Editorial

Saving BSNL

The Centre needs to act urgently to revive this strategically important PSU

The Centre must take immediate steps to revive Bharat Sanchar Nigam Ltd if it wants to achieve the objective of reaching 100 per cent tele-density in rural areas and keep telecom services affordable for the common man. While private operators have taken over the market with billions of dollars in investments and cost-efficient operations, India’s telecom consumers need a public sector entity like BSNL as an effective counter to any monopolistic venture that may arise due to the ongoing financial stress in the sector. From as many as nine operators, intense competition and below-cost pricing have reduced the number to just three players. The larger surviving operators, who have so far managed to sustain their operations, are under pressure to increase tariffs. The highly leveraged balance sheets of these operators could also force them to slow down the rollout of next-generation data networks to rural and economically unviable areas. In this context, it is important to have a strong PSU telecom company which will not only prevent private players from increasing tariffs as an easy means to escape financial stress but also ensure that rural consumers are catered to.

Reviving BSNL is tough, but not impossible. The once dominant public sector company has been reduced to a mere footnote, thanks to years of political interference and bureaucratic functioning. There have been many attempts earlier to improve the company’s operations, but most of them remain on paper. For example, a committee headed by Sam Pitroda, then advisor to the Prime Minister, offered a 15-point plan to turnaround the PSU, including trimming staff, divesting 30 per cent equity, adopting a managed services model for its various operations and inducting a chief executive from the private sector. This plan has not been acted upon.

Time is running out, though. BSNL has, in 14 years, moved from Navratna status to being declared as a sick PSU, with cumulative FY2009-18 EBIT losses of ₹82,000 crore. To prevent any further erosion of value, the Centre must do three things. First, divest all the real estate land parcels owned by the company and invest the proceeds into buying all the technology BSNL needs to be at par with private players. Second, implement the proposals of the Pitroda panel, especially those related to cutting down staff costs and hiving off various businesses into different verticals. Here, the Centre can study how British Telecom, once a struggling PSU in the UK, was turned around. Finally, remove all political interference and appoint a strong, independent management to run the company. This will not only secure the future of BSNL, but also ensure that affordable digital services reach every nook and corner of the country.

KOLKATA- JOINT RALLY HELD BY BSNLEU, BSNLCMU, AIBDPA & CTTMU- Coms. Animesh Mitra, President, BSNLEU & Secretary General, BSNLCCWF, Sanjib Banerjee, AGS, AIBDPA, Pijush Chakraborty, Vice President, AIBDPA, Biplab Das, General Secretary, BSNL Co-Ordination Committee etc are leading.

Old Pension Scheme to NPS Employees selected during 2003 recruited on or after 1.1.2004

Extension of old pension scheme under CCS(Pension) Rules 1972 to the employees who were selected During the year 2003 and who had joined service On or after 01/01/2004

National Council (Staff Side)
Joint Consultative Machinery
for central Government Employees
13-C, Ferozsha Road, New Delhi -110001

No.NC-JCM-2019/Pension/NPS

April , 2019

The Secretary
Government of India
Department of Pension and Pensioners welfare
3rd Floor, Lok Nayak Bhawan.
Khan Market, New Delhi.

Sub: Extension of old pension scheme under CCS(Pension) Rules 1972 to the employees who were selected During the year 2003 and who had joined service On or after 01/01/2004.

Ref: 1) Judgment of the Hon’ble High Court of Delhi
Judgment in WP (C)3834/2013 & in WP(C)
2810/2016 dtd. 27/03/2017.

2) Min. of Home Affairs (Pay & Accounts Office)
CRPF Lt. No.PAO/CRPF/MHA/NPS/DA-9(1)/
2018-19/797, dtd. 15th March 2019.

Sir,

You are aware that the Staff Side of National Council(JCM) is representing in various forums to withdraw the National Pension System and to restore the old Pension Scheme under CCS(Pension) Rules 1972, to the Defence Civilian Employees recruited on or after 01/01/2004, since the NPS is determental to the employees as there is no defined guarantee for Pension during the old age. This was one of the important demand, for which the NJCA has served Strike notice on the Govt. For observing In-definite Strike. However due to the assurance given by the Group of Ministers, the proposed In-Definite Strike was deferred.

