The Hindu Business Line : Rs 124-cr wage arrears package cleared for 15 sick CPSEs

In the list
The beneficiaries include Andrew Yule and Co, Bharat Heavy Plates and Vessels Ltd, Burn Standard Company, Bharat Wagon Engineering and Hindustan Cables.

New Delhi , Sept. 7

Around 37,000 workers in 15 central public sector enterprises (CPSEs) will get their dues for the January-June 2006 period cleared soon.

The Cabinet Committee on Economic Affairs on Thursday approved a Rs 124.37-crore package to clear these arrears.

These companies are unable to pay salary to their employees and the Government is providing budgetary support to them for six-month salary arrears. A total of around 37,000 employees would be benefited before the festival season, the Minister for Heavy Industries and Public Sector Enterprises, Mr Santosh Mohan Dev, told reporters at a press conference here. The Minister also said that the proposal for setting up a new wage panel for PSE workers was in the offing. "Our proposal is with the PMO. He has agreed in principle. It will be set up very soon," he said.

The due amount is for the six-month period between January 1, 2006, and June 30, 2006, he said.

Yielding results

The Minister said the policy of providing support to troubled PSEs yielding results as it found that they were able to turn around. He said the amount would be released to the companies in a day or two.

"Two years ago, we gave support to 24 CPSUs as they were unable to pay salaries to their workers. Today we are providing to only 15 because the other companies are now able to pay on their own," he said.

This Minister said that it shows that given proper working capital and other things, workers can make companies do better.

Getting their dues

The CPSEs for which support has been announced are Andrew Yule and Company (Rs 12.77 crore), Kolkata, Bharat Heavy Plates and Vessels Ltd (Rs I.01 crore), Vishakhapatnam, Burn Standard Company (Rs I.95 crore), Kolkata, Bharat Wagon Engineering (Rs 4.27 crore), Patna, Hindustan Cables (Rs 39.75 crore), Kolkata, HMT Machinery Tools (Rs 6.10 crore), Bangalore, HMT Watches (Rs 19.93), Bangalore, Hindustan Photo Films (Rs 6.93 crore), Ooty, Instrumentation Ltd (Rs 7.63 crore), Kota, Nepa Ltd (Rs 3.26 crore), Nepanagar (Madhya Pradesh), Triveni Structurals (Rs 2.40 crore), HMT Chinar Watches (Rs 5.78 crore), HMT Machine Tools (Rs 6.10 crore), National Instruments Ltd (Rs 0.33 crore) and Tungabhadra Steel Products Ltd (Rs 3.09 crore).

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