Cement unions want cos to share profits with workers, India

Cement unions want cos to share profits with workers, India
31 January 2007

Cement workers’ unions have approached the national Cement Manufacturers’ Association with a demand for profit-sharing by the units with their workmen in view of the surge in their profits propelled by the boom in construction industry across the country.

This is to partly make good the meagre increase in wages and other allowances agreed to by the workers in the last national-level tripartite wage settlement for the cement industry when it faced demand recession.

According to the Indian National Cement Workers’ Federation affiliated to the INTUC, the financial results of most cement companies remain impressive due to the rising demand growth and better realisation. There has also been a spurt in prices across the country bringing positive impact on their operating profit margins, the INTUC leaders said.

Apart from price rise enough to absorb rise in diesel and freight costs, crude oil price fall has favourably impacted on cement units with captive power plants run on crude based fuel. Prices of imported coal too have declined now leading to a jump in operating profits.

we suggest that the industry come forward voluntarily to reward the cement workers with an increase in wages by granting either a lump sum or splitting the benefits under various heads’’ the federation said.
Published under Cement News