A section of employees of public sector general insurance companies had given a call to go on strike on January 4 against the proposed unilateral restructuring in the state-run insurers. The unions alleged that the proposed restructuring would weaken the public sector entities
New Delhi:
As desired by the chief labour commissioner, government of India. the GIPSA, the official coordinating agency of PSU general insurance companies and GIC Re, has called for a meeting of all recognised unions across the industry to sort out any misunderstandings between management of companies and unions over the restructuring of PSU general insurance companies.
“You are also requested to send your suggestions on the initiatives of the companies on augmenting organizational efficiency and performance management or any other relevant matter to us latest by 9th January, 2023,” said GIPSA in a letter to unions.
Earlier, on Monday, the unions of PSU general insurance sector had decided to defer their Jan 4 strike as a result of conciliatory meeting with the management of the companies under the guidance of chief labour commissioner, government of India.
A section of employees of public sector general insurance companies had given a call to go on strike on January 4 against the proposed unilateral restructuring in the state-run insurers.
Ernst & Young(E&Y) after being selected by the GIPSA as a consultant for restructuring four of PSU general insurers by suitably streamlining their business processes for profitabilty, had submitted its preliminary report and the companies, the unions alleged that, are implementing them without consulting them.
On Monday, under the banner of (JFTU),the unions participated in conciliation meeting with the management under the guidance of chief labour commissioner(CLC). Various arguments took place in the meeting from both sides and finally CLC advised the managements to give proper bilateral opportunity for discussion with the associations within 15 days and take the suggestions, union sources said.
The unions had alleged that the proposed restructuring would weaken the public sector entities. The JFTU(Joint Forum of Trade Unions) said that in the last couple of years about 1,000 offices, mostly in Tier II and Tier III cities, have already been closed.
This unilaterally forcing massive closures and mergers of hundreds of offices in public sector general insurance companies (PSGIC) are not only affecting the policyholders but the citizens at large, it said, adding that it is also giving undue favour to private insurance companies to capture the market in Tier II and III cities.