BSNL Employees Union
BSNL Employees Union has finalised its draft memorandum for the next pay revision. However, this is only BSNLEU's proposals. This has got to be discussed with all the unions, for preparation of a common memorandum, before submission to the management. We reproduce the draft memorandum on our website for the information of our members .
NOTE ON WAGE REVISION PROPOSALS
I. BSNL is one of the best PSUs but pays least to its employees
1. A study of 11 PSUs – BSNL, MTNL, TCIL, ONGC, BPCL, HPCL, IOC, NTPC, Power Grid, BHEL and SAIL is made for the financial year 2005-06. Various parameters enabling a comparative study of these 11 PSUs are given in the annexure as tables 1 to 6.
2. BSNL got the MOU rating “excellent” along with ONGC, HPCL, IOCL, Power Grid, BHEL and SAIL where as MTNL, TCIL, BPCL and NTPC have got the MOU rating “very good” (Table-1).
3. BSNL tops among these 11 PSUs in case of Gross Block, Net Block, Reserves and surpluses, capital employed and number of employees (Table 1).
4. BSNL is in 2nd position in case of net profit among these 11 PSUs (Table 1). In fact BSNL is in 2nd position among the top 10 profit making PSUs (Table 3).
5. Among these 11 PSUs, BSNL is in 5th place in case of net revenue after IOCL, BPCL, HPCL and ONGC (Table 1). But it is to be noted that most of the revenue in IOCL, BPCL and HPCL is due to the inclusion of the cost for purchase of finished goods/consumption of raw materials. For example, in case of BPCL, the net revenue is Rs. 77036 crore in which the cost for purchase of finished goods/consumption of raw materials Rs. 71350/- is included. In case of ONGC, its monopolistic position explains the large revenue. Without any of these helping factors, BSNL got net revenue of Rs. 36139 Crore and hence in real terms, it is to be treated as number one.
6. BSNL’s share in total 225 PSUs is 19% in reserves & surplus, 18% in Gross Block, 19% in net block, 15% in capital employed, 13% in PBDITEP (Profit before
depreciation, interest, taxes, extra ordinary items and prior period adjustments), 13% in net profit, 20% in number of employees and 4% in turnover. (The reason for the apparent low level in turnover is explained in para 5 above).
7. In the Ranking based on relative performance in the year 2005-06 compared to 2004-05, BSNL got 57th rank among 124 PSUs (Table 4). But it is to be noted that BPCL got 51st and HPCL got 60th rank although their MOU ranking is excellent, like BSNL.
8. The rate of gross surplus created in these 11 PSUs is given in table 5. This is arrived by the formula PBITEP/WAGES X 100. PBITEP is the gross profit after deducting depreciation cost. The cost of labour power is indicated by the wages and the gross surplus created by the labour power is indicated by PBITEP. In the rate of gross surplus in these 11 PSUs, BSNL is better than BPCL and IOCL in the oil Sector and closer to BHEL and SAIL. The enormous surplus of ONGC (1683%), NTPC (830%) and power Grid (778%) is due to their monopolistic position.
9. The rate of net surplus (net profit) generated in these PSUs is given in table 6. This is arrived by the formula Net Profit / wages x 100. The rate of net profit in BSNL is higher than MTNL, TCIL, BPCL, HPCL, BHEL and SAIL. Only due to monopolistic position the ONGC, NTPC & Power Grid rates are higher than BSNL.
10. But the glaring fact is that the average per employee per month wage (Rs. 18914) is the lowest in BSNL among these 11 PSUs. While in the rest of the 10 in these PSUs the average wage is from Rs. 25062 to 61733, in BSNL it is only Rs 18914. It is also to be noted that the wage in BSNL is very low when compared with other telecom PSUs – MTNL and TCIL. In VSNL the average wage per year per employee for 2005-06 was Rs. 12, 97,300/-. This means the per employee per month wage in VSNL for the year 2005-06 is Rs. 1, 08,108/-.
