Andhra: Jagan demands additional Rs 1 crore ex-gratia to kin of Vizag mishap victims

Visakhapatnam, June 10 (IANS) Former Andhra Pradesh Chief Minister and YSR Congress Party President Y.S. Jagan Mohan Reddy on Wednesday demanded an additional ex-gratia of Rs 1 crore for the kin of those killed in the Visakhapatnam Steel Plant mishap.
He said the families of the deceased should receive an ex-gratia payment of Rs 1 crore, over and above what is due, along with a job.
He also demanded that the Assembly pass a resolution opposing the privatisation of VSP.
Jagan Mohan Reddy was speaking to the media after visiting the injured at a hospital.
Y.S. Jagan said that the government is boasting about a Rs 1.72 crore compensation package. However, he pointed out that the amount is the victims’ rightful due in the form of insurance and other benefits. The government should pay an additional Rs 1 crore over and above that amount and provide a job to a family member of each deceased worker. The package includes a small amount from the PM Relief Fund and the State’s share.
While the blast claimed nine lives and five injured persons are undergoing treatment, with one of them in a serious condition suffering 95 per cent burn injuries, the government should act with humanity and follow the example set during the LG Polymers incident by providing Rs 1 crore ex-gratia, he said.
The government is boasting about the Rs 11,440 crore package for Visakhapatnam Steel Plant (VSP), but the amount is not meant to improve safety parameters or employee welfare. Instead, it is meant to reduce staff through VRS, clear bank dues, and take other such measures.
The incident occurred due to a liquid metal blast, and the employees were not at fault. Therefore, he demanded additional compensation. He also sought similar benefits for the family of Pentiah, a regular employee who died in April 2025 under similar circumstances. Though the family was assured compensation and a job for a family member, nothing has been done so far.
Y.S. Jagan Mohan Reddy also demanded that the coalition government pass a resolution in the Assembly opposing any move to privatise VSP, as the YSRCP government had done earlier. He noted that the YSRCP government had also written letters to the Prime Minister opposing privatisation and suggesting measures to save the Steel Plant and make it profitable.
The coalition government has been neglecting the staff, and the number of employees has dwindled from 28,000 to 16,000 during Chandrababu Naidu’s tenure. In all, 10,500 employees were shown the door either through retrenchment, VRS, or retirement, he said.
He alleged that management is coercing employees to opt for VRS and has curtailed several benefits, including medical facilities, HRA, LTA, and bonuses. It has also increased electricity charges in the quarters from Rs 0.50 per unit to Rs 8.50 per unit.
–IANS
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