ECC approves firing all Pakistan Steel Mill employees

[Syed1]

The Economic Coordination Committee approved on Wednesday firing all employees of the Pakistan Steel Mills.

The Mills haven’t been functioning for years and the employees haven’t been doing anything, reasoned the committee. The meeting was chaired by Adviser to the PM on Finance Abdul Hafeez Sheikh.

There are 9,350 employees who will be fired within a month and another 250 will be let go within three months. The ECC approved a Rs18 billion package for the employees, which amounts to Rs2.3 million per person.

Though the Mills have been closed for years, they are running a Rs550 billion deficit and billions are being spent on debt servicing.

The government has made noise about wanting to restart the Mills but so far nothing has been done.

The move will not be finalised until it is approved by the federal cabinet.

https://www.samaa.tv/money/2020/06/ecc-approves-firing-all-pakistan-steel-mill-employees/

<blockquote class="twitter-tweet"><p lang="ur" dir="rtl">سپریم کورٹ میں سٹیل ملز (جو 2015 سے بندپڑی ہے) کے ملازمین نے پروموشن اور تنخواہ میں اضافے کا کیس دائر کر رکھاتھا<br><br>اس پر فیصلہ آیا کہ اگر مل چل نہیں رہی تو کس چیز کی تنخواہ دی جا رہی ہے؟ حکومت جلد فیصلہ لے<br><br>حکومت نے انکو 3سال کی تنخواہ کے برابر گولڈن ہینڈ شیک دینے کا فیصلہ کیا ہے <a href="https://t.co/vkFwFw2htV">pic.twitter.com/vkFwFw2htV</a></p>— Azhar (@MashwaniAzhar) <a href="https://twitter.com/MashwaniAzhar/status/1268490226885955586?ref_src=twsrc%5Etfw">June 4, 2020</a></blockquote> <script async src="https://platform.twitter.com/widgets.js" charset="utf-8"></script>

<blockquote class="twitter-tweet" data-conversation="none"><p lang="ur" dir="rtl">یہ تقریباً 20 ارب روپے کی رقم بنتی ہے یعنی کہ اوسطاً 23 لاکھ روپے فی فرد<br><br>سٹیل ملز پر اس وقت 230 ارب روپے کا قرضہ چڑھ چکا ہے<br>اس وقت 8500 ملازمین کو گھر بیٹھے ماہانہ 35 کروڑ (سالانہ 4.2 ارب) روپےدئیےجاتےہیں<br><br>پیپلزپارٹی کے دور حکومت میں یہاں ملازمین کی تعداد 30 ہزار تک پہنچ گئی تھی</p>— Azhar (@MashwaniAzhar) <a href="https://twitter.com/MashwaniAzhar/status/1268490229553467394?ref_src=twsrc%5Etfw">June 4, 2020</a></blockquote> <script async src="https://platform.twitter.com/widgets.js" charset="utf-8"></script>

<blockquote class="twitter-tweet" data-conversation="none"><p lang="ur" dir="rtl">30 ہزار ملازمین کے باوجود سٹیل ملز صرف 3 لاکھ ٹن سٹیل بناتی تھی جبکہ پاکستان کا اس سے بہت چھوٹا پرائیویٹ سیکٹر ناصرف 80 لاکھ ٹن پیداوار دیتا بلکہ 70 ارب روپے سالانہ ٹیکس بھی دیتا<br><br>تنخواہ کے علاہ ہر سال قرضوں پر پڑنے والے سود اور مشینری کے گلنے سڑنے سے بھی اربوں کے نقصان ہوتے</p>— Azhar (@MashwaniAzhar) <a href="https://twitter.com/MashwaniAzhar/status/1268490231579381760?ref_src=twsrc%5Etfw">June 4, 2020</a></blockquote> <script async src="https://platform.twitter.com/widgets.js" charset="utf-8"></script>

 

[Syed1]

So around 10,000 employees been given golden handshake that amounts to around 2-3 years of pay for each. Keep in mind the PSM has been shut since 2015. Its capacity is 30 lakh tons and was running in serious deficit while private sector produces 70-80 lakh tons profitably.


When Mush left in 2008 the plant was doing well and drafting plans to increase production from 30 to 100 lakhs. Then democracy took over and rest is history. During PPP era around 30,000 people were working there. These political party just use these industrial complexes as employment agencies.


Pretty sure they would start barking on the media now even though the plant has been shut down since 2015 and employees have been getting pay for nothing for last 5 years.

 

[Bewal Express]

"Democracy" PPP and Noora style took revenge on the PK taxpayers. Literally billions of Dollars wasted and stolen by the thiefs.

 

[Savak]

Musharraf had found a private buyer for the steel mills only for chief justice chaudhry iftikhar to step in and thwart the deal. Such is the horrible state of these state owned enterprises now under ten years of PPP and PML N loot maar that no private entity will be interested in them now

 

[Syed1]

Musharraf had found a private buyer for the steel mills only for chief justice chaudhry iftikhar to step in and thwart the deal. Such is the horrible state of these state owned enterprises now under ten years of PPP and PML N loot maar that no private entity will be interested in them now

Hammad Azhar did press conference today. 15 parties interested in assuming control.

