Rethink on divesting PSU banks, LIC: BMS tells Govt

New Delhi, Feb 3: Congratulating the Narendra Modi government for its current efforts on massive vaccination, special schemes for tea garden workers in West Bengal and Assam, labor-oriented push on infrastructure projects in construction sector and development of five major fishing harbors the Bharatiya Mazdoor Sangh (BMS) has expressed its displeasure on disinvesting public sector banks and Life Insurance Corporation.

Reacting to the union budget presented by the Finance Minister Nirmala Sitharaman in the parliament on February 1, the BMS said that mixing the beautiful concept of Atmanirbhar Bharat with FDI and disinvestment in the budget was 'disappointing' for the employees.

In a press release the BMS General Secretary Binoy Kumar Sinha said that the government's proposals to amend Insurance Act to increase FDI in insurance sector from 49% to 74% as well as the relaxation of foreign investments in infrastructure sector will increase foreign dependence and should be reconsidered.

Aggressive disinvestment programs like divesting two Public Sector Banks (PSBs) and one general insurance company, bringing public offer (IPO) of LIC, asking NITI Ayog to list out new companies for disinvestment, approving disinvestment in non-strategic and strategic Sectors , railway scheme for corporatization, monetizing for 12 lakh crores the Government assets like land to address fiscal deficit, public private partnerships etc. will reduce the charm of Atmanirbhar Bharath and benefits of some good proposals in the budget, the BMS said.

New efforts on mega textile parks, major fishing harbors etc., are welcome moves, but there is no support to crores of existing workers and fishers in such sectors, the release noted.

Making an oblique comment on pre-budget consultations the BMS said that none of the demands raised by BMS and other trade unions has been incorporated in the budget except a special scheme for tea workers in West Bengal and Assam, thus making the consultation processes a mockery.

The BMS lamented that there is no increase in the much expected EPS 95 pension amount or medical scheme for pensioners as demanded by BMS. The BMS has demanded Rs.5000 as minimum EPS pension and link it with inflation. BMS demands more support to MGNREGA and Urban employment guarantee scheme also are not included.

Women workers are being compelled to do night shift. There are no income tax reliefs in spite of the adverse effect of the pandemic situation whereas corporate tax is reduced.

There is no concrete proposal to boost up the demand side like increasing wages or basic income of workers. Thus the ‘economic vaccine’ claimed is more harmful than the disease. Such proposals will not be able to increase the growth trajectory or reduce the fiscal deficit in the fiscal year.

The BMS will decide the action plan on budget 2021 at its National Executive Council meeting to be held at Chennai on Feb 12-14, 2021, the release added.