Workers at PSA SICAL Terminals Ltd have called off their indefinite strike after the Union signed a settlement agreement on Wednesday with the management of the terminal operating company that will cease operations on February 28, some three years before the 30-year contract ends in 2028.
According to the agreement, some 100 workers at the terminal will receive a 20% increase in wages with effect from April 1, 2024, gross salary for the remaining period, Rs 4 lakh lump sum for each staff member and medical insurance for one year, a Union official said.
“The business of our company has suffered in recent times for various reasons including the V O C Port Authority’s discrimination against our company (as adjudged by the arbitration panel) in providing lesser draft at our berth, in contrast to the competing terminals in the Port,” PSA SICAL wrote in the February 1 notice to workers – some of whom who have been with the terminal since starting operations in 1998 – stating that their services will be terminated on February 28.
“Consequent to such discrimination and the related issues, PSA SICAL’s volumes have completely dwindled, as a result of which, it has no business and revenue stream to sustain itself,” the operator of India’s second oldest private container terminal in a state-owned major port, said.
“Moreover, in the on-going arbitration proceeding, in September 2024, the Port Authority has indicated its acquiescence to take over the terminal operated by us and, as agreed between the parties, the survey and evaluation of the assets of PSA SICAL has been completed. Therefore, the management is taking steps to close down the place of employment and the undertaking, as per Section 25FFA of The Industrial Disputes Act, 1947 on February 28, 2025,” it informed the workers.
“Consequently, the management has to terminate your services, by giving one month notice, and compensation as per the requirements of Section 25FFF of The Industrial Disputes Act,” it said. The termination notice triggered an indefinite strike by workers.
(source: ET Infra)
