India's Only State-Owned Gold Mine Faces Workers' and Trade Union Agitation

Trade Union Threatens Escalation, Warns of Impact on Gold Production

Trade Union General Secretary S. M. Shafi addresses workers gathered outside the Hutti Gold Mines administrative office during the ongoing indefinite protest.

India's only fully functional state-owned primary gold mine, Hutti Gold Mines Company Limited (HGML), has been hit by an indefinite workers' protest amid growing concerns over employee welfare, wage-related issues, and job security.

Workers at HGML have launched an indefinite sit-in protest over long-pending welfare, wage, and employment-related grievances. Gathering outside the company's administrative offices with black flags and placards, demonstrators warned that continued inaction by management could ultimately affect gold production.

Operating under the Government of Karnataka, HGML remains India's sole public sector enterprise engaged in continuous underground gold mining. The company produces approximately 1.5 to 2 tonnes of gold annually and serves as a critical economic lifeline for the Hutti region while generating significant revenue and royalties for the state government.

Senior trade union leader Meenakshi Sundaram, National Secretary of CITU and former Karnataka State President, addresses workers during the indefinite protest at Hutti Gold Mines Company Limited (HGML).

According to S. M. Shafi, General Secretary of the Trade Union, the workers' principal demands include:

• Immediate implementation of the Medical Unfit Scheme for ailing employees.
• Settlement of pending wage revisions and outstanding financial benefits.
• Employment opportunities for local youth and a reduction in dependence on outsourced contract labour.
• Reinstatement of dismissed workers.

"Repeated rounds of discussions with management have failed to yield meaningful results, leaving us with no option but to intensify our agitation," Shafi said.

He further warned, "If workers' legitimate demands continue to be ignored, gold production could eventually be affected."

The union maintains that despite multiple meetings with management, no concrete progress has been made on issues affecting workers' welfare, livelihoods, and job security. Protest leaders have urged both company management and the Karnataka government to intervene before the dispute escalates further.

With negotiations currently stalled, attention is now focused on whether state authorities will step in to resolve the dispute before it disrupts operations at one of India's most strategically important mining enterprises.

— Mohammed Hussain
     DefenceReport