‘Norms impractical’: MSMEs stay shut despite permission

Gurgaon: Despite receiving permission from the government to resume operations, manufacturing units in the state, both megacorps and smaller enterprises, are choosing to stay shut citing the directives for resumption put out by the ministry of home affairs, among others.
Auto giant Maruti, for example, has decided to not start production at its Manesar facility till demand is restored.
“We will start operations whenever we can maintain continuous production and sell it (vehicles), which is not possible at this point in time,” Maruti Suzuki India chairman RC Bhargav said in a statement to the media.
Smaller businesses, however, have very different reasons. Some said that they are not being able to fulfil the norms required for obtaining the permission, and most have complained that the process of application for the same is tedious.
“The guidelines required for the permission necessitates even small-scale industries to arrange for stay of workers on the premises, or their transportation. HSIIDC sites never had the provision for residence on premises. How, then, can we arrange for workers to stay on the site?’ said PK Yadav, president, IMT Manesar industrial association.
Another clause that has sparked fear is that company owners can be prosecuted if an employee tests positive for Covid-19. “We will ensure safety on site, but we have no control over movement of workers beyond our premises,’ said Naresh Kantoor, owner Encon Systems, a robotics company.
The same hurdles are also impeding manufacturers associated with essential services. According to the Yadav, only five of the 25 units in Manesar that have permissions to run during the lockdown have resumed operations.
Kusum Dangle, who runs a manufacturing unit for food packaging and supplies to clients such as Procter & Gamble, was one of those who did not reopen despite permission. “Even though we had the permission, the police would harass labourers on their way to work. Also, the clause mentioning that employers can be prosecuted in case an employee contracts the virus was a little scary,” Dangle told TOI.
GMDA Chief VS Kundu said, “Anyone who wants resume operations will have to follow the guidelines. There are no two ways about it.”
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