Employment in Steel Sector

Ministry of Steel

Employment in Steel Sector

The Minister of Steel, Shri Beni Prasad Verma has said that there has been a significant increase in production of steel during the last few years. The data on production of crude steel in the country during the last five years is as under:

Year Crude steel production (in million tonnes)
Quantity Growth rate over last year (%)
2006-07 50.81 9.4
2007-08 53.86 5.9
2008-09 58.44 8.5
2009-10 65.84 12.7
2010-11* 69.57 5.7
Source: Joint Plant Committee (JPC); * =Provisional

In a written reply in the Lok Sabha today he said, there is no direct correlation between increase in employment and the increase in production of steel. It is not necessary that the employment should increase in the same ratio with the increase in production due to technological developments, automation, process improvement & best practices and the need to progressively reduce manpower per million tonne of steel production which made it possible to achieve higher production targets with less manpower. 
            He said, the details of production of crude steel in the public sector undertakings and direct employment generated / recruitment made during the last three years  are as under:-
Steel Authority of India Ltd.(SAIL)

Year Production (in million tonnes) No. of Recruitment
2008-09 13.41 1288
2009-10 13.51 1788
2010-11 13.76 1575
Source: SAIL

Rashtriya Ispat Nigam Ltd. (RINL)

Year Production (in million tonnes) Manpower as on 31st March
2008-09 3.145 17,225
2009-10 3.3999 17,830
2010-11 3.424 17,829
Source: RINL

The Minister said, in today’s de-regulated, open market economy, the role of Government is that of a facilitator and in that capacity, it promotes/encourages growth of steel industry through suitable policy measures. Both the existing public sector steel companies namely SAIL and RINL are in the process of expanding their crude steel capacities thereby creating employment opportunities for unemployed youths.
            Another public sector company, namely NMDC Ltd., is setting up a 3 million tonnes per annum integrated steel plant at Nagarnar, Chhattisgarh which is likely to generate additional employment opportunities, Shri Verma added.



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