BSNL, MTNL working on day-to-day basis, await revival package

State-run telecom companies BSNL and MTNL are eagerly awaiting a revival package as the threat of another round of salary delay looms. The firms have already stopped capex on expansion and other works.

According to an official, both the companies are working on a day-to-day basis as severe cash crunch has stopped them from taking long-term decisions.

“They are not even sure if salaries can be paid and are taking every day as it comes. BSNL earns around Rs 1,400-1,500-crore revenue per month but the salary burden alone is Rs 850 crore. Apart from that, paying the bills for electricity and running the network costs over Rs 800 crore, which leaves a deficit of around Rs 200 crore a month,” said a person aware of the situation at BSNL.

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