Ordnance Factories should be corporatized into a single corporation under leadership of a competitive management.

Press Information Bureau 

Government of India

Ministry of Defence 

Ordnance Factories 

Kelkar Committee had recommended that “Ordnance Factories should be corporatized into a single corporation under leadership of a competitive management. This corporation should be accorded the status of Navratna”. 

The following steps have been taken by the Government on research and development initiative for innovation and import substitution in last one year: 

• To avoid the delay in processing of R&D projects at Ordnance Factory Board Headquarters (OFBHQ), financial powers have been delegated to all levels. 

• Factories have been given target to increase the expenditure on R&D activities to 3% of their turnover by the year 2018-19 in a phased manner. 

• Factories are being encouraged to associate themselves with reputed Academic Institutes for Research Assistance. 

• Core technologies have been identified for 12 Ordnance Factories to put in more focused efforts to cope up with Technology denial regime. 

• Joint working on some of the large projects with Defence Research Development Organization (DRDO) from the inception stage and to render manufacturing assistance, wherever required by DRDO is being encouraged. 

This information was given by Minister of State for Defence Rao Inderjit Singh in a written reply to Shri Gaurav Gogoi and others in Lok Sabha today. 

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Government is considering any proposal to convert the Ordnance Factory

GOVERNMENT OF INDIA

MINISTRY OF DEFENCE

DEPARTMENT OF DEFENCE PRODUCTION

RAJYA SABHA

UNSTARRED QUESTION NO.833

TO BE ANSWERED ON 3.3.2015

CORPORATISATION OF ORDNANCE FACTORY BOARD

833. SHRI TAPAN KUMAR SEN:

Will the Minister of DEFENCE be pleased to state:

(a) whether Government is considering any proposal to convert the Ordnance Factory Board, a Departmental Organisation under Ministry of Defence consisting of 41 Ordnance Factories into a Corporation, if so, the details thereof;

(b) whether all the stake-holders including the Federations of Defence Civilian Employees are taken into confidence; and

(c) whether, in the past, assurances were given by Government to the Employees Federations that Ordnance Factories would not be converted into a Corporation?

ANSWER

MINISTER OF STATE IN THE MINISTRY OF DEFENCE

(RAO INDERJIT SINGH)

(a) No, Sir. There is no proposal at present to corporatize the Ordnance Factories in the country.

(b) Does not arise.

(c) Yes, Sir.

Source: http://rajyasabha.nic.in/

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Brief of meeting held with Hon’ble Fin. & Def. Minister

BHARATIYA PRATIRAKSHA MAZDOOR SANGH

(AN ALL INDIA FEDERATION OF DEFENCE WORKERS)

(AN INDUSTRIAL UNIT OF B.M.S.)

(RECOGNISED BY MINISTRY OF DEFENCE, GOVT. OF INDIA)

New Delhi

Dated: 16.06.2014

To, 

The Office Bearers,

CEC Members, JCM (II, III) members,

Union’s President/Secretaries of B.P.M.S.

SUBJECT: – Brief of meeting held with Hon’ble Fin. & Def. Minister

Dear Brothers & Sisters,

Sadar Namaskar,

It is for your kind information that our delegates S/Sri V L Nawade , Sadhu Singh, Mukesh Singh & Virendar Sharma today had a meeting with Hon’ble Finance & Defence Minister, Shri Arun Jaitley at 1300 hrs. It was scheduled as a courtesy meeting but we invited his attention to the news articles on 100% FDI in defence sector because it was a great concern for all the stake holders. We reflected our concern vide a memorandum submitted by Shri Sadhu Singh (copy of the same is enclosed for ready reference).

Hon’ble Minister narrated how the Secretary, DIPP came to his office with the concerned minister on the same day of assuming the charge of ministry and shown the discussion paper prepared during the previous Government on 100% FDI in defence sector which he rejected at once. He has assured us that he is not in favour of 100% FDI in defence sector as neither it is required nor it is in the interest of the Nation. Not only that, he would take all the necessary steps to strengthen the existing Ordnance Factories & DPSUs but on the same time these defence installations require introspection.

