Unions in ordnance factories have unnamioulsy decided to oppose the terms of reference for the high level official committee (HLOC) formed to study the proposal on corporatizing the ordnance factory board (OFB).
In the first meeting held by the HLOC, the unions have said that they altogether reject the terms of reference which include examining the proposal to corporatize the organization.
The unions have said the only point of discussion could be on steps to be taken to achieve a Rs30,000 crore order book target for the factories.
The three unions in a joint note said the proposal to corporatize OFB cannot be accepted as it is not a viable plan at all. The orders from the armed forces fluctuate from very high to even nil. In such a case it is not financially viable for corporation to operate. The unions have cited the example of BSNL which is now under distress.
The unions have stressed that the OFB can achieve the Rs30,000 crore order book target even in the existing structure as a government department. It was also suggested that since the Master General Ordnance has pointed out that the cost of ordnance factories’ products are higher, salaries can be defined from the overheads by making a separate allocation for the head.
The unions that have issued the statement include the All India Defence Employees Federation, Indian National Defence Workers Federation, Confederation of Defence Recognised Associations and Bharatiya Pratiraksha Mazdoor Sangh.
Source Link: http://www.defencenews.in/article/Ordnance-factory-unions-reject-committee-offer-707192
In the first meeting held by the HLOC, the unions have said that they altogether reject the terms of reference which include examining the proposal to corporatize the organization.
The unions have said the only point of discussion could be on steps to be taken to achieve a Rs30,000 crore order book target for the factories.
The three unions in a joint note said the proposal to corporatize OFB cannot be accepted as it is not a viable plan at all. The orders from the armed forces fluctuate from very high to even nil. In such a case it is not financially viable for corporation to operate. The unions have cited the example of BSNL which is now under distress.
The unions have stressed that the OFB can achieve the Rs30,000 crore order book target even in the existing structure as a government department. It was also suggested that since the Master General Ordnance has pointed out that the cost of ordnance factories’ products are higher, salaries can be defined from the overheads by making a separate allocation for the head.
The unions that have issued the statement include the All India Defence Employees Federation, Indian National Defence Workers Federation, Confederation of Defence Recognised Associations and Bharatiya Pratiraksha Mazdoor Sangh.
Source Link: http://www.defencenews.in/article/Ordnance-factory-unions-reject-committee-offer-707192

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