Group of Ministers to oversee corporatisation of Ordnance Factory Board

A file photo of the ordnance factory at Khadki near Pune. File.  

The government has constituted an Empowered Group of Ministers (EGoM) under the Chairmanship of Defence Minister Rajnath Singh to oversee the corporatisation of Ordnance Factory Board (OFB), the Ministry of Defence (MoD) said on Friday.

This follows the decision of the government to convert the OFB into one or more than one 100% government-owned corporate entities, the Ministry said in a statement.

Other ministers in the EGoM are Home Minister Amit Shah, Finance Minister Nirmala Sitharaman, Minister for Law and Justice Ravi Shankar Prasad, Minister of State for Labour and Employment Santosh Kumar Gangwar and Minister of State for Personnel, Public Grievance and Pension Jitendra Singh.

Terms of Reference

The Terms of Reference of the EGoM include matters related to various categories of employees including protection of their salary and pension of existing employees; financial support that may be provided to the entity or entities to make them economically viable and self-reliant; grandfathering of orders already being executed by OFB or for which facilities created in OFB; and treatment for land assets of OFB.

The composition of the EGoM along with ToR have been communicated to the OFB and various federations, unions and associations and they have been asked to place their suggestions and concerns before the EgoM. The MoD has already selected a consortium led by KPMG Advisory Services as the consultancy agency for providing strategic and implementation management consulting services on the issue.

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Printable version | Dec 2, 2021 1:09:00 AM |

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