The General Manager (Project)

Ref.: EIEL//Tech/ 16th December, 2009

The General Manager (Project),

M/s Engineers India, Ltd.

Angul: Orissa

Sub.: Civil & Structural Works Cast house at Smelter, Angul

This has reference to your letterEIA /6647-02/ABF-C&S /F-01/11789 dated 02.12.2009 regarding stoppage of work at site from 27.11.2009 addressed to our Vice President (Mr. S.P.Singh)

We thanks and appreciate your concern for progress of work.However the stoppage of work is mainly due to Worsening law and order situation at site. Local contractors are misbehaving with staff repeatedly on everyday emerging new issues and illegal strikes. At number of times,due to this type of contravenes, on resistance our staff had been constrused by locals and many of our site staff left the jobs in past also . The emerging scenario pushed us in backlash as far as progress of work is concerned .Since beginning output is very poor and we are incurring huge losses. Due to this type of situation many of our site staff even could not move to site. Otherwise there is no reason that staff does not attend the office and come to site. However the situation has improved and work was resumed and now ourstaff is regularly available at site. We had requested M/s Nalco to do the needful to improve the law and order situation at site and we hope that M/s NALCO would take appropriate measures in this direction.

Sir, as you are aware that labour was on strike on the issue of minimum wages. M/s Nalco/Government has revised the rates for several times. This type of increase in labour wages has never been witnessed during past few years and due to this unprecedented hike in the wages and many other imponderables existing at this site the contract rates have become unworkable.

This type of repeated situation is becoming big impediment for augmentation of the work. Therefore we request M/s EIL/Nalco to look into this matter and ensure improvement in the law & order situation prevailing at site. Additionally we request to reimburse the increased amount towards revision of labor wages which has been imposed many times.

Thanking you and assuring you our best services all the times.

For Era Infra Engineering Ltd

CC: - Shri T.D.Arora, ED,EIEL,New Delhi.

Shri S.P.Singh , Vice President (Projects)