Government only leasing out the steel mill operation, while land would still be owned by the government. Plan is to move from owner-operator-policymaker to owner-policymaker. This makes sense, government has no business being in business, yet they should have regulatory control to prevent injustice against workers by private operator.

 

[TrentDevil]

Hammad Azhar did press conference today. 15 parties interested in assuming control.

Government only leasing out the steel mill operation, while land would still be owned by the government. Plan is to move from owner-operator-policymaker to owner-policymaker. This makes sense, government has no business being in business, yet they should have regulatory control to prevent injustice against workers by private operator.

Bro, could you provide a detailed summary about the future for PSM and how one can get involved in the process, or a link to some article which explains it. I tried looking for it but there's mostly articles/news about laying off/firing of employees and court verdict etc

 

[Abdullah719]

PSM turned into loss making institution during PPP tenure: Hammad Azhar

Federal Minister for Industries and Production Hammad Azhar said on Thursday that the government decided to privatise the Pakistan Steels Mills (PSM) as it had become a “white elephant” and was a huge burden on the national exchequer.

“[PSM] employees were not working for the last many years and now they will get financial package of around Rs2.3 million per employee as compensation,” he said while addressing a press conference flanked by PSM Chairman Amir Mumtaz and Managing Director Sher Alam in Islamabad.

On Wednesday, the PTI-led federal government had decided to terminate all employees of the PSM, taking a giant but politically difficult step to stop years long hemorrhaging instead of reviving the country’s largest industrial unit.

The Economic Coordination Committee (ECC) of the Cabinet also approved to give the due monetary benefits along with one month salary that will cost the exchequer Rs18 billion to Rs19.7 billion.

Spoiler

Hammad said the PSM stopped making profits and turned into a loss making institution during the tenure of Pakistan Peoples Party (PPP) government in 2008. “Its operational works were shut down during the Pakistan Muslim League-Nawaz government [in 2013].”

He said the PSM was closed for the last five years and the previous governments could not devise any plan for its revival. “At one time the mill had 30,000 employees out of which many were retired and now it has only 9,000 workers.”

The minister said when they came into power the PSM was facing a loss of Rs176 billion and its interest payments were also piling up with the each passing day.

The government had to spend Rs55 billion to pay the salaries of employees, he said, adding that the decision of privitisation was taken in the larger interest of the country.

Hammad maintained that the privitisation of PSM would save Rs700 million of tax payers’s money per month and added that around 15 parties had shown interest in taking over the operational work of PSM.

He clarified that only operations of the PSM would be privatised while thousands of acres of land would still remain in custody of the PSM corporation.

https://tribune.com.pk/story/2235603/1-psm-turned-loss-making-institution-ppp-tenure-hammad-azhar/

 

[Gharib Aadmi]

This is while sad for the employees, is great news for the country. The Steel Mill is not salvageable. Even is somehow PTI could revive it, next time PPP is in power they will put the Jiyalas back in. Best option for the country is if this is closed forever or privatized.

 

[MenInG]

Around three million jobs are expected to be lost in the "initial round" of the novel coronavirus outbreak, the finance ministry told the Senate in a written response submitted on Friday.

Out of the three million jobs, the industrial sector is likely to lose one million and the remaining two million will be lost in the services sector. The Pakistan Institute of Development Economics, the finance ministry said, estimated a loss of 18m jobs in agricultural, services and industrial sectors collectively.

The ministry had submitted a response to a three-part question by Senator Mushtaq Ahmed, who asked about the estimated loss to the economy, increase in budget deficit, debt and dollar value, and the government's plan to cope with the challenges.

In its answer, the finance ministry also said the proportion of those living in poverty will increase from 24.3 per cent to 33.5pc.

The fiscal deficit is also expected to rise from the initial target of 7.5pc to 9.4pc of the gross domestic product due to revenue shortfall and an "increase in public spending due to fiscal stimulus package". The ministry added that the increase in debt burden will depend on the fiscal deficit.

Furthermore, exports may fall to $21-22 billion owing to low commodity prices and decreased economic activity in the United States, European Union, United Kingdom and the Middle East. Before the pandemic, they amounted to $25.5bn.

Remittances are also expected to fall from $23bn to $20-21bn. Federal Board of Revenue may also not be able to achieve its target and tax revenue is expected to fall from Rs4,800bn to Rs3,905bn. Between April and June, the FBR is expected to incur a loss of Rs700-900bn.

The ministry also informed the Senate about the currency value, which depreciated by 7.5pc in March over February. The value of rupee against the dollar in February was Rs154.23 but in March, it decreased to Rs166.70. In April, the value of rupee had increased to Rs160.17 as the "volatility observed in domestic financial and foreign exchange markets [...] somewhat subsided", the finance ministry said.

Rupee value in May fell slightly to Rs163.10 in May, the report addded.

Before the pandemic, GDP growth for fiscal year 2020 was estimated as 3.24pc out of which:

agricultural sector was expected to record a 2.85pc growth

industrial sector was expected to record a 1.95pc growth

services sector was expected to record a 4.04pc growth

However, the year posted a negative growth of 0.4pc out of which industrial sector recorded -2.64pc, agricultural sector 2.67pc and services sector -0.59pc.

The finance ministry also provided details of the relief package of Rs1,240 trillion that was announced "to mitigate the impact of Covid-19 on economy and vulnerable sections of society".

