Demanding the immediate intervention of Chief Minister N. Chandrababu Naidu and Deputy Chief Minister K. Pawan Kalyan to cancel the bids issued for Expression of Interest (EOI) towards privatisation of 44 departments in the Visakhapatnam Steel Plant (VSP), representatives of the CPI(M) district committee staged a protest at Jagadamba Junction here on Tuesday.

Addressing the protesters, CPI(M) district secretary M. Jaggunaidu recalled that Prime Minister Narendra Modi had assured that VSP would remain in the public sector while announcing the revival package. He pointed out that the Chief Minister and Deputy Chief Minister too had promised there would be no privatisation, displaced persons would be given justice, and the revival package was showcased as an achievement of the alliance government within its first year in power.

However, Mr. Jaggunaidu alleged that the package was intended to mislead workers and the public, while accelerating the privatisation process. At present, he said, VSP engages nearly 600 local private agencies and contractors, who are set to be replaced by around 50 large firms working under the influence of the Centre and the State government. This, he warned, would deprive officials and permanent employees of any say in operations.

He further cautioned that the move would result in downsizing of permanent staff and mass termination of contract workers. Outsourced workers from other States would be appointed instead, without rights or job security. The EOI, he alleged, was designed to benefit big contractors and politically influential groups. VSP, which provides employment to nearly one lakh people directly and indirectly and has contributed about ₹54,000 crore to the Centre and State in taxes and dividends, was being handed over to vested interests, he alleged.

CPI(M) district secretariat member B. Ganga Rao came down heavily on TDP State president and Gajuwaka MLA Palla Srinivasa Rao, and Visakhapatnam MP M. Sribharat for not opposing the termination of 5,000 contract workers and 2,000 permanent workers in VSP. He termed it a betrayal of the people who had voted them to power.

District leaders R.K.S.V. Kumar, P. Mani, B. Jagan, V. Krishna Rao, B. Eswaramma, Subba Rao, P. Pydiraju and U.S.N. Raju also took part in the protest.