Ministry of Finance advises to shut BSNL-MTNL over Rs 74,000 crore

New delhi date. October 9, 2019, Wednesday

The government wants to sell the loss to state-run telecom companies BSNL and MTNL. The Department of Telecommunications has proposed an investment of Rs 75,000 crore to re-seat BSNL and MTNL, which the finance ministry has rejected and advised the two companies to close, Finance Express has claimed.

According to sources, closing of both PSU companies is estimated to cost Rs 95,000 crore. These expenses include providing attractive retirement plans to BSNL and MTNL employees and paying the company debt. It is worth mentioning that both companies have three types of employees. There are one type of employees who are appointed by the company itself.

There are other types of employees who have been included in BSNL and MTNL from other PSUs or other departments. The third type of employees are the officers of the Indian Telecommunications Service.

If this company is closed now, ITS officers can be appointed to other government companies. The government may also retire those employees who have been appointed by BSNL and MTNL.