Resentment brews over closure of paper mill in Odisha’s Jeypore

For the past eight months, operations at the paper mill in Odisha’s Jeypore in Koraput district have remained at a standstill. Resentment gradually brews among employees for alleged non-payment of salaries and politics intensifies in the State over the closure, sources said on Sunday.

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The mill had halted production in September last year. Previously, it was a bustling hub producing tonnes of papers each day for markets in the State and outside.

Meanwhile, staff have gone without wages during this period, and former employees have reportedly been deprived of their pensions for the last five years.

Local economy worse affected

The mill's closure is causing distress among its workforce, affecting both the livelihoods of employees and the local economy. 
Although this is not the first time the mill has faced such uncertainty, this latest closure has ignited political debate in Jeypore. Local dissatisfaction is on the rise among workers and residents.

The Labour Department in Odisha has confirmed that negotiations with the mill’s management are underway regarding compensation and pension issues affecting both the current and retired employees. Politically, the situation resonates strongly.

Biju Janata Dal (BJD) has advocated for greater support towards industrial sectors, while the Congress party points an accusing finger at the previous BJD-led government, criticising it for neglecting industrial promises made under the 'Make in Odisha' initiative.

As tensions mount, both political parties and local communities are calling for immediate attention towards revitalising the mill.
“Production has been halted but duties of all staffs are continuing as before. The payments will certainly be made one day or the other. Gratuity money of the retired persons, and arrear amount of the present employees are pending,” an employee of the paper mill, Aman Ujjiban Naik said to OTV.

“However, we get to hear that discussions are on and there is a positive response from all stakeholders. Two officers are to come the next week and the issues will be resolved soon,” Aman Naik stated.

“I retired in 2018, but have not yet received my retirement benefits along with an arrear salary of six months,” a retired employee of the paper mill, B Ravi Kumar expressed.

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“We have received complaints in this regard and have sought a reply from the company authorities. We are trying to resolve the issue and will be sorted out soon,” the district labour officer (DLO) in Jeypore, Sabita Nayak said when contacted.