The economic relief package covers emergency response, relief for citizens and business support, the ministry explained.

'Want to run PSM in partnership with private sector'
During today's sitting of the Senate, Minister of Industries Hammad Azhar told senators that the government wished to "run Pakistan Steel Mills in partnership with the private sector".

He was responding to questions about Economic Coordination Committee's decision to axe more than 9,000 employees of the PSM with a one-time severance cost of about Rs20bn. The decision was taken on the revised summary of the Ministry of Industries and Production on the basis of an updated “human resource rationalisation plan” in line with the instructions issued by Dr Shaikh on May 13. The previous plan envisaged laying off 8,000 employees with a cost of Rs18.74bn.

In today's sitting, Azhar blamed the previous governments for PSM's woeful financial situation, saying that the mill was shut down in 2015 and yet salaries were being paid to employees. The amount being paid in salaries, Azhar said, amounted to Rs35bn.

https://www.dawn.com/news/1561492/3...due-to-pandemic-finance-ministry-tells-senate

 

[Bewal Express]

Competent and corrupt was the theme yesterday, can someone apply those to this, Lahore metro, IPPs,PIA, PK Rail, and Nandipur.

 

[MenInG]

ISLAMABAD: Opposition senators slammed the government for sacking Pakistan Steel Mills employees and going back on its promise to not privatize the entity, in a session of the Senate held on Friday.

A session of the upper house was held during which PML-N's Senator Mushahidullah said that Prime Minister Imran Khan had said in the past that he would demonstrate to everyone how the steel mills can be properly run.

He said that planning minister Asad Umar had also gone back on his word to the employees of the steel mills. "The government cannot rid itself of responsibilities by blaming its predecessors," said Senator Mushahidullah.

Jamaat-e-Islami chief Senator Siraj ul Haq criticised the government and questioned how it could sack employees of the steel mills when it had promised to provide one million jobs to the people.

Previous governments couldn't either revive or privatize steel mills: Hammad Azhar
Federal Minister of Industries and Production Hammad Azhar said that the Pakistan Steel Mills couldn't be revived or privatized during the PPP and the PML-N's tenures. He said that Rs35bn had been paid during the past five years from the taxpayers' pockets to the steel mills employees.

He said that it was not possible to keep hiring personnel in government departments. "The institution will be revived through private partnerships," he said.

Earlier, terming the Pakistan Steel Mills as a "white elephant", Azhar had said that the government had decided to privatize it as it had become a burden on the national exchequer.

He had said that the PSM employees had not been working for the last many years and now they would get a financial package of around Rs2.3 million per employee as compensation. Besides, he said, employees could also contribute to productivity in the private sector.

Azhar said that the PSM turned from a profit-making institution to one that was running in losses in the 2008-09 tenure of the PPP government and its operational works were shut down during the PML-N government.

The minister had further said that with this decision, the government would save Rs700 million of the people's hard-earned taxes a month. He said that the Supreme Court also wondered why the government was paying the workers of a closed mill.

He said that around 15 parties were interested in taking over the operational work of the PSM project. He clarified that only the operations of PSM would be privatised while thousands of acres of land would still remain in the custody of the PSM corporation.

https://www.geo.tv/latest/291585-op...istan-steel-mills-employees-in-senate-session

 

[secular_liberal]

Competent and corrupt was the theme yesterday, can someone apply those to this, Lahore metro, IPPs,PIA, PK Rail, and Nandipur.

+Peshawar BRT

 

[Syed1]

Weird nation these Pakistanis. They were not outraged when PPP took a flourishing Steel Mill inducted 30,000 jiyalas and turned it a loss making in just 2 years. Then they weren't outraged that Nawaz Sharif shut it down in 2015 instead of reviving it, meanwhile his own mill and many other private mills were supremely profitable. However, they are outraged when the PTI government fires 10,000 employees who were getting paid for last 5 years without doing anything. Stupid qaum. They deserve to be ruled by looters and plunderers.

 

[Bewal Express]

+Peshawar BRT

Ok, BRT. But ADB that is funding the project has stated that on few occasions that it was on time(and the KP was too ambitious with its time frame) and we will wait for the audit as far as the spending concerned.

 

[Bewal Express]

Weird nation these Pakistanis. They were not outraged when PPP took a flourishing Steel Mill inducted 30,000 jiyalas and turned it a loss making in just 2 years. Then they weren't outraged that Nawaz Sharif shut it down in 2015 instead of reviving it, meanwhile his own mill and many other private mills were supremely profitable. However, they are outraged when the PTI government fires 10,000 employees who were getting paid for last 5 years without doing anything. Stupid qaum. They deserve to be ruled by looters and plunderers.

The PTI took too long. The should have tried to sell it as soon they came to power or shut it down. These crooks will say whatever to keep the money flowing into their own pockets. You cannot be waste billions each year, money that is borrowed internationally and has to be paid back with interest. The PIA has missed a great chance in the covid crisis to get rid of crooks employed during the NS/AZ era. The fear is that they will go on strike, but as there are not flights, let them strike. They could got rid of all the parchis in the last 3 months.

 

[Abdullah719]

SC to hear Pakistan Steel Mills case on June 9

ISLAMABAD: The Supreme Court to hear the Pakistan Steel Mills (PSM) case on June 9.

