YSRCP’s Gudivada Amarnadh alleges collusion between the Centre and AP govt over Visakhapatnam Steel Plant’s privatisation, citing massive layoffs of over 15,000 employees and withdrawal of CISF security since June 2024.
The YSR Congress Party (YSRCP) on Sunday alleged “collusion” between the Centre and the Andhra Pradesh government over the proposed privatisation of the Visakhapatnam Steel Plant.
Allegations of Workforce Reduction and Security Withdrawal
Former Andhra Pradesh Minister and YSRCP leader Gudivada Amarnadh alleged that decisions taken by the NDA governments at the Centre and in the state over the last two and a half years had resulted in a significant reduction in the plant’s workforce. He further alleged that since June 2024, nearly 6,500 contract employees had been laid off, while around 8,000 to 9,000 permanent employees had left through voluntary retirement or age-based retirement. “Since the last two and a half years, the decisions taken by the NDA government in the Centre as well as the State in privatising Visakhapatnam Steel Plant. The decisions taken by the NDA government since June 2024–they have laid off almost 6,500 contract employees. They have given mega VRS to the permanent employees–almost 8,000 to 9,000 employees by voluntary retirement or by age retirement; they have almost removed 9,000 employees.” Amarnadh said.
Amarnadh alleged that the withdrawal of CISF personnel and Fire and Safety Department officers was another decision linked to the government’s approach towards the steel plant. “Now, they have taken back the CISF, the major protection force that protects the Visakhapatnam Steel Plant, which is worth around ₹2 to ₹2.5 lakh crore. And the Fire and Safety Department officers have also been called off,” the former minister further said.
YSRCP’s Stance and Critique of Financial Package
Earlier, Amarnath strongly criticised the central government’s handling of the Visakhapatnam Steel Plant (VSP) issue on Saturday and emphasised that YSRCP had consistently opposed its privatisation under the leadership of former Chief Minister YS Jagan Mohan Reddy. He asserted that the steel plant, which has been operating under severe financial stress, requires sustainable solutions, and the package announced by the central government is insufficient to address its core issues.
Amarnath stated that it was due to YSRCP’s steadfast opposition that the privatisation process was halted, a fact acknowledged by Union Minister HD Kumar Swamy. He also highlighted that the Andhra Pradesh Assembly had passed a resolution opposing privatisation and sent it to the central government, showcasing the state’s unwavering commitment to protecting the steel plant and its workforce.
The Former Minister also raised concerns over the financial package announced by the central government, stating that it falls short of expectations and clarity. He pointed out that from the announced Rs 11,400 crore, Rs 1,500 crore has already been deducted, leaving only Rs 9,800 crore, which is inadequate for reviving the plant. (ANI)
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