Sir, at present based on the Judgment of the Hon’ble High Court of Delhi in the above referred cases, the Ministry of Home Affairs have decided to extend the benefits of the old pension scheme under CCS(Pension) Rules 1972, to the Para-Military forces who were selected during the year 2003, but joined service on or after 01/01/2004. In this regard your kind attention is drawn to the letter of Ministry of Home Affairs, dtd. 15th March 2019 referred at (2) above (copy enclosed for ready reference). The Ministry of Home Affairs have decided to transfer the NPS contribution of the concerned employees to the GPF Scheme and also to bring the employees who were selected during 2003 on the basis of notification issued during 2002/2003 and joined service on or after 2004, under the coverage of CCS(Pension) Rules 1972.

A large number of Central Govt. Employees in various Departments Like Railways, Defence, Postal and other Departments are similarly placed. These employees were selected for appointment during the year 2003, based on the employment notification issued during 2002/2003 however due to delay in receiving the Attestation Forms(Police Verification Report), Medical fitness etc., they were forced to join service on or after 01/01/2004. Due to no mistake of theirs’ they were brought under the coverage of NPS, thereby denying them the benefit of GPF and Defined Guaranteed Pension under the CCS(Pension) Rules 1972. These employees also have now started representing for extending the benefit given to the Home Ministry Staff for them, and their demand is fully justified and is covered under the Judgment of Hon’ble High Court of Delhi.

Sir, in view of the above, it is requested that you may kindly look into the matter and arrange to issue instructions for extending the benefit given to the Para-Military forces in the Home Ministry to the similarly placed Central Govt. Employees by extending them the benefit of Old Pension Scheme under CCS(Pension) Rules 1972. A copy of your instruction may please be endorsed to this office.

Thanking you,

Yours faithfully
(Shiv Gopal Mishra)
Secretary

It is a good news for the Indian telecom industry that the ARPU of Reliance Jio is falling sharply. ARPU is the total revenue of the operator, divided by the number of customers that the company is having. So, a company will become more profitable, if it’s ARPU increases, and vice-versa. . News has come that Reliance Jio’s ARPU keeps falling. It’s ARPU was Rs.154 in December 2017. Then, it fell to Rs.130 in December, 2018. It has fallen further to Rs.126.2 in March 2019. It is a known fact that all the telecom companies, including BSNL have gone into loss, because of the brutal tariff war unleashed by Jio. It wants to close down all other telecom companies, so that it can monopolise the telecom industry and thereafter loot the people. Already industry analysts have predicted that telecom tariffs will increase soon. Now, the sharp fall in Jio’s ARPU indicates that Jio has to increase it’s tariffs soon, which will be a good news for BSNL and other operators.

(BSNLEU Website)

A well attended generalbody meeting of Balasore District was held at Bhadrak on 21-04-2019. Com.Gadadhar  Panda , District President controlled the proceedings. Com.P K Pradhan, District Secretary welcomed all and presented a brief report. Coms. A C Mohanty, Circle Secretary and A Dhupal, CHQ Vice President spoke elaborately on the issues of pension revision, revival of BSNL and decisions of Kolkata AIC. Coms. Pratap Ch Jena, Circle Org Secretary and Sridhar Das, Circle Asst Secretary also addressed.

National Council meeting held on 13-04-2019 .. discussion on important points

General body meeting of AIBDPA, Krishna District was held on 13.04.2019 at MB Vignana Kendram, Vijayawada.The meeting was presided over by Com.N.Syam Prasad and Com.G.Gopal Rao.District Secretary Com. R.Madhava Rao gave the activities report and Com. B.Mohan Rao submitted financial report. Activists from different places spoke on the organisation and membership and problems.Com.K.S.C.Bose, Circle Secretary in his address explained to the members regarding the organisational position in districts,Circle and on the All India conference held at Calcutta and its decisions.The meeting congratulated Com. P.Asokababu for his reelection as Vice-President CHQ.