STATISTICS ON INDUSTRIAL DISPUTES, CLOSURES, RETRENCHMENTS

AND LAY-OFFS IN INDIA DURING THE YEAR, 2007

Chapter-6

RETRENCHMENTS IN INDUSTRIES DURING THE YEAR 2007
 

Analysis by States, Causes, Industry Groups, Sectors and Months

 

6.1.1    In all there were 23 cases of retrenchments in which 264 workers were affected during the year. This reflects a decrease of 4.17 percent in respect of retrenchments and also or decrease of 70.14 percent in the number of workers retrenched over the previous year. Out of 23 cases, 20 (86.96 per cent) affecting 246 (or 93.18 per cent) workers were in the State Sphere while 3 cases of retrenchments (13.04 per cent) affecting 18 workers (6.82 per cent) were reported from the Central Sphere. 

 

6.1.2    Tables- 6 (I) (a) to 6 (I) (g) present statistics relating to retrenchment of workers by States, Causes, Industries, Sectors and Months during the year 2007.

 

Analysis by States

 

6.2.1    State Sphere: Table-6(I) (a) shows that the maximum number of retrenchments of both spheres i.e., 4 each ( 17.38 percent) were reported in the States of Haryana, Kerala and West Bengal followed by two cases each (8.70 percent) in Orissa and Uttar Pradesh. The number of workers retrenched was highest in Haryana i.e., 102 (38.64 percent) of the total workers retrenched followed by  57 (10.23 percent) in Kerala and 41 (15.53 percent) in Orissa. The highest number of retrenchments and workers affected were reported in the State Sphere i.e., 20 (86.96 percent) and 246 (93.18 percent) respectively.

 

6.2.2    Central Sphere: Two cases of retrenchment affecting 17 workers and one case of retrenchment affecting thereby 1 workers were reported under the cause group ‘Others’ in the States of  Kerala and Tamil Nadu  respectively (Table-6 (I) (a). 

 

Analysis By Causes

 

6.3.1    State Sphere: The monetary cause group i.e., ‘Financial Stringency’ accounted for Four retrenchments (or 17.39 per cent) and 54 workers (or 20.45 per cent) affected. The non-financial cause groups viz., ‘Lack of Demand for Products’, ‘Others’ and ‘Cause not Known’ taken together were responsible for the maximum number of retrenchments 16 (or 69.57 per cent) and workers affected thereby 192 (or 72.73 per cent) during the year under study.

 

6.3.2        Central Sphere:In Central Sphere three cases of retrenchments affecting 18 workers were due to causes classified as ‘Others’ during the year, 2007. 

 

Analysis By Industry Groups  

 

6.4.1    State Sphere: It may be seen from Table- 6 (I) (c) that nine cases (or 39.13 percent) of retrenchments were in the ‘Manufacturing Division’ (Industry Codes 15 to 37) wherein 94 workers (10.63 percent) were retrenched of the total number of workers retrenched in both spheres. In Industry Group 29 –‘Manufacture of Machinery and Equipment Not elsewhere classified’ and Industry Group 60 – ‘Land Transport, Transport via pipe line’ in which 91 and 47 workers were retrenched.

 

6.4.2    Central Sphere: Three cases of retrenchment affected 18 workers occurred in the Industry Groups 65 – ‘Financial Intermediation, Except Insurance and Pension Funding’, Industry Group 71 – ‘Renting of Machinery and Equipment without Operator and of Personal and Household Goods’ and Industry Group 75 – ‘Public Administration and Defence; Compulsory Social Security’.

 

Analysis By Sectors

 

6.5.1    State Sphere: Table-6 (I) (d) reveals that the highest number of retrenchments and workers retrenched i.e. 18 cases (78.26 percent) and 220 (or 83.33 percent) respectively were in the Private Sector during the year 2007. Two cases of retrenchment affecting 26 workers were reported in Public Sector.

 

6.5.2    Central  Sphere: Two cases of retrenchment affecting 3 workers were in the Private Sector and one case of retrenchment affecting 15 workers were in the Public Sector.

 

Analysis By Months

 

6.6.1    State Sphere: It may be seen from Table- 6 (I) (g) that the maximum seven cases (30.43 percent) occurred in the month of August followed by three cases (13.04 percent) in the month of May 2007.  The maximum number of workers affected due to retrenchment were 114 (43.18 per cent) during the month of August followed by 73 (or 27.65 per cent) during the month of  November, 2007.

 

6.6.2    Central Sphere: Two cases of retrenchments occurred in the month of February followed by one case of Retrenchment occurred during the month of June, 2007.