A three-member bench of the apex court headed by Chief Justice Gulzar Ahmed and comprising Justice Ijaz Ul Ahsan and Justice Mazahar Ali Akbar Naqvi would take up the case on Tuesday.

The Registrar Office had served notices to the parties for the hearing.

According to a report submitted by the PSM management stated that it had decided to lay off 7784 out of 8884 employees of Pakistan Steel Mills.

Only one thousand employees could be accommodated, the report stated.

Spoiler

They stated that the decision to fire the employees was taken at the Human Resource Board meeting on April 15.

The government has to pay Rs. 40 billion to the current and former employees of PSM, it added.

The report stated that the steel mills had to close due to heavy losses from 2009 to 2015.

The number of employees was more than 27,000 in 1990 while in 2019, the number of employees was 9350, it added.

The report stated that Rs. 30 billion had been paid to the employees of the closed mill since 2015.

The report stated that the the federal government had so far paid Rs. 92 billion in bailout packages and salaries while various projects caused a loss of Rs. 229 billion to the national exchequer.

The Steel Mills management called for immediate appointment of new CEO.

According to report the steel mill had been running without a head for a year.

The report also requested the help of police and Rangers to end the illegal possession of steel mill land.

The Steel Mill management requested that the federal government should be ordered to pay all dues to the employees on dismissal.

https://www.brecorder.com/news/1001915/sc-to-hear-pakistan-steel-mills-case-on-june-9

 

[Giannis]

I'm willing to buy it. Someone pass me the PM's contact number.

 

[Abdullah719]

'PPP to oppose any move to sack Pakistan Steels Mills' workers'

Spoiler

The Pakistan Peoples Party (PPP) on Sunday cautioned the government against the sacking of Pakistan Steels Mills’ (PSM) employees and vowed to resist any move to privatise the industrial unit.

“Not only will the PPP condemn any attempt to sack the 9,500 steel mills workers but we will practically stand with them to oppose this move,” Sindh Education Minister Saeed Ghani said during a news conference.

“We will resist this [move] and will stand with these [PSM] workers. We will not leave them helpless nor will we let them be fired,” he added.
He alleged that the federal government was eyeing the 19,000 acres of PSM land the cost of which was in billions and stated that the Sindh government was the owner of that land.

Referring to one of the decisions of the Supreme Court, the PPP leader asked whether the federal government had sought approval from the Council of Common Interests (CCI) for the privatisation of the institution.

“If the federal government takes any decision without the CCI’s approval or without taking Sindh government into confidence, we will not let it happen and we will resist it,” he said.

Ghani rejected the impression that the PPP had hired its workers in the PSM and declared that no appointment had been made in the organisation since 2008.

“This perception is totally wrong. I can say this with absolute surety that the PPP from 2008-2013, did not have one person hired in the steel mills,” he said

“However, there was this one thing that we did. And we did not do this with the steel mills alone but with various other institutions. The PPP government regularised workers that were on contract, which is according to the Constitution,” he added.

Ghani noted that from 1996-2008, the PPP was not in power and that employees had been appointed on contractual basis in the PSM and other institutions by the Musharraf and other governments.

“These were not PPP’s appointees. To say that they were hired by the party is wrong,” he said.

“It would have been easier for us to dismiss those people, create vacancies and then hire our own people. We did not do that,” he added.

Quoting the planning and development minister, Ghani recalled that Asad Umar in the past had stated that if the Pakistan Tehreek-e-Insaf (PTI) came to power and decided to privatise the PSM, he would be standing with the workers of the institution.

He remarked he came to know that a cabinet meeting had been scheduled where the sacking of PSM employees was also on the agenda.

“I wait to see what stance Asad Umar adopts [on PSM employees] in that meeting,” he said.

He observed though the Muttahida Qaumi Movement had voiced its concern over the matter, it was time to practically oppose the move.

“I hope the two MQM ministers who are part of the federal cabinet will play their role in opposing this move and condemn it and send a dissenting note to the cabinet,” he said.

He also called upon the Grand Democratic Alliance to resist the centre against the sacking of the PSM workers.

Speaking about the expenditures of the steel mills, the PPP leader noted that the PSM owed Rs35 billion to the Sui Southern Gas Company (SSGC) five years ago which had now increased to Rs66.66 billion.

“If these dues had been paid on time, the PSM would have been functional,” he said.

He claimed that the PTI government had made no attempt to revive the PSM in its two years in power.

Meanwhile, the PPP also announced that it would call a multi-party conference (MPC) in Karachi in the coming week to address the “conspiracy” against the 18th amendment, administrative changes to the National Finance Commission (NFC) and the Centre’s lacklustre response to the locust invasion and Covid-19 outbreak.

Nisar Khuhro, PPP Sindh president, contacted leaders from the Pakistan Muslim League-Nawaz (PML-N), Jamaat-e-Islami (JI), Jamiat Ulema-e-Islam-Fazl (JUI-F) and Awami National Party (ANP) for the purpose, according to a press release issued by his spokesperson.

“We [PPP] will now send formal invitations to leaders from political parties and nationalist parties in Sindh,” Khuhro was quoted as saying.

“We must raise our voices to address the conspiracy against the 18th amendment,” the PPP leader said, and added that the objective of the MPC would be to highlight the “inadequate” response of the federal government to the locust attack, among other issues.

