INDIA
CORPORATISING RAIL ASSETS TO FACILITATE PRIVATISATION
ROLLING STOCKS UNITS MAY SOON BECOME PUBLIC ENTERPRISES
2019-11-11 16:35
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Twenty years after the corporatisation of the strategic operational division of the government’s Department of Telecommunication (DoT) as Bharat Sanchar Nigam Limited (BSNL) by the then BJP-led government, under Atal Behari Vajpayee, the present government is planning to corporatise a part of another department, the Railways. It is engaged in production of rolling stocks, including coaches, wheels and engines. The unplanned corporatisation of telecom department operation, which witnessed the transfer of some two lakh government employees to the corporate body, BSNL, is now faced with a kind of financial disaster. BSNL, with 1,74,216 employees till 2018, spent Rs. 14,488 crore on its employees’ salary account out of its total revenue of Rs. 19,308 crore, last year. The company incurred a loss of around Rs. 14,000 crore.