The State-owned Bharat Sanchar Nigam Limited (BSNL) is in doldrums as the sword of proposed revival plan through VRS hangs over around 54,000 staffers, a plan which the BSNL Unions/Associations are viewing as a surreptitious roadmap for a secret invasion by the Private Telecom Operators.

 

 

The Telecom Market went through a major disruption with the introduction of low tariffs and cut-throat competition among the private players. The disruption caused BSNL bleed out a loss of Rs 4,786 crore in 2016-17, Rs 89 crores lower than Rs 4,875 crore in 2015-16, but a great recovery when comparing to the loss of Rs 8,234 crore in 2014-15. It further went down by a whisker to Rs 4,785 crore in 2017-18.

 

 

National Federation of Telecom Employees (NFTE) Circle Secretary SC Chilamwar told The Hitavada that the VRS scheme is nothing but a privatisation scheme in disguise of revival plan. Retrenchment of 54,000 employees will make the BSNL lucrative for the private telecom companies.

 

 

He further told that a Cabinet Note on revival of BSNL was sent to AIBSLEA to consider three points: 4G spectrum allocation to BSNL, Monetisation of BSNL Land and VRS to 54000 employees on Gujarat model. The VRS has been recommended to the employees of age 50 years or above on the existing pay only. Third PRC pay fixation in VRS is not under consideration. 5 percent incentive on ex-gratia was also recommended whereas 30 percent income tax deduction will be there as “profits in lieu of salary” under Section 17 (3) of the Income Tax Act and the employer would be liable to deduct tax on the same under Section 192 of the IT Act.

 

 

The employees who opts VRS will also be losing their increments of left out service which will further affect their pension for whole life. In case 3rd PRC is implemented after VRS and on revival of BSNL for the remaining employees, their pay may be revised notionally from a later date as happened in the case of 78.2 percent fitment order on BSNL pensioners and 73 percent for Mahanagar Telecom Nigam Limited (MTNL), which will benefit them in terms of pension and retirement benefits. But the employees taking VRS may not get the benefit. The ex-gratia amount will be paid from amount of BSNLs land monetisation no funds from Government. Thus, govt should drop VRS from revival plan of BSNL. VRS is neither beneficial to the employees nor to the BSNL.

 

 

It has also come to notice that GoI is considering an attractive VRS proposal consisting of Gujarat pattern package along with additional increment for leftover service, 3rd PRC will be implemented after VRS process is completed, pension hike of likely retired employees after retirement, GoI pay for funds through bond, five years maximum salary limit, employees aged 50-years or above are eligible, No MT recruitment eligible