The BSNL Employees Union strongly opposed the recommendations of the panel headed by Sam Pitroda which called for divesting 30% of government’s stake in BSNL. The union also opposed the proposal to retrench 1 lakh employees.

The Union blamed the company’s dwindling performance on network capacity crunch and the delay in procuring equipment to overcome the problem. It called for immediately clearing the 93 million GSM tender which is now put on hold.

According to the Union, to improve the financial viability, the government should waive the licence fee, divident etc. to be paid by BSNL to Government for a period of three years and to stop unnecessary interference from above. The issue of finalization of ITS absorption should also be urgently sorted out, so that the present uncertainly and confusion is over.

“The recommendations to retrench 1 lakh workers through Voluntary Retirement Scheme (VRS) has no logic as there is shortage of staff even now in certain areas. About one lakh workers have already retired during the last 9 to 10 years after corporatisation. Any further reduction through VRS will be suicidal and will seriously and adversely affect BSNL development and expansion,” said the Union.