Employees of state-owned BSNL yesterday observed strike opposing disinvestment and proposal to cut work force by up to one lakh as recommended by Sam Pitroda panel to revive the PSU.

The employees associations have also demanded refund of fees paid for 3G spectrum by BSNL.

The strike will continue till December 3, 2010.

Though the management claimed that services remained normal throughout the country, the agitating union said that services in some parts of the country were affected and if the strike continues then services in more areas are likely to be disrupted.

The employees association claimed that about three lakh workers participated in the strike.

The Joint Action Committee of Associations/Unions of BSNL executives and non-executives which has nearly three lakh members has called the strike.

"BSNL offices all over India remained closed due to strike today. Nearly, three lakh employees participated in the strike. Services in certain areas were affected due to the strike," JCA Convenor VAN Namboodiri said.

However, the management or the government is yet to hold any discussion with the agitation employees.

BSNL, which operates across the country except Delhi and Mumbai, has a subscriber base of over 74 million.

The committee on October 15 served a notice of their intent to go on a strike to the chairman and managing director of BSNL and has urged all the state and district units to ensure the success of the strike.

The demands raised by the committee include seeking refund of Rs 18,500 crore from the government to BSNL towards 3G and Broadband Wireless Access (BWA) spectrum charges, immediate absorption of ITS officers.

Other prominent demands include no disinvestments or initial public offering of BSNL, no voluntary retirement scheme, steps to implement government's commitment on financial viability of BSNL.

This is not the first time the employee associations are agitating. Earlier, also the unions had called a strike protesting on the same issues, but they were pacified after the then Telecom Minister A Raja intervened and assured that their grievances would be heard.