Apart from above, some of the following issues were also brought to his notice which were considered by him very sympathetically and assured that appropriate action would be taken by concerned authorities:-

1. Defence installations should be exempted from 5% limit of Compassionate ground appointment and one time relaxation for all pending cases,

2. Re-draft the role of Defence (Finance) so that service matters like Recruitment Rules, Cadre Review, revival of sanctioned posts, payment of arrears, revision of allowances etc. may be settled at the earliest,

3. Judicial pronouncements may be extended to similarly placed non-petitioner employees,

4. The meeting of Departmental Council (JCM), MOD is not being convened regularly,

5. None of the Administrative Joint Secretaries of Departments of MOD has implemented the instruction {MOD I.D. No. 1(1)/2013/D(JCM), dated 22.10.2013} on the Mechanism to provide additional meeting opportunities to Staff Side to sort out their grievances,

6. The minimum benefit under Central Government Employees Groups Insurance Scheme should be enhanced to Rs. 10 lakh,

7. Dearness Allowance should be merged with Basic Pay, 

8. Scrap the New Pension Scheme and restore old Pension Scheme,

9. CSD Canteen facilities may be provided to the retired Defence Civilian Employees,

10. A separate meeting to discuss the issues related to Department of Defence Production (OFB, DGQA, DGAQA etc.).

After that we met Shri Navin Kumar Chaudhari, Joint Secretary (Establishment), Min of Defence and discussed following issues besides all the above issues;

1. Probable date of completion (PDC) on the pattern of citizen charters should be fixed for resolving the issues, for movement of file/paper from desk to desk/section in respect of issues raised by JCM/Federations and latest position should be updated in website,

2. A permanent cell of empowered officers from Min of Defence, Finance, Law, Labour, DoPT etc. should be constituted in MoD so that the Cadre Review & Recruitment Rules of Group ‘B’, ‘C’ & ‘D’ may be revised expeditely.

3. Remove the artificial restriction of 40 days PLB for AOC, Navy, Air Force, EME & Ordnance Factories. The PLB should not be less than the Adhoc Bonus of 30 days, and all ceilings on payment and eligibility of Bonus should be removed, JS (E) immediately called the DS (E) & DS (CP) and instructed to convene regular meetings of JCM and next meeting of Departmental Council (JCM), MOD may be convened on 24.06.2014 in Sena Bhawan.

With regards,

Sincerely yours

Sd/-

(MUKESH SINGH)

Secretary / BPMS &

Member JCM-II Level Council (MOD)

Source:http://www.bpms.org.in/documents/arun-jaitley-o8b9.pdf

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Follow up action on the ‘Minutes’ of the Meeting held on 06.02.2014 under the Chairmanship of AS(A) with the representatives of Recognized Federations of MoD i.e. AIDEF, INDWF & BPMS

MOST IMMEDIATE

MINISTRY OF DEFENCE

D(JCM)

Subject :- Follow up action on the ‘Minutes’ of the Meeting held on 06.02.2014 under the Chairmanship of AS(A) with the representatives of Recognized Federations of MoD i.e. AIDEF, INDWF & BPMS in connection with the Notice of “Indefinite Strike” from 17.02.2014 by Defence Civilian employees.

A copy of the ‘Minutes’ of the above meeting is enclosed for perusal and necessary appropriate action.

2. All concerned are requested to ensure necessary appropriate action, wherever necessary, on the issues concerning them.

3. An instant action on the above will be appreciated.

(R.K. Jaiswal)

Under Secretary (JCM)

Tel. No. 2301 1260

Sections
D(Apptts.)	D(Lab)	D(Civ-I)
D(Civ-II)	D(Air-III)	D(N-II)
D(0-11)	D(QS)	D(Works-II)
D(Med)	D(Lands)	D(Estt./NG)
D(Coord.FDDP)	D(Coord.II/DDP)	D(Q&C)
D(R&D)	Def Fin(AG/PB)	Def (Fin/Coord)
D(HAL)	D(QA)	D(Mov)
Dtes/HQ/Orgns
Joint Director, DRDO	Dir (IR), OFB, Kolkata

MoD ID No. 19(5)/2013/D(JCM) dated 7.2.2014.

Copy to :- General Secretary, AIDEF, INDWF & BPMS.

Copy also to :-SO to Def Secy. PPS to AS(A) PPS to JS(O/N) PPS to JS(P&C) PPS to JS(C&W)PPS to AFA & JS(RS) PPS to AFA & JS(K)

‘Minutes’ of the Meeting held on 06.02.2014 under the Chairmanship of AS(A) with the representatives of Recognized Federations of MoD i.e. AIDEF, INDWF & BPMS in connection with the notice of “Indefinite Strike” from 17.02.2014 by Defence Civilian Employees: The Declaration made by the Federations.