Khuhro also lashed out at the Centre for its proposed administrative changes to the NFC.

“The federal government is unable to tolerate the fact that the provinces receive more in the NFC than the Centre,” he said.

“The Centre wants to weaken the provinces financially by reducing their NFC share,” he alleged.

He observed that the Sindh government would never accept any NFC award that would end up reducing its financial share, arguing that the 18th amendment mandated that provincial shares in the NFC award can never be reduced.

“We reject the autocratic thinking of the prime minister in this regard,” he said.

Khuhro said it was unfortunate that the PTI government was constantly undermining the provincial governments.

He demanded that the provincial share of the NFC award be increased from 57% to 60% immediately.

“The provincial governments have not received a penny in international aid,” Khuhro said.

He alleged that the federal government was ignoring the pleas of the Sindh government on the locust issue “on purpose”.

“Locusts continue to wreak havoc on our crops in Sindh but the Centre is refusing to help us in our time of need,” Khuhro said.

“We will discuss all these issues during the conference,” he concluded.

The PPP’s announcement comes a day after its chairman, Bilawal Bhutto-Zardari, had raised the NFC issue in a news conference.

He had warned that Centre’s NFC award proposal would not only affect the country’s national unity and social fabric but also send a “wrong message at a wrong time” internationally when Pakistan was facing many regional challenges.

Shortly after the PPP’s announcement, Minister for Information and Broadcasting Shibli Faraz said that PPP’s decision to convene the MPC was a “distraction”.

He was responding to a question from a reporter during a press conference in Islamabad on Sunday.

“Bilawal disappears for months at a time. But when we start talking about accountability, he comes out of hiding and starts distracting us. This multi-party conference is also a distraction,” Faraz said.

The information minister claimed that the federal government had assisted the Sindh government with a number of things, including the locust attack.

“If there’s a problem in Sindh, it’s because of his [Chief Minister Murad] bad governance,” he said.

https://tribune.com.pk/story/2237715/1-ppp-oppose-move-sack-pakistan-steels-mills-workers/

 

[Abdullah719]

'PPP to oppose any move to sack Pakistan Steels Mills' workers'

Spoiler

The Pakistan Peoples Party (PPP) on Sunday cautioned the government against the sacking of Pakistan Steels Mills’ (PSM) employees and vowed to resist any move to privatise the industrial unit.

“Not only will the PPP condemn any attempt to sack the 9,500 steel mills workers but we will practically stand with them to oppose this move,” Sindh Education Minister Saeed Ghani said during a news conference.

“We will resist this [move] and will stand with these [PSM] workers. We will not leave them helpless nor will we let them be fired,” he added.
He alleged that the federal government was eyeing the 19,000 acres of PSM land the cost of which was in billions and stated that the Sindh government was the owner of that land.

Referring to one of the decisions of the Supreme Court, the PPP leader asked whether the federal government had sought approval from the Council of Common Interests (CCI) for the privatisation of the institution.

“If the federal government takes any decision without the CCI’s approval or without taking Sindh government into confidence, we will not let it happen and we will resist it,” he said.

Ghani rejected the impression that the PPP had hired its workers in the PSM and declared that no appointment had been made in the organisation since 2008.

“This perception is totally wrong. I can say this with absolute surety that the PPP from 2008-2013, did not have one person hired in the steel mills,” he said

“However, there was this one thing that we did. And we did not do this with the steel mills alone but with various other institutions. The PPP government regularised workers that were on contract, which is according to the Constitution,” he added.

Ghani noted that from 1996-2008, the PPP was not in power and that employees had been appointed on contractual basis in the PSM and other institutions by the Musharraf and other governments.

“These were not PPP’s appointees. To say that they were hired by the party is wrong,” he said.

“It would have been easier for us to dismiss those people, create vacancies and then hire our own people. We did not do that,” he added.

Quoting the planning and development minister, Ghani recalled that Asad Umar in the past had stated that if the Pakistan Tehreek-e-Insaf (PTI) came to power and decided to privatise the PSM, he would be standing with the workers of the institution.

He remarked he came to know that a cabinet meeting had been scheduled where the sacking of PSM employees was also on the agenda.

“I wait to see what stance Asad Umar adopts [on PSM employees] in that meeting,” he said.

He observed though the Muttahida Qaumi Movement had voiced its concern over the matter, it was time to practically oppose the move.

“I hope the two MQM ministers who are part of the federal cabinet will play their role in opposing this move and condemn it and send a dissenting note to the cabinet,” he said.

He also called upon the Grand Democratic Alliance to resist the centre against the sacking of the PSM workers.

Speaking about the expenditures of the steel mills, the PPP leader noted that the PSM owed Rs35 billion to the Sui Southern Gas Company (SSGC) five years ago which had now increased to Rs66.66 billion.

“If these dues had been paid on time, the PSM would have been functional,” he said.

He claimed that the PTI government had made no attempt to revive the PSM in its two years in power.

Meanwhile, the PPP also announced that it would call a multi-party conference (MPC) in Karachi in the coming week to address the “conspiracy” against the 18th amendment, administrative changes to the National Finance Commission (NFC) and the Centre’s lacklustre response to the locust invasion and Covid-19 outbreak.

