Nepalese subsidiary of Indian Ayurvedic giant Dabur has resumed operations, ending nearly a month-long lock out by a pro-Maoist union over labour benefits.
The company at Birgunj in the Parsa district resumed operations yesterday after it reached an agreement with the All Nepal Trade Union Federation Revolutionary (ANTUFR) and dropped a clause that said it would not pay wages for the strike period, sources in the company said.
Dabur Nepal was forced to close down for 27 days by the Maoist union, entailing a loss of around Rs 8 crore, a staff member said.
The union demanded 10 per cent bonus for 700 plus workers along with other benefits and locked up the factory saying the management had manipulated its profit figures and gave less bonus to the workers, an accusation denied by the management.
The management later suspended productions and put forth its own terms and conditions for resuming operations, even after the workers withdrew their strike.
The issue was raised during talks between Indias Minister of state for Commerce and Power Jairam Ramesh and Nepalese Commerce Minister Rajendra Mahato on Wednesday.
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After restricting the entry of senior officials into the company premises for days, ANTUFR President Shalikram Jamarkattel has agreed for further talks on Saturday.
The annual turn over of the company, which manufactures cosmetics and herbal products, in Nepal is Rs 250 crore with eighty per cent of its products being exported to India.