Bonus Deadlock Deepens at Lower Fagu Tea Garden as Workers Threaten Court Action Ahead of Durga Puja

KalimNews | Gorubathan | September 27, 2025: A fresh round of negotiations over the bonus crisis at Lower Fagu Tea Garden ended without any breakthrough today, further escalating tensions ahead of Durga Puja. 

The meeting, convened at Shramik Bhavan, Dagapur, was attended by officers of the Labour Commission, including the Deputy Labour Commissioner Kalimpong and the Additional Labour Commissioner, North Bengal Zone, along with the management of the Lower Fagu Tea Garden, its owner Subarnapur Tea Estate Pvt. Ltd. and representatives of major three workers’ unions the Hill Terai Dooars Plantation Workers Union (affiliated with the Bharatiya Gorkha Prajatantrik Morcha), the National Union of Plantation Workers (affiliated with the Indian National Congress), the Trinamul Chiya Bagan Shramik Union (affiliated with AITMC),. Despite repeated appeals, the management refused to shift from its earlier position, leading to yet another stalemate.

Labour officials reminded the management that it was bound by the government’s advisory on bonus payment and could not disregard it. However, the management maintained its stance, confirming only that 9% of the bonus had already been deposited into workers’ bank accounts, except for four disputed cases. However, while insisting this was an interim arrangement, the tea garden workers representatives also indicated that the distributed 9% should not be considered the final settlement.

Union leaders expressed strong dissatisfaction with what they described as the management’s rigid and dismissive approach. They stated that the administration has now called another joint meeting for October 9, where the decision regarding the remaining 11% of the bonus will be taken. They also pointed out that both the local and district administration, as well as the state government, are closely monitoring the crisis, recognizing its potential to escalate further.

The unions, however, made it clear that they would only agree to resume work in the tea garden after the full 20% bonus is cleared. They rejected calls from both the management and administration to reopen the garden immediately. Leaders warned that if the matter is not resolved either by the management or through administrative intervention, the workers will be left with no choice but to approach the court.

The crisis stems from a wider dispute that intensified when the Circuit Bench of the Calcutta High Court at Jalpaiguri, in response to a writ petition (WPA 2099 of 2025) filed by the garden management, ordered the payment of an interim 9% bonus to workers by September 27. The management had argued financial incapacity to meet the 20% bonus rate prescribed by the state government and highlighted three years of operational losses. It also cited ongoing worker agitation as a reason for suspending operations on September 19.

In its petition, the management proposed a 9% payout, just above the statutory minimum of 8.33% under the Payment of Bonus Act, 1965, and drew on a Supreme Court judgment (The Management of Worth Trust vs. The Secretary, Worth Trust Workers Union, 2025) that upheld the legality of minimum bonus payments with scope for ex gratia adjustments.

However, after hearing both sides, the High Court declined to interfere with the state’s directive for a 20% bonus. Instead, it ordered the interim 9% to be paid immediately while clarifying that the remaining 11% would be decided through conciliation under the Payment of Bonus Act and the Industrial Disputes Act, to be overseen by the Labour Commissioner and the District Magistrate of Kalimpong.

Since then, tensions have escalated on the ground. On September 21, workers staged a gate meeting and demonstrations, followed by road blockades along the Damdim–Lava route and an indefinite strike in Gorubathan beginning on September 26. They accuse the management of partial compliance with the Court’s order and allege deliberate delay tactics.

Repeated negotiation attempts have failed. At one meeting, the management proposed to pay 16% in two installments—11% immediately and the remaining 5% later—but this was firmly rejected by the unions. In an unusual display of solidarity, several unions that are often divided have come together in this fight.

As Durga Puja draws near, the deadlock has created deep anxiety among workers who rely on their bonuses for the festive season, the unions remain firm on their demand for the entire 20%, stressing that they will not compromise.

All eyes are now on the conciliation process, as the workers brace for possible legal action and the state government faces increasing pressure to bring about a resolution.