Friday, September 16, 2011

Unionism leads to closure of Fire and Ice

Fire and Ice — one of the most popular restaurants in Kathmandu for the past 17 years — has been closed since past one months.During a staff meeting on August 10 almost all the staff on duty led by five workers walked off the job without any warning protesting the appointment of the evening manager by the management.
"There were still customers waiting to be served and they could not finish their meal," according to Annamaria Forgione, managing director of Fire and Ice Fire that first opened its doors in January 1995.
"The situation escalated when we were almost ready to go home at around l0 pm when one worker attacked my HHR manager," Forgione said, adding that the others joined in, two people got hurt. It is almost impossible for me to continue to run the restaurant with the pressure of constant bullying.
"It was yet another situation where the labour-management dispute has led to the closure of company after the Surya Nepal garments unit.According to the central bank data, the country has received Rs 10.05 billion of foreign direct investment (FDI) commitment in the fiscal year 2010-11, against Rs 9.10 billion a fiscal year ago. "Department of Industry approved 209 joint venture projects with a FDI commitment of Rs 10.05 billion in 2010-11 against some 171 joint venture projects with a total amount of Rs 9.1 billion a fiscal year ago, the central bank said, adding that of 209 registered projects, 88 are service-related, 47 tourism, 39 manufacturing, 23 agriculture, six energy, five mines and one is construction-related projects.
But the militant trade unionism and weak law and order situation could hurt the investors' confidence.
"Unless the government and the trade unions are prepared to stand by the law and order, business people will think twice before investing in Nepal," Forgione added.
The restaurant was providing employment for 71 staff in total including cooks, waiters, barmen, cleaners, guards, store keepers, office employees, and HHR manager.
"My staff have been out of work for almost one and a half months. I do not have the power to bring them back to work, as, I believe they are afraid of repercussions from the Central Union Committee and continued bullying from the five workers — four cooks and a barman — who feel they can act as owners. The Central Trade Union Committee is controlling the entire incident and exerting total control over my staff," added Forgione.
"As a foreigner working in Nepal, I do not have any choice but follow the law of the land but discipline to run the company is essential," added Forgione.

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