Pharmabiz
 

ADMA seeks exemption from FMRAI's demands, urges Ayush dept to intervene

Suja Nair Shirodkar, MumbaiMonday, January 24, 2011, 08:00 Hrs  [IST]

The Ayurvedic Drug Manufacturers' Association (ADMA) is going to submit a representation to the Department of Ayush on January 24  to request the labour ministry to exempt the Ayurveda sector from the demands made by the Federation of Medical and Sales Representatives' Association of India (FMRAI).

FMRAI had appealed to the labour ministry that all the Medical and Sales Representatives (MSRs) should be included as labourers or workman in companies which will help them avail the benefits under the under the Sales Promotion Employees (SPE) Act, 1976. However, Chandrakanth Bhanushali, general secretary, ADMA points out that if this happens it will kill the nascent Ayurveda industry.

In a submission made by the FMARI to the labour ministry they want 40 sectors to come under the purview of the Sales Promotion Employees (SPE) Act, 1976 which includes the Ayurveda as well. In their submission to the labour ministry, Ayurveda takes the 30th position, however the industry which is not more than Rs. 5000 crore will not be able to fulfil the exorbitent demands made by FMRAI which includes demands for benefits such as high salary, earned, medical, extraordinary, study and casual leaves etc.

The representation will be made by the new elected members of ADMA to highlight the repercussion on the still growing industry if the MR's demands are complied with. They want the Department to urge the labour court on behalf of the industry and request them to drop the name of the Ayurveda from the list of industries submitted by the FMRAI. “The demands made by the FMRAI is quite high and it will not be possible for us to meet it since our industry is very small with only reasonable turnover. If their demands are met with and if we will have to consider Medical and Sales Representatives (MSRs) as workmen it would adversely affect and retard the growth opportunities of our industry,” Bhanushali pointed out.

The association has decided to take up this issue after receiving a letter from the department of Ayush which impressed upon the demands made by the FMRAI. The association is hopeful that the Ayush department will be successful in expressing upon the labour ministry about the ground reality of the condition of the industry and stop them from including the ayurvedic, unani and homoeopathic medicines in the list.

As of now, the MR's from the Ayurveda sector work at their will and get fixed pay along with the commission they earn as per the sales they do. Around 30 to 40 per cent of the sales of ayurvedic drugs are done through Over The Counter (OTC) products whereas the rest happens through the MRs. Thus if the Sales Promotion Employees (SPE) Act, 1976 becomes applicable to the Ayurveda sector, it will drastically effect the industry.

Even Indian Drug Manufacturers' Association (IDMA) had urged the Union labour ministry not to consider MSRs as workmen  and had expressed their concerns over the problems faced by the industry due to misuse of sales promotion employees (conditions of service) Act. 1976.

 
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