Contract workers at VK Coal Mine in Kothagudem have threatened to strike over a bonus dispute with Shodha Constructions. The workers rejected the company’s Rs 65 per muster offer, demanding Rs 120, and staged a dharna on Tuesday.
Published Date – 10 November 2026, 08:36 PM
Kothagudem: VK Coal Mine Contract Workers JAC is on an agitation path at the VKCM opencast mine in Kothagudem over the payment of annual bonus to workers by the contracting agency.
The workers accused the contracting agency, Shodha Constructions Private Limited (SCPL), of failing to pay the statutory bonus, along with medical allowance, dress allowance and other benefits, to the workers engaged by it. The company bagged the contract to extract overburden (OB) and coal at Venkateshkhani coal mine (VKCM) and engaged around 550 workers on a contract basis at the mine to carry out different tasks.
According to INTUC VKCM president J Mohan Rao, a bonus of 8.33 per cent per muster, along with allowances, has to be paid to the workers every year. The workers demanded a bonus of Rs 150 per muster and finally agreed to accept Rs 120, but the company insisted on paying only Rs 65 per muster.
He said there were around 17 contracting agencies under SCCL in different areas and that they paid bonuses ranging from Rs 95 to Rs 125 per muster to workers. A contracting agency functioning at Sathupalli offered a bonus of Rs 110 per muster.
For the past few days, the JAC leaders, representing around 11 trade unions, had held talks with Shodha official Kishore Reddy, but in vain. Similarly, the JAC held talks with SCCL officials, who, in turn, held consultations with Shodha executives, Mohan Rao told Telangana Today.
Meanwhile, JAC leaders and workers staged a dharna at the SCCL area General Manager’s office on Tuesday in support of their demand. The leaders, speaking on the occasion, stated that VKCM stood at the top among all opencast mines, with 148 per cent production, due to the workers’ efforts.
But the contracting agency had failed to acknowledge their hard work, they alleged. When the final reports arrived, the workers were invited by the SCCL GM for another round of talks late in the evening. If the talks failed, the JAC would go on strike from Wednesday, the leaders said.
It is learnt that even as the workers were engaged in talks with the officials, the Shodha management reportedly credited a bonus of Rs 65 per muster to their accounts by the evening. Shodha Constructions Private Limited is said to be run by relatives of Chief Minister A Revanth Reddy. One of its directors, Soodini Deethi Reddy, happens to be the wife of S Srujan Reddy, who is said to be the brother-in-law of the Chief Minister.