Nisar Khuhro, PPP Sindh president, contacted leaders from the Pakistan Muslim League-Nawaz (PML-N), Jamaat-e-Islami (JI), Jamiat Ulema-e-Islam-Fazl (JUI-F) and Awami National Party (ANP) for the purpose, according to a press release issued by his spokesperson.

“We [PPP] will now send formal invitations to leaders from political parties and nationalist parties in Sindh,” Khuhro was quoted as saying.

“We must raise our voices to address the conspiracy against the 18th amendment,” the PPP leader said, and added that the objective of the MPC would be to highlight the “inadequate” response of the federal government to the locust attack, among other issues.

Khuhro also lashed out at the Centre for its proposed administrative changes to the NFC.

“The federal government is unable to tolerate the fact that the provinces receive more in the NFC than the Centre,” he said.

“The Centre wants to weaken the provinces financially by reducing their NFC share,” he alleged.

He observed that the Sindh government would never accept any NFC award that would end up reducing its financial share, arguing that the 18th amendment mandated that provincial shares in the NFC award can never be reduced.

“We reject the autocratic thinking of the prime minister in this regard,” he said.

Khuhro said it was unfortunate that the PTI government was constantly undermining the provincial governments.

He demanded that the provincial share of the NFC award be increased from 57% to 60% immediately.

“The provincial governments have not received a penny in international aid,” Khuhro said.

He alleged that the federal government was ignoring the pleas of the Sindh government on the locust issue “on purpose”.

“Locusts continue to wreak havoc on our crops in Sindh but the Centre is refusing to help us in our time of need,” Khuhro said.

“We will discuss all these issues during the conference,” he concluded.

The PPP’s announcement comes a day after its chairman, Bilawal Bhutto-Zardari, had raised the NFC issue in a news conference.

He had warned that Centre’s NFC award proposal would not only affect the country’s national unity and social fabric but also send a “wrong message at a wrong time” internationally when Pakistan was facing many regional challenges.

Shortly after the PPP’s announcement, Minister for Information and Broadcasting Shibli Faraz said that PPP’s decision to convene the MPC was a “distraction”.

He was responding to a question from a reporter during a press conference in Islamabad on Sunday.

“Bilawal disappears for months at a time. But when we start talking about accountability, he comes out of hiding and starts distracting us. This multi-party conference is also a distraction,” Faraz said.

The information minister claimed that the federal government had assisted the Sindh government with a number of things, including the locust attack.

“If there’s a problem in Sindh, it’s because of his [Chief Minister Murad] bad governance,” he said.

https://tribune.com.pk/story/2237715/1-ppp-oppose-move-sack-pakistan-steels-mills-workers/

Now if you've gone through this drivel, check this...

<iframe width="560" height="315" src="https://www.youtube.com/embed/TKXbj3FcoDs" frameborder="0" allow="accelerometer; autoplay; encrypted-media; gyroscope; picture-in-picture" allowfullscreen></iframe>

See the part (around 30 mins in) where Saeed Ghani has literally no answer for any of Shehzad Iqbal's questions

gIvE uS tHe StEeL mIlL

 

[Bewal Express]

Now if you've gone through this drivel, check this...

<iframe width="560" height="315" src="https://www.youtube.com/embed/TKXbj3FcoDs" frameborder="0" allow="accelerometer; autoplay; encrypted-media; gyroscope; picture-in-picture" allowfullscreen></iframe>

See the part where Saeed Ghani has literally no answer for any of Shehzad Iqbal's questions

gIvE uS tHe StEeL mIlL

These are apparently the competent but corrupt people that [MENTION=131701]Mamoon[/MENTION] tells us about. Each time the PPP and Nooras take over any institution they destroy it. [MENTION=138254]Syed1[/MENTION]

 

[MenInG]

Labour and rights groups on Sunday demanded that the federal government take back its decision to dismiss the employees of the Pakistan Steel Mills (PSM) and stop the privatisation of the steel mills and other public enterprises on the dictates of the International Monetary Funds, reported The News.

In a statement, they said the workers of PSM had submitted their case against their dismissals in the Supreme Court of Pakistan and a hearing was fixed on June 9 in Islamabad.

The workers had started a protest campaign soon after the government’s annulment to retrench 9,350 employees of the PSM.

In continuation of the campaign, a protest rally will be held at the Karachi Press Club today and another rally will be held on the National Highways near the PSM at 10am on Tuesday, the statement said.

In the joint statement, they said the PSM was pushed towards a deficit in a planned manner. “The company had a profit of over Rs10 billion in 2007-08 while it had an inventory of about Rs 11 billion and Rs 12 billion in its account. But due to wrong planning, the company incurred a deficit of Rs26 billion within a year in 2009,” the statement said.

“This was largely due to the cancellation of international raw material procurement agreements in 2006, which caused irreparable damage to the mills by pretending to purchase locally,” the statement said. “However, a memorandum of understanding (MoU) was signed with the Russian government to get the company back on its feet. The Russian government has reportedly offered two billion USD to run the steel mills, but the reason for not taking it seriously is still unclear.”

The statement mentioned that in 2013-14, the then government gave a bailout package of Rs14.5 billion to continue the production process, which resulted in a gradual increase in production and at one point it reached 65% of the total production capacity. “But for unknown reasons, the blast furnace exploded in late 2014 which severely damaged the production process,” they said.