II. Parity in wages with Oil Sector PSUs is justified
1. The facts mentioned in Chapter I above clearly establish that BSNL is comparable to Oil Sector PSUs in respect of several parameters and therefore the wages of BSNL Employees have to be on par with Oil Sectors PSUs like ONGC, HPCL, IOCL or BPCL. The fact that the wages in these Oil Sector PSUs will be revised significantly from 01-01-2007 is also to be taken into consideration. It is also to be noted that in
other public sector telecom service companies MTNL and TCIL and also in the recently privatized VSNL the wages are very high compared to BSNL.
2. The Department of Public Sector Enterprises in its circular No. 2(50)/86-DPE(WC) Dated 19-07-1995 has stated: -
“Public Sector Enterprises are considered as ‘State’ under the provisions of article 12 of the constitution of India. Both the Supreme Court and the various High Courts have given directions in the recent past either for restoration of parity in the scales of pay in one PSE with that of another PSE or removal of anomalies. In order to avoid further litigation, it has, therefore, been proposed that the scales of pay of the incumbents of the top posts, executives holding posts below the board level and non-unionised supervisors would be similar in all PSEs irrespective of profit or loss made by them”.
3. When the executives of other sectors are treated on par with Oil Sector irrespective of profit or loss, the same parity has to be applied to non-executives. Moreover, in view of being one of the best among PSUs, the BSNL has no ground to deny parity in wages with oil sector.
III. Logical Relativity with Executives has to be improved
The ratio between the lowest pay of non-executives with the highest pay of executives was 1:19 in 1970 in public sector, before the starting of centralized collective bargaining. After 5 rounds of wage agreements once in every 5 years, by 1996 this relativity was improved to 1:4.7. But in the 6th round of wage revision that came into effect from 01-01-1997, the non-executives were discriminated and the executives were highly favoured. As a result the above said relativity in wages has deteriorated from 1:4.7 to 1:7. we demand that this discrimination should be ended and the logical relativity in wages between non-executives and executives should be improved.
IV. Projected Revenue of BSNL
1. As per the statement of the honorable Minister of Communications Sri Dayanidhi Maran on 02-01-2007, BSNL’S turnover will reach Rs. 90,00,000 crores (20 billion dollars) by 2010 and in the year 2008 it will be given Navaratna status.
2. Therefore with such increase in revenue and with available huge reserves and
surplus, there is enough scope for granting wages to BSNL Employees on par with Oil Sector PSUs.
V. Factors to be considered in evolving Proposed Pay Structure
1. The following factors are taken into consideration in proposing the pay revision: a) Parity in wages with Oil Sector.
b) Increase in wages in oil sector in proposed wage revision from 01-01-2007. c) Necessity for improving the logical relativity in the wages of non-executives
and executives.
d) The level of minimum wage should be on par with need based minimum wage and the level of minimum wage in PSU should be higher than this to maintain existing relativity.
e) The necessity for merger of D.A with pay after crossing 50% has to be taken in to consideration since the last wage revision from 01-01-1997 was given effect for long tenure of 10 years.
f) The necessity for implementing the concept of 5 promotions. g) The necessity for upgradation of pay scales of various cadres.
VI. The proposed pay structure for BSNL Employees
1. As per the norms fixed by the 15th Indian Labour Conference, the need based minimum wage was calculated by confederation of Central Government Employees and the amount was Rs. 10,000/-. Thus Rs. 10,000/- has to be fixed as the minimum pay in case of Central Government Employees. As on 31-12-2006 the pay + DP + DA of Central Government Employee at minimum level is Rs. 2,550/- + Rs. 1,275/- + Rs. 1,109/- = 4,934/-. In case of BSNL Employees the pay + IDA as on 31-12-2006 at minimum level was Rs. 4,000 + Rs. 2,608 = Rs. 6,608/-. Thus the pay + IDA at minimum level in BSNL is 1.34 times that of the pay + DP + DA in Central Government at minimum level. Therefore to maintain relativity between Central Government and BSNL, the need based minimum pay of Rs. 10,000/- is to be multiplied by
1.34 to arrive at the minimum pay in BSNL. Therefore in place of the present minimum pay Rs. 4,000/- in NE 1 scale of BSNL Employees is to be increased to 13,400/- (10,000 X 1.34).
