The Coal Ministry said that it has approved a wage revision agreement that was reached with trade unions for non-executive employees of Coal India Limited. The agreement provides for a 19 per cent of minimum guaranteed benefit from July 1, 2021, on emoluments – basic, Variable Dearness Allowance (VDA), Special Dearness Allowance (SDA) and attendance bonus – besides a 25 per cent increase in allowances.
In a communication to Coal India, the coal ministry said, “The MoA (memorandum of agreement) for NCWA-XI as signed by Coal India Limited, Singareni Collieries Company Limited and trade union representatives, has been confirmed.”
Also Read: Coal India OFS: Government to sell 92.44 lakh shares at ₹226.10 apiece on June 21 to eligible employees
The agreement was reached in May by the Joint Bipartite Committee for the Coal Industry (JBCCI)-XI consisting of representatives of CIL management, Singareni Collieries Company Limited (SCCL), five central trade unions – BMS, HMS, AITUC, CITU and Indian National Mine Workers’ Federation (INMF).
The agreement will benefit around 2.81 lakh employees of CIL & SCCL who were on the rolls of the company as on July 1, 2021. Coal India has made a provision of ₹9,252.24 crore for a period of 21 months effective July 1, 2021, to March 31, 2023, for this effect. The company’s net profit declined 18 per cent to ₹5,528 crore in Q4 of FY 2023 due to increased provisions towards wages.
Additionally, the government will sell 92.44 lakh shares of Coal India, or 0.15 per cent equity stake, in BSE to eligible employees at ₹226.10 apiece via offer for sale (OFS). The employee OFS will remain open from June 21 to June 23, 2023, said Coal India in a regulatory filing to the stock exchanges.
On June 24, shares of Coal India settled 0.46 per cent lower at ₹225.90 apiece on the BSE.
Updated: 24 Jun 2023, 10:18 PM IST
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