labels: Indian Oil Corporation
Government declares oil officers strike illegal news
06 January 2009

The government has taken a tough stand against the public sector oil officers striking for higher wages stating that such a strike was illegal.

Public sector oil firm executives had announced last month and also earlier last week that they would go on an indefinite strike from 7 January, over the "unkept promises" by the government on their wage demands (See: Oil Sector Officers Association calls for indefinite strike from 7 January

In a statement, the ministry of petroleum and natural gas has stated that ''As government has already decided that the home minister in consultation with minister (P&NG), minister (HIPE) and MOS (EB & IB) will examine the issues relating to pay revision in the oil sector and the report will be given within 30 days, there is no justification for the Oil Sector Officers Association to go on strike. Such strike has already been declared illegal by the Hon'ble High Court. The nation cannot afford the strike in the Oil Sector as it can cause severe hardship to the citizens and can cripple normal life. The Oil Sector Officers must appreciate the steps taken by the government to look into their grievances, if any, and hence, they should not resort to any agitation in the larger public interest.''

State governments had been asked to invoke the Essential Services Maintenance Act (ESMA) and the National Securities Act (NSA) as a strict measure to control the strike. Assam has already invoked the ESMA, while other state governments have said that they are in the process of doing so, the petroleum ministry said.

A home ministry circular in 1982 classified operations in oilfields and refineries, and fuel distribution as 'essential services' and a strike in these areas can be dealt with under the National Security Act, 1980.

Aviation services would be the first casualty of a strike at Indian Oil Corporation, the largest public sector oil marketing company. Plans have been made to deploy senior-level officials at the 'aviation service centres' for refueling facilities. There are close to 95 aviation service centres in the country.

The fuel retail segment usually stocks three - four days' worth of stocks and retail supplies may not be distributed in the initial phase of a strike.

Hindustan Petroleum Corporation Ltd officers are not participating in the strike, while those at Oil India may also not go on strike. The officers at BPCL and GAIL have said that their operations would not be impacted.

The Oil Sector Officers Association (OSOA), an amalgamation of officers' unions from 14 state-run oil firms,  had earlier submitted a 13-point charter of demands that included categorisation of all oil sector PSUs to the highest A+ category entitling workers to the best salary available for a government-sector company, removal of 50-per cent ceiling on perks and allowances, 50 per cent dearness allowance (DA) merger in line with central government employees, five-year periodicity of wage revision, introduction of open ended pay-scales.

PSU sector oil firm executives said the government had betrayed their trust while approving the wage hike in November.

According to OSOA's estimates a one-day strike could lead to a Rs1,125-crore revenue loss for all the companies put together, while the government would also lose excise duty of over Rs100 crore a day.


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Government declares oil officers strike illegal