E-Paper
UP Handloom faces closure threat
IF THE UP Handloom Corporation (UPHC) was unable to meet expenses through its own resources, closure should be recommended. This was the take of the industrial development commissioner at a meeting held on June 29 to discuss the financial condition of the Corporation.
IF THE UP Handloom Corporation (UPHC) was unable to meet expenses through its own resources, closure should be recommended. This was the take of the industrial development commissioner at a meeting held on June 29 to discuss the financial condition of the Corporation. Besides, at the meeting, Corporation authorities were also instructed to shut down all its projects and introduce Compulsory Retirement Scheme (CRS) for employees of those projects. It also suggested that the number of employees in other sections too be listed, so that the salary burden of the Corporation could be reduced.
If the corporation closes, families of about 21,000 weavers and 600 employees all over State would be pushed to the brink of starvation.
However, it was clear that the government was not in position to provide the sick units with financial help. Talking to HT Corporation managing director Shaymlal said, “The financial condition of the Corporation is not good and it is unlikely that any financial aid will come from the government. Therefore, under the present situation, it is hard to say that there would be any improvement.
However, six months time has been given to the government to improve the condition of the Corporation.”
The UPHC management was also directed to include the following points for discussion at the board of directors’ meeting to be held tomorrow.
These are: Funds required to run the Corporation, the number of employees to be retained and the proposal to bring down the number of employees by giving them VRS and CRS.If the Corporation is not able to earn enough profit to meet the expenses, the proposal to close it down should be tabled at the board meeting.
These are the facts gathered from the unsigned minutes of the meeting.
