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Cipla denies reports of unrest at Sikkim facility

Posted by Ramesh Khati on September 22, 2009

(Business Standard)Pharmaceutical major Cipla has downplayed reports of employee unrest at its new drug manufacturing facility in Sikkim. Reports in some Sikkim-based newspapers said over 250 Cipla workers were protesting against the company’s failure to honour commitments made to them.


The company said there was no production loss and it had sorted issues with the employees. The reports, quoting protesting employees, said all the 250 staff members of Cipla have been on strike since September 18.

“The Cipla management had sent several employees on training with promises of providing good allowances and salaries. During the training period, they were given a monthly salary of Rs 5,500, which was reduced to Rs 3,500 after the completion of training,” reports said today.

Cipla had announced the setting up of a drug manufacturing facility for Rs 180 crore in 2007. The company was amongst the first pharmaceutical firms to tap the tax benefits offered to North Eastern states by setting up a unit in Sikkim.


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