Steel Plant privatisation takes a toll on employees’ mental health

A recent study conducted by Andhra University professors MVR Raju and G Sharvani has unveiled the alarming impact of the Rashtriya Ispat Nigam Limited, the corporate entity Visakhapatnam Steel Plant’s privatisation on the mental health of its employees. The research, published in the Indian Academy of Applied Psychology journal, highlights a surge in stress levels and related health issues, especially among executive staff.
“The looming threat of job insecurity has significantly affected the mental well-being of employees, particularly those in leadership positions,” said Prof Raju. The study further revealed a stark disparity in mental health concerns across different age groups, with PG graduates earning Rs 11 lakh annually experiencing higher levels of stress.
“Employees aged 25 to 35, who are tech-savvy and actively seeking opportunities outside the plant due to privatisation, are grappling with heightened anxiety regarding job security and financial stability,” added Prof Sharvani. This uncertainty has impacted their ability to manage personal expenses and educational costs for their children.
The Union Cabinet’s 2021 decision to fully privatise the Visakhapatnam Steel Plant further exacerbated employee anxiety. The study assessed the impact on Visakhapatnam Steel Plant employees, considering factors like age, education, income, and job status. Executive staff were found to be disproportionately affected by mental health issues.
“Many executives derive a significant part of their identity from their roles, including salary, seniority, and experience,” explained Prof Raju. “The uncertainty surrounding privatisation is amplifying feelings of social isolation and increasing stress levels.”
As the plant prepares to send 500 employees on deputation to the NNDC Nagarnar plant, employees remain uncertain about their future. “We hope the government will provide clear communication and support during this challenging time,” stated a concerned executive employee. “Without this, we fear for our jobs and our future.”