Neyveli Lignite today said its trade unions have started a strike to protest the government's decision to sell a stake in the state-owned company.
"The recognised trade unions and other registered trade unions have resorted to an indefinite strike commencing from night shift of July 3, 2013, in protest against the government of India's decision to disinvest 5% of equity shares of the company," Neyveli Lignite Corporation (NLC) said in a filing to the BSE.
Earlier, the Madras High Court had in an interim order on a petition by the NLC management, restrained the labour unions of the company from going on strike.
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About 30,000 workers, including 13,000 contractual employees, of the three lignite mines and as many thermal power stations stopped work from around 9 pm yesterday, NLC and trade union officials had said.
The strike will continue until the Centre gives up its decision to disinvest 5% of its stake in the PSU, S Rajavanniyan, General Secretary of the DMK-affiliated Labour Progressive Front, had said.
NLC sources said since engineers and officers were attending duty and there was enough stock of lignite for 3-4 days, power generation would not be affected for the time being.
The company produces 2.36 million tonnes of lignite from its mines per month. Its thermal power stations have a capacity of 2,490 MW, of which Tamil Nadu gets 1,110 MW followed by, Karnataka (277), Kerala (215) and Puducherry (95).
The Centre's disinvestment decision is opposed by major political parties in the state, including AIADMK and DMK. Chief Minister Jayalalithaa had suggested that the shares of NLC be offered to state public sector undertakings.