The Abia State governor, Alex Otti has threatened heavy sanctions against Inner Galaxy Steel Company, a Chinese firm based in Umuahala-Obuzor, Ukwa West local government.
Otti handed down the threat at a meeting with the management of the company and the Traditional Rulers Council of the local government at his Umuehim Nvosi country residence.
The threat followed allegations of employee-abuse and non-performance of corporate social responsibility by the monarchs and about six years of tax evasion by the local government.
“Successful companies set up a host relations department. Some people call it community relations, who interface between the company and the host community,” he said.
“It is not very good for it to be reported that you have not sat down with the leadership of your host community and if they write you letters you ignore those letters”.
“The truth about it is that if the community is not there, you cannot exist. If the community is in turmoil, your business will be in turmoil no matter how many security agencies you surround yourselves with.”
He urged the management of the company to conduct an internal audit to find out the exact amount their staff are paid to address the issues being raised about the minimum wage it pays.
In his response, the managing director of the company, Hongming Zhang said the company prioritises staff welfare and conducts its businesses in line with international best practices.
“We have a record of the amount we pay our workers and it varies from N60,000 to N500,000 which is dependent on the job each staff performs,” he said
“We provide accommodations for the staff that live in the compound and we have our canteen where staff can get food from using the meal tickets given to them by the company.
He assured that the company would make serious efforts to meet the demands of the community and improve its engagements with the host community.
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