ninth year in succession to earn profit. The money will be disbursed to the employees by this month-end. The direction to allow special incentive this year also came from Chief Minister Y. S. Rajasekhara Reddy.
Energy Minister Mohd. Ali Shabbir and Chairman and Managing Director of Singareni R. H. Khwaja told reporters that the profit would have been higher at Rs. 400 crores, but for the additional burden faced by the company due to increased wage bill and investment made on quarrying.
The Minister said the expenditure on welfare of employees had gone up to Rs. 468 crores for the year, working out to Rs. 54,000 per employee. Mr. Khwaja said that in quite contrast to what was happening elsewhere, the unions were demanding VRS in the SCCL. So far, 14,780 employees opted for VRS, which was being allowed as and when required.
He said the company was opening 11 new mines and closing six. He expressed confidence that the target of 37.5 million tonnes of coal production set for 2006-07 would be achieved without difficulty.