No July salary for BSNL, MTNL staff

About 1.98 lakh employees of BSNL and MTNL in India have not received their salaries for July.


Both Bharat Sanchar Nigam (BSNL) and Mahanagar Telephone Nigam (MTNL), who have been undergoing a financial crisis, have been unable to pay the salaries of their 1.98 lakh employees in the month of July.

While the management has failed to give them any assurance, the employees have not been told when or whether they will receive the salaries at all.

While BSNL has 1.76 lakh employees in India, MTNL has approx. 22,000 employees.

Despite the Government intervening, the two telecom companies have failed to credit the salaries of the staff. Earlier, the salaries for the month of February had also been delayed till the middle of March. At that time, BSNL had apparently used its internal accruals to pay the pending salaries.

Every month, BSNL pays about Rs 750-850 crore only in salaries, whereas MTNL pays about Rs 160 crore.

Authorities at MTNL have shared that the Company is trying to collect some dues and once that is done, salaries will be paid to the staff.

Last month, it was reported that the Department of Telecommunications (DoT) had suggested merging the two entities in a bid to revive the cash-strapped telecom firms. The suggestion came when it was realised that the two companies were not capable of standing on their own.

The DoT has been working on a rescue plan and revival package for the two in the form of voluntary retirement schemes, asset monetisation, and allocation of 4G spectrum.

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