PTCL just announced Voluntary Separation Scheme for its 18,000 employees.
Announcement was made during a press conference held in Islamabad. Company is hoping that 50% of its employees will avail the opportunity at a total cost of Rs. 10 billion. An approval from board was obtained in this regard, the media was told.
Maximum compensation that an individual will get is estimated at Rs. 13.5 Million.
Syed Mazhar Hussain, Chief HR PTCL, said it is forth VSS scheme in PTCL’s history will be affective from November 28th, 2016.
Salient features of VSS scheme for regular PTCL and NCPG employees will be as following:
- Regular employees will get transition pay multiplied by four multiplied by years in service (Transition Pay x 4 x number of years in service)
- New compensation pay group (NCPG) employees will get enhanced 6 times of the years in service
- Minimum length of service for eligibility of pension has been reduced from 20 to 18 years, and retiring employees will get the pensionary benefits of additional 2 years of service
- Pensionable employees also have the option to choose between a lump sum payment of enhanced commutation or continued pension.
- NCPG optees will get gratuity up to 4 times of basic salary (gratuity is tax exempted)
- All the scheme optees will be given leave encashment of 180 days, irrespective of their leave balance
- Allowances of six months for regular employees and 15 months for NCPG employees are also part of this package
- In case of early adopter of VSS scheme, an additional bonus of Rs. 200,000 will be paid if employees apply for scheme with-in 20 days
- If 30% or more employees of targeted population of any region opt for scheme, then an additional amount of Rs. 150,000 will be paid to each optees of that region
- EOBI pension benefits (as per EOBI act and rules) will also be provided to VSS scheme optees
PTCL said that it will support VSS Optees in getting the jobs in other companies, for which services of leading head hunters will be arranged at company’s expense.
PTCL said that its liability will be restricted to the Head hunters’ commission in case the employee is selected for any job.
“Moreover, in order to help the optees in beneficial cash management of their amounts, services of financial advisors (leading cash management companies/funds) will be arranged. Employees can consult them to having various investment options for making a better decision.”, reported by ProPakistani
It maybe recalled that PTCL offered VSS scheme for the first time in 2008 when over 30,000 employees availed the opportunity. Then another 5,700 employees availed VSS scheme in 2012. The company’s last VSS scheme announced in 2014 was availed by 3,000 employees.