“Meanwhile, in June 2015, the Sui Southern Gas Corporation (SSGC) cut off the gas supply for non-payment of Rs17 billion of gas bills and put the production process to a complete standstill. The SSGC chairman at that time was Miftah Ismail who did not even issue a notice against a private company, K-Electric, which had to pay Rs58 billion to the corporation in respect of gas bills. It is a matter of the fact that the mill's management inked an agreement with the gas corporation that the mill would pay monthly current bills while arrears would be paid in instalments but the supply of gas was abruptly stopped,” they maintained.

“It is also a frightening fact that under a 1985 agreement, the power plant of the Steel Mills was supplying electricity to the K-Electric at Rs2 per unit which goes up to only two rupees and 50 paise per unit till the closure of the mills in 2015,” they said.

They also demanded the formation of a high-level commission to identify the elements that could lead to “the demise of a major institution like PSM”, provide one-time funding for rehabilitation of the steel mills with a well-planned road map, and ensure timely payment of dues and pensions. They also asked the Sindh government to raise its voice against the privatisation of the steel mills at the Council of Common Interest as the PSM land belonged to the Sindh government.

https://www.geo.tv/latest/292022-la...ion-to-dismiss-pakistan-steel-mills-employees

 

[Energy]

Get paid and do nothing i.e. get paid, drink chai, do bare minimum and have no ambition to improve - this is a common Pakistani trait and whether we like it or not, we can't hide from it.

 

[MenInG]

ISLAMABAD: The government of Pakistan has been disbursing Rs58bn to the Pakistan Steel Mills since 2008-2009 in the form of five bailout packages, the Supreme Court of Pakistan was informed by the Centre on Tuesday.

The federation, through the Ministry of Industries and Production, filed a report with the apex court on the PSM. The report said the PSM had stopped its commercial operations in June 2015 without formulating any human resource plan for its 14,753 employees.

It said the number of employees came down to 8,884 in 2019 of which 2,233 were officers and 6,651 were workers. The government pays Rs355 million for monthly net salary to the PSM employees excluding the component of leave encashment, provident fund and gratuity.

It further revealed that the government had so far released a total of Rs34.01 billion as net salary for the employees. Moreover, the federal government has also paid Rs1.266 billion to the families of deceased employees on compassionate grounds.

The court was further informed that the federal government had constituted an expert group in 2018 to invite professional recommendations for the revival of the PSM.

The group primarily recommended that the government should establish a public-private partnership to raise the necessary capital investment and obtain technical expertise for the successful revival and expansion of the mills.

It was also recommended that the government should appoint a technical advisory consortium to design an appropriate structure followed by leading a transparent international competitive bidding process to select a preferred bidder and implement the liability settlement plan.

The court was further informed that the PSM Board of Directors held a meeting on April 16, 2020, in which they approved a human resource retrenchment plan which was presented before the ECC of the Cabinet through the Ministry of Industries and Productions. The ECC directed that the proposal be submitted afresh after consultation with the PSM management. This decision was taken so that its scope could be extended to the maximum number of employees along with disbursement and payment plan.

The court was further informed that in line with the ECC decision, the PSM, with the approval of its board of directors, shared the revised plan suggesting 100% retrenchment of the workforce.

The ECC approved the plan moved by the Ministry of Industries and Production dated June 3 2020 with the direction that payment to the mills' employees shall be contingent upon the Supreme Court decision.

“The payment calculated by the PSM shall be final once and for all and shall not accrue any further liability against the Government of Pakistan/PSM in this regard,” the report concluded.

https://www.geo.tv/latest/292395-pa...n-since-2008-2009-in-bailout-packages-sc-told

 

[Abdullah719]

Chinese, Russian firms interested in acquiring Pakistan Steel Mills: Hammad Azhar

Hammad Azhar, Industries and Production Minister, informed the Senate committee on Wednesday that 12 Chinese and Russians firms have expressed an interest in the privatisation of the Pakistan Steel Mills (PSM), .

Hammad Azhar briefed the Senate that 4,000 PSM employees had permanent status in 2010 and the industrial unit went into a loss.

The federal minister apprised that the Supreme Court has already sought a plan regarding the Pakistan Steel Mill.

"These companies are from China and Russia," Azhar mentioned, adding that the Mills could only be bought by an international company since local investors do not have the capability to do so." An investment of more than $1 billion is required to run the PSM," he told the Senate committee.

"International companies that have expressed interest in the privatisation of the PSM have toured the facility and some are serious about purchasing it.

https://nation.com.pk/15-Jul-2020/c...n-acquiring-pakistan-steel-mills-hammad-azhar

 

[Napa]

Steel is a very difficult industry to survive in, given the increasing commoditization of the product. The world's largest steel company by tonnage Arcelor Mittal has lost about 95% of its market capitalization over the last 10 years. Scale, technology, labor wage rate and access to markets makes steel production uneconomical in most countries, even if the mill is well managed free of government interference.

 

[finalfantasy7]

Chinese, Russian firms interested in acquiring Pakistan Steel Mills: Hammad Azhar

Hammad Azhar, Industries and Production Minister, informed the Senate committee on Wednesday that 12 Chinese and Russians firms have expressed an interest in the privatisation of the Pakistan Steel Mills (PSM), .

