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Tag Archives: privatisation

Closure / Privatisation of PSUs will be a national disaster – SAVE PSU , SAVE NATION!

25 Thursday Jul 2019

Posted by VAN NAMBOODIRI in BSNL, PSU

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closure, privatisation, PSUs

 

Move to close or privatise the central PSUs, one after another, by the Modi government will, no doubt, lead the country to a national disaster. It is these 340 and more PSUs, which built up the infrastructure in various sectors and strengthened the economy. It is the nationalised banks which saved India from the financial crisis of 2007, which engulfed almost all the countries in the world. LIC, despite its moderate start, is one of the mighty PSUs, which gives financial assistance to the centre, whenever required and demanded. The dividend and taxes paid by the PSUs to the government come to  lakhs of crores of rupees.

It is only the machinations of the government and the corporates, that some of the major PSUs like BSNL, Air India, ITI, HMT have become loss making. Air India and Indian Airlines were profitable till they were arbitrarily merged and also till orders for 111 flights were ordered at the behest of the Minister when only one third of that number was required for the company. ITI was made loss making by not giving it orders for telecom equipment by BSNL and MTNL as also under-utilising the manufacturing  equipments. The case of HMT is not different. HAL is being weakened by not giving its due order for manufacture of planes, by diverting the same to the unskilled, newly formed company of Anil Ambani. Nationalised Banks are being weakened by merger, reducing the customer base as also weakening the entire sector. Profitable railway stations and trains are being handed over to private companies, leaving the loss making stations and trains with the Indian Railways. Privatising the Airports were done after all the modernisation has been done by the Airport Authority of India spending thousands of crores of rupees.

It is the ordinary people who are at the receiving end. Train and Air charges and mobile charges will be increased as in the case huge increase in petrol and diesel prices. Prices of essential commodities will be increased.

Unless this reckless and anti-people privatisation is stopped, the common people are going to suffer much more.

SAVE PSU – SAVE NATION!

 

 

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Stop Privatisation of Railways

25 Monday Sep 2017

Posted by VAN NAMBOODIRI in General, PSU

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privatisation, Railways

The Central government is moving to hand over some Railway lines and running of some trains to private players. Railway Minister Piyush Goyal stated that it will increase competition and improve customer satisfaction.

This move is dangerous and against the interest of the people. The British Government in India has taken over the Railways from East India Company and has been running it as a government department. It is the biggest organisation in the country covering the entire nation and serving crores of people every day. Railways have its weakness and inefficiency, which necessarily has to be attended to. The poor people use it for their travel at low cost. It connects the entire country, which is used for travel by people as also for transporting goods.

Already the government has started process of privatisation of Railway Station in the name of modernization, through  which the private companies will be able to monetise the land near stations for malls and business purposes and garner huge profits. Just like the private airports like Delhi, Mumbai etc. the cost for every thing inside the Stations will increase.

Any privatisation of Railways is going to increase the travel and transportation charges which will be beyond the ability of the ordinary people to bear. May be better conveniences will be arranged for those who can pay, but trains will be out of reach of the poor people. Prices of all commodities will increase because of the increase in transportation charges. Competition by private companies are sure to increase accidents and derangement as in the case of road traffic.  The move of privatisation of Railways is most dangerous and anti-national.

When the British Government privatised their Railways, the service became inefficient and costly resulting in agitation demanding take over by the government. If that is the state in a small country like England, what will be the situation in a large country like India?

Mighty strong protest actions are required against this anti-people move of the government.

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‘No reason why Air India can’t run as a PSU’ – Chairman, Air India.

18 Monday Sep 2017

Posted by VAN NAMBOODIRI in General

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Air india, privatisation

Rajiv Bansal, the new Chairman of Air India, in an interview as published in the Hindu dated 18th September 2017, has stated that ‘there is no reason why Air India can not be run as a PSU.’This is a welcome statement.