2. The 4th pay commission has fixed minimum pay of Rs. 750/- for Central Government Employees. The 5th pay commission has fixed this as Rs. 2,550/- which is 3.4 times more then Rs. 750/-. On the same analogy, the minimum pay of Rs. 4,000/- in BSNL has to be increased by 3.4 times. Therefore Rs. 13,600/- (4,000/- X 3.4) is justified as the minimum pay from 01-01-2007 instead of the existing minimum pay of Rs. 4,000/-.
3. In public sector undertakings, wage revision has taken place every 5 years until 5th round of wage revision. But the 6th wage revision that came into effect from 01-01-1997 was given 10 years tenure and hence the 7th wage revision has become due from 01-01-2007. This delay of 10 years for wage revision was unjustified and caused loss. Although this loss may not be totally compensated, at least merger of 50% IDA with pay for all purposes is justified. It is to be noted that for central Govt Employees for whom the 5th CPC wage revision was effective for 10 years from 01-01-1996, The Govt has agreed for 50% DA merger. Therefore the merger of 50% IDA with pay has to be considered for all purposes including grant of IDA for BSNL Employees. In such case as on 31-12-2006 Rs. 2,000/- (50% IDA) has to be merged with the minimum pay of Rs. 4,000/- and the total comes to Rs. 6,000/- (Pay + Dearness pay). Out of IDA of 65.2% due on 31-12-2006, if 50% is to be merged with pay, the balance will be 15.2% which is to be granted on Pay + DP. Thus the Pay + DP + 15.2% IDA on (Pay + DP) will be Rs. 6,900/- (Rs. 4,000/- + Rs. 2,000/- + Rs 900/-). The average wage per employee per month in ONGC is Rs. 30,540/- in the year 2005-06. In MTNL it is Rs. 31,052/-. In BPCL it is Rs. 52,946/-. In TCIL it is Rs. 61,733/-. In BSNL it is only Rs. 18,914/-. Thus in these other comparable PSUs the average wage is already around 65% more than BSNL. The wages in these PSUs will further increase from 01-01-2007 due to 7th wage revision. Therefore taking these factors in to
consideration the Pay + 50% IDA (DP) + 15.2% IDA on (Pay + DP) as on 31-12-2006 in BSNL is to be increased twice by granting 100% Fitment Benefit to arrive at the minimum’s of the pay scales to be granted from 01-01-2007.
4. On this basis, the following will be the pay (merged) + DA on 31-12-2006 on the minimums of the existing 11 non-executive scales and first 3 executive scales:
Scale Min Pay on 31-12-2006. 50% IDA (D.P) Pay + D.P 15.2% IDA on Pay + D.P Pay + D.P + IDA as on 31-12-2006 1 2 3 4 5 6 ( Col 4 + 5) NE – 1 4000 2000 6000 912 6912 NE – 2 4060 2030 6090 925.6 7016 NE – 3 4100 2050 6150 934.8 7085 NE – 4 4250 2125 6375 969 7344 NE – 5 4550 2275 6825 1037.4 7862 NE – 6 4720 2360 7080 1076.16 8156 NE – 7 5700 2850 8550 1299.6 9850 NE – 8 6550 3275 9825 1493.4 11318 NE – 9 7100 3550 10650 1618.8 12269 NE – 10 7800 3900 11700 1778.4 13478 NE – 11 8570 4285 12855 1953.96 14809 E – 1 9850 4925 14775 2245.8 17021 E – 2 11875 5937.5 17812.5 2707.5 20520 E - 3 13000 6500 19500 2964 22464
5. The amounts in col.6 in the above table are to be increased twice to grant proposed 100% Fitment Benefit and on that basis the minimums of the proposed scales are to be fixed, in order to grant parity in wages with oil sector, (after taking into account the proposed wage revision in oil sector w.e.f 01-01-2007).
