South India Small Spinners Association(SISSPA) was established in the year 1991 to safeguard the interests of the small spinning mills and to guide them towards healthy growth and development.
Textile Industry is reeling under tremendous pressure in running because of the following reasons:
• There is no parity between raw material prices and yarn selling costs.
• Even then the mills are not able to move their finished products
• After selling the yarn the mills are under the mercy of yarn dealers for payment
• Bank interest rates have gone up by more than 4%.
As far as the workmen are concerned the problems are precarious due to leave, absentisum and shortage. The wage control is only with the workmen and not with the management and the same was endorsed by the Hon’ble Union Minister of State for Labour, Shri Oscar Fernandas during the recently concluded TEX SUMMIT 2007 held in Vigyan Bhawan, New Delhi.
Moreover the textile industry is providing job opportunities to the mal-nutritious, uneducated adults, which was also deliberated by Mr.Manickam Ramaswamy, Past Chairman, The Southern India Mills Association (SIMA) in the above TEX SUMMIT 2007.
The breakups of the wage structure of the Mills are as follows:
• Wages per day - Rs. 50/-
• Lump sum per day - Rs.45/- (This works out to Rs. 45,000 for the three years)
• Plus actual statutory benefits
• Accommodation (Cost to the Management Inclusive of Power, Water, Basic Amenities, Entertainment, Medical Facilities etc,) - Rs. 25/-
And the exact position now is the mills are ready to provide Jobs with starting salary of Rs. 100/- perday plus statutory benefits for any number of workmen on permanent basis.
Inspite of all these things the total industry is in loosing sphere. The above problems may be tied over by reduction of interest up to 4% or to the same level as of September 2006.
The industry is reeling under the impact due to the mismatch between cost and sales and is not in a position to service the principle and interest payment.
We request the government to announce moratorium and reschedule the principle and repayment atleast for one year for the betterment of the Industry.
