BSNL Forcing 1 Lakh Pvt Telco Employees To Lose Their Jobs; MTNL Sets VRS Deadline

BSNL Forcing 1 Lakh Pvt Telco Employees To Lose Their Jobs; MTNL Sets VRS Deadline
BSNL Forcing 1 Lakh Pvt Telco Employees To Lose Their Jobs; MTNL Sets VRS Deadline

The ongoing financial woes of BSNL is not only impacting Govt. employees working with BSNL, but also private employees.

As per a recent revelation, pending dues to the tune of Rs 20,000 crore from BSNL may force 1 lakh employees from the private sector to lose their jobs.

Meanwhile, MTNL has set the deadline for VRS, for all 22,000 employees.

BSNL Trouble: 1 Lakh Private Employees May Lose Jobs

In the last few years, BSNL has failed to pay the dues of their vendors and suppliers, and now, this can result in job-loss for 1 lakh private employees employed by these firms.

More than Rs 20,000 crore of dues are yet to be settled by BSNL.

This has been confirmed by Sandeep Aggarwal, chairman— Telecom Committee at PHD Chamber of Commerce & Industry and co-chairman of the Telecom Exports Promotion Council (Tepc), who said, “More than 1 lakh employees of domestic companies may be out of their job in the next few weeks if the government continues to ignore the financially-stressed industry.’”

Why Private Employees May Lose Their Jobs?

Companies such as Sterlite TechnologiesNSE -0.03 % Limited (STL), Vihaan Networks Limited (VNL), Tejas Networks, Paramount Wires & Cables Limited (PWCL), Aksh OptiFibre, Transline Technologies, Clixxo Broadband and Birla Cable Limited (BCL) and others have provided their services to products related with telecommunication to BSNL, and their dues are not being cleared.

In case there is no payment from BSNL or Govt to these firms, then more than 1 lakh employees stand a chance to lose their jobs.

As per Sandeep, Govt diverted all emergency funds to pay BSNL employees’ salary, which means these private companies received no payments.

Soon, these private vendors will hold demonstration and protests against BSNL, infront of DoT and Ministry of Telecom offices.

Sandeep said, “The telecom department has diverted funds payable to industry to meet out BSNL staff wages but no concern is displayed for several thousands of those employed in the private sector,” 

MTNL Sets VRS Deadline

Meanwhile stock market listed firm MTNL has set a deadline for VRS or Voluntary Retirement Scheme, for all its 22,000 employees.

MTNL’s VRS will be application to all employees, who are 50 years and above (as of January 31, 2020), and this covers 15,000 out of 22,000 employees.

December 3rd is the deadline for MTNL’s VRS scheme, which has been set upon Gujarat Govt’s VRS program to shed extra employees.

Upto 46 months of advanced salary would be provided to the employees who opt for VRS, as lump sum ex-gratia compensation.

There are three sets of employees, who can opt for VRS program: combined service optees, pro-rata optees and MTNL recruited employees.

While combined service optees, pro-rata optees will get ex-gratia plus admissible pension of up to 125% of their salary; MTNL recruited employees will get 100% of their salary as ex-gratia plus admissible pension.

MTNL Chairman and Managing Director Sunil Kumar said, “This will bring down our employees cost to 25% of revenue from 85% at present by February. We expect to be EBIDTA positive within 2 years due to this step,” 

Govt. has allocated Rs 68,000 crore fund for reviving BSNL and MTNL, wherein VRS will be offered, and MTNL will be merged with BSNL.

"BSNL Forcing 1 Lakh Pvt Telco Employees To Lose Their Jobs; MTNL Sets VRS Deadline", 5 out of 5 based on 1 ratings.

Comments are closed, but trackbacks and pingbacks are open.

who's online