However, he continues to state that just like that the employees did not have any problem with the privatization of Airports in Delhi, Bombay etc., there will be no problem to the employees due to privatisation of Air India.

This is not correct. The workers want to continue in the PSU and not under private owners, whose interest is only to get more and more profit. Wherever privatization has taken place workers have suffered in various ways. In fact, there is no need to privatise Air India or any other PSU. It is only to allow the private companies to garner profits at the expense of the government and the people.

 

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Air India and BSNL in the list for privatisation / Disinvestment

04 Monday Sep 2017

Posted by VAN NAMBOODIRI in BSNL

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Air india, BSNL, privatisation

The greedy eyes of the corporates have been on Air India and BSNL for the last many years. Both the UPA and NDA governments have been pushing through this agenda through out, but due to the strong opposition from the unions, they could not implement so far. But by sinister moves, the government has made them both loss making during the last ten years or so, so that on that count the dismemberment can take place, with out criticism from the people.. Both of them were making good profits before the government started ulterior moves to make them loss making.

Air India was making good profit and running efficiently till it was merged with India Airlines. Further, the profitable routes were handed over to private companies. Air India flight was time scheduled to be the third or fourth flight on the same route with the private companies getting the earlier slot. Equal flights to foreign companies was changed in favour the foreign carriers. 111 planes were ordered at the initiative of the Civil Aviation Minister, where as 35 only was necessary and the entire funds misused. With all this anti-Air India decisions, it has been made loss making as required. The private companies benefitted and strengthened. Now Government has decided to strategically sell the Air India.

The case of BSNL is not different. With the promise of strengthening telecom services with all assurances of financial assistance  to it, BSNL was formed as a PSU in 2000. It was highly profitable for the first 6-7 years with the annual profit reaching to the extent of Rs.6000 to 12,000 crore with a revenue of Rs. 35,000 -40,000 crore. It was one of the most profitable PSU in the country. It is to be noted that BSNL grew and increased its position despite the fact that private companies have been functioning with all help from the government for the last 10 years.

It is at this junction in 2006 that the then Minister directly intervened and cancelled tender for 4.5 crore mobile lines on flimsy grounds. Again a 9 crore lines tender was cancelled. BSNL was starved of equipments at a time when the Indian telecom market was exploding and all the benefits were  given to the private companies. All the cash balance of the company of Rs. 40,000 crore was taken over by the government on or other plea. The ADC fund to BSNL was reduced and stopped. The USO Fund to compensate for the loss making village connections were reduced and denied in some cases. More than 1,80,000 vacancies arisen due to retirement have not been filled up. When the Ministers themselves are part of corruption, there is no stopping some top management corrupt officers who utilised BSNL to their own benefit making the company huge loss. Many such vigilance cases are pending for years together.

BSNL has been able to withstand to the present extend only through the continuous struggle of the employees and their unions and associations. Programmes initiated by the employees like “Service With A Smile”, “Subscriber Delight Year” etc. in the last few years, supported by the management also has stopped increase of losses and have actually reduced the same. For the last two years, there is operational profit. If, demonetisation and the entry of Reliance Jio with its deep pockets has not arrived, BSNL would have got real profit by 2017-18.

The decision of the government to privatise / disinvest these two major PSUs should be opposed and defeated. The Central Trade Unions have been fighting against the privatisation of the PSUs and many united strikes have taken place. A Maha Dharna before Parliament will be organised with lakhs of workers for three days  from 9th to 11th November 2017. It may be followed by strike.

The employees of the PSUs, the trade unions and the people together has to defeat the sinister move of the government to sell the valuable property of the  Nation.

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Privatisation of Government hospitals – Dangerous threat to the people

20 Thursday Jul 2017

Posted by VAN NAMBOODIRI in General

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Govt. Hospitals, privatisation

The NITI Ayog and the Central health Ministry has mooted for privatisation of select services in the government district hospitals by handing over sufficient space / land and also one tine free seed money to set up the infrastructure. The proposal  is to privatise the costly treatment of three non-communicable diseases ie. Cardiac disease, pulmonary disease and cancer care. Others may follow.

