Loss making Bharat Wagon and Engineering Co. to be shut

The step of closing the enterprise will stop the flow of financial support from public funds for carrying on its operations

GN Bureau | August 23, 2017


#PSU   #Bharat Wagon   #BWEL   #cabinet   #Narendra Modi   #severance package  

 Ministry of railways’ proposal of closing down Bharat Wagon and Engineering Company Limited (BWEL)  has been accepted by the cabinet committee on economic affairs, chaired by the prime minister Narendra Modi on Wednesday.

 
A total of 626 employees of BWEL will benefit from the voluntary retirement scheme to be offered as per the 2007 pay scale. The government will have to provide one time grant off Rs 151.18 crore towards severance package and for clearing the current liabilities of the enterprise.
 
This measure will stop the flow of financial support from public funds for carrying on the operations of sick/loss making BWEL resulting in savings for the government.
 
The implementation will be done as per the timelines prescribed in the guidelines issued by Department of Public Enterprises (DPE) on time bound closure of sick/loss making CPSEs.
 
In view of the continuing poor physical and financial performance of the company for more than 10 years, in spite of financial assistance and other support provided by ministry of railways combined with low probability of its revival in future, Bharat Wagon and Engineering Co. Ltd. is being wound up.

Comments

 

Other News

Title Insurance: new product for old issues

Real estate is among the priciest investments around. More so for the common man who has to live with the burden of monthly EMIs. Yet, it is an art to discover the real owner of any property. Government and revenue records, which are easily accessible to the public, are not properly maintained. Individual

Aadhaar linkage with electoral roll on cards

The election commission of India (ECI) has been working on a series of electoral reforms, and the agenda includes linking Aadhaar with the electoral roll, considering paid news and false affidavit as electoral offence/corrupt practice, better monitoring the role of print media and social media intermediari

Save Panje wetland, give it Ramsar status: environmentalists

To protect the fast depleting wetlands against being used as landfill and for development activities in Mumbai metropolitan region (MMR), environmentalists have asked the centre to declare the 289-hectare Panje wetlands in Uran tehsil of Raigarh district as a ‘Ramsar site’ and preserve its ecol

All you wanted to know about Mumbai’s coastal road

Mumbai is building a coastal road to cut through traffic snarls and make life easier for commuters. The ambitious project, part of the city’s Development Plan (DP) 2035, is the second major initiative after the Bandra-Worli sea link, and should become a reality in 2023. Here are the key facts

Delhi elections: accounting for intangibles away from banal nationalism and hyper nationalism

The party that came into existence on the intangible timeworn issue of corruption, transparency and increasing public investment through public savings is going on winning elections in Delhi with huge margins, consistently rowing the boat between doldrums and high tides. Somewhere between the doldr

How Divyang-friendly and inclusive is Mumbai? Experts discuss

Mumbai, the second largest city in the country, is not very inclusive when it comes to the easy access to the disabled, but it is learning and is in the process of making the life of Divyangs easier. Also, it aims to rehabilitate all slums in five years. Stakeholders came together to discuss



Archives

Current Issue

Video

CM Nitish’s convoy attacked in Buxar

Opinion

Facebook    Twitter    Google Plus    Linkedin    Subscribe Newsletter

Twitter