Kodaikanal Plant
In mid-2004, Hindustan Lever Ltd (HLL) executives looked back at the events of the past three years at their mercury thermometer factory in Kodaikanal in the south Indian state of Tamil Nadu. After mercury leakage from the plant had been reported in March 2001, heavy expenditure had been incurred in environmental risk assessment, waste disposal and health monitoring. The expenditure had exceeded the total profits generated by the plant since its inception. But the pressure from NGOs, led by Greenpeace[1], who had been protesting since March 2001 had not subsided.
The NGOs had indulged in novel ways of keeping the issue alive. These included chaining themselves to the HLL branch office in Chennai on 15th November 2002, disrupting the Annual General Meetings (AGMs) of HLL held on 13th June 2003 and 29th June 2004, shouting slogans and brandishing placards and enlisting sympathy from ex-workers and the general public. Greenspace also maintained the pressure on HLL through its website, photoalbums, posters, persistent media briefing and seminars. The NGOs had most recently attacked HLL in April 2004 in a seminar in Chennai.
Even as they waited anxiously for the regulator, Tamil Nadu Pollution Control Board’s (TNPCB) nod to start decontamination of equipment and remediation of soil, HLL’s senior managers believed they had discharged their duties conscientiously. They wondered what more was needed to be done to bring the whole episode to an amicable closure. Why had the events turned out to be far more complicated than anticipated?
Background Note
HLL, a 51% subsidiary of the Anglo-Dutch Conglomerate, had acquired a tremendous reputation as one of India’s best-managed companies. Despite being the subsidiary of a Multinational Corporation (MNC), HLL was perceived to be more Indian than foreign, in the way it managed its operations, HLL’s origin went back to 1885 when the Lever Brothers was set
Bibliography: [4] Interview with case writer in Mumbai on May 19, 2004. [5] Interview with case writer in Mumbai on May 19, 2004. [6] Using a gold film mercury vapour analyser [Jerome Sampler], calibrated annually by the manufacturer [7] Nityanand Jayaraman, “Unilever’s Mercury Fever,” special to Corpwatch, October 4, 2001 [11] HLL’s internal documents [12] Nityanand Jayaraman, “Unilever’s Mercury Fever,” Special to corpwatch, October 4, 2001 [14] Nityanand Jayaraman, “Unilever’s Mercury Fever,” Special to Corpwatch, October 4, 2001. www.earthrights.org [15] Interview with case writer, May 19, 2004