People's Workers Union urges government not to privatise PSM

Pakistan Steel Mills People's Workers Union (CBA) has urged the government not to privatise the country's largest steel producing mill, Pakistan Steel. Addressing a press conference at Karachi Press Club, Chairman CBA Shamshad Qureshi and Vice Chairman Muhammad Ali Zardari said that ministry of privatisation had announced to start privatization process without consulting Pakistan Steel Mills and CBA union.
During the dictatorial regime, General Pervez Musharraf and his 'imported' Prime Minister Shaukat Aziz attempted to sell PSM on throwaway price, but People's Workers Union forcefully resisted the attempt and later Supreme Court annulled the PSM privatisation.
In addition to, they said, long term agreement regarding raw materials (Iron Over & Coal) was cancelled in mid of 2008, and Pakistan Steel had to bear approximately Rs 38 billion losses due to buying on spot chartering of raw materials on high rates. Federal Minister for Privatisation, Senator Waqar Ahmed, while portraying one-sided picture of PSM's performance moved ahead towards its privatisation without taking into confidence neither PSM's Board of Directors nor the largest stakeholder, the employees and their representatives (CBA), they added.
The Union leaders urged President Asif Ali Zardari and Prime Minister Yousuf Raza Gilani not to privatise Pakistan Steel. "If the government wants to sell PSM due to financial crisis then its employees have the first right according to privatisation rules, and Pakistan Steel employees are ready to buy 26 percent shares of the mills and would make the organisation more profitable," they added.
The officials demanded to take immediate decision about Anti-dumping duty on Hot Rolled Coil by National Tariff Commission (NTC) which had to be taken by March 2010. "It indicates that some hidden hands want to take this organization on the verge of collapse and then buy it at throwaway price," they added.
Pakistan Steel has been paid just Rs 3 billion out of the Rs 25 billion bail-out package despite the passage of six months after the Prime Minister announced it on June 11, 2010, they deplored, saying that the delay in release of funds under the package to PSM is increasing the losses of the mills, as there is shortage of raw materials and production is declining continuously. Pakistan Steel CBA demanded to cancel the SRO immediately and penalised the vested elements involved in bringing the organisation to near collapse.