I. List of participants is at Annexure.

II. At the outset, ,AS(A) welcomed the representatives of the Federations and Official Side Members. He stated that the efforts will be made to sort out the problems expeditiously in the best interest of employees. The representatives of the Federations expressed their unhappiness at the accumulation of pending demands which compelled them to come at this juncture to go on ‘Indefinite Strike’ but hoped to get good discussion and solutions to their problems today. Then, AS(A) invited the representatives of all the three Recognized Federations to discuss the issues indicated in their Charter of Demands.

III. Discussions on Agenda Points raised: 

Agenda Point-1Decision:

Grant of 2nd13rd MACP in Grade Pay Rs 4600/- to the Artisan  Staff of Defence Establishments who were granted 2‘ ACP in  the Char to 31.12.2005 in spite of MoD’s recommendation matter is pending with Defence Finance)Addl FA & JS(RS) agreed to the issuance of clarification on this issue. Staff Side demanded discussions on the framing of RRs for MCM and Chargeman before referring the same to DOP&T and Was also agreed to.

Agenda Point-2	Correlation of the hourly rate of Industrial Workers deployed on Piece Work system in Ordnance Factories in 6th CPC Pay Scale w.e.f. 01.01.2006 (in spite of MoD’s recommendation matter is pending with Defence Finance)
Decision:	Demand was agreed to. However, the issue of giving retrospective effect to the same will be examined separately.
Agenda Point-3	Grant of Departmental Overtime Wages to the Industrial Workers deployed on Piece Work ; system in the Ordnance Factories(in spite of MoD’s recommendation matter is pending with Defence Finance).
Agenda Point No-4	Grant of hourly rate to the Piece Workers of Ordnance  Factories who were given MACP benefits. (inspite of MoD’s  recommendation matter is pending with Defence Finance).
Decision:	Depending upon the decision on agenda point No.1, a decision on this issue will be taken by,DDP,
Agenda Point No-5	Grant of revised ACP benefits to the labourers who have completed 30 years of service by granting an one time exem tion of Trade Test. MoD’s; recommendation in the matter is pending with DoP&T).
Decision:	To get the matter expedited, a meeting with DOP&T is to be held
Agenda Point No-6	Grant of revised ACP benefits to the erstwhile Group “D”  NIEs (MoD’s recommendation in the matter is pending with DoP&T).
Decision:	As detailed in reply to Item No. 5.
Agenda Point No-7	Revision of Night Duty Allowance w.e.f. 01.01.1996 and from 01.01.2006 in the 5th and 6th CPC rates respectively by implementing the Court Judgments on the subject
Decision:	Defence Finance will look into the matter expeditiously
Agenda Point No-8	Doubling of the Risk Allowance for Defence Civilian  Employees w.e.f. 01.09.2008 has agreed in the National Anomaly Committee Meeting.
Decision:	DOP&T may be reminded and matter to be pursued
Agenda Point No-9	Implementation of the following judgment to the similarly placed emloyees as per provisions of DOP&T OM No. A11019/2/98-AT dated 03 September, 1998.
	i) Grant of MACP in promotional hierarchy (Government’s SLP dismissed in the case of CAT Chandigarh Bench Judgment on OA No.1038/CH of 2010.Decision: Comments noted.
	ii)Placement from HS Grade to HS Grade-I should be ignored for granting MACP  (Judgment of CAT Principal Bench New Delhi in the case of Employees of 505  ABW, New Delhi referring various Supreme Court Judgments)Decision: Comments noted.
	iii) Restoration of the opportunity of Chowkidars and Safaiwalas of MES for re-designation as Mate (SS) (Judgment of the Hon’ble CAT Ernakulam Bench in OA No.109/2012 dated 12.12.2012)Decision: Matter already resolved.

