BSNL non-executive staff wage revision: Record of Joint Committee discussion

BHARAT SANCHAR NIGAM LIMITED
(A GOVERNMENT OF INDIA ENTERPRISE)
SR Cell, Corporate Office
8thFloor, Bharat Sanchar Bhawan,
Harish ChanderMathur Lane,
Janpath, New Delhi-110001

No. BSNLC0/38-1/SR/2016

Dated.14.03 2024

Sub: Record of discussion of the reconstituted Joint Committee on wage revision for Non-Executive employees w.e.f. 01.01.2017 in BSNL held on 05.03.2024.

The 7th meeting of the reconstituted Joint committee was held on 05.03.2024 in the Library Room, 6th floor, Bharat Sanchar Bhawan, Janpath, New Delhi. The following were present in the meeting:

Management Side:

1. Shri R K Goyal CGM (CNTX-North) –  Chairman
2. Shri Saurabh Tyagi CGM (J&K.)   – Member
3. Shri P C Bhatt PGM (CBB)  – Member
4. Smt. Anita Johri PGM (SR) – Member
5. Shri V K Sharma DGM (Estt.) – Special Invite

Staff Side:

1. Shri Animesh Mitra – Member BSNLEU
2. Shri P. Abhimanyu – Member BSNLEU
3. Shri John Verghese – Member BSNLEU
4. Shri Suresh Kumar – Member BSNLEU
5. Shri Menu Mehra – Member BSNLEU
6. Shri Islam Ahmed – Member NFTE (BSNL)
7. Shri Chandeshwar Singh – Member, NFTE (BSNL)
8. Shri K S Seshadri – Member NFTE (BSNL)

At the outset, PGM (SR) welcomed the Chairman and all the participants from the management and staff side and requested them to give their opening comments.

Chairman welcomed all the participants and apprised that although, BSNL is in operational profit but there is no net profit. Accordingly, management had proposed pay scales at 0% fitment, designed to address the stagnation of employees.

GS, BSNLEU stated that management side should not be rigid and should consider agreeing on the pay scales discussed with the last committee. Also, that the views of staff side have not been captured in the minutes of the last meeting. It was agreed that in future, draft minutes will be vetted by staff side, prior to issue.

GS, NFTE stated that wage negotiation should be concluded at the earliest by the management in a positive manner and that both unions were united on their demands.

2.0 MoM of Previous Meeting.

Thereafter, minutes of the last meeting held on 28.11.2022 and 2.12.2022 were perused to recall the discussion held so far. It was reiterated that the new pay scales proposed in the meeting held on 28 11.2022 by Management side had been designed on the following broad principles:

1) There is no reduction in the pay (Basic + DA) of any employee after implementation of new pay scales.

2) Stagnation in the existing pay scales has been largely addressed.

3) As pension contribution is linked to the maximum of pay scale, the new pay scales have been designed optimally to minimise increase in Pension contribution.

4) Financial burden has to be minimum so as to make the proposal viable, as any additional financial burden is to be met only from internal resources of the company.

2.1 Multiplication Factor and Span

a) it was informed that the pay scales in 2007 were designed as per details given below:

• • Multiplication factor of 1.91 to 1.94 was used for the minimum of the pay scale.
  • Multiplication factor of 2.30 to 2.53 was used for the maximum of the pay scale.
  • Span of scale was 18 stages

b) New pay scales proposed by the management side are designed as below:

• • Multiplication factor of 2.20 to 2.45 has been used for the minimum of the pay scale.
  • Multiplication factor of 2.40 to 2.87 has been used for maximum of pay scale.
  • Span of pay scale is from 18-28 stages.

2.2 Financial Impact

Staff side was informed that:

a) New pay scales have been designed to take care of stagnation issue.

b) The implementation of new pay scales will result in an additional burden of increased pension contribution in case of absorbees and increased EPF contribution in case of Direct Recruited who are under stagnation.

c) There are a number of CPSUs which are loss making and the government has to decide in totality. Whatever proposal Joint Committee recommends, should be with minimum financial implication.

3.0 Current Data.

Stagnation position as at November 2021

Latest data was apprised by DGM Establishment as below

Stagnation position as at 01.01.2024

Retirement of Non- Executives during last four years:

4.0 Discussions.

Management side informed that:

1. Stagnation in non-executive cadres, as on 1.02.2024, is much higher (54.80%) as compared to that in executive cadres (2%)
2. On an average 1500 non-executives will be retiring every year and non-revision of pay scales was impacting them the most.
3. Even with 0% fitment, additional financial outgo on account of increased pension contribution, EPF contribution eic. should be around 900 cr. p.a.

Staff side stated that:

1. Employees were not responsible for the loss situation of the company.
2. The pay scale finalized in the meeting held on 27.7.2018, through consensus, should be implemented by the Management.
3. Pay scale span of Non-executives should be at par with the pay scale span of executives.
4. Proposed scales did not address all cases of stagnation and pay anomaly.

It was agreed that staff side will provide data/live cases of pay loss, pay anomaly and stagnation by 15.3.2024.

CGM, J&K gave the vote of thanks and it was agreed that the next meeting will be held on 22nd March 2024 at 3 pm.

This is issued with the approval of competent authority.

(Asha Bawalia)
DGM (SR)