Tata Tea embarks on restructuring of North India plantation

Kolkata, Apr 03 (UNI) Tata Tea's plan to restructure the North India Plantation Operation into a new amalgamated company would find "absolute favour" from its 30,000-odd workforce in the company's 24 estates in Asom and West Bengal through equity participation.

This view was reiterated here today by Tata Tea Managing Director P Signaporia while speaking to newsmen here about the company's future plans.

Contradicting recent media reports that a sizeable majority of workers in 24 tea gardens, including those working in four estates in West Bengal, had decided not to participate in Tata Tea's move to restructure the North Bengal Tea Plantation operation into a new private limited company "Amalgamated Plantation Private Limited", where each worker and other staff members of the gardens would be offered unlimited shares at par to be paid in cash of Rs ten each.

On the contrary, Mr Signaporia said vast majority of workers in all the 20 tea estates in Asom had expressed their desire to participate in the amalgamation process and would pick up maiximum number of shares, which in turn would make them a direct shareholder of the new company.

About the response from nearly 10,000-odd workforce in four gardens in West Bengal, the Tata Tea MD stated that unlike in Asom, trade union leaders in West Bengal were not forthcoming with their wholehearted support for the new venture and it was true that they were not encouraging the workers to join the new move.

But at the same time, Mr Signaporia said it was also not true that the unions had been opposing the move directly. Instead, they had rather taken the middle path of no objection and no encouragement.

Asked whether any such step would halt the amalgamation move of Tata Tea, its MD replied in the negative and hoped the process would soon begin after the completion of all legal and other formalities.

To another query, he said though at present Tata Tea enjoyed about 98 per cent stake in the Nroth India plantation after the formation of the APPL, it would be reduced between 18 and 20 per cent with the remaining other shares going to other joint venture partners like the IFCL, the Global Management Services(GMS) and the present workers and staff members.

When set up, the new company(APPL) would open a new vista in the proper and successful running of all the 20 tea gardens in Asom and West Bengal through workers' direct participation in the day to day job as well as in the top management decisions, Mr Signaporia claimed.

Referring to the protection of workers' rights and privileges under the new administration, the Tata Tea chief categorically stated that in accordance with the state and Central labour laws all present facilities like payment of gratuity, provident fund, maternity benefits, free ration, free medical services would be provided to each of them as before.

Moreover, interest-free long term credit facilities would be arranged for workers as well as other staff members for purchasing of shares in the new company, Mr Signaporia informed.

UNI