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This is an archive article published on February 15, 2012

Unilever shut down for two weeks

Trade union,affiliated to former rebels padlocked the factory since February 4.

At a time when Nepal is seeking more foreign investments to speed up its economic development,efforts to re-open Unilever Nepal,an Indian joint venture which has remained shut for the last two weeks,have failed.

The Hetauda-based multinational company was forced by the

workers to shut down putting forth various unreasonable

demands.

The trade union,affiliated to the former rebels,has padlocked the factory since February 4.

Around 20 meetings have been held with the workers at the

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initiative of Federation of Nepalese Chamber of Commerce and Industries (FNCCI) and other trade bodies to end the crisis but without any result.

The 115 labourers of the factory affiliated to the Maoist aligned All Nepal Trade Union Federation (Revolutionary)

forced the shut down demanding increase in their pay and

benefits despite the high salary which they get from the

multinational company.

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The company has been revising pay and perks every two

years by holding meeting with the labour union.

Last time they had increased the salary and other benefits in 2010 and negotiations were in progress for this

year’s salary hike.

The workers suddenly padlocked the factory putting forth

various demands without prior notice,according to company

sources.

Meanwhile,the company’s representatives and the business

leaders affiliated to FNCCI yesterday met Prime Minister Baburam Bhattarai seeking his intervention to end the labour

unrest.

Bhattarai is learnt to have given verbal assurance to the

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business leaders that he would do his best to reopen the

factory.

Unilever is a leading manufacturer of tooth paste,hair oil and other beauty-care products,and is providing direct employment opportunity to more than 200 people.

The factory which is contributing billions of rupees to the government coffer in the form of tax is suffering Rs 4 million worth loss daily due to the shut down.

The early resolution of the problem is desirable as

continuous strike in the joint venture would send negative

message to other investors at a time when the government is seeking more foreign investment in the country to speed up its economic development,say observers.

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