Delay in announcing profit share bonus for 2025-26 by SCCL irks employees

Thousands of Singareni Collieries employees are awaiting the announcement of the company’s 2025-26 net profit and profit-share bonus. TBGKS demanded an immediate declaration and a 40 per cent bonus, opposing deductions from net profits towards expansion investments

Kothagudem: The delay in announcing the net profit earned by the Singareni Collieries Company Limited (SCCL) and the profit-share bonus for employees for the financial year 2025-26 has left thousands of employees on tenterhooks.

It may be noted that ever since the Congress came to power, there has been a delay in announcing the net profit as well as the bonus amount. Usually, the company declares the profit earned in June or July after the State and Central audits are completed, followed by an announcement on the bonus to be paid to employees.

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Employees alleged that the CPI-affiliated All India Trade Union Congress (AITUC)-backed Singareni Collieries Workers Union, which was elected as the recognised union and representative union of the INTUC, has remained silent despite the delay in announcing the bonus.

Speaking to Telangana Today, Telangana Boggu Gani Karmika Sangham (TBGKS) State chief general secretary Kapu Krishna objected to the recognised union’s silence over the issue and demanded that the company immediately declare its profits and the bonus to be paid to employees.

He demanded that the SCCL management pay employees a 40 per cent bonus. The company, he said, should declare the bonus amount based on the net profit earned instead of deducting expansion costs from it.

When the BRS was in power, the bonus was paid from the net profit, enabling employees to receive higher amounts. However, after the Congress came to power, the company began deducting a certain amount from the net profit towards expansion investments, thus reducing the effective bonus payout, the TBGKS leader alleged.

He said the company posted a net profit of Rs. 6,394 crore for 2024-25, of which Rs. 4,034 crore was deducted towards expansion projects. From the balance of Rs. 2,360 crore, 34 per cent, amounting to Rs. 819 crore, was distributed as bonus.

The same practice was followed in 2023-24, when the net profit was Rs. 4,701 crore, of which Rs. 2,289 crore was set aside for expansion investments.

The profit share of 33 per cent, amounting to Rs. 796 crore, was calculated from the remaining Rs. 2,412 crore. In effect, employees received a bonus equivalent to only 16.90 per cent of the total net profit, Krishna explained.