Hammad Azhar briefed the Senate that 4,000 PSM employees had permanent status in 2010 and the industrial unit went into a loss.

The federal minister apprised that the Supreme Court has already sought a plan regarding the Pakistan Steel Mill.

"These companies are from China and Russia," Azhar mentioned, adding that the Mills could only be bought by an international company since local investors do not have the capability to do so." An investment of more than $1 billion is required to run the PSM," he told the Senate committee.

"International companies that have expressed interest in the privatisation of the PSM have toured the facility and some are serious about purchasing it.

https://nation.com.pk/15-Jul-2020/c...n-acquiring-pakistan-steel-mills-hammad-azhar

do not sell to abroad, just sell to the current Pakistani owned private mills- distribute them equally

 

[The Bald Eagle]

PSM board to be dissolved​

After the shocking disclosure that the Pakistan Steel Mills (PSM) administration had leased out land to the private sector for setting up 54 industrial units, the caretaker government has directed the industries ministry to dissolve its board.

It has also directed the PSM administration to immediately stop leasing out the mill’s land to any group or individual.

In a recent meeting of the Economic Coordination Committee (ECC) of the cabinet, the issue of the PSM’s liabilities was taken up.

The ECC was informed that the PSM board had authorised the leasing out of the mill’s land to investors for establishing industries for 50 years.

Subsequently, 54 different industries were set up on PSM’s land.

The economic decision making body considered a summary submitted by the finance division related to ECC’s decision on the PSM's liabilities towards the government and noted the position.

An immediate need was realised to stop the leasing out of the PSM's land to any organisation or individual.

The policymakers raised concerns that there should be no daily wage workers in the PSM if it was closed and the ECC agreed to it.

The ECC was further informed that the Sui Southern Gas Company (SSGC) had given a notice to the PSM to clear its outstanding dues or its supply would be stopped.

The ECC directed the industries ministry to chalk out a viable plan, with a roadmap, for the PSM, for its consideration.

It was explained to the ECC that a comprehensive way forward on all the issues related to the PSM was being prepared.

The ECC was further informed that a roadmap would be presented to the forum about the future of the steel mill.

The finance division pointed out that on September 19 this year, the ECC had sought details about the total cost borne by the federal government to meet the expenditure of the PSM since its closure.

The PSM has not been operational since June 2015 and the government has been providing financial resources for its liabilities including those related to its employees.

The total amount provided to the PSM in connection with the employee-related expenses and SSGC liabilities since 2009-10 to November 2023 stands at Rs105.998 billion.

Besides, the government picked up the markup payment as equity investment against the PSM's loan amounting to Rs7.757 billion since the fiscal year 1999-00.

The total amount paid as markup payment was Rs11.053 billion from FY 1999-00 till FY 2023-24.

It was mentioned that the PSM repaid only an amount of Rs3.50 billion during 2007 and Rs500 million in June 2022 to the consortium of banks, leaving an outstanding balance of Rs3.767 billion.

Source : The Express Tribune

 

[Bewal Express]

PSM board to be dissolved​

After the shocking disclosure that the Pakistan Steel Mills (PSM) administration had leased out land to the private sector for setting up 54 industrial units, the caretaker government has directed the industries ministry to dissolve its board.

It has also directed the PSM administration to immediately stop leasing out the mill’s land to any group or individual.

In a recent meeting of the Economic Coordination Committee (ECC) of the cabinet, the issue of the PSM’s liabilities was taken up.

The ECC was informed that the PSM board had authorised the leasing out of the mill’s land to investors for establishing industries for 50 years.

Subsequently, 54 different industries were set up on PSM’s land.

The economic decision making body considered a summary submitted by the finance division related to ECC’s decision on the PSM's liabilities towards the government and noted the position.

An immediate need was realised to stop the leasing out of the PSM's land to any organisation or individual.

The policymakers raised concerns that there should be no daily wage workers in the PSM if it was closed and the ECC agreed to it.

The ECC was further informed that the Sui Southern Gas Company (SSGC) had given a notice to the PSM to clear its outstanding dues or its supply would be stopped.

The ECC directed the industries ministry to chalk out a viable plan, with a roadmap, for the PSM, for its consideration.

It was explained to the ECC that a comprehensive way forward on all the issues related to the PSM was being prepared.

The ECC was further informed that a roadmap would be presented to the forum about the future of the steel mill.

The finance division pointed out that on September 19 this year, the ECC had sought details about the total cost borne by the federal government to meet the expenditure of the PSM since its closure.

The PSM has not been operational since June 2015 and the government has been providing financial resources for its liabilities including those related to its employees.

The total amount provided to the PSM in connection with the employee-related expenses and SSGC liabilities since 2009-10 to November 2023 stands at Rs105.998 billion.

Besides, the government picked up the markup payment as equity investment against the PSM's loan amounting to Rs7.757 billion since the fiscal year 1999-00.

The total amount paid as markup payment was Rs11.053 billion from FY 1999-00 till FY 2023-24.

It was mentioned that the PSM repaid only an amount of Rs3.50 billion during 2007 and Rs500 million in June 2022 to the consortium of banks, leaving an outstanding balance of Rs3.767 billion.

Source : The Express Tribune

The PPP and Nooras destroyed every single industry in PK. They put party workers and sell jobs in state companies.