Hindustan Paper's Nagaon, Cachar employees not paid for months: Government

NEW DELHI: The government today said that employees of Nagaon and Cachar paper mills belonging to central PSU Hindustan Paper Corp have not been paid salaries for 8 months and 10 months, respectively.

However, a proposal for revival of Hindustan Paper Corporation is under consideration of the Department of Heavy Industry.

"The proposal also includes budgetary support for payment of salaries of the employees of Cachar Paper Mill and Nagaon Paper Mill," Minister of State for Heavy Industries and Public Enterprises Babul Supriyo said in a written reply in the Lok Sabha.

Due to shortage of working capital, the production in Cachar Paper Mill and Nagaon Paper Mill, units of Hindustan Paper Corporation, has been suspended since October 2015 and March 2017, respectively, the minister said.

He said that salaries of the employees have not been paid for the last 8 months for Nagaon paper mill and 10 months for Cachar Paper Mill.

Supriyo, however, said there is no confirmation regarding committing suicide by employees due to non-payment of salaries.

Hindustan Paper Corporation has demanded a revival package for its mills -- Nagaon Paper Mill and Cachar Paper Mill, the minister said.