Memorandum of Settlement signed between Tata Steel and Tata Workers’ Union for Annual Bonus for the accounting year 2017-18
A Memorandum of Settlement, dated August 22, 2018, has been signed between Tata Steel and Tata Workers’ Union for Annual Bonus for the accounting year 2017-18.
As per the Memorandum of Settlement, the total payout for 27835 eligible employees of all applicable Divisions/ Units of the Company on account of annual bonus for the year 2017-2018 will be Rs 203.24 Cr. Out of this, for Divisions at Jamshedpur including Tubes Division, an amount of Rs 106.36 Cr (approx.) will be distributed as annual bonus amongst 14057 employees. The minimum (at full attendance) and maximum annual bonus payable for 2017-18 will be Rs 26,130 and Rs 1,99,723 respectively.
Since majority of Tata Steel employees are drawing salary/wages higher than the limit laid down in the Payment of Bonus (Amendment) Act, 2015, they are not eligible for bonus under the Act. However, respecting the old traditions, the Company is going to pay bonus to all employees in the unionised category.
The Settlement was signed on August 22, 2018. Mr. T. V. Narendran, CEO & MD, Tata Steel, Mr. Anand Sen, President, TQM & Steel Business, Tata Steel, Mr. Suresh Dutt Tripathi, Vice President, HRM, Tata Steel and other senior executives signed on the Management’s behalf and Mr. R Ravi Prasad, President, Tata Workers’ Union, Mr. Arvind Kumar Pandey, Dy. President, Tata Workers’ Union, Mr. Satish Kumar Singh, General Secretary, Tata Workers’ Union and other office bearers signed on Union’s behalf in presence of Mr. Rakesh Prasad, Conciliation Officer and Deputy Labour Commissioner, Jamshedpur.
In a communiqué signed by the CEO & Managing Director, Tata Steel and President, Tata Workers’ Union, all the employees are being informed about the payment of annual bonus.
About Tata Steel
Tata Steel Group is among the top global steel companies with an annual crude steel capacity of 27.5 million tonnes per annum (MTPA) as on March 31, 2018. It is one of the world's most geographically-diversified steel producers, with operations in 26 countries and a commercial presence in over 50 countries. The Group recorded a consolidated turnover of US $20.41 billion (INR 133,016 crore) in FY18. Tata Steel Group is spread across five continents with an employee base of over 65,000. Tata Steel retained Industry Leader position in FY18 and ranked second overall in the DJSI assessment, 2017. The Company has been recognised as the Climate Disclosure Leader in ‘Steel category’ by CDP (2017). Besides being a member of the World Steel Climate Action Programme, Tata Steel was felicitated with several awards including the Prime Minister’s Trophy for the best performing integrated steel plant for 2014-15 and 2015-16, Best Risk Management by CNBC TV18 (2018) and ‘Corporate Strategy Award’ by Mint (2018). The Company also received the ‘Most Ethical Company’ award from Ethisphere Institute for the sixth time (2018), Steel Sustainability Champions (2017) by the World Steel Association, Dun & Bradstreet Corporate Awards (2017 & 2018), Golden Peacock HR Excellence Award by Institute of Directors (2017) as well as 'Asia's Best Integrated Report' award by the Asia Sustainability Reporting Awards (2017), among several others.
Statements in this press release describing the Company’s performance may be “forward looking statements” within the meaning of applicable securities laws and regulations. Actual results may differ materially from those directly or indirectly expressed, inferred or implied. Important factors that could make a difference to the Company’s operations include, among others, economic conditions affecting demand/ supply and price conditions in the domestic and overseas markets in which the Company operates, changes in or due to the environment, Government regulations, laws, statutes, judicial pronouncements and/ or other incidental factors.