Therefore the following minimums are proposed for the pay scales coming into effect from 01-01-2007: Scale 1 Present Minimum 2 Pay + DP + DA on this on 31-12-2006 3 Proposed Scale Minimum w.e.f 01-01-2007 (col. 3 x 2) rounded to nearest hundred NE – 1 4000 6912 13800 NE – 2 4060 7016 14000 NE – 3 4100 7085 14200 NE – 4 4250 7344 14700 NE – 5 4550 7862 15700 NE – 6 4720 8156 16300 NE – 7 5700 9850 19700 NE – 8 6550 11318 22600 NE – 9 7100 12269 24500 NE – 10 7800 13478 27000 NE – 11 8570 14809 29600 NE – 12 (E-1) 9850 17021 34000 NE – 13 (E-2) 11875 20520 41000 NE – 14 (E-3) 13000 22464 44900
6. It is proposed that the pay scales are to be open-ended, with grant of 8% increment annually, and cumulatively, on basic pay. The existing minimums of NE-2 and NE-3 are 4060 and 4100 with a negligible difference of Rs. 40/-. In their equivalent scales proposed above also the difference is Rs. 200/- only. Therefore it is proposed to merge the NE-2 and NE-3 scales. Hence the following open ended scales are proposed.
Existing Scale Existing Minimum
Minimum Pay Increment
NE – 1 4000 13800 8% on basic pay NE – 2 4060 NE – 3 4100 14200 8% on basic pay NE – 4 4250 14700 8% on basic pay NE – 5 4550 15700 8% on basic pay NE – 6 4720 16300 8% on basic pay NE – 7 5700 19700 8% on basic pay NE – 8 6550 22600 8% on basic pay NE – 9 7100 24500 8% on basic pay NE – 10 7800 27000 8% on basic pay NE – 11 8570 29600 8% on basic pay
NE – 12 (E-1) 9850 34000 8% on basic pay
NE – 13 (E-2) 11875 41000 8% on basic pay
NE – 14 (E-3) 13000 44900 8% on basic pay
Note: In view of requirement for up gradation of scales for various cadres from NE-VI onwards, three more scales are added for Non-Executives
7. Upgradation of scales
a. The existing scale of Telecom Mechanics in basic grade in NE-6 is to be upgraded as NE-7 i.e., they should get proposed NE-7 scale of Rs. 19,700/- with 8% increment every year on cumulative basic pay. Same is the case for all cadres in the present NE-6 scale. The OTBP/BCR/Gr. IV existing scales of Telecom Mechanics are to be upgraded to proposed NE-8 (Rs. 22600/-), NE-9 (Rs. 24,500/-) and NE -10 (Rs. 27,000/-) respectively.
b. The existing scale of Sr. TOA in basic grade in NE-7 is to be upgraded to NE-9 scale of Rs. 24,500/- with 8% increment. Same is the case for all cadres in existing NE-7 scale. Also the existing NE-7 scale of J.A.s also is to be upgraded to NE-9 i.e., 24,500/- scale. c. The existing scale of OTBP in Sr. TOA and TTA cadres in NE-9 is to be upgraded to
proposed NE-11 i.e., 29,600 scale.
d. The existing scale of BCR in NE-10 is to be upgraded to proposed NE- 12 scale i.e., Rs. 34,000/-.
e. The existing scale of Gr. IV in NE-11 is to be upgraded to proposed NE-13 scale i.e., Rs. 41,000/-.
f. (On the basis of above criteria, the upgradation of other justified cadres are to be arrived at)
VII. Fitment Formula
(1) Basic pay as on 31-12-2006 + (2) 51.4% of (1) above + (3) 13.8% of (1) + (2) above (4) Total of (1) + (2) + (3) above x 2
(5) Add service increment of 1% of pre revised basic pay as on 31-12-2006 for every completed year of service in the cadre, to (4) above (Service increment of 0.5% of pre revised basic pay to be added by considering 6 months service i.e., if service in cadre is 3 ½ years as on 31-12-2006, 3.5% of pre revised basic pay is to be added).
(6) 2 increments in revised basic pay are to be added on cumulative basis, to 5 above.
(7) The next stage arrived at by adding increments cumulatively to the scale minimum, is to be fixed as pay in the revised scale.
