Dunlop to reopen Sahagunj unit but with conditions

Significantly,the company’s decision comes two days after the state government said that it would approve a “relief undertaking” status sought by the company,after the management reopens the factory and takes measures to run the plant.

“We have three sections including IP,OTR and tyre production. At the first phase ,our engineering people will start repairing the IP plant once the power connection is restored. The plant is damaged due to regular incidents of theft in the plant. We do not know the extent of damage. So in the first phase,it will be repaired. Simultaneously,we will engage an agency which will analyse the viability and the strength of workers we require in every unit,” added Ruia.

“Employee salaries will not be paid during the period of suspension of work,’’ he added.

The IP unit includes hoses,conveyor belt and other related items. Workers too will be asked to join in a phased manner,starting with the engineering team for the IP division. The company will evaluate the total cost and time involved in such refurbishment in order to arrive at a cost benefit analysis. In the second phase the Company will try to restart production of OTR range-after procuring the necessary orders.

Ruia,however,maintained that tyre production at the Shahgunj unit will not start till the proposed 50 MW power plant comes up. The proposed power plant,awaiting environmental clearance,would bring down the high cost of conversion involved in tyre manufacturing.

According to Ruia,a separate boiler of smaller capacity will also be installed or rectify the existing small boiler for the production of IP.

“We have requested the state government to maintain law and order in the area. We have lodged more than 500 complaints with the police after our machines parts were stolen from the plant by the armed people,” the chairman added.

Meanwhile,state Labour Minister Purnendu Basu,who has been involved in the negotiation with the company,termed the Dunlop managements decision as a good gesture.

“He (Pawan Ruia) has kept his promise of holding the board meeting on October 21 and announcing the ex-gratia of Rs 1,000 to each worker. But I will not comment on the merit or demerit of the company’s latest decisions,” Bose said citing that both chief minister and Industry minister are out of station.