This was a case of sincere and joint effort on the part of both the entrepreneur and the workers to revive a closed industrial unit. The K.R. Steel Company at Kalyani is now not only alive and kicking, the production in the factory has attained such high levels that an encouraged Managing Director of the Company, Mr. Benoykumar has transferred the registered office of the company from Mumbai to Calcutta and has decided to even shift the Mumbai and Kandla units of the company to Kalyani immediately. These two units too have remained closed for long. Of course mention will have to be made of the West Bengal Government's Industrial Reconstruction Department acting tirelessly as a catalytic agent to this spectacular development.

Mr. Benoykumar was explaining the happy tidings for his unit in the Writer's buildings chamber of the Industrial Reconstruction Minister, Mrinal Banerjee recently. A reporter asked Mr. Benoykumar if he would advocate accepting the model for reviving other sick and closed units in the State. The Minister however came forward to answer the reporter's question. He did not want to hold it as a model but he did not find fault with the management and the workers who came to negotiated settlement on reciprocal basis and reopen the unit again. Nothing could stand in the way if the industrialist concerned took care of the interest of workers and the latter besides getting their demands concede should see to it that the company's interests are protected too. This mutual understanding was important. And the State Government is harping on it again and again.

In his interpretation of the model, Mr. Benoykumar said, the workers had agreed to make sacrifices. After reopening of the factory, the workers for full two and a half years had taken half their salary. Reiterating the sequence of events, Mr. Benoykumar said the Kalyani factory was established in 1964.

The factory was closed in December 1993 after sustaining losses consecutively for five years. In 1992 even the dispute was sent to the Board of Industrial Finance and Reconstruction and the BIFR recommended in 1995 the closure of the company. That the BIFR would recommend both the management and the workers knew liquidation of the company well in advance and they started negotiations in a bid to resume production. Then the management came up with a proposal that the company could be nursed back to health if the workers agreed to work for sometime with 50% of their wages. Full wages would be paid thereafter. The CITU and the INTUC held meetings with their workers and the workers agreed to the so-called "sacrifice" proposal. The factory reopened and production picked up considerably. Side by side workers filed a case against the BIFR verdict. The Calcutta High Court rejected the BIFR Court rejected the BIFR verdict after making critical observations on it.

Meanwhile, the company's production boosted significantly and the workers at present are being paid full wages along with the additional Dearness Allowance component.

Moreover, the management has decided to clear the 50% unpaid arrears wages to the workers now.