Workers wage claim rejected

In a setback to the efforts of the workers of JK Cotton Spinning & Weaving Mills Co Ltd to reopen their factory, Kanpur Assistant Labour Commissioner Chandra Mani Lal Maurya has rejected their claim of back wages for the past 16 years, during which the factory had been locked up.

The ruling, however, leaves the field open for the JK management to restart the mills on its own terms.

The workers had filed claims under the UP Industrial Peace (payment of timely wages) Act ,1978, Clause 3 , for realisation of dues through three petitions for the period January 1991 to September 2005, of Rs 22.52 crore, Rs 71.06 crore and Rs105.91 crore, respectively.

The labour commissioner, however, ruled that "Under the Timely Payment of Wages Act, only the money earned has to be paid."

However, workers has accused Maurya of bias. Their leader, RK Tewary, told Business Standard that the exercise smelled of a nexus between the labour department officials and the management. Workers are now planning to approach the labour commissioner against the decision.

Another bone of contention between the two parties has been the sale of surplus property of the company for revival of the mills. This was ordered by the Board of Industrial and Financial Reconstruction (BIFR) in its revival package.

The board had ordered that the mills should reopen within six months and the surplus land sold in 1-2 years. The management, however, is insisting that they should be allowed to sell the land first.

The labour commissioner's ruling, however, has provided the JK management some leeway to bring the factory out of red.