Paradip: Nearly 80 families who lost their homestead to Essar's steel project here renewed their agitation for permanent employment cover on Tuesday.

The protesting families squatted in front of the project gate, stopping raw materials from going in or finished products from coming out, affecting production at the pellet plant. The agitators took strong exception to the alleged dilly-dallying tactics of the administration and the steelmaker in fulfilling of their demands, including employment and rehabilitation of displaced families.

In 2016, the company had committed to provide employment to one member from each displaced family and gave a written undertaking to the district administration.

"The company has deliberately shied away from protecting the larger interest of the people affected. Essar officials had pledged to fulfil demands on several occasions after the district administration mediated in the dispute. But things have come a cropper as people who lost their land to the project continue to suffer," said Dharanidhar Swain, who led the agitation.

"As the company has ignored people's demand, we stopped production." Swain added that the company had assured employment at the unit to local residents. "The plant has been operational for seven years. But few of the affected families have got jobs. Those who have got jobs are on contract where there is no job security," he said.

Essar officials, however, refuted Swain's allegations.

"Majority of the displaced families received benefits from the company. They were paid Rs 19 lakh as compensation for each acre acquired from them. Members from displaced families were also provided part-time work on contract basis," an official said.

"The administration will hold talks with the company on April 5 to settle the matter. However, Essar is asserting that it has fulfilled the commitments it had made earlier regarding employment to displaced families. We hope that the differences would be sorted out soon," said additional district magistrate Subhash Nathsharma.