Govt considering Rs 74,000-crore bailout plan to revive BSNL, MTNL: Report

The plan offers an exit package to thousand of employees, including an additional 5% compensation to make the VRS attractive

The government is considering a Rs 74,000-crore bailout plan for revival of two state-owned telecom companies Bharat Sanchar Nigam Ltd (BSNL) and Mahanagar Telephone Nigam Ltd (MTNL), a media report said.

The plan offers an exit package to thousand of employees, including an additional 5% compensation to make the voluntary retirement scheme (VRS) attractive, while providing for 4G spectrum and capital expenditure, Times of India reported.

One of the main reasons for the company running in lossES has been high expense ratio between wages and revenue on account of large number of employees that were transferred by the government to