New Delhi: State-run telecom carrier BSNL (Bharat Sanchar Nigam Limited (BSNL)) can be closed down by the Govt if the losses don’t recuperate.
According to reports, BSNL’s total loss have reached Rs 31,287 crore, at the end of 2017-18. It was asked to present “comparative analysis of all options available with the government, i.e. strategic disinvestment of BSNL, closure or revival with financial support.”
BSNL chairman Anupam Shrivastava gave a presentation to the telecom secretary, highlighting the telco’s financial health, its amassed losses, how Mukesh Ambani-promoted Reliance Jio’s entry in the telecom space impacted the business, and possible voluntary retirement scheme (VRS) and early retirement plans for staff.
Biggest issue before the company is its large, ageing manpower. It is either through a VRS or by bringing down the retirement age from 60 years to 58 years, there would be savings of approximately Rs 3,000 crore in the wage bill.”
Hence, as we can see, Govt. is considering three options for BSNL now:
Complete closure, means shut down BSNL and all its operations.
Strategic disinvestment, which will allow the entry of private players in running BSNL
Infusion of more funds from the Govt. to sustain operations.
PNN/Agencies
