Is BSNL Going To Shut Down Soon? Read On To Find Out

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New Delhi: According to a report by The Times of India, the government of India has conveyed in no uncertain terms to state-owned telecom service provider Bharat Sanchar Nigam Limited (BSNL) to explore all possible options, including a turnaround plan to disinvestment and even closure.

The instruction to the telecom company, which had piled up losses of Rs 31,287 crore at the end of 2017-18, was given after a meeting of senior BSNL officials with telecom secretary Aruna Sundararajan.

According to the report, BSNL chairman Anupam Shrivastava gave a presentation to the telecom secretary, highlighting BSNL’s financial health, its amassed losses, and how Mukesh Ambani-promoted Reliance Jio’s entry in the telecom space impacted the business of BSNL. Besides, possible voluntary retirement scheme (VRS) and early retirement plans for staff were also discussed.

The Centre has reportedly asked the telecom company about a detailed report if its business was shut down. The daily quoted people in the know as saying that BSNL 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.”

The telco highlighted that the biggest issue before the company is large, ageing manpower. It hinted at cutting this, either through a VRS or by bringing down the retirement age from 60 years to 58 years

On VRS issue, BSNL said that it will target staff aged 56-60 years, that will make 67,000 employees eligible for it. It also listed out monetisation of the company’s large land-bank and buildings holding, likely to be worth Rs 15,000 crore.

Also Read: BSNL Offers Free Amazon Prime Membership For Bharat Fiber Subscribers

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