Read this article in:
24 October, 2011
Unions organising employees of the world’s largest coal producer, Coal India Ltd., achieved a significant hike in profit-linked annual bonuses for 300,000 members on 17 October. The annual bonus for permanent employees will now be INR21,000 (US$438), up from 17,000.
Negotiators also achieved a bonus for contract and agency workers, who have never before received bonuses at Coal India. Unions compromised on their original 23,500 INR demand.
The settlement, which also includes an INR1,000 INR Diwali gift to all workers, avoided a proposed three-day strike last week.
When negotiations broke down at earlier stages, all five trade union confederations in India, INTUC, BMS, HMS, AITUC and CITU, jointly organised large actions, and jointly backed strike actions. Strong unity throughout the campaign is a positive development for all Indian workers.
INMF General Secretary B. K. Das
Talks were brokered by the Indian Coal Minister, between Coal India, and the ICEM affiliate Indian National Mineworkers’ Federation (INMF) and other unions, following a concerted campaign which included a one-day strike by 300,000 miners on 10 October at eight coal producing subsidiaries of Coal India. In reaching settlement, all parties agreed to seek to finalise negotiations for the next national annual wage agreement by 31 December 2011.
Coal India’s decision to reward shareholders with a 39% dividend pay-out on profits strengthened the workers’ resolve with all 400,000 employees standing to share only 13% of all profits.
Coal India is India’s largest employer. Last financial year, it posted a 12.9% (US$2.4 billion) jump in net profit.
There was more positive labour news in India on 17 October, as the government’s Minister of Labour and Employment, Mallikarjun Kharge, told the Standing Labour Committee in New Delhi that the Labour Ministry is making efforts to extend all benefits now available to permanent workers to contract workers. Specifically, unions campaigned for amending the Contract Labour Act of 1970 so that contract workers would be automatically absorbed into permanent employment, especially when contract labour is blocked.
The Minister also gave positive indications on the need for a National Labour Code for minimum wages, maximum hours of work, and minimum standards of safety and health at the workplace.