NOTE: In case of senior getting less than junior, the senior official’s pay should be brought
on par with his junior while deciding pay in present scale on 31-12-2006. For this, the report of anomalies committee has to be implemented immediately.
VIII. Increment
1. The annual increment is to be given @ 8% of basic pay cumulatively.
2. For those whose increment was due on 01-01-2007, it has to be given on the revised basic pay at revised rate of increment.
IX. Fixation on promotion
1. For fixation of pay in the promoted scale, 10% of the basic pay in the pre promoted scale is to be added to the basic pay in the pre promoted scale.
X. DA
The present IDA formula with revision once in 3 months is to be continued, with first installment of IDA @ 3.6% rate as on 2007, on the new basic pay on 1-1-2007. The IDA should be on 100% neutralization for all, as at present.
XI. H.R.A.
1) At present as per DPE order No.M-13/93-DPE (WC) dt.1-10-1996, the HRA rates are as below:
Delhi & Mumbai 30% of basic pay Other A class cities 25% of basic pay B1, B2 class cities 15% of basic pay All other stations 10% of basic pay
As per central Government existing procedure, the cities are classified fixed as below & HRA given as below:
A-1 50 lakhs above 30% of pay + DP
A 20-50 lakhs 15% of pay + DP B-1 10-20 lakhs 15% of pay + DP
B-2 05-10 lakhs 15% of pay + DP C 50000 to 5 lakhs 7.5% of pay+ DP Unclassified below 50000 5% of pay +DP
Since same rates were recommended for A, B-1 & B-2 stations, in effect there are only 4 slabs i.e., 30%, 15%, 7.5% and 5%.
3) Since the variation in central Government HRA rates between highest (30%) and lowest (5%) is 25%, which is quite high, it has given rise to a lot of heart burning for those transferred from urban to rural stations.
4) It is proposed that the following HRA rates may be fixed.
For A1 and A Class Cities 40% of revised basic pay. For B1 and B2 Cities 30% of revised basic pay. For C Class Cities and all other stations 20% of revised basic pay.
XII. Rural Compensatory Allowance
It is proposed that Rural Compensation Allowance is to be given @ Rs. 200/- per month
XIII - Over Time Allowance
It is proposed that over time allowance be calculated and paid on the basis of actual pay, DA and CCA and revised as and when DA rate is revised.
XIV- Cycle Maintenance Allowance
It is proposed that the cycle maintenance allowance be converted as Scooter/Motor cycle maintenance allowance and given @ Rs.200/- per month.
XV - Conveyance Allowance
a) The present rates of conveyance allowance are as below: Average Monthly Journey By Motor Car By other
Modes of Journey
201-300 KM 560 186
541-600 KM 1035 320
691-800 KM 1215 375
>800 KM 1500 425
b) In view of the fact that between 1996 and 2006 the fuel rates are more than doubled and in view of the cost for maintenance and upkeep of the vehicle, it is proposed to triple these rates. Since the fuel rates are spiraling, it is necessary to revise these rates once in 2 years.
XVI - Uniform, Washing Allowance, Shoes and Chappals A) UNIFORM
At present 2 pairs of uniform are being given to TM, RM and Group D once in 2 years and also the staff working in telecom centers are eligible for uniform. The pant Color is Gabiden Grey (Poly 80: Cotton20) cost Rs 115/- per meter. Shirt sky blue (Ploy 67: Cotton 33) cost Rs. 52/- per meter. For women employees two sarees, blouses and petticoat (the dress below the saree) are being given. For saree 5.5, sky blue color with navy blue color border (Ploy 67: Cotton 33) cost Rs 190/- per saree. Blouse sky blue, cost Rs 49/- per blouse. Petticoat 100% cotton, 4 meters, cost Rs. 38/- per meter.
The stitching charges at present are Rs 195/- per two pairs for gents (Rs. 75/- per pant, Rs. 22.50/- per shirt). For women employees Rs 70/- (Rs 25/- for petticoat and Rs. 22.50/- per blouse).
Washing allowance of Rs. 30/- per month is being given at present.
