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Category Archives: PSU

III Pay Revision Committee formed

10 Friday Jun 2016

Posted by VAN NAMBOODIRI in BSNL News, BSNLEU, PSU

≈ 6 Comments

Tags

III PRC, Pay Revision, PSU executives

The government has formed the 3rd Pay Revision Committee (PRC) for the revision of pay scales, perquisites, etc., of the Board Level and Below Board level officers and Non-Unionised supervisors in the Central PSUs. . Justice Satish Chandra (Retd.) is the Chairman. The PRC will submit it’s report within 6 months and the wage revision will be implemented from 01.01.2017.It is to be mentioned that the PRC is formed after a lot of agitation by the executives associations in the Central PSUs.

The Members of the III PRC are:

Chairman : Justice Satish Chandra (Retd)
Members :
(i) Shri Jugal Mohapatra, Ex-IAS Officer
(ii) Prof. Manoj Panda, Director, Institute for Economic Growth, Delhi
(iii) Shri Shailendra Pal Singh, Ex Director (HR), NTPC Ltd.
Ex-Officio Member : Secretary, DPE, Government of India
Member Secretary:Jt. Secretary/Additional Secretary, DPE, GOI.
Salient terms of reference:
1. The Committee will make its recommendations to the Government within a period of six months from the date of its constitution and have its headquarters in Delhi.
2. The decision of the Government on the recommendations of the Committee will take effect from 1.1.2017.

It is high time that the wage negotiations start in BSNL for the non-executives.

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AAI revenue increased, get profit!

02 Thursday Jun 2016

Posted by VAN NAMBOODIRI in General, PSU

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AAI, profit, PSU

Another loss making PSU has made profit. Airport Authority of India (AAI), which was struggling hard to revive has posted an envious revenue of Rs.10,000 crore and a profit of Rs. 2,537 crores for 2015-16. This is glad news.

Despite the fact that the government has handed over four major profit-making Airports ie. Delhi, Mumbai, Bengaluru and Hyderabad  to private players which created major loss of revenue to AAI, it has come back with good revenue and profit in this financial year.

Hearty Congratulations to the management and workers of AAI!

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Why we oppose VRS/CRS in BSNL?

26 Thursday May 2016

Posted by VAN NAMBOODIRI in BSNL, BSNLEU, Disinvestment, Forum, PSU, SAVE BSNL CAMPAIGN

≈ 2 Comments

Tags

BSNL, Forum, VRS

The press statement of Shri Anupam Shrivastava, CMD BSNL,  that Voluntary Retirement Scheme (VRS) is required in BSNL to reduce the loss has brought the issue of VRS/CRS once again as a matter of intense discussion among the workers. A few comrades have asked why we could not accept VRS/CRS. The government and management had decided to impose VRS/CRS thrice in the past, but had to backtrack before the strong opposition from the unions/associations. But since many new entrants are there who were not part of the earlier struggle, it will be relevant to point out why the workers and their unions are against the imposition of VRS/CRS.

The following points are very relevant in this matter.

