Jessop hints at withdrawal of suspension notice

While firm is silent on issue of withdrawal of suspension of work at DumDum plant, state govt claims it has assurances from the mgt

After a tripartite meeting with the state government and union representatives, Pawan Kumar Ruia group today indicated that it might consider withdrawal of the suspension notice at Jessop & Co's DumDum plant, the country's first engineering manufacturing unit.

"The Jessop management elaborated on the pressing issues of law and order and poor productivity affecting the performance of the company and was assured that the government would address the issues urgently," the company said in statement after the meeting.

It added, "The Jessop management expresses its gratitude to the Government of West Bengal for the proactive role and hopes that the necessary actions taken by the administration will change the environment of the plant and will be conducive for continuing production."

While the company was silent on the specific issue of withdrawal of suspension of work at Jessop's DumDum plant, state government claimed it had got assurances from the management on that front.

"The Jessop & Co management had been requested to withdraw the notice seeking permission to close the company and the management had agreed," state industry minister Partha Chatterjee, who chaired today's meeting, said.

Officials indicated it had been decided to set up a committee with representatives from registered trade unions and management to look into production issues.

The promoter Pawan Ruia group had earlier in the month sought the state government's permission to shut down Jessop's DumDum plant with effect from November 15, citing labour issues. This was done after the state government as well as unions had shot down the company's proposal to rationalise Jessop's 685 workforce or to link the wages to productivity.