The following changes are proposed regarding uniform:
I. For Gents: - 4 pairs of uniform per year, pant navy blue color, shirt light sky blue
color, pant 1.30 meters, shirt 2.5 meters, pant Poly 80:cotton 20, shirt Poly 60: cotton40, Rate Rs. 1000/- per pair so that good quality cloth is given. Stitching charges Rs. 300/- per pair.
II. For women: - 4 pairs of saree and blouse with petticoat (worn under the saree).
Saree navy blue color, blouse light sky blue color. For saree Poly 50: Cotton 50, blouse Poly 50: Cotton 50, petticoat 100% cotton, Rate Rs. 1000/- per pair.
III. BSNL Logo is to be there on the pocket for gents and on the border of the saree for
women.
IV. Stitching charges Rs. 300/- per pair for gents (Total Rs 1200/-) and Rs. 50/- per
blouse and Rs. 50/- for petticoat for women (Total Rs 400/-).
V. Washing allowance Rs. 400/- per month.
B) SHOES AND CHAPPALS
At present the TM, RM (outdoor) are being given canvas shoes and socks once in 6 months (Rate Rs. 245 + Rs 15) and Chappals one pair once in a year at Rs. 100/- per pair. The TM, RM and Group D working in indoor are being given Chappals once in a year at Rs. 100/- per pair for gents and Rs. 93/- per pair for women.
It is proposed that for the outdoor staff instead of canvas shoes, the shoes of ‘POWER’ company @ Rs. 1000/- per pair are to be provided with socks once in 6 months and socks rate may be increased to Rs. 70/- per pair. The rate of chappals may be increased to Rs. 400/- per pair.
Since all the staffs are to be provided uniform as per the above proposal, it is proposed that all the staff may be provided with power shoes and chappals as above.
XVII - Shift Duty Allowance
It is proposed that the shift duty allowance is to paid at the following rates:
a) Morning shift Rs.30/- b) Evening shift Rs.50/-
c) Nigh Shift Rs.100/-
XIX - Leave Travel Concession
It is proposed to grant four hometown LTC in a block of 4 years or one All India LTC in a block of 4 years. Encashment of 30 days E/L in a block of 4 years be allowed towards expenditure for the leave travel.
XX - BSNL MRS
The following improvements are proposed in BSNL MRS:
a) Where the treatment is neither covered under BSNL MRS rates nor under CGHS rates, CGMS be empowered to approve the treatment as per the estimate submitted.
XXI - Working Hours
5-day/ 40 hrs week be implemented uniformly for all employees, in view of the high productivity achieved in telecom sector due to rapid technological advance.
XXII- Women Employees
1. 5th CPC has recommended the following measures for women employees. a) Flexi-time work
b) Flexi-place work
c) Half time work for half pay & allowances, for 6 years, as an option, without any reduction in all other benefits i.e., leave, LTC, pension etc.,
e) Posting of wife & husband at the same station. f) Higher leave reserve for women employees.
g) Public convenience facilities for women employees in all offices. h) Arranging ‘ladies special’ in bigger cities.
i) When women employee has no E.L. at her credit, she may be allowed to avail the E.L. at the credit of her husband, for the purpose of rearing very young children.
2. While the other recommendations are to be implemented, the recommendations at a,b,c in above are to be discussed with women employees to examine their necessity and their effect on trade union movement, before demanding implementation of such recommendations.
3. It is proposed that the possibility of giving refresher trainings / skill upgradation trainings to women employees in the station where they are working, be explored, instead of sending them to training centers in other stations.
XXIII - Compassionate Appointments
It is demanded that all applicants, including rejected cases, be given compassionate appointments without any exception.
XXIV - Promotion Policy
The time bound promotion policy announced for the executives vide BSNL C.O. No. 400-61/2004-Pers-I, dt. 18.1.2007 be implemented on the same terms & conditions except that:
a) The eligibility criteria should be length of service cum fitness, as in OTBP/BCR at present, without the grading criteria.
b) Implementation of SC/ST reservations in these time bound promotions.