  1. Corporatisation is the first step towards privatisation. Since a government department can not be directly made in to a private entity, the telecom services, a government department, was converted in to a corporation, despite strong opposition from the workers and their unions. ‘Business is not the business of the government’ is the policy of both NDA and UPA governments. Telecom Services is one of the biggest business with lakhs of crores of rupees investment and much more profit. Private companies are there in the field, but they want either BSNL and MTNL should be privatised or closed down so that they can reap much more profit. To justify privatisation or closure, BSNL has to be made loss making and inefficient, so that the public will not oppose much. VRS is a tool for the same.
  2. All decisions taken by the government and management since corporatisation were in this direction. It is thus, that BSNL which was having a profit of Rs. 40,000 crore annually and a profit of Rs. 10,000 – 12,000 crore was made in to a loss making concern reducing its revenue to Rs. 26,000- 27,000 crore and a loss of about Rs.8,000 crore. Towards this down fall, the government took over the balance of about Rs. 40,000 crore with the BSNL citing various reasons, stopped procurement of equipment required for development, did not recruit to compensate the retiring employees etc.
  3. Disinvestment of shares of the company is one method through which it can be privatised, as was done in the case of Videsh Sanchar Nigam Limited, which was handed over to Tata. More than 46% of shares of MTNL are already sold and 5% more will mean that the government will lose control of the PSU. That is why, BSNL Unions under the leadership of Joint Action Committee/Joint Forum/Forum orgnaised mighty struggles and defeated the decisions of the government for disinvestment. BSNL is one of the few PSUs, whose share has not been sold at all.
  4. In the same way, VRS/CRS is another way for facilitating privatisation. After privatisation of VSNL, BALCO, ITDC Hotels etc., the new management started retrenching employees in large numbers starting with women workers and SC/ST etc. There was strong opposition against this from the workers. Hence the private lobby is putting pressure on the government that before privatisation itself, the number of workers should be reduced to the minimum so that, the take over will be easy. Instead of permanent workers, these private companies are employing contract workers, daily wagers and apprentices / trainees, thus maximising exploitation. This is another reason why the government wants VRS/CRS in the PSUs.
  5. There were about 3,50,000 employees at the time of formation of BSNL in 2000. Now it has been reduced to about 2,00,000, a reduction of 1.5 lakh workers. About 10,000 – 15,000 workers are retiring every year with only minimum recruitment. Who will do the work? The plan is to employ contract workers, apprentices etc.
  6. The claim of the management that almost 50% of the revenue is spent on salary bill is nothing short of confusing the public. For the last 4-5 years, there has been no increase in the total salary bill, which is around Rs. 14,000 crore. The % has increased only due to the reduction in the revenue from Rs. 40,000 crore to Rs. 26,000 -27,000 crore. If the revenue has increased to Rs. 50,000 – 60,000 crore, the % of salary bill be much reduced. Management and the government are fully responsible for the loss.
  7. Reduction of work force, without new recruitment will adversely affect the services. Wherever VRS has been implemented, as in the case of MTNL, this is the case. The Banks found out that after VRS, their services can not be run and immediately recruited almost double the number of employees who were sent out on VRS.
  8. Another argument is that the workers who opt for VRS will be benefitted by the compensation given. Of course a few lakhs of rupees extra will be received as per the scheme. But if you compare the pension of the employee who took VRS and the person who retires after superannuation, there will be a big difference with the latter getting much more pension since his salary will be higher. This loss in pension will continue through out the life of the person who takes VRS.
  9. Women workers are pressurised by their husband, children etc. to take VRS, since a good amount of money will be immediately available. But the fact is that a working women gets more respect in the society, they have a support from their co-workers at any time and they are also self-sufficient. Work for some more years and  a better pension will be a great help in their old age.
  10. VRS in fact is CRS – Compulsory Retirement Scheme. The question of VRS always comes just before another wage revision. After wage revision, the salary will increase, arrears have to be given etc. This will increase the pension also. Hence both the government and the management wants that maximum number of employees are sent out on VRS/CRS so that they need not pay the increased wages and pension. They think that they can confuse, mislead and blackmail the workers to opt for VRS.
  11. According to the management for implementing VRS in BSNL, about Rs. 18,000 crore is required. From where it is going to come? If that amount is there, it can be utilised for procuring equipment, modernising and giving a better service to the people.
  12. Another aim of the Government and management is to see that the workforce is reduced to such an extent that the struggle of the workers can be weakened and privatisation can take place easily as in the case of VSNL. The government is irritated that it could not implement either VRS or disinvestment in BSNL due to the presence of mighty unions.

In such a situation, there is no compromise on VRS and it has to be strongly fought and defeated as earlier. The Forum of BSNL Unions/Associations have to immediately condemn the move for VRS and ensure that the nefarious game of the Govt.and management is utterly defeated.

 

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Wage Revision in BSNL – The immediate Task

17 Tuesday May 2016

Posted by VAN NAMBOODIRI in BSNL, BSNLEU, Forum, PSU

≈ 3 Comments

Both the Associations of the Executives and the Unions of the Non-Executives jointly have to take up the issue of Pay/Wage revision for the employees of BSNL from January 2017.The DPE has to issue orders for the Pay Revision Committee for the Executives in PSUs. It has also to give guidance for starting the wage revision through negotiation with the unions of non-executives.

