People's Democracy

OIL & PETROLEUM SECTOR

Pioneering Step To Mobilise Contract Workers 

Swadesh Dev Roye

HELD in the Indian Institute of Public Administration auditorium at New Delhi, March 10, the all-India convention of contract workers in the oil and petroleum enterprises was a landmark in various ways. The venue of the convention had the banners and posters displaying the issues and demands of contract workers. 

SIGNIFICANT EVENT

The convention was the fulfilment of a pending task identified by the Haldia conference of Petroleum & Gas Workers’ Federation of India (PGWFI) held in November 2005, with the big response from contract workers in this sector underlining the importance and potential of this initiative. It was perhaps for the first time in India that a national convention was organised exclusively for contract workers, not on the sideline of a trade union programme for permanent workers. 
Around 400 delegates, representing 59 trade unions of contract workers in the oil and petroleum enterprises, participated in the convention. A notable feature was that the delegates comprised contract workers from all the oil and petroleum units in the central public sector. The regional mix of the delegates was also noteworthy, with big contingents coming from the oil rich west, south and northeast regions of the country. The presence of PGWFI office bearers at the convention in full strength demonstrated the federation’s deep commitment to the cause of contract workers. These features signify the maturity at the ground level about building up a powerful united movement of the permanent and contract workers so as to effectively challenge the aggressive menace of contractisation in the public sector oil and petroleum units. 

BACKGROUND PAPER AND DELIBERATIONS

PGWFI general secretary, Swadesh Dev Roye, placed a detailed background paper with important information documents before the convention. This was followed by daylong deliberations in which 36 delegates took part. An eight-member presidium led by PGWFI president Pradeep Mayekar conducted the proceedings while Tapan Sen and K Chandran Pillai, members of parliament, addressed the convention. 

The background paper noted that the ever-increasing use of contract labour in core, operationally sensitive and technically sophisticated jobs, perennial processes and manufacturing industries poses a serious challenge to the trade union movement. Thus, from the point of operational importance, contractor workers are increasingly occupying a pivotal position in oil PSUs and other industries. In the same proportion, therefore, regular workers are losing their power to mount an effective pressure in the process of collective bargaining. In some PSUs, including a few oil units, the percentage of contract workers is far more than of regular workers. Such a situation poses a serious threat to the striking and bargaining capacity of trade unions. The consequence is that both the permanent and contract workers are bearing the brunt of the contractisation onslaught. 

Unfortunately, permanent workers have been indifferent towards the contract workers in the same workplace. This has been noticed at many places, particularly in public sector units. But in the new situation of contractisation of total employment pattern and abolition of permanent jobs, continuation of such indifference is bound to damage the permanent workers’ own movement. The onslaught of privatisation has pushed the permanent and contract workers into a common situation of contract employment. Therefore, without any further delay, they have to unite and launch struggles to rebuff the attack. 

The relations between the permanent and contract workers must not be based on envy or neglect. Certain stark realities concerning the differences in the service conditions of the two categories must not act as a barrier in establishing and strengthening their mutual relations. On the other hand, permanent workers must convincingly extend their sincere fraternal support to contract workers. The point both the categories must realise is that cooperation between them is for mutual benefit. A basic understanding of class identity can act as the foundation for such cooperation. 

In fact, today, the equilibrium of striking power in this sector has substantially tilted towards the contract workers due to their numerical strength and also because of their engagement in strategic positions in the production, refining and marketing activities of oil and petroleum enterprises. However, the trade unions of permanent workers still hold an inherently advantageous position and so a combination of the two can produce unique results. The divide between the movements of permanent and contract workers, created by vested interests, must be eliminated without any loss of time; else workmen of both the categories would continue to suffer more and more. 

SHORT & LONG TERM DEMANDS

The convention noted that, with due appreciation of the ground reality, a practical approach needed to be carefully outlined to address the short and long term issues. Based on such an approach, the convention presented a broad outline of the major issues involved.

Right to Association: Trade union rights must be guaranteed to contract workers, including the right to collective bargaining and the right to recognition as per the practice in the respective oil and petroleum PSUs. 

