The Department of Telecommunications (DoT) will move the Election Commission to seek its approval for floating a cabinet note on a VRS package for BSNL employees, an official source said.
New Delhi:
“Government will be moving (EC) in the following days for its nod to float a cabinet note for giving 4G spectrum and an attractive VRS package (to BSNL),” the source said.
On the quantum of people to be covered under the VRS package, the source said that the government has no specific target and any employee above the age of 50 would be eligible to accept the proposal. “VRS will be available to anyone above 50 years,” said the source.
The cost of VRS for the BSNL would be Rs 6,365 crore. The wage cost of 1.76 lakh employees of BSNL covers 55 per cent of its revenue.
Earlier, the Digital Communications Commission had cleared Rs 8,500 crore VRS proposals for BSNL and MTNL through 10 year bonds. Last month, faced with heavy competition, BSNL could not clear salaries for February on time which forced the government to act on VRS at the earliest.
The person in the know of the developments said that the DoT would also seek the poll panel’s approval for a cabinet note on giving 4G spectrum to the state-run telecom operator.
“Government will be moving (EC) in the following days for its nod to float a cabinet note for giving 4G spectrum and an attractive VRS package (to BSNL),” the source said.
On the quantum of people to be covered under the VRS package, the source said that the government has no specific target and any employee above the age of 50 would be eligible to accept the proposal. “VRS will be available to anyone above 50 years,” said the source.
The cost of VRS for the BSNL would be Rs 6,365 crore. The wage cost of 1.76 lakh employees of BSNL covers 55 per cent of its revenue.
Earlier, the Digital Communications Commission had cleared Rs 8,500 crore VRS proposals for BSNL and MTNL through 10 year bonds. Last month, faced with heavy competition, BSNL could not clear salaries for February on time which forced the government to act on VRS at the earliest.