Since the Forum of BSNL Unions/Associations represent the unions of Non-Executives and associations of executives, it has to take the initiative for getting the orders issued by the Department of Public Enterprises. The Pay Revision Committee as also wage negotiations will take much time and hence the urgency.

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Stiff Opposition to convert Port Trusts to companies.

07 Saturday May 2016

Posted by VAN NAMBOODIRI in PSU

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Disinvestment, Port Trust

The strong opposition of the unions has compelled the government to retract to convert the Port Trust to a company and disinvestment of its shares. The proposal of the government was in accordance of the neo-liberal policy to gradually disinvest and sell the corporations to private companies. We congratulate the Port workers Unions.

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Government on the move to merge Subsidiary Banks with SBI

03 Tuesday May 2016

Posted by VAN NAMBOODIRI in PSU

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PSU Banks, SBI

In the name of consolidation, the government is on  the move to merge its subsidiary banks with  SBI. There are five associate banks of SBI like State Bank of Patial, State bank of Hyderabad, State Bank of Travancore etc. The proposal is to merge them with the SBI.

Merger of one or two PSU Banks in to one is also in the agenda of the government. This can only be seen to weaken the Banks and reduce its functioning. The licence given to many private payment banks has also to be seen in this context.

The great role played by the Public Sector Bank is well known. These decisions are only to help the private banks grow at the expense of PSU Banks. It s certain that the powerful bank unions will not be a silent spectator on these issues and will start powerful agitations.

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HMT Closes – A dead end for a Magnificent PSU

03 Tuesday May 2016

Posted by VAN NAMBOODIRI in BSNLEU, PSU

≈ 5 Comments

Tags

closure, HMT Watches

As per reports in the press, one of the earliest PSU  and manufacturer of finest watches in the country for many decades, Hindustan Machine Tools (HMT) Watch Unit, has been closed down on 1st May 2016. It is an irony that the closure has come on the International Workers Day. The last remaining 120 employees were given VRS/CRS and the PSU closed on Sunday.

HMT was world famous for its premium wrist watches. It had its units in many cities, other than the central office at Bangalore. It was a large establishment with thousands of expert workers. HMT was one of the best PSUs in the country and profitable. The anti-PSU policy of the government is the main reason for the closure of HMT. BSNL Employees Union took the initiative for purchasing HMT watches by BSNL for supply to its workers.

HMT Watch Unit is part of history now. It is a sad reminder of the neo-liberal policy of the government  how to kill a  PSU.

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Another VRS in MTNL

01 Sunday May 2016

Posted by VAN NAMBOODIRI in General, PSU

≈ 2 Comments

Tags

MTNL, VRS

It is reported that the government is proposing another VRS for employees of the MTNL. About 5,300 of the existing 46,000 employees are proposed to be given the VRS, who are about 20% of the staff who are aged 50 and above. This the 4th VRS being implemented in MTNL.

The government is also proposing to sell the assets of MTNL in Delhi and Mumbai.

The reaction of the unions/associations has not been mentioned. We are in touch with them.

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Restoration of Medical Allowance for Pensioners – Meeting with CMD BSNL.

30 Saturday Apr 2016

Posted by VAN NAMBOODIRI in AIBDPA - BSNL DOT Pensioners, BSNL News, General, PSU

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AIBDPA, Medical Allowance, Pensioners

Com. V.A.N.Namboodiri, Advisor, AIBDPA met Shri Anupam Shrivastava, CMD BSNL on 29th April 2016 and pressed for early restoration of the medical allowance to the pensioners, which was withdrawn earlier on the plea of lack of funds.  The hardships being faced by the retired officials were brought to the notice of the CMD BSNL in detail. Com. Namboodiri stated that even the National Council, the priority of restoring it to pensioners has been demanded.

CMD stated that the matter will be considered.

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Merger of PSU Banks – 10 Members Committee

29 Friday Apr 2016

Posted by VAN NAMBOODIRI in General, PSU

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Merger of PSU Banks

The government is moving for appointing a 10 Member Committee to identify the merger of PSU Banks. It will include senior bank executives and representatives from Government, RBI etc.

Proposal for PSU Bank mergers are wholly unjustified and is intended to close large number of PSU bank branches and reduce the employees. The merger move has been strongly opposed by the bank unions.

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