In a recent development, the Human Resources Department (Policies & Rules) at RINL-Visakhapatnam Steel Plant issued a circular to its regular employees. The circular seeks to gauge their interest in opting for the Voluntary Retirement Scheme (VRS).
This move has caused unease among the workforce. Employees fear it could be a step toward downsizing and privatisation as part of the Union government’s broader strategy.
The employees have been given a deadline of 29 October to submit their consent. Reports indicate that by 23 October, nearly 500 employees had already expressed their willingness. The circular, dated 22 October, 2024, was addressed to approximately 13,000 employees. It included both executives and non-executives, informing them about a survey to assess interest in the VRS.
According to the circular, the survey aims to gauge the willingness of eligible employees to opt for VRS through the company’s Employee Portal Support System (EPSS). To be eligible, employees must have completed at least 15 years of service and be 45 years old as of 30 September, 2024. It was emphasised that this survey is purely for assessing interest and does not constitute a formal application for VRS.
Some employees and senior officials have voiced concerns that the scheme may be part of a larger plan to reduce the workforce and eventually privatise the plant. A senior management official remarked that while the move may save about Rs 50 crore per month, it does not address the larger financial issues or the political promises made to protect the plant. There are also lingering questions about the recent efforts of Andhra Pradesh Chief Minister N. Chandrababu Naidu, who met with the Steel Ministry in Delhi to discuss the future of the plant.
