Top central public sector enterprises (CPSEs) are set to get a free hand in creating new posts at senior levels as and when required without taking a prior nod of their respective parent ministry. The government is considering to give this power to navratna CPSEs that are currently handcuffed by their political bosses from creating posts above assistant general manager on their own.
The restriction is hampering expansion plans of various navratna companies as they cannot depute senior officials in any new office or branch that they have planned to open. The government has already provided this power to firms having the tag of maharatna. Till now, only four CPSEs namely Oil and Natural Gas Corporation, Indian Oil Corporation, NTPC and Steel Authority of India have received the coveted status of maharatna. A total of 16 firms including Coal India Ltd and Bharat Heavy Electricals Ltd are navratna.
?We have empowered maharatna companies to create posts till the level of executive director level. Considering its benefits, navratna companies have also started demanding this power. We are examining their demand,? said Bhaskar Chatterjee, secretary in department of public enterprises in the ministry of heavy industries and public enterprises.
As per senior officials in the department, the issue was discussed in a meeting between heavy industries and public enterprises minister Praful Patel and senior officials of public sector enterprises on March 9. As only four companies have this freedom as of now, the government feels the power can be extended to at least navratna CPSEs.
Interestingly, navratna CPSEs had the power to create new posts at any level below director, but in 2008 the powers were diluted to creating posts till assistant general manager only. ?We had increased the salary and perks of employees of CPSEs in 2008. With the increase in pay, there could have been a tendency to create more posts at higher levels. So we curtailed the power,? a senior official said, requesting anonymity.
As per present guidelines, a navratna company can formulate new posts upto E-6 level, which stands for the post of assistant general manager. In comparison to this, a maharatna firm has the power to create posts upto E-9 level or executive director. All CPSEs, whether navratna or maharatna, are free to make appointments till executive director as per the decision of their board. Senior director level positions are given final nod by the Appointments Committee of the Cabinet headed by the PM.