	iv) Removal of discrimination and grant of skilled pay scale of Rs.260-4000/ 950- 1500 to non-petitioner Valvemen of MES (Judgment of Hon’ble CAT Jodhpur Bench in OA NO.51/2002 dated 21st July, 2003)Decision: D(Works-II) to consider the matter and expedite the same.
	v)            Inclusion of HRAland Transport Allowance etc. for computation of OT Wages under Factories Act 1948 based on the judgment of Madras High Court.Decision:              Comments noted.
	vi)           Implementation of higher Pay Scale and grade structure for the similarly placed  Cooks of all Defence Establishments as granted to the Cooks of Air Force vide MoD  Letter No. Air HO/23064/Cooks/PC-4/444-CC/D(Air-III) dated 12th November  2013  based on the judgment of Hon’ble Principal Bench CAT, New Delhi.Decision:              Directions may be issued to cadre controlling authorities to carryout the cadre review of Cooks cadre in line with Cooks of the Air HQr.
Agenda Point No-10	Approval of all cadre review proposals of MTs, Durwanl Fireman, Drivers, Storekeeping Staff, Industrial Canteen Staffs Para Medical Staff, Stenographers, DEO, JWM and Clerical Staff of OFB, DRDO, DGOA, Navy, EME, AOC, Air Force and other Directorates pending at different level.
Decision:	(i)   Cadre reviews pending with Defence Finance be finalized.(ii)                  Cadre review proposal not submitted shall be submitted within in one month and settled.(Hi) DRDO shall consult Staff Side Federations before finalization of DRTC cadre review.
Agenda Point No-11	Grant of PR1S to the DRDO Employees at par with Department of Atomic Energy and ISRO.
Decision:	DRDO shall expedite a decision at RM level.
Agenda Point No-12	Revision of Fixed Medical Allowance to the Defence Employees  posted at hard stations/isolated places and also grant of medical reimbursement for impatient treatment for such  employees by implementing the judgment of Punjab and  Haryana High Court.
Decision:	Matter may be pursued with Ministry of Health & Family Welfare to expedite a decision.
Agenda Point No-13	Grant of Four Grade Structure to the Ammunition Mechanic or NAD under  navy.
Decision:	Matter may be pursued with Ministry of Finance to expedite a decision.
Agenda Point No-14	Grant of Four Grade Structure to the Meter Reader of MES at Par with the Artisan Staff
Decision:	Matter may be pursued with DOP&T to expedite a decision. Agenda Point No-15 Extension of CSD Canteen facilities for retired defence civilian employees at par with Ex-Serviceman.
Agenda Point No-15	Extension of CSD Canteen facilities for retired defence civilian employees at par with Ex-Serviceman.
Decision:	Matter may be taken up again.
Agenda Point No-16	Revision of Bonus payment ceiling and Gratuity ceiling limit. Decision: Not discussed being national issue.
Decision:	Not discussed being national issue.
Agenda Point No-17	Opening of CGHS Dispensaries in all major cities and reorganization of Hospitals under CGHS in Hill Stations.
Decision:	Not discussed as the issue relates to Ministry of Health & F.W.
Agenda Point No-18	Withdraw DPP-2013 which is against the interest of DRDO  and Ordnance Factories
Decision:	The demand may be examined by DDP.
Agenda Point No-19	No FDI in Defence Sector
Decision:	Comments noted
Agenda Point No-20	No disturbance in the functioning of DRDO by implementing Professor Rama Rao Committee recommendations.
Decision:	Comments noted
Agenda Point No-21	No arbitrary reduction of manpower in the various Army  Units in the name of ASEC Report in violation of the Cabinet Secretary’s directions.
Decision:	instructions in this regard may follow.
Agenda Point No-22	No closure of any Defence Units including Military Farms. Decision:
Decision:	Comments noted
Agenda Point No-23	Stop all types of outsourcing/contract and replarize all the existing contract/casual workers
Decision:	Comments noted.
Agenda Point No-24	Fill up all posts lying vacant in all the Defence Establishments. Decision:  JS(P&C) will examine.
Agenda Point No-25	Withdraw the New Pension Scheme
Decision:	Not discussed being national issue.
Agenda Point No-26	Grant of Compassionate Appointment 100% as being granted by the Railway Ministry.
Decision:	The matter may be taken up with DOP&T at higher level
Agenda Point No-27	No reduction of sanctioned strength of the Ordnance Factories based on Sourab Kumar Committee Report.
Decision:	Comments noted
Agenda Point No-28	Regular meeting with the recognized Federations by the MoDand other Directorates should be ensured.
Decision	Staff Side was advised to submit a calendar on the line of action.
Agenda Point No-29	Three meetings of the Departmental Council (JCM) and four  meetin . of the JCM-III Level Council as per the constitution of the JCM Scheme should be ensured.
Decision:	Timely meetings may be ensured.
Agenda Point No-30	Grant of Trade Unions rights to all the non gazetted employees  working in the Defence Establishments as being given in the case of Railway. (Up to 4200).
Decision:	As detailed in reply to item No.32.
Agenda Point No-31	Grant of Trade Unions ri hts to the Em s to ees of Hos s itals and Training Establishments under MoD since these  Establishments are already recognized as Industry by the Labour Ministry.
Decision:	As detailed in reply to item No.32
Agenda Point No-32	Grant of Trade Unions rights