Payment of statutory dues, salaries, wages in sick units

The author has posted comments on this articleTNN | Dec 28, 2013, 03.58PM IST PUNE: The Cabinet Committee on Economic Affairs (CCEA) has approved the proposal for providing non-plan budgetary support of Rs 116.86 crore for liquidation of statutory dues (provident fund, gratuity, pension, employees state insurance and bonus) and salary and wages from April 1, 2013 to August 31, 2013 in respect of eleven Central Public Sector Enterprises (CPSEs) under the Department of Heavy Industry. The units are Hindustan Cables Ltd., HMT Machine Tools Ltd., HMT (Watches) Ltd., HMT (Chinar Watches) Ltd., Nagaland Pulp & Paper Co. Ltd., Triveni Structurals Ltd., Tungbhadra Steel Products Ltd., Nepa Ltd., HMT Bearings Ltd. Hindustan Photo Films Limited and Tyre Corporation of India Ltd.

Revival/closure plans of Hindustan Cables Limited, Triveni Structurals Ltd., HMT (Watches) Ltd., HMT (Chinar Watches) Ltd., Hindustan Photo Films Ltd. and HMT Machine Tools Ltd. are yet to be finalized; revival plans of Nepa Ltd. and Nagaland Pulp & Paper Co. Ltd. have recently been approved; revival plans of HMT Bearings Ltd. and Tungbhadra Steel Products Ltd. are yet to materialize; and disinvestment of Tyre Corporation of India Ltd. is under process. It was, therefore, considered essential that the interim financial support from the Government be provided so that the operation of these companies may not be affected.

Non-settlement of these liabilities has been causing serious hardship not only to the employees of the companies but also adversely affecting the day-to-day operation of the companies resulting in further deterioration of their performance.

Go here to see the original:
Payment of statutory dues, salaries, wages in sick units