Tag Archives: Struggles by BSNL Workers – 3

Struggles by Workers to Defend and Save BSNL : 2004 – 2015 – ( 3 )

06 Saturday Jun 2015

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2005

Agitation against FDI in Telecom – Protest Demonstrations on 08-02-2005

In the meanwhile, government decided to increase the Foreign Direct Investment (FDI) in telecom from 49% to 74%. The increase in FDI meant that foreign companies will take over the Indian companies. Further, inducting huge money in the private telecom companies will adversely affect the prospects of BSNL and MTNL. Hence, this was opposed by the Joint Forum which  organised strong protest demonstrations on 8th February 2005.

Proposal for Merger of BSNL and MTNL

The government started a move to merge BSNL and MTNL. For synergizing the merger, a consortium including ICICI Securities, ABM Amro, N.M.Rothchild, A.F.Fergusan, Desai & Dewanji was appointed. The Forum expressed its strong view that the merger can be considered only after the MTNL shares sold are bought back by the government/MTNL.

USO Fund allotment insufficient to meet the losses incurred by BSNL

Though it was the commitment of the government that the losses incurred by BSNL for providing rural connections will be compensated by allotment from USO Fund, the implementation was faulty and only a part of the loss was made up. The following statistics from a reply given in Parliament will make it clear:

Loss of BSNL for rural connections    Reimbursement of licence fee etc.    From USO Fund   Total

2000-2001    Rs. 2587.72 crore          Nil                                                                      Nil

2001-2002    Rs. 6913.16 crore             Rs. 3020 crore                                       Nil                          Rs. 3020 crore

2002-2003   Rs. 7960.80 crore         Rs. 2300 crore                                  Rs. 297.23 crore     Rs. 2597.23 crore

2003-2004   Rs. 9528.88  crore        Rs. 2300 crore                  Rs.  222.77 crore    Rs. 2522.77 crore

It is to be noted that the USOF was having more than Rs. 10,000 crore balance at this time. BSNL was cheated out of its due from the USOF without any justification. The latest reports have also shown that the USOF was utilized for other purposes.

Protest Demonstration against FDI hike in telecom – 08-02-2005

As per the call of the Joint Forum of BSNL/MTNL Unions, protest demonstrations were held all over the country on 8th February 2005 against the increase in the FDI from 49% to 74%. The call was signed by Coms. V.A.N.Namboodiri (BSNLEU), O.P.Gupta (NFTE), S.Basu (BSNLEA), G.L.Jogi (SNEA(I), V.K.Tomar(MTNLEA), K.Vallinayagam(FNTO), V.Narayana (BSNLMS), S.D.Sharma(BSNLWRU) and V.Subburaman(TEPU). At Delhi, the demonstration was held at Eastern Court, the offices of NTR,  after starting the march from the Statesman House, where BSNL Corporate office, was functioning at that time.

Meeting with Prime Minister Dr. Manmohan Singh on 02-03-2005

Since the government was implementing anti-PSU decisions one after another, which was seriously and adversely affecting BSNL and MTNL, the Joint Forum of BSNL/MTNL Unions /Associations sought for a meeting with the Prime Minister Dr.Manmohan Singh. At the initiative of Com.Basudeb Acharya, MP  & Leader of CPI(M) in Lok Sabha, the meeting took place on 2nd March 2005. A Memorandum signed by the leaders of the Unions/Associations was submitted to the Prime Minister. The Memorandum was signed by Coms. V.A.N.Namboodiri Convener & GS BSNLEU, O.P.Gupta, GS, NFTE, S.Basu, GS, AIBSNLEA, G.L.Jogi, SNEA(I), K.Vallinayagam GS, FNTO, V.Narayana, GS, BMS, V.K.Tomar, GS, MTNLEA, S.D.Sharma, BSNLWRU, V.Subburaaman, GS, TEPU, Vrijesh Upadhyaya, GS MTNLMS, K.M.Pillai, GS MTNLSW, Umesh Thyagi, GS MTNL KVS, Sathish Kumar, GS MTNL WU and Devender Singh, GS MTNLOA. Almost all the unions in BSNL/MTNL were represented in the delegation. Com.Neelotpal Basu, M.P., a telecom expert who was also present, helped in presenting our case.

At the outset, the delegation thanked the Prime Minister for the decision of the Cabinet which reiterated its earlier decision to pay government pension to BSNL employees and also pension contribution by BSNL as per FR and SR. The delegation was informed about the cabinet decision to this effect that was taken three weeks back and was being implemented.

The delegation conveyed to the Prime Minister that the decision of the government to hike FDI from 49% to 74% in telecom would be detrimental to the security of the nation as well as to the interests of BSNL & MTNL.  Prime Minister replied that the government had taken sufficient steps to safeguard the security issue. As regards BSNL & MTNL, he stated that they were capable of competing with MNCs and assured that the government would provide all help to the PSUs in this regard.

The PM’s attention was drawn to the decision of the TRAI to reduce the ADC, which was a compensation for BSNL and MTNL, for providing land line services below cost. JF wanted that it should continue. The Prime Minister was also told that an amount of Rs. 5,000 crore, due to BSNL from the USO Fund, had not yet been transferred to it. It was also pointed out how the funds of BSNL and MTNL were being drained out by way of outsourcing works.

It is worth mentioning that for the first time, the representatives of the unions/associations in BSNL/MTNL together have met the Prime Minister. The PM, even while the Parliament session was going on, was kind enough to spare some time to meet the JF delegation and to have a patient hearing. ( to be continued)