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Indian dockworkers may go on indefinite strike on December 17

Indian dockworkers may go on indefinite strike on December 17


Dockworkers have called for a strike at major ports, claiming the government has failed to live up to its promises, and Indian shippers fear there could be serious disruptions to supply chains.

A coalition of labor groups told port authorities that workers would stop work indefinitely at various ports from Dec. 17 to protest the lack of action to address the long-standing problem.

At the heart of the move are wage adjustments and pension benefits. Union sources complained that the governing body, the Indian Ports Association (IPA), was "indifferent" to making proposals based on specific commitments made during talks to avert the August strike.

"The IPA must forward the solution to all port authorities for implementation, as has been the practice to date," the Labour federation said.

They added: "It is deeply objectionable that two months after the agreement was signed, it has not been passed on to the authorities for implementation."

Union leaders also said that as part of preparations for industrial action, workers would hold a rally at the port on December 5 to air their grievances.

The productivity-Linked Incentive (PLR) program remains at the heart of the impasse, requiring federal approval retroactive to 2021. The union claims that temporary retirees at the port will lose out on such benefits because of the absence of PLR guidelines.

"Workers and pensioners are so anxious that they have been forced to take industrial action to protest against the non-implementation of statutory agreements," the Labour group said.

According to IPA sources, The shipping Ministry needed to issue an order to approve the adjustment of port workers' wages, but an official revealed to The Loadstar that the order "has been delayed."

Industry observers said the funding source of additional management fees for government ports at a time when the private port sector is facing increasing challenges in terms of market share could be a major reason for the delay in the decision at the government level.

There are a total of 12 government-controlled ports in India, but Mundra Port, operated by Adani Ports, recently overtook Navashewa Port as the country's busiest container gateway. Similarly, Chennai Port has also transferred a significant portion of its South Indian container trade to Katupali Port, which is also managed by Adani.

At the same time, Indian exports are showing some signs of rebounding after a recent downward trend, and the possibility of port disruptions comes with it. India's exports rose 17 per cent in October from a year earlier, boosting industry confidence.

"Against the backdrop of ongoing global economic uncertainty, the impressive double-digit growth in merchandise exports is undoubtedly very encouraging," said Ashwani Kumar, president of the Federation of Indian Export Organisations.

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