This decision was reached following a meeting between the management and the workers union, held here on Tuesday, with an intervention of the state labour department.
As per the agreement, the new stake holders will have to cough up Rs 2.4 crore as compensation and rehabilitation of the workers of the closed
unit. The new management has also agreed to compensate workers who may be no longer associated with the erstwhile JK Synthetics unit on various grounds. We have reached a mutual terms of agreement on the rehabilitation of the workers and the compensation due to employees of the unit, said the company sources.
The erstwhile unit of JK Synthetics was employing over 4,000-odd workers when it was closed down in 1996-97 due to a number of reasons by then owners JK Synthetics. Since then, its rehabilitation was under consideration of the Bureau for Industrial and Financial Reconstruction (BIFR).
The new management is expected to provide an interim relief to the workers at Rs 5,000 per employee by November 4, 2002, according to company sources.