- The authorities will elevate Rs 15,000 crore from sovereign bonds
- Revival Package may also embrace monetisation of property
- Nearly 92,000 workers from BSNL and MTNL have opted for VRS scheme
BSNL and MTNL have been going through monetary disaster for a very long time now. In April-December 2019, BSNL reported a lack of Rs 39,000 crore. The hassle appears to be rising for the government-owned telecom firms as their staff have been protesting for default in salaries. Various officers have raised their considerations relating to the on-going strikes and protests by workers. However, Sanjay Dhotre addressed the involved officers in Rajya Sabha and marked that the federal government won’t promote out the telecom firms. Instead, the federal government shall be structuring a revival bundle for the loss-making firms. Notably, the Cabinet introduced a revival bundle for BSNL and MTNL final yr and even VRS has been accomplished as a part of the identical.
Government Has Approved Revival Package for BSNL and MTNL
In order to revive the loss-making telecom operators, the federal government has already rolled out a four-way revival plan which can make sure the viability of the loss-making operators. Also, the revival bundle will enhance up the morale of the workers who’ve been indulged in varied strikes to get their salaries on time.
As of the revival bundle, the federal government will roughly elevate Rs 15,000 crore by issuing sovereign bonds. Not solely this, however the authorities can be planning to monetise property price Rs 38,000 crore within the interval of 4 years. To ensure BSNL and MTNL retain out there, the federal government may also allocate 4G spectrum, which might be executed with base costs of 2016. BSNL is promising to launch 4G companies very quickly.
VRS Scheme Will Revive BSNL and MTNL
As per the studies, it’s anticipated that the loss-making firms will virtually save Rs 8,800 crore from the VRS scheme. Nearly, 78,569 workers of BSNL and 14,000 workers from MTNL have opted for Voluntary Retirement Scheme. It can be anticipated that the discount within the variety of working workers will cut back the monetary burden from the businesses as wage invoice shall be decreased drastically, which can lead to monetary assist.
Currently, the wage invoice stands at Rs 14,000 crore, which could be decreased to roughly Rs 7,000 crore. It Is predicted that the four-way revival plan made by the federal government will assist the loss-making firms to get again within the telecom market. Yet, the federal government has simply rolled out the VRS scheme. Also, the encashment of property is transferring at a gradual tempo.