New Delhi: On Wednesday, the Union Cabinet decided to merge Bharat Sanchar Nigam Limited (BSNL) and Mahanagar Telephone Nigam Limited (MTNL) with state-owned telecom companies. The announcement was made by Telecom Minister Ravi Shankar Prasad, who assured that neither MTNL nor BSNL would be closed or disinvested. BSNL and MTNL will be merged and the government will put in Rs 29,937 crore for revival of the companies,” he said.
Prasad said that workers will be given a voluntary retirement scheme (VRS) to cut costs. The minister said that if they opt for VRS at age 53 and a half, workers would be given 125 per cent compensation of wages, gratuity and pension over the remaining years of service. He said majority of workers will be under this age group.
