Metal Box Workers Union Gears Up For Battle

The Metal Box Workers Union (MBWU), the largest of the three unions, is bracing for a showdown with the ailing Metal Box India (MBIL) management following its recent decision to shift the companys registered office from here to Delhi.

MBWU, which is planning to move the Company Law Board (CLB) and take all necessary legal steps. It has also threatened a full-scale agitation to foil the managements move, which it feels is arbitrary and motivated.

The West Bengal Indian National Trade Union Congress (INTUC) president, Subrata Mukherjee, an adviser to MBWU, in a letter to the West Bengal chief minister, Jyoti Basu, requested him to take up the matter with the MBIL managing director, Vinod Krishna, and the concerned government departments.

 

Mukherjee in his letter stated that the majority of the companys shareholders had not received the notice for the extraordinary general meeting which was held in New Delhi on February 14.

Another resolution, appointing Krishna managing director for the next five years, was also passed at the EGM. The MBWU has been against Krishnas appointment since 1993 and had even communicated their stand to the department of company affairs.

Many shareholders complained of not receiving any notice of the meeting. Krishna, who holds 33 per cent in the company, in a recent release said the change of registered office would benefit the shareholders.

Mukherjee alleged the employees provident fund and gratuity had not been paid and the management had not cared to turn up at the joint meeting convened by the West Bengal labour commissioner. What is worrying the unions is the fact that the company had sold some of its prime real estate in the Faridabad industrial area flouting the BIFR rehabilitation package. In 1988, the BIFR had asked the company not to sell off any of its assets. MBWU sources said they feared Krishna has now set his sights on the Barlow House, where MBIL registered office is currently housed.

As per the BIFR revival package, the company was to pay Rs 12 crore for its VRS and Rs 5 crore by way of gratuity and retired employees dues. But a series of litigations since 1997 has held up implementation of the package.