Several thousand employees of the Ordnance Factory Ambajhari in Nagpur went on strike on Tuesday on a call given by All India Defence Employees Federation, Indian National Defence Workers Federation, Bhartiya Pratiraksha Mazdoor Sangh and Confederation of Defence Recognized Association.
The outfits had given a 30-day strike notice to the Ministry of Defence last week over a host of demands, prime among them being that the government roll back any plan it has of "corporatising" or "privatising" the Ordnance Factory Board.
The Ordnance Factory Ambajhari makes shells for Bofors, besides hardware like cartridges, fuses and primers, casting and extrusion of special aluminium alloys, fabrication of floating and manually launched bridges.
"Nearly 3500-4000 employees here, except Class I officials, are on strike since morning," an employee said.
In a statement issued from on Tuesday, Kolkata-based Director-General and Chairman OFB, Saurabh Kumar confirmed the month-long strike had begun.
"It is however emphasised that the proposed policy of corporatisation of ordnance factories by the government of India is aimed at providing greater flexibility in day to day functioning, increased operational freedom and autonomy in decision -making leading to enhanced productivity," the statement quoted Kumar.
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This will enable the ordnance factories to respond faster to the futuristic needs of the armed forces and provide an impetus to the export potential of its products, he further said.
Opposing the plan to "corporatise" OFB, Bandu Tidke, president of the Ayudh Nirmani Mazdoor Sangh, affiliated to Bhartiya Mazdoor Sangh (BMS), said the move would be a danger to the security of the country.
"Corporatisation is a step towards privatisation and we are totally opposed to it," Tidke said here.
In a meeting held in Delhi on August 14 between protesting outfits and the Defence Ministry led by Additional Secretary, Defence Production and Chairman, OFB, the Union government had clarified that there was no proposal to privatise OFB.
The proposal under consideration is to make it (OFs) into Defence Public Sector Undertakings (DPSUs), which would be 100 per cent government-owned, the ministry said during the meeting.
Striking employees at the Ordnance Factory Ambajhari in Nagpur on Tuesday claimed lack of orders and delay in delivery of materials by private partner firms was impacting ammunition making factories under the OFB nationwide.
Several office-bearers of striking employees unions claimed the stir, if it lasts for 30 days as scheduled, could hit defence production in the country by as much as Rs 1,000 crore.