KARACHI: Pakistan Steel has shown 4544 employees the door today.
According to details the members of staff associated with edification at school and college have not been sacked.
Jobs of those working for the corporate sector too are safe.
Thousands got their termination letters par la post today. Many of them resorted to converge at National Highway and stop all sorts of traffic by burning tyres.
Instead of attempting to revive Pakistan Steel as a public entity – country’s largest industrial unit that was set up during ZAB’s regime by then USSR – incumbent PTI government had decided to privatize it.
This was decided by the Federal Cabinet on 3rd of June, 2020. Minister for Industries and Production Hammad Azhar, had informed that 15 parties had shown interest in acquiring the PSM.
However, Minister made it clear that only the core Steel Mills operation would be privatized and not the other land of the entity. According to details the Economic Coordination Committee (ECC) of the Cabinet has decided to sack all its 9350 workers by giving them golden handshake. ECC has approved to clear their dues that will cost the exchequer Rs. 18 billion to Rs. 19.7 billion.
Hammad Azhar informed that the employees of Pakistan Steel Mills will be relieved in two phases with payment of their retirement dues and one month salary. It has been gauged that on an average each and every employee who will be shown the door will leave PSM with Rs.2.3 million in his/her pocket.
One may recall that last year on 12th day of Dec 2019 Russian Minister for Industry and Trade Denis V. Manturov called on Prime Minister Imran Khan to convey special greetings of President Putin. Earlier, during the 6th session of Pak-Russia Inter-Governmental Commission (IGC) held in the Federal Capital on 9th, 10th and 11th Dec 2019. it was decided that bilateral cooperation would be enhanced in trade, aviation, economic and energy sectors.
During the talks Pakistani side was led by Minister for Economic Affairs Mohammad Hammad Azhar, while Russian delegation was led by Minister for Industry and Trade Denis V. Manturov. On the occasion speaking about the deteriorating Pakistan Steel Mills Hammad Azhar acknowledged that Russia had established Pakistan Steel Mills, Guddu and Muzaffargarh power stations. He said Pakistan wanted the visiting side to look into upgrading of these units to the mutual benefit.
Russian Minister for Industry and Trade Denis V. Manturov stated that his country was interested in North-South Gas Pipeline and would be content to assist Pakistan in capacity enhancement of Geological Survey of Pakistan, besides looking at investment opportunities in automobile and power sectors and Pakistan Steel Mills. It seems that the two sides did not manage to find a way to revive PSM and finally it will go under the hammer.
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