Crisis-ridden BSNL pays August salaries to staff

By: |
September 22, 2019 4:37 PM

BSNL's loss is estimated to be around Rs 14,000 crore with a decline in revenue to Rs 19,308 crore during 2018-19.

State-owned distressed telecom firms Mahanagar Telephone Nigam Ltd (MTNL) and BSNL have been incurring losses and have been facing problems in clearing staff salaries in the recent past.

Ending days of agonising wait for employees, crisis-ridden Bharat Sanchar Nigam Ltd (BSNL) has made salary payment to its staff for August, according to a top official. BSNL Chairman and Managing Director P K Purwar confirmed to PTI that the corporation transferred the funds and made August salary payment to its employees, last week. “Employees have got their salary now. The salary requirements were met internally,” Purwar said. State-owned distressed telecom firms Mahanagar Telephone Nigam Ltd (MTNL) and BSNL have been incurring losses and have been facing problems in clearing staff salaries in the recent past.

The Department of Telecommunications (DoT) for some time now has been working on a rescue plan for the two companies in the form of a revival package that entails components such as voluntary retirement scheme, asset monetisation and allocation of 4G spectrum. BSNL’s loss is estimated to be around Rs 14,000 crore with a decline in revenue to Rs 19,308 crore during 2018-19.

The public sector firm’s provisional loss was Rs 4,859 crore in 2015-16, Rs 4,793 crore in 2016-17, Rs 7,993 crore in 2017-18 and is estimated to swell to Rs 14,202 crore in 2018-19, according to information presented in Parliament. The number of employees in BSNL stands at 1,65,179.

Get live Stock Prices from BSE, NSE, US Market and latest NAV, portfolio of Mutual Funds, calculate your tax by Income Tax Calculator, know market’s Top Gainers, Top Losers & Best Equity Funds. Like us on Facebook and follow us on Twitter.

Financial Express is now on Telegram. Click here to join our channel and stay updated with the latest Biz news and updates.

Next Stories
1End of loan holiday: Repay mounting debts or face closure, small businesses face dire choice
2Swiss Challenge: Banks seek bids as Matix Fertilisers puts OTS on table
3Covid-related defaults: Insolvency suspension may be extended by six months in one go