Should Tatas Have Stayed in Bengal

Should Tatas Have Stayed in Bengal

  • Submitted By: brij
  • Date Submitted: 03/16/2009 11:52 PM
  • Category: Business
  • Words: 959
  • Page: 4
  • Views: 959

A new management Jorgen “Man proposes and Government Disposes” can be clearly reflected in factual case of the Singur Project of TATA’ in West Bengal. With some fiscal incentives that were given by the government of WB in comparison with other states like: Subsidy on land Concessional power Soft loan (loan of 200 cr @ 1 % interest rate) Tax Loan repayment This attractive profile made the cost of the project fall and leads the WB government also in greater advantages: But due to the unbearable problems on a regular intervals that was caused by political disturbance and non corporation of the local people the project had to be taken off from Singur and shifted an other proposed state. If the TATA’s had tried staying in Singur which they did try by even negotiate with the problem but their were certain instances like the Tata group chairman Ratan Tata being threatened to pull Tata as “constant violence” and “disruption”, which he said pose a threat to workers and equipment at the project site. And one or two also occurred on the plant. So the clear statement made by the Chairman : “If anybody is under the impression that because we have made this large investment of Rs 1,500 crore… we would not move, we say, no. We would move at whatever the cost to protect our people. I can’t bring our managers and their families to West Bengal if they are going to be beaten and there is going to be violence constantly,”. So if your employees are not safe to work in an healthy environment then it’s a really difficult to go alone with any kind of work ,And due to so much of political instability it was better for TATA’s to rule the idea of Singur as in long run they would have to face this kind of external un required problem on a regular basic and that could lead to the regular strikes , shut down of plan on regular intervals and many more legal issues that would variable increase the cost of the project. And more ever harm to the employees...

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