Seventeen managers of Surya Nepal Private Limited, who were locked up by the workers for 34 hours in the factory premises in Simra, were freed this morning at 3 a.m. after the intervention by the district administration, civil society members, rights activists, media representatives and trade unions, according to the press statement by the company.

“The Managers were released on the condition that a meeting would be convened today with the CDO of Bara District as the co coordinator, at the Surya Nepal Pvt. Ltd. Simra Factory in the presence of representatives from the Management of SNPL, Trade Unions, Civil Society members, Human Rights Activists, media, labor Office, Birganj Chamber of Commerce and Industries and lawyers, to resolve the issue,” states a press release issued by SNPL.

According to the SNPL, a handful of office bearers of Surya Tobacco Mazdoor Union had locked up the managers since 3 pm on November 8 demanding raise in their wages. The workers had even gone on a fast unto death in front of the factory fate and had resorted to complete stoppage of operations from 6 p.m. on that date.

According to the company, its problem with the Surya Tobacco Mazdoor Union –the authorized trade union of the factory – started two and a half months ago when Surya Nepal Pvt. Ltd., Simra Factory was confronted with a series of unlawful demands perpetuated by the union.

The company further informed that after the government had increased the minimum wages for workers – raising the minimum basic salary from Rs. 1700 to Rs. 2200 and minimum dearness allowance from Rs. 860 to Rs. 1100 – it, too, revised the same for those workmen in the organization whose Basic salary and Dearness allowance levels were below the notified amounts with effect from August 15.

However, after the SNPL revised its wages, “the union subsequent communications stated that it is unjustified and discriminatory to increase the wages only for those workmen whose existing basic salary and dearness allowance is below the minimum wages and the same increase should be given to all the workmen in the unit, for even those earning more than twice or thrice of the minimum wages.”

On Saturday’s press statement, SNPL has said that the FNCCI, too, has formally communicated to the company that it also held the view that “only workers whose wages were lower than the amount specified in the gazette notification were eligible for the differential amount.”

In its statement, SNPL has claimed that it has always been a fair employer, adhering to the highest standards of Corporate Governance.

“Nepal has entered a period of peace and rebuilding, after going through over a decade long insurgency. At this point of time, doubts arise on the sustainability of existing business and investment including foreign investments, in the absence of proactive trade unionism. While workers’ interests have to be protected at all times, unlawful militant trade unionism will seriously affect industrial output, growth and investments,” the SNPL adds in its statement.