HC asks Chevron to give Tk 620cr to employees

The High Court today directed Chevron Bangladesh, the US oil and gas company, to give Tk 620 crore due to its employees.   

The due money will be equally distributed to around 600 employees immediately, according to the HC order.  

The bench of Justice Tariq ul Hakim and Justice Md Iqbal Kabir Lytton came up with the order after holding a hearing on a writ petition collectively filed by 538 Chevron employees.

Petitioners’ lawyer Barrister Omar Sadat told The Daily Star that an “out of court settlement” took place between Chevron Bangladesh and its employees as the company has agreed to give the due money [five per cent share] to them.  

Around 72 million US dollars are due to the employers of Chevron since 2006, the lawyer said, adding that the lawyers for the writ petitioners and Chevron have informed the issue of “out of court settlement” to the HC.

The HC declared the writ petition filed in 2016 disposed of, Barrister Omar Sadat said.

Following the same writ petition, the HC on December 15, 2016, issued the rule asking the government to explain why it should not be directed to take appropriate legal action against Chevron Bangladesh for not sharing a due part of its profit with its employees.

In the petition, the employees urged the HC to order the government to take necessary action against Chevron for not giving a part of the profit to them -- accumulated from 2006 to 2013.

Chevron is supposed to share 5 per cent of net profits with its workers and officials under Bangladesh Labour Act 2006, Barrister Omar Sadat said, adding that the law also permits the government to take legal action against the company for not doing so.

Following a supplementary writ petition, the HC on April 10, 2017, another HC bench had directed the government not to release the due funds of employers of Chevron Bangladesh to the company, as they apprehend that the US oil and gas giant might leave the country without paying their funds.

The April 10, 2017 order has been lifted following today’s HC order, Omar Sadat added.

Dr Naim Ahmed appeared for Chevron Bangladesh.