Govt plans to raise retirement age for sick PSUs' employees

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Agencies : New Delhi, Thu Mar 22 2012, 17:27 hrs



The Department of Public Sector Enterprises (DPE) today said it is formulating a policy to raise retirement age to 60 years for employees of sick units whose revival packages have been approved by the government.

The Board for Reconstruction of Public Sector Enterprises (BRPSE) had recommended to the department for increasing the retirement age of employees of loss-making Central Public Sector Enterprises (CPSEs).

"...DPE is formulating a policy for enhancement of superannuation age from 58 years to 60 years for employees of sick CPSEs whose revival packages have been approved by the government," Heavy Industries and Public Enterprises Minister Praful Patel said in a written reply to the Lok Sabha.

Besides, he said, these PSUs would continue to be in public sector after implementation of the revival package. The policy would be notified after inter-ministerial consultations and approval of competent authority.

The BRPSE was set up in 2004 as an advisory body to the government on revival and restructuring of sick PSUs. Based on its recommendations, the government has till date approved revival of 43 CPSEs envisaging cash-assistance of Rs 4,313 crore and non-cash assistance of Rs 21,595 crore.

Of the total 248 CPSEs, about 62 were sick units as on March 2011.