In a move designed to improve the industrial relations climate in the State, the Kerala Government has decided to include representatives of trade unions in the director boards of public sector companies.

The announcement by the Industries Minister Elamaram Karim meets a long-standing demand of trade unions. The historic step, the first of its kind in the country, is bound to be emulated by other States as well.

A formal order in this connection is likely to be issued shortly, according to informed sources.

It is learnt that steps will also be taken to improve the skills of staff by imparting training to them.

The Government is planning to start eight new companies in the public sector before the end of the year. The new companies will be: SIDCO Tool Room (Kozhikode), UEI Meter Manufacturing unit, Palakkad, SIFL Forging Unit, Shoranur, KELTRON Tool Room (Kuttippuram in Malappuram district), Traco Cable unit (Kannur), Hi-Tech textile Mill, Kannur, Hi-Tech Textilee Mill (Kasargod) and Hi-Tech Spinning and Weaving Mill, Komalapuram. Nine PSU units will be expanded with an investment of Rs 275 crore.

Public sector units will see a total investment of Rs 450 crore in 2010. During the erstwhile United Democratic Front (UDF) government, only 12 public sector units were in the black. The last four years after the Left Democratic Front (LDF) government saw 20 more public sector units making profit. Only five more companies in the industries department are in the red now.

According to Industries Department sources, the public sector units have made a profit of Rs 240 crore during the year 2009-10. The profit is likely to touch Rs 310 crore by next year. The year 2005-06, the last year of the UDF rule, witnessed the public sector units plummeting to a loss of Rs 69 crore.,

The LDF Government has done a lot to improve the health of small scale industries, too. As many as 12, 887 new units were started in the financial year 2009-10, involving an investment of Rs 663 crore. These initiatives helped to ensure direct employment to 53,641 and partial jobs to thousands more. (IPA)