The factory which was set up in 1980 with 250 workers, started production in 1983. The total turnout of the factory went up to Rs 45 crore in 1990, from Rs 1 crore. Soon after the decision, the factory management has offered a sum of Rs 40,000 each as compensation under the Voluntary Retirement Scheme (VRS). This reportedly is not acceptable to the factory workers, who held a gate meeting today.

Expressing their anguish over the deteriorating condition of the factory, the speakers criticised the management for offering a meagre sum of Rs 40,000 to each worker for more than 15 years of service. They alleged the PSIDC management was deliberately trying to escape its responsibilities and was conspiring to close down the once profit-making unit.

In a statement issued here, ESPL Employees Union president R.P. Singh demanded that instead of reducing the manpower by VRS, the management and PSIDC should adjust the employees in other government companies and corporations.

The union also demanded a CBI inquiry for fixing responsibility of losses incurred during the last 8 years.