Lok Sabha Question No. 3638 (UNSTARRED), answered on 2020-03-16
Subject: Closure of Factories
Ministry: LABOUR AND EMPLOYMENT
Asked by: Shyam Yadav Singh

## GOVERNMENT OF INDIA

## MINISTRY OF LABOUR AND EMPLOYMENT

## LOK SABHA

UNSTARRED QUESTION NO. 3638 TO BE ANSWERED ON 16.03.2020

## CLOSURE OF FACTORIES

## 3638. SHRI SHYAM SINGH YADAV:

Will  the  Minister  of  LABOUR  AND  EMPLOYMENT      be  pleased  to state:

- (a)the number of factories/production units, power plants/coal units lying closed and declared sick in various parts of the country during each of the last three years and the current year, State/UT-wise;
- (b)the  number  of  labourers/employees  rendered  unemployed  as  a  result thereof during the said period, State/UT-wise;
- (c)whether the Government proposes to revive these factories/units/power plants/coal  units  lying  closed  and  provide  alternative  employment  to the labourers and employees rendered unemployed;
- (d)if so, the details thereof and the amount of funds allocated and released for  this  purpose  during  the  said  period,  State/UT-wise  and  if  not,  the reasons therefor; and
- (e)whether the Government  has introduced any mechanism  for reemployment/rehabilitation of workers/labourers who are rendered jobless due to sickness/closure of the said units and if so, the details thereof?

## ANSWER

## MINISTER OF STATE (IC) FOR LABOUR AND EMPLOYMENT (SHRI SANTOSH KUMAR GANGWAR)

- (a) & (b): As per information furnished by Labour Bureau, based on the monthly  voluntary  returns  furnished  by  the  Labour  Departments  of  the States  and  the  Regional  Labour  Commissioner  (Central),  the  number  of factories/  production  units,  power  plants/coal  units  lying  closed  and declared  sick  in  various  parts  of  the  country  as  well  as  the  number  of labourers/employees rendered unemployed as a result thereof during each of  the  last  three  years  and  the  current  year,  State/UT-wise  are  at Annexure.

- (c) & (d): Labour falls under the concurrent list, both Central and State Governments  are  competent  to  enact  and  amend  labour  laws  for  their respective jurisdiction. The Government undertakes appraisals of performance of each CPSE under the central sphere to assess its future prospects and take appropriate course of action in respective cases. As a follow up  of this  exercise,  loss  making  CPSEs  having  potential  of turnaround are revived and those found chronically sick, are closed down after payment of due compensation to their employees through attractive VRS/ VSS.
- (e): The  interests  of  the  affected  workers  are  protected  through measures such as provision of compensation under the Industrial Disputes Act,  1947.  Counseling,  Retraining  &  Redeployment  (CRR)  scheme  as  a social safety net to provide opportunities of self wage employment to the employee  (or  dependents)  of  Central  Public  Sector  Enterprises  (CPSEs) separated  under  VRS/VSS  or  retrenched  due  to  closure/  restructuring  of CPSEs. CRR aims to reorient VRS/ VSS optees/ dependents through short duration  skill  development  training  to  enable  them  to  adjust  in  the  new environment  and  adopt  new  avocations  after  their  separation  from  the CPSEs. CRR scheme is being implemented in collaboration with National Skill Development Corporation (NSDC) under Ministry of Skill Development & Entrepreneurship.

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## ANNEXURE REFERRED TO IN REPLY TO PART (a) & (b) OF LOK SABHA UNSTARRED QUESTION NO. 3638 FOR 16.03.2020 REGARDING CLOSURE OF FACTORIES BY SHRI SHYAM SINGH  YADAV.

| State-wise number   |                    | of Closures        |               | during 2017 2018   | -2020              |                             |                             | affected thereby            |
|---------------------|--------------------|--------------------|---------------|--------------------|--------------------|-----------------------------|-----------------------------|-----------------------------|
|                     | 2017 (Provisional) | 2017 (Provisional) | (Provisional) | (Provisional)      | 2019 (Provisional) | 2019 (Provisional)          | 2020 (Provisional)          | 2020 (Provisional)          |
| STATE / UT          | Units              | Workers            | Units         | Workers            | Units              | Workers                     | Units                       | Workers                     |
| Assam               | 1                  | 109                |               |                    | -                  | -                           |                             |                             |
| Haryana             | 1                  | 145                |               |                    |                    |                             |                             |                             |
| Himachal Pradesh    |                    |                    | 2             | 57                 | 1                  | No Information available 45 | No Information available 45 | No Information available 45 |
| Kerala              | 1                  | 5                  |               |                    |                    |                             |                             |                             |
| Madhya Pradesh      | -                  | -                  |               |                    |                    |                             |                             |                             |
| Madhya Pradesh      | (1)                | (547)              |               |                    |                    |                             |                             |                             |
| Maharashtra         | 2                  | 51                 | 1             | 21                 | -                  | -                           |                             |                             |
| Odisha              | -                  | -                  |               |                    |                    |                             |                             |                             |
| Odisha              | (1)                | (429)              | 1             | 18                 |                    |                             |                             |                             |
| Rajasthan           |                    |                    | -             | -                  |                    |                             |                             |                             |
| Tripura             | 5                  | 29                 |               |                    |                    |                             |                             |                             |
| Uttar Pradesh       | 4                  | 234                | 1             | 107                |                    |                             |                             |                             |
| Telangana           | 4                  | 1003               | 2             | 226                | 1                  | 240                         |                             |                             |
| Uttarakhand         | 2                  | 188                | 1             | 8                  | -                  | -                           |                             |                             |
| Total               |                    |                    |               |                    |                    |                             |                             |                             |
| State Sphere        | 20                 | 1764               | 9             | 555                | 2                  | 285                         |                             |                             |
| Central Sphere      | (2)                | (976)              | (-)           | (-)                | (-)                | (-)                         |                             |                             |
| GRAND TOTAL         | 22                 | 2740               | 9             | 555                | 2                  | 285                         |                             |                             |
| - =Nil              |                    |                    |               |                    |                    |                             |                             |                             |

Note: 1.This statement is based on the returns/information received in the Bureau till 26th February, 2020.

2. The information in respect of Delhi is 'NIL' and remaining States/Union Territories is either 'NIL'  or 'Not available'.

- 3.The information within brackets relates to Central Sphere.

Source: Labour Bureau, Shimla

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