This proposals or decisions are dangerous in that the people will not be getting free treatment in the government hospitals for these diseases. Further they will have to pay very high charges for the private treatment.

The intention of the government is very clear. Allot acres of land to the private companies to utilise the same for constructing buildings etc. as also utilise the government buildings for treatment etc. and mint money as real estate. Secondly, the three diseases now mentioned are very costly and they can fleece the patients. There will be no free treatment. Government money will be granted for the infrastructure. This is a very dangerous trend affecting the health of the people and has to be strongly  opposed and defeated.

Congratulations to the Kerala LDF government which has strongly opposed and declared that it will not implement the Central government proposal to privatise the government hospitals.

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Confederation supports Defence Workers’ Struggle against Privatisation

04 Tuesday Jul 2017

Posted by VAN NAMBOODIRI in CG Employees, TU News - India

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Confederation, Defence, privatisation

CONFEDERATION EXTENDS FULL SUPPORT AND SOLIDARITY TO THE STRUGGLE OF DEFENCE EMPLOYEES AGAINST PRIVATISATION.
Successive Governments after 1990s have started permitting private sector in the field of Defence production. During May 2001, the Defence Industry sector which was reserved for the Government sector and Public sector was opened to 100% for Indian private sector with 26% Foreign Direct Investment (FDI). Subsequently the FDI cap in Defence was raised to 49% and now the NDA Govt raised it to 100%. Government has issued so far 222 licenses to private corporate sector like ADHANI, AMBANI, L&T, ASHOK LEYLAND, BHARAT FORGE, GODREJ &BOYCE, PUNJ LLOYD, PIPAVAV DEFENSE, PREMIER EXPLOSIVES etc,. The present Govt is bent upon to extend all types of support to the Indian private corporate houses and their foreign collaborators. Recently the Prime Minister office asked all the 41 Ordnance Factories, the information about the name of the products manufactured, its photographs, technical description, land holding by each factories, details of plants and machinery, strength of employees etc.,
On 27-04-2017, the Ministry of Defence issued an order with the approval of the Defence Minister Shri Arun Jaitely, to completely outsource 143 defence equipment like Military, Vehicles, Ammunition, Ammunition boxes, Guns, Rifles, Tanks, Troop comfort items etc., which are being manufactured at present by the ordnance factories. This decision of the Govt is going to affect more than 25 Ordnance factories and about 20,000 defence employees will be thrown out of job. Again another order was issued categorizing 39 more items as “non-care” items for outsourcing. All these decisions are taken to encourage private corporates, making the state-owned Defence Industries sick and redundant and bringing in their place the private corporate sector whose sole intention is to earn more and more profit.
The All India Defence Employees Federation (AIDEF) is on a war path and has already started series of agitations and campaign programmes against the policy decision of the Government to privatise Defence Industry and closure of ordnance factories rendering thousands of defence employees surplus and consequent retrenchment.
As a higher form of agitation AIDEF has commenced indefinite relay hunger fast near Parliament (Jantar Manthar) from 3rd July 2017 onwards. The relay fast was inaugurated by Com. Sharad Yadav, MP. Former Vice President of AIDEF.
The National Secretariat of Confederation of Central Govt Employees and Workers extends full support and solidarity to the struggle of the Defence Employees against privatization. ( Courtesy: Confederation News)

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No Privatisation of Air India – CPI(M)

30 Friday Jun 2017

Posted by VAN NAMBOODIRI in PSU

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Aii India, privatisation, PSU

New Delhi, June 30: The Polit Bureau of the Communist Party of India (Marxist) has issued the following statement:

No Privatisation of Air India

The Polit Bureau of the Communist Party of India (Marxist) strongly opposes the decision of the Modi government to privatise the national carrier, Air India. The Union Cabinet has accepted the recommendations of the Niti Ayog and given an in-principle agreement for the disinvestment of Air India and its five subsidiaries.

