BSNL, MTNL fail to pay July salary, CMD says will pay on August 5

August 02, 2019 11:22 am | Updated 11:22 am IST - New Delhi

A view of the BSNL building in Bengaluru. The loss-making PSU has BSNL has 1.76 lakh employees across India.

A view of the BSNL building in Bengaluru. The loss-making PSU has BSNL has 1.76 lakh employees across India.

Loss-making telecom PSUs Bharat Sanchar Nigam Ltd and MTNL have failed to clear salaries of their 1.98 lakh employees for July in time, a union leader said on Thursday.

While BSNL Chairman and Managing Director P.K. Purwar said that employees will get the July salary on August 5, the union leader said that no information has been shared by the management about the disbursal of the salary.

“Salary for the month of July has not come. There is also no information when will it be credited,” All India Unions and Associations of Bharat Sanchar Nigam Limited (AUAB) Convenor P Abhimanyu told PTI.

When contacted, the BSNL CMD said that employees will get the salary on August 5. “Funds are being arranged through internal accruals,” Mr. Purwar said.

BSNL has 1.76 lakh employees across India while MTNL has around 22,000 employees.

Salary of employees is credited to their accounts on the last date of every month. However, this is for the second time the two companies have defaulted on payment of salaries this year and for the first time after the new government took charge.

The two PSUs had delayed payment of salaries for February until mid-March due to a financial crisis. BSNL had then said that it used its internal accruals to clear the pending salaries.

Total monthly salary expenses of BSNL are in the range of ₹750-850 crore while that of MTNL are around ₹160 crore.

MTNL Human Resource and Enterprise Business Director Sunil Kumar said that the company is in the process collecting some dues after which the salary will be paid on a priority basis very soon. Mr. Kumar has holds additional charge of MTNL CMD.

0 / 0
Sign in to unlock member-only benefits!
  • Access 10 free stories every month
  • Save stories to read later
  • Access to comment on every story
  • Sign-up/manage your newsletter subscriptions with a single click
  • Get notified by email for early access to discounts & offers on our products
Sign in

Comments

Comments have to be in English, and in full sentences. They cannot be abusive or personal. Please abide by our community guidelines for posting your comments.

We have migrated to a new commenting platform. If you are already a registered user of The Hindu and logged in, you may continue to engage with our articles. If you do not have an account please register and login to post comments. Users can access their older comments by logging into their accounts on Vuukle.