For the management's move to introduce austerity measures in Chennai Port to curtail the huge loss, likely to be reported this year, the port trustees have said a big 'no.' The trustees, at a special board meeting on October 28, felt the measures were mainly targeted at workers at the ‘lower level.’
The trustees have sought a modified proposal to ensure a 20 per cent reduction in the port’s overall expenditure. Chennai port is likely to report a loss of around Rs 129 crore this financial year, mainly due to the complete stoppage of coal handling and iron ore in the last two years.
Despite getting a dividend of Rs 20 crore from Ennore Port (EPL), in which ChPT is a major equity shareholder, Chennai port's loss will be high. As part of the austerity measure, the Chennai port sought an increase in equity shareholding of ChPT and the Centre in EPL by another Rs 100 crore to earn more dividend.