SALEM: Labour associations associated with Tamil Nadu Magnesite Limited (TANMAG), headquartered in Salem, urged the state government not to proceed with any move to merge TANMAG with Tamil Nadu Minerals Limited (TANMIN), alleging that such a decision, if implemented, could significantly increase the financial burden on TANMAG and adversely affect workers associated with the organisation for several years.
The press meet was organised by the All Trade Unions Joint Committee, representing workers of TANMAG, a public sector undertaking established in Salem in 1979, on Thursday. Representatives stated that around 2,000 workers are currently associated with TANMAG, including nearly 200 permanent employees, while the remaining workforce consists of a large number of contract workers engaged across various operational activities of the company.
The members claimed that they had learnt through departmental sources that the Department of Mines, under the TVK government, was considering the idea of merging TANMAG with TANMIN, though they stated that no official announcement has been made by the government so far in this regard.
Opposing the reported move, labour representatives argued that TANMAG has been functioning as a reasonably profit-making company despite facing competition from private sector players, and stated that its operational stability is largely sustained by its access to raw materials and established industrial demand.
In contrast, they alleged that TANMIN is not currently in a strong financial position, and therefore any merger between the two entities could create an imbalance in financial responsibility.
They further expressed concern that if such a merger is implemented in the future, TANMAG could be compelled to bear the financial liabilities and losses of TANMIN, which, according to them, would not only strain the company's resources but could also have an impact on job security and long-serving workers associated with TANMAG over many years.
The associations also raised a key demand seeking the regularisation of contract workers, stating that those who have been working with TANMAG for more than 25 years should be granted permanent employee status, considering their long-term service and contribution to the organisation's functioning.
The association coordinator Sadhasivam, who is leading the opposition to the reported proposal, said, "We have already sought an appointment with Minister for Natural Resources TK Prabhu to present our concerns in detail and to urge the government to refrain from pursuing any such merger proposal going forward."
