The National Confederation of Officers’ Association has written to the Prime Minister’s Office seeking reversal of the government’s decision to disinvest in central public sector units, while urging it to revert to earlier policy of retaining majority stakes in all CPSUs.
“The role of CPSUs is in nation building and also in enabling the government to maintain market competitiveness and enforcement of its policy framework,” the letter said, pointing out that these firms enable the government to enforce its policies in different sectors and check cartelisation by the private sector.
The executives from public sector enterprises from across the country on Wednesday organised a march from East Court Janpath to Parliament against the move.
No tangible results
The association pointed out that privatisation and strategic sale of CPSUs have not shown any tangible results in the past in terms of market access or financial inputs from strategic partners or in any manner.
“The government instead should proactively work towards revitalising these CPSUs to enable and empower them to effectively and successfully compete with the private sector,” it said.
It added that “such unwarranted ad hoc policy pronouncements” destabilise the units and negatively impact the morale of its employees and officers.
It also said that the government should come out with white paper comprehensively spelling out the future role of CPSUs.
The government is eyeing to raise Rs.20,500 crore from strategic sales of public sector units.
