Now that the LDF ministry has been formed in Kerala, one of the first priorities should be to restore and revive the PSUs. These government concerns should be made people oriented and profitable.
Restore Kerala PSUs
25 Wednesday May 2016
Posted in Uncategorized
VAN Namboodiri's Blog 
http://indianexpress.com/article/business/business-others/vrs-a-requirement-to-increase-bsnls-profitability-cmd-2815979/
The argument of the CMD BSNL that it is because of the huge work force that BSNL is posting loss is not correct and is not based on facts. When BSNL was having more than 3,50,000 workers, it was making profit. It is due to the reduction in revenue that BSNL has become loss-making. Earlier the revenue was Rs.40,000 crore and during years it has been reduced to Rs. 26-27 thousand crore. Due to the reduction of the revenue only the % of salary to the income has gone up. If the revenue has increased the % would have been less. For the last four years, there has been no increase in the salary bill, since about 10,000- 15,000 employees are retiring every year without any substitute. The Management should make plans for increasing the revenue, not reducing the staff which will adversely affect the service.
Sir, ur argument is wrong.See the market conditions and technology. In 2000 bsnl is having monopoly N mobile technology is not matured. So profits are obvious. Now mobile Penetration is vast N competition is hyper. So less manpower required. See airtel/ vodafone.. They have 20k staff N by outsourcing works they are reaping profits.
Airtel, Vodafone etc. are working solely for profit. They will explore all exploitation methods like outsourcing, contract etc. You may remember that in 2000, BSNL was not having even mobile licence. If VRS beneficial to the the PSU, why MTNL has not improved and gone down even after three times VRS has been implemented? The government’s argument are only to destroy BSNL and either to privatise or close it down as it has done for many PSUs. One can support VRS if he/she agrees with the policy of government for destroying the company.
Sir, Your argument is absolutely wrong. See the market conditions and technology also before concluding. In year 2000, BSNL is having monopoly and mobile penetration is not much. So profits are obvious irrespective of staff strength. But in 2016, mobiles have reached even remotest areas. Landlines have no scope in the world. Private telcos got much infra than BSNL. If we want to compete with them, then we should match them either in technology or HR. With 20k staff Airtel is managing well with better outsourcing. Where as we have 2 Lakh staff, with 60% not knowing how to send/ receive mails.Old blood have to leave and replace with young one, like in banking sector. Our copper infra is outdated, our staff are outdated. Its time for a change. Else we cant withstand in market
Please show any indication of the government trying to improve BSNL. Instead there are many many instances where they are trying to destroy BSNL. VRS is only one among them.Experience of other PSUs have shown that VRS never helped any company but has only destroyed them.
exactly and by destroying manpower no organization can be developed, its the need of time that we have to unite and protest against all such steps taken by govt to shut down BSNL
Exactly comrade.
I agree that GOI is not supporting BSNL in any manner. But its our fault also to get absorbed and compete in open market with dual stand of profits and social service. If GOI funds VRS burden, then there is no harm in accepting it. Employees can leave with dignity and salary burden ll also soothen for BSNL. But this trend of lakhs of employees with little market share and mobile 4G infra cannot continue longer. Successful model for telecom is already visible in the market. Still if we won’t realise, its our fault.
Dear Comrade, You have not mentioned about the many points raised by me with regard to the VRS/CRS, but is only repeating the same argument which does not hold water. Kindly intimate which PSU has benefitted by the VRS and how it is revived. The fact is that such PSUs which implemented VRS/CRS has only gone down.
Further how the management can fix that 70,000 or one lakh employees should go on VRS? It actually becomes CRS and the management will pressurise workers to go on VRS and if they don’t go then it is made CRS. Everything is not based on market. Telecom is a service. Private companies act on the basis of the market as can be seen by the fact that they close the company when there is no profit. BSNL can not do that.