XXV- Retirement Benefits
a) Pension and other retirement benefits are to be paid on revised IDA scales for the DOT employees absorbed in BSNL, as per Government Rules and the pension cost for DOT service should be met by DOT. With contribution from BSNL as per FRs, for the BSNL service. The DOT order dated 15.06.2006 is to be cancelled and the DOT order dated 15.3.2005 be implemented.
b) We support the proposals submitted by confederation of Central Govt. Employees to the 6th Pay Commission on pension and other Retirement benefits, except medical scheme in view of BNSNLMRS for retired BSNL Employees.
c) For the non-executives (and also executives) recruited by BSNL scheme, pension scheme is to be formulated, as on the lines of DOT employees absorbed in BSNL, with contribution from these BSNL recruitees and BSNL management. The pension fund thus collected may be maintained by Government, by keeping it in Public Account.
d) There is discrimination against the BSNL recruitees since they have to contribute every month for pension where as DOT employees absorbed in BSNL need not contribute. This discrimination is to be compensated by the Promotion Policy mentioned at XXII above, since through this policy they will get early and more promotions in their career, compared to the absorbed DOT employees.
XXVI - Casual & Contract Labour
a) Regularise all casual / contract labour.
b) Pending regularization, the contract labour, like the casual labour, be paid Basic + DA of Group D minimum.
XXVII- Additional Qualification Increment
For officials having / acquiring qualification over and above the recruitment rules, two increments, may be given additionally.
XXVIII - Other proposals to be prepared
(The proposals on cash handling allowance, CEA, ROTF, Hostel Subsidy, Family Planning increment, training allowance, Proficiency allowance, special compensatory allowance, loans and advances, bonus, quarterly incentive, are to be prepared further)
XXIX - Date of Effect
a) The revised pay and allowances must be implemented w.e.f. 1.1.2007.
b) The revision in pensionery benefits as per Govt. Rules for absorbed employees be implemented from 1.1.2006, on IDA scales, since for Central Govt. Employees the wage revision is due on 1.1.2006.
XXX - Tenure of the Agreement
a) The tenure of the agreement for revised pay and allowances etc., is to be 5 years with effect from 1.1.2007.
Comparative study of BSNL with some other PSUs based on performance in the year 2005-06.
ANNEXURE TABLE – 1 Sl . N o . PSU Gross Block (Rs. crores) Net Block (Rs. crores) Reserves & Surplus (Rs. crores) Capit al emplo yed (Rs. crores ) Net Revenue (Rs. crores) PBDF TEP (Rs. crores) Net Profit (Rs. crores) PDBIT EP: Capit al emplo yed MOU composite score & rating No. of employe es Per month per employ ee emolu ments (Rs.) 1 BSNL 111765.49 60261.95 68256.51 3.96 8572 36138.94 18736.01 8940 21.86 1.26 Excellent 326948 18914 2 MTNL 14854.15 6568.75 10606.77 10789.89 5560.98 1342.49 580.29 12.44 2.05 Very good 51133 31052
3 TCIL 71.07 32.33 367.85 326.70 453.49 22.29 32.80 6.82 2.06 Very good 924 61733
4 ONGC 103971.99 35425.53 52533.74 44974.35 47966.40 29724.34 14431 66.09 1.45 Excellent 34722 30540
5 BPCL 18544.95 9917.36 8777.88 13823.33 77035.92 1406.02 291.65 10.17 1.51 Very good 13876 52946
