Labour trouble at Essar Steel's Paradip unit enters 3rd day

Contractual workers on dharna after not being paid for five months

Tension continues at Essar Steel’s pellet unit near Paradip (100 km from here), after Tuesday's rampage by unpaid workers, followed by stone-throwing at the police and a lathi charge. About 100 contract workers were on a third day of a protest sit-in before the plant gate on Thursday, demanding payment of wage arrears and other benefits.

These workers, sent as contract labour by a Trishna Enterprises, had reportedly not been paid for five months. Permanent employees are receiving salaries, though the pay date shifts occasionally by a few days. Sources said the company might shut the plant if the tense situation persisted.

The workers had ransacked the project office on Tuesday.

Police said two platoons of their men were at the site. “Efforts are on to defuse the situation, with talks between the district administration, plant authorities and labour union. We hope normalcy will return soon,” said district collector Vijay Ketan Upadhyay.

Algoma seeks court protection in Canada, US
The Essar Group’s Canadian arm, Algoma, has sought court protection in Canada from creditors, following a dispute with a raw material supplier, Cliffs Natural Resources. Essar has stated it filed for protection under Canadian insolvency law, to strengthen its financial health and long-term prospects. It is also seeking protection from courts in America and has asked for a legal order on Cliffs to supply it with pellets.