- News>
- India
ONGC warns employees that their strike will be illegal
Mumbai, Aug 12: State-owned Oil and Natural Gas Corporation (ONGC) tonight said that the proposed strike by the Association of Scientifc and Technical Officers (ASTO) from tomorrow would be treated as `illegal` if they went ahead with their threat to disrupt offshore activities of the company.
Mumbai, Aug 12: State-owned Oil and Natural Gas Corporation (ONGC) tonight said that the proposed strike by the Association of Scientifc and Technical Officers (ASTO)
from tomorrow would be treated as "illegal" if they went ahead with their threat to disrupt offshore activities of the company.
"If Asto goes on strike it will be contempt of the Mumbai
high court," ONGC chairman Subir Raha told reporters here.
Raha said the Regional Labour Commissioner initiated a conciliation process but the employees did not attend the meeting with the Labour Commissioner today.
He said even if the association defies the court order and strikes work, ONGC already has a contingency plan to ensure production of oil and gas from Mumbai offshore was on, but admitted that in case of a strike, gas and crude supply would be affected to some extent. "We have moved the Mumbai High Court to restrain Asto from going on strike as it would affect the safety of installations, supply of oil and crude and the employees have not given the necessary notice period", Raha said.
The installations of the company were insured for USD 12 billion for which ONGC paid a premium of about USD 50 million, Raha said adding, the auditors from Geneva and London had suggested lowering of the premium on account of the high safety and security standards of the company.
He said the management was aware that there was shortage of manpower at the oilfields and has approved a recruitment policy.
Aha said ONGC would give ex-gratia payment of Rs five lakh apart from the normal package and would give jobs to the next of the kin, as per the company's policy. The company would also provide special assistance to the affected families such as aid for the spastic children of any of the deceased.
Raha said that ONGC adhered to the highest safety norms and conducted safety audits from time to time, with the last one being conducted in November last.
As for the tax exemption demand of the employees for offshore allowance, he said the matter was taken up by the company before the CBDT, which has been turned down.
Bureau Report
Raha said the Regional Labour Commissioner initiated a conciliation process but the employees did not attend the meeting with the Labour Commissioner today.
He said even if the association defies the court order and strikes work, ONGC already has a contingency plan to ensure production of oil and gas from Mumbai offshore was on, but admitted that in case of a strike, gas and crude supply would be affected to some extent. "We have moved the Mumbai High Court to restrain Asto from going on strike as it would affect the safety of installations, supply of oil and crude and the employees have not given the necessary notice period", Raha said.
The installations of the company were insured for USD 12 billion for which ONGC paid a premium of about USD 50 million, Raha said adding, the auditors from Geneva and London had suggested lowering of the premium on account of the high safety and security standards of the company.
He said the management was aware that there was shortage of manpower at the oilfields and has approved a recruitment policy.
Aha said ONGC would give ex-gratia payment of Rs five lakh apart from the normal package and would give jobs to the next of the kin, as per the company's policy. The company would also provide special assistance to the affected families such as aid for the spastic children of any of the deceased.
Raha said that ONGC adhered to the highest safety norms and conducted safety audits from time to time, with the last one being conducted in November last.
As for the tax exemption demand of the employees for offshore allowance, he said the matter was taken up by the company before the CBDT, which has been turned down.
Bureau Report