Over 800 workers lose jobs due to lockout

Neelam Jute Mills Private Limited on Wednesday alleged that the trade unions and lethargic workers were responsible for the lockout of the factory located at Singupuram though the management wanted to protect their interests.

Around 800 workers lost their wages with the lockout declared on Monday by the company on the grounds of ‘irresponsible’ behaviour of the staff and steep drop in production. Addressing a media conference here, factory Executive Director Krishnakant Agarawal said a few leaders of the trade unions had polluted the minds of the workers who in turn were disrupting the production demanding more than 50 per cent hike in wages.

He said that the company was not in a position to revise wages since each worker had already been paid around Rs.300 per day as wages and other benefits. The company had also provided ESI, PF and other benefits, he claimed. “With the escalation of power charges and drop in demand for jute products, the company is incurring huge losses. It will run into crores of rupees every month. It is not possible to run the organization with further revision of wages,” Mr.Agarwal added.

BL Eswara Rao, manager, Liaison officer S.Chiranjeevulu, and Personal Officer N. Ramesh explained various incidents that had led to declaration of lockout.