PSM seeks permission for further layoffs

Published December 8, 2020
The total labour force of the mills is 8,500, leaving almost 4,000 employees still on the payroll. — AFP/File
The total labour force of the mills is 8,500, leaving almost 4,000 employees still on the payroll. — AFP/File

KARACHI: Pakistan Steel Mills (PSM) Chief Executive Officer Syed Shuja Hasan told a labour court on Monday that the mills could see further layoffs in the days to come since it has been slated for privatisation by the government and is not viable with its current labour force.

The PSM management has already announced the sacking of 4,544 employees last week. That decision was challenged in a court the next day. The total labour force of the mills is 8,500, leaving almost 4,000 employees still on the payroll.

The petition has been filed by the management in Labour Court 4 for permission to lay off the remaining employees. As per Standing Order 1968 they are required to submit a retrenchment plan to remove the remaining employees. The judge has set Jan 6 as the date to hear the case.

As per details emerging from the court, labour representatives were present in large numbers and raised a protest as the petition was heard.

The Economic Coordination Committee decided in May that all employees of the steel mill will be laid off as preparation for its privatisation. Those plans are now advancing.

Published in Dawn, December 8th, 2020

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