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No. 4/NU/CHQ/2010 30 th August 2010

Shri Gopal DasCMD BSNL

New Delhi 110 001

Sir,

Sub: Changes in Code of Discipline and Recognition Rules

Ref: BSNL/5-1/SR/10 dated 16.08.2010

After four verifications held in ten years since the formation of BSNL, it isobserved that the Code of Discipline and Recognition Rules adopted during the periodhave totally failed to serve the interest of both the Company as well as BSNL workersat large. This is evident from the facts that BSNL which was going in profit hithertohas earned a loss of more than Rs.1800 crore for the first time this year after gradual

sliding during last few years. It has lost its edge over the competing privatecompanies.

On the workers front, non-executives faced severe exploitation as most of their vital demands remain unsettled in the negotiating councils for years together and theII Wage Revision, NEPP. instead of motivating the workers have become nightmareleave alone their dreams (comparing to other PSUs and Central Govt. workers) have

been shattered. PLI also drastically reduced.

Reasons may be many but the basic fact remains that the management hasfailed to motivate the workers and also the representative union has failed to giveleadership to various shades of workers who are under different banners. Hegemonyof a single union is clearly visible in most of the SSAs and at some Circle level also.Representative union is using the local management to repress the workers who arenot their members, it is sad to note.

This has shattered the confidence of workers on the neutrality of the

management. During the period of DoT there was complete industrial peace andharmony as there were three recognized Federations and there was functional unity

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among them. But the present scenario indicates that something has gone seriouslywrong and there is an urgent need to correct the situation.

It warrants BSNL to make its own code of discipline and recognition rules soas to give broad representation to various unions not only in negotiating Forum, butalso in work councils, development meetings, welfare committees etc. It is a good

sign that GM(SR) BSNL has called for suggestions from all unions to revise the present code of discipline etc. and the suggestion of FNTO is enclosed in Annexure.

It is desirable that the next verification is held after adopting BSNLs owncode of discipline and recognition rules.

With regards,

Yours sincerely,

(K. VALLINAYAGAM)General Secretary

Copy to:

GM (SR), BSNL, New Delhi.CLC (C), Department of Labour, Govt. of India, New Delhi.

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Annexure

SUGGESTIONS OF FNTO FOR REVISION OFCODE OF DISCIPLINE AND RECOGNITION RULES

1. BSNL may formulate its own code of discipline and recognition rules.

2. As per Consensus already available with the management minimum tradeunion facilities may be extended to all applicant unions. Facilities Meetingwith authorities for settlement of staff grievances, special casual leave forseminar, executive meetings, conferences etc., immunity from transfer toprotected office-bearers, representation in Work Councils, WelfareCommittees, Development Meetings, Notice Board, accommodation onconcessional rent (wherever available), free Phone/Mobile connection forSecretaries at National/Circle/District level etc.

3. 15% criteria is outdated in multi-union scenario. Hence unions which have10% or more membership/votes may be recognized. Unions with 5% or morestake (at respective level) may be given suitable representation in NegotiatingForum at different levels and also in Work Councils, Welfare Committees etc.This will ensure broader representation of staff in Councils, which is the needof the hour.

4. The provision that all workers who are not members of the recognized unionmay operate either through representative union or direct may be withdrawn

as it runs contrary to Indian Trade Union Act, 1926 which confers certainrights for registered unions such as right of being heard by management. Toprotect democracy as well as to promote social dialogue in the industry, theabove provision (para-6 of criteria for recognition) should be scrapped andopportunities for meetings should be given to other unions also. This will notin anyway infringe in the right of recognized union(s) to have a formaldialogue or reaching bilateral agreement.

5. 50% criteria for recognition at Circle level may also be reduced to 10% andsame provision be extended to SSA level also to discuss issues of that levels

in Councils.

6. Facilities that are available to representative unions may be extended to theunions which are affiliated to Central Trade Union organizations such INTUC,AITUC etc. as an alternate measure . Membership of the union concernedmay be taken as criteria for fixing the number of seats in Negotiating Counciletc.

(K. VALLINAYAGAM)

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General Secretary

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