This decision has been taken at a time when, after prolonged losses since 2008, the airline has started achieving operating profits of Rs. 105 crore for the year 2015-16 and an estimated operating profit of around Rs. 300 crore in 2016-17.

Air India was crippled and burdened with debt due to monumental miscalculation and certain wrong decisions taken by successive governments at the Centre. It is now being made the scapegoat and sought to be privatized.

The privatization of Air India is being made with a bonanza to the perspective private buyer – the write off of the Rs. 30,000 crore debt burden. The privatization of Air India is not for saving public money but for handing over national assets for a song and defrauding the exchequer for the benefit of private companies, both domestic and foreign.

The sale of Air India is part of the overall privatization drive of the Modi government which is against national interest. It must be stopped forthwith.

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Will “Air India” become “Indigo”?

30 Friday Jun 2017

Posted by VAN NAMBOODIRI in PSU

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Air india, privatisation

The Central government is moving fast for strategic sale of Air India, the government owned Airlines, which has been functioning for the last more than seven decades as the Prime Airline in India on both International  and domestic routes.

The policy decisions taken by the continuing central governments,  like purchasing about 111 planes where there was requirement only for about 35 planes, merging Air India and Indian Airlines, handing over its routes to private companies etc. created such a situation that Air India started incurring losses. The non-payment of large amount of bills by the Central and State governments was another reason. It is understood that many such amount has been written off.

In short, the government itself is fully responsible for the present state of affairs of Air India. Even while it is in loss as per accounts due to the large loans, interest etc. Air India has been posting operational profit for the last few years. A good management with the support of the government would have restored Air India to its glorious past. But the government is intended on sale of the Air India as per its neo-liberal policy completely supporting the corporates to garner profit.

The latest information is that Indigo Airlines has informed its interest in taking over Air India, mainly its international flights. There will be other companies also including foreign airlines.

Will Air India become a nostalgic memory of the past? Whether struggles by the Air India Staff, central trade unions and progressive section of the  people will save Air India from privatisation?

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Agitation against privatisation of HLL Life Care Limited

24 Saturday Jun 2017

Posted by VAN NAMBOODIRI in PSU

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CITU, HLL, privatisation

The decision of the central government to privatise the HLL Life Care Limited, the PSU manufacturing contraceptives etc. stationed at Thiruvananthapuram, is strongly opposed by the 20,000 workforce as well as the trade unions in the city. Stated in the 1970s, the Hindustan Latex Limited 9 the former name of HLL Lifecare Limited), the company has grown in a big way with continuously posting year after year.
19 acres of prime land was allotted by the government for the HLL at the nominal rate of Rs.2? and the Tamilnadu and Karnataka Governments also have contributed. There is anger and frustration among the workers and the local people, since a good percentage of the workers belong to the area itself. Realising the anger, the HLL management has now proposed to the government 49% stake sale.

Neither there is any need for stake sale nor privatisation. CITU, along with the union in HLL have strongly protested privatisation. The company is running well, it is profitable and it is supporting the local people.The government should withdraw its proposal for privatisation/stake sale and allow the PSU to function as before.

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Stop Privatisation of HLL (Life Care) Ltd.

19 Monday Jun 2017

Posted by VAN NAMBOODIRI in PSU, Uncategorized

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HLL, privatisation, PSU

The Central government’s move to privatise the HLL (Life Care ) Ltd. (former Hindustan Latex Ltd.) is ill-advised and against the interests of the country. This is the PSU which manufactures contraceptives and which has been effectively used for the last many years. The company is profitable. Thousands of workers are employed there.

In its eagerness to satisfy the  greed of the private corporates, this well running profitable PSU is being sold to the private. The workers and their unions have strongly opposed privatisation. Kerala M.P.s  have written to the Prime Minister demanding to keep the company as PSU.

The Central Government should drop the anti-people, anti-PSU move.

 

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