A PAPER FOR DISCUSSION ON VRS
a) Why we Oppose VRS?
b) Why Individual Opt VRS?
c) Employer objectives
d) Can TUs Place Counter Offense?
WHY TRADE UNIONS OPPOSE VRS?
1. No trade union can accept VRS in principle
2. It is soft retrenchment by way of alluring employees.
3. Employees are sent out again to unemployed area.
4. VRS posts
can’t be kept vacant; it is once for all abolished affecting future employment…a Recruitment freezing arrangement..
5. Post VRS period chaos would be in the industry- service will be greatly affected.
6. Post VRS- Retained employees will be put in to greater hardships like workload, unnecessary transfers etc.. There will not be any compensation for those who are going to serve continuously in the company.
7. Post based promotions will get reduced and affected.
8. VRS is the option given only during the time of privatization- Bringing the same now is against 37A and cabinet assurances.
9. VRS is against the culture of Industrial Relations as it is straightly addressing to the individuals bypassing unions/ recognized union.
10. BSNL Board alone can’t decide VRS as DOT is involved relating to pension- DOT’s specific approval ensuring acceptance of enhanced pension expenditure due to VRS is needed. The enhanced pension liability should be fully owned by DOT.
11. For VRS compensation BSNL should seek Bank loan and thereby entering into debt trap- unnecessary burden to the already sluggish financial downturn
12. It is against the contract between employers and employee making him to leave the job prematurely at the initiative of the employer. It is de-industrialization – that is unemployment of ‘hitherto employed’
13. 11A provision is already there in 37A for those individuals willing to go on VRS. This is Voluntary in real sense because it is employee initiative
14. 55iib draconian provision is already there to send an employee after 55 by giving 3 months notice, a way of CRS
15. Staff telephone ratio is well reduced from 110/1000 DELs to 3/1000 DELs in 15 years. Comparing private sector is awful / harmful.
16. It is detrimental to the growth and competitive nature of the company.
17. In order to avoid legal difficulties 25 N (retrenching some categories) and 25 O (Closure of unviable units) of ID Act 1947, notice to government, employer design VRS.
18. It may cause brain drain thereby affecting customer service, technical know how-denuding of talent inevitable- sending out skilled manpower through VRS will not help the industry to face stiff competition.
19. Once VRS is announced it is beyond the control of Trade Unions to stop individual employees opting VRS
20. VRS optees can’t be permitted to seek job in other PSUs.
21. VRS is setting way to disinvestment.
22. VRS will lead to more outsourcing and contracts- closing permanent posts and replacing staff by low paid contract labourers.
Why individual opt VRS?
1. Fear of uncertain future
2. Emerging in to safe “DOT pension regime”
3. Pressing financial needs and getting lump-sum compensation
4. Job nature dissatisfaction
5. Sickness / ill health
6. Dream of entering in to business/ some other lucrative jobs
7. Women employees for domestic responsibilities
8. Inherent and expecting fair returns
VRS employer objectives
1. To rationalize manpower in line with the current business scenario, shedding
surplus
2. Removing old unnecessary skill set- a way of job enrichment
3. To cut down cost and remain competitive in business
CAN TRAE UNIONS HAVE STRATEGY TO PLACE COUNTER
DEMANDS TO MAKE VRS LESS CHARM CLAIMING
COMPENSATION FOR THE EMPLOYEES RETAINED ‘IN THE POST VRS
PERIOD’?
1. 78.2 merger with full arrears
2. 5 days week
3. All the VRS posts should be utilized for appointments of CGA/Qualified Wards having skill sets
4. Periodicity of 5 years wage settlement
5. SC/ST reservation in NEPP and 5 years qualifying service in NEPP
6. Pension option to C/L regularized in BSNL on or after 01.10.2000 and full pension
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