Nokia warns of sacking staff working on BSNL project over outstanding payments

Nokia said it has a large number of employees dedicated to BSNL projects and for the last four months it has been retaining them in an attempt to support the Prime Minister’s direction to support all employees during the Covid crisis.

New Delhi: Finnish telecom gear maker Nokia has warned that it will terminate its employees working on the Bharat Sanchar Nigam Ltd. (BSNL) project in absence of any clarity on network-related payment dues from the state-run telecom operator.

“The non-payment by BSNL has adversely affected our cash flow which will now force us to take some major cost cutting measures to sustain ourselves in these difficult times, including terminating our employees dedicated to BSNL account,” Nokia said in an August 4 letter to BSNL CMD PK Purwar.

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BSNL owes Nokia ₹910 crore, of which ₹600 core is pending for allocation since January 2020.

Nokia said it has a large number of employees dedicated to BSNL projects and for the last four months it has been retaining them in an attempt to support the Prime Minister’s direction to support all employees during the Covid crisis. “However, given the continued default from BSNL, we are now being forced to explore such options,” it said.

Nokia, in the letter, said that BSNL had given written assurances in January to release payment on a monthly basis from April 2020 with all dues to be cleared by September 2020. Noki added that BSNL has continued to default on its obligations, which has resulted in loss of faith, making it further difficult for Nokia to seek approval from its management to continue to render any further services.
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