Immediate Relief: The minimum grade of pay (basic pay plus dearness allowance), prevailing for permanent workers in an oil and petroleum enterprise, must be paid to the contractor workers engaged in that enterprise. Insofar as other allowances are concerned, at this stage at least the work related allowances must be paid to the contract workers also. Also, they must have the health care and safety measures, aids for children’s education and statutory social security benefits. Leaves, holidays and paid weekly offs, similar to those for permanent workers, must be allowed. These are necessary to provide immediate relief to contract workers in oil and petroleum enterprises. 

Service Condition for Contract Workers: The current practice of having different service conditions (wages, allowances, benefits and other facilities) for contract workers posted in different regions, states or locations by the same PSU must be abolished. All the contract workers of an oil PSU must have common service conditions, as the permanent workers have. If same service conditions can be negotiated, settled and implemented centrally for permanent workers, why can’t this principle be implemented for contract workers of the same PSU? There are some jobs where women workers have a sizeable presence. In accordance with the perception of organising the working women, the federation would give their issues due importance. 

Same Pay for Same or Similar Work: Section 25 (v)(a) of the Central Rules 1971 under the Contract Labour (Regulation & Abolition) Act, 1970 provides for the same wage rates, holidays, hours of work and other service conditions to the contract workers who are performing same (or similar) kind of work as the workmen directly employed by the principal employer. Oil PSUs must be made to implement it.

Continuity of Service: With a change in the contractor, the contract workers engaged by the previous contractor must continue in the job without any interruption or change in service conditions. This provision must be incorporated as a condition in the tender invited for appointment of contractors.

Abolition and Absorption: In the jobs of a permanent and perennial nature, our goal is abolition of contract employment and absorption of contract workers as regular workers of the principal employer. The act must be amended to include statutory absorption.

Record of Contract Workers: The annual return on employment, submitted to the labour department by principal employers, must compulsorily include the details of their contract workers, of the contractors and their licence details, etc. 
Workmen Compensation: In case of death owing to accident or otherwise in course of employment, contract workers must be paid compensation at the same rate as the regular workers are. 

Implementation of Labour Laws: The principal employer must be held responsible for implementation of all labour laws regarding his contract workers. These include maintenance of an employment register, submission of annual returns to the labour department, payment of PF, Gratuity, ERA, Maternity Benefit and ESI, and other social security measures. Any violation of the laws must attract stringent punishment for the principal employers. 

Monitoring Mechanism: A tripartite contract labour monitoring board must be constituted in all states and at the central level, with representatives of the trade unions, employers and government, to monitor the implementation of labour laws in respect of contract workers. 

THE TASKS ADOPTED

Based on the observations of and suggestions from those participating in the deliberations, PGWFI general secretary did the summing-up while Dipankar Mukherjee delivered the concluding speech on behalf of the presidium. The convention adopted the following programme unanimously:

1. Formation of an all-India coordination committee under the PGWFI.

2. A meeting of this committee within two months to finalise a charter of demands and campaign programmes.

3. Compilation and publication of the summary documents and convention proceedings, and their translation by state units into regional languages.

4. Completion of all regional conventions by September next.

5. A one day countrywide strike some time towards the end of this calendar year or in the beginning of the next year; to be decided in due course. 

If the delegates derived tremendous encouragement from the convention, it was because of the conceptualisation and actualisation of such a national exercise exclusively for contract workers in one of the most strategically important sectors of the economy, the oil and petroleum sector. 

The boosted morale of the delegates was reflected in their interventions. They boldly expressed their hurt feelings over the lukewarm attitude displayed by the trade unions of permanent workers and aired deep resentment against the crude exploitation they suffer. But there was also an optimism regarding the unity of contract and permanent workers. The success of the convention has bestowed a bigger responsibility on the trade union movement of permanent workers in the oil and petroleum sector. The PGWFI will have to take its pioneering initiative further ahead so as to broaden and strengthen the unity and struggles in the days ahead.