Chennai: The Cement Manufacturers’ Association (CMA) and Federation of major Central Trade Unions recently signed a memorandum of understanding (MoU), a move that will benefit employees in the Indian Cement Industry by way of an increase in gross pay, enhanced dearness allowance and service weightage.
The MoU was reached between CMA and the representatives of Central Trade Unions at a meeting held in the city. It will be converted into Memorandum of Settlement before the Chief Labour Commissioner (Central), New Delhi, in due course.
A release stated that the negotiation committee was headed by vice-chairman and manging director, The India Cements Ltd, N Srinivasan. The Central Trade Unions were represented by president, INTUC, G Sanjeeva Reddy, among others.
In all, 21 cement companies, which cover 60 per cent of country’s total cement capacity including India Cements, Ultra Tech, Ramco Cements, Dalmia Cement, Chettinad Cement, etc authorised CMA to negotiate with the trade unions on behalf of them. The trade unions that participated were INTUC, AITUC, BMS, HMS, and CITU and LPF.
The present MoU is for a duration of four years from 1 April, 2018 to 31 March, 2022. It provides for an increase of Rs 5, 000 per month in the Gross Pay of cement employees (to be paid in two instalments of Rs 2,500/- each).
After the two arbitration awards in 1978 and 1982, the cement industry has been signing 12 (3) settlements under the Industrial Disputes Act, 1947. Together with the current MOU effective 1 April, 2018, there have been eight such national level settlements.
Srinivasan said, “The national level, industry-wide settlement since 1992 is unique as it is collective bargaining in its truest sense as the management and the unions sit across the table and then it is signed before the Central Chief Labour Commissioner in New Delhi. This has assured industrial peace in the industry in the last 26 years.”