6 HPCL 13479.25 7337.40 8396.80 10392.49 68161.77 1132.81 405.63 10.90 1.03 Excellent 10778 53409
7 IOCL 43694.96 25023.42 28134.66 35899.63 168854.91 3341.41 4915.12 9.31 1.17 Excellent 30048 42999
8 NTPC 46039.61 23089.49 37154.00 32649.93 26142.92 10082.07 5820 30.88 1.61 Very good 24044 33564
9 Power Grid 24888.25 18516.24 6378.55 17598.86 3145.34 2751.90 1008.93 15.64 1.00 Excellent 7101 30138
1
0 BHEL 4006.63 982.28 7056.62 6993.04 13374.03 2865.50 1679.16 40.98 1.20 Excellent 42601 36746
1
1 SAIL 29360.46 12162.14 8471.01 17117.73 28265.57 7530.73 4012.97 43.99 1.44 Excellent 138211 25062
ANNEXURE
TABLE – 2
BSNL’s share in total 225 PSUs in 2005 – 06 Sl. No. Financial Parameter Total PSUs (Rs. Crores) BSNL (Rs. Crores) Share of BSNL 1. Reserves & Surplus 359077 68257 19% 2. Gross Block 619936 111765 18% 3. Net Block 309138 60262 19% 4. Capital Employed 581250 85724 15% 5. Turnover (Revenue) 832584 36139 4% 6. PBDITEP 141951 18736 13% 7. Net Profit 70288 8940 13% 8. No.of employees 1649000 326948 20% ANNEXURE TABLE – 3
Top 10 profit making Central PSUs in 2005 - 06
Sl. No. PSU Net Profit (Rs. Crores) (Rounded to nearest crore)
1. ONGC 14431 2. BSNL 8940 3. NTPC 5820 4. IOCL 4915 5. SAIL 4013 6. GAIL 2310 7. NMDC 1828 8. NPCIL 1713 9. CIL 1712 10. OIL 1690
ANNEXURE
TABLE – 4
Ranking of some PSUs based on 7 financial parameters in the year 2005 – 06
The parameters are – sales, % of change in sales over previous year, net profit, % of
change in net profit over previous year, return on net worth, earning per share and dividend pay out. The ranking is based on survey of 124 CPSUs, giving equal weight to
each of the 7 parameters. This ranking indicated the relative performance in 2005-06 compared to 2004 – 05.
Sl. No. PSU Rank
1. BHEL 8 2. ONGC 8 3. IOCL 13 4. NTPC 22 5. Power Grid 30 6. SAIL 36 7. BPCL 51 8. BSNL 57 9. HPCL 60 10. MNTL 62 11. TCIL 91
ANNEXURE
TABLE – 5
Rate of Surplus value in PSUs in 2005 – 06
Sl. No. PSU Salaries & Wages (Rs. Crores) PBITEP (Surplus) (Rs. Crores) Rate of Surplus
Per month per employee remuneration (1) (2) (3) (4) Col. (4) ÷ Col. (3) x 100 (Rs.) 1. BSNL 7421 9359 126% 18914 2. MTNL 1905 696 37% 31052 3. TCIL 68 19 28% 61733 4. ONGC 1273 21422 1683% 30540 5. BPCL 882 638 72% 52946 6. HPCL 691 1133 164% 53409 7. IOCL 1863 1140 61% 42999 8. NTPC 968 8034 830% 33564 9. Power Grid 257 1999 778% 30138 10. BHEL 1879 2620 140% 36746 11. SAIL 4157 6146 148% 25062
Annexure
TABLE – 6
Rate of Net Surplus in PSUs in 2005 – 06
Sl. No. PSU Wages (Rs. Crores) Net Profit
(Rs. Crores) Rate of Net Profit
Per month per employee Wages (1) (2) (3) (4) Col. (4) ÷ Col. (3) x 100 (Rs.) 1. BSNL 7421 8940 120% 18914 2. MTNL 1905 580 30% 31052 3. TCIL 68 33 49% 61733 4. ONGC 1273 14431 1134% 30540 5. BPCL 882 292 33% 52946 6. HPCL 691 406 59% 53409 7. IOCL 1863 4915 264% 42999 8. NTPC 968 5820 601% 33564 9. Power Grid 257 1009 393% 30138 10. BHEL 1879 1679 89% 36746 11. SAIL 4157 4013 97% 25062
The rate of net profit of BSNL compared to wages is 120%, which is more compared to MTNL (30%), TCIL (49%), BPCL (33%), HPCL (59%), BHEL (89%), and SAIL (97%). But the per month per employee wage in BSNL is Rs. 18914 only which is very less compared to MTNL (Rs. 31052), TCIL (Rs. 61733), BPCL (Rs. 52946), HPCL (Rs. 53409), BHEL (Rs. 36746), SAIL (Rs. 25062).
