Read more about Coal India s $5 billion annual wage bill set to rise amid rocky outlook on Business Standard. The state-owned company is expected to begin talks this month that could result in paychecks climbing 20% or more.
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(Bloomberg) Coal India Ltd., the world’s biggest miner of the fossil fuel, is about to enter negotiations with trade unions over potentially hefty pay hikes at a time when the global push for clean energy is putting the industry’s future into doubt.
The Indian coal giant is expected to begin talks this month that could result in paychecks climbing 20% or more, bloating its more than $5 billion annual wage bill. The Kolkata-based company revises salaries of non-executive staff every five years, and the next change is due starting in July.
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The world’s biggest coal miner is about to enter negotiations with trade unions over potentially hefty pay hikes at a time when the global push for clean energy is putting the industry’s future into doubt.
Improved coal base generation adding to optimism on Coal India
With the rally in commodity stocks, Coal India Ltd, the country’s largest coal producer and supplier, too, is seeing stock prices rebound. Adding to its gains of more than 7% on Monday, the stock saw intraday gains of about 5% in morning trades on Tuesday. Strong demand and rising realizations for commodities such as steel, aluminium, cement and others bode well for coal demand and realizations. Rebound in demand from the power sector, though, provides the silver lining. Power demand remains crucial for Coal India’s volumes as the majority of supplies under fuel supply agreement (FSA) are directed towards thermal power plants in the country. It was the reduced inventory and lower plant load factor (PLF) of power plants that had meant a weak volume outlook for Coal India.