FNCCI urges DII and workers to settle dispute

Wed, May 20, 2015 12:00 AM on Others, Others,

KATHMANDU:

The Federation of Nepalese Chambers of Commerce and Industry (FNCCI) has appealed to the management and trade union to solve their differences through dialogue and resume service of Kentucky Fried Chicken (KFC) Restaurant and Pizza Hut at the earliest. The famous eateries have remained closed for the last one week.

After the dispute between the management — Devyani International Nepal (DII) — and workers union — All Nepal Revolutionary Hotel and Restaurant Workers’ Association — four outlets of the international food chains KFC Restaurant and Pizza Hut at Durbar Marg, and Pizza Hut Delivery (PHD) Restaurant and KFC Restaurant stationed at Blue Bird Mall, Thapathali were shut down by the management for an indefinite period.

FNCCI in its press release issued today, cautioned both the management and trade union that ‘closure of KFC and Pizza Hut, which is being run with full foreign investment, would send a negative message’ in the international market. It has also stated that if necessary, it is also ready to mediate for the dialogue between the management and trade union to resolve the issue.

Started with an investment of Rs 110 million in 2009, the international food chain has provided employment to some 180 workers. The management has stated that the trade union workers manhandled senior staff and managers with a demand to operate the eateries only during hours that were convenient for them, following the earthquake of April 25.

According to the press statement issued by the management last week, there were chances of senior staff members having to deal with the wrath of union members and damages to the restaurant if they resumed operation. The management had also stated of implementing ‘no work, no pay’ provision during the period of closure.

However, the trade union has refuted the charges of the management and condemned ‘no work, no pay’ provision. It has also accused the management of not coming in contact for dialogue. “We tried to contact the management for discussion, but they continue to dismiss our request for a dialogue,” said Sitaram BK, president of the trade union. He said that the management decided to close the eateries unilaterally based on arguments with workers regarding the closing time.

Two years ago too, the eateries had been closed for a month as a result of a dispute between the management and trade union. Later, they were opened after striking an agreement, which included obeying company’s rules and regulations, respecting labour laws and taking action against misbehaving staff members, among others.

Source: THT