The Oil and Natural Gas Corporation Limited (ONGC) announced that it has been losing money in Assam due to low production and high employee headcount.
“The company is losing money while continuing its operations at Assam for the last few years; one of the reasons being low production and high manpower,” ONGC stated.
Talking about the sit-in protest initiated by members of the ONGC Purbanchal Employees’ Association (OPEA) in Nazira, the oil and gas company said that while the protest is peaceful, it was started over the discontinuation of a particular overtime payment, “which was not admissible.”
The company has also refuted the Union’s claim about its medical and welfare facilities, calling it “factually incorrect.”
“The change from direct credit to reimbursement mode has been introduced to curb misuse and malpractice related to a unique welfare facility the company provides to its in-service as well as to its former employees,” ONGC explained.
ONGC has also emphasised its commitment to hiring locally and how it continues to invest heavily in the local community. The company highlighted “its commitment to Assam through a wide range of Corporate Social Responsibility (CSR) initiatives. These include sustained investment in education, healthcare, infrastructure, and skill development. The Siu-Ka-Pha Hospital at Sivasagar is one such flagship project providing healthcare to the locals.”
While the recent changes in ONGC’s policies in Assam have caused some tension, the company remains hopeful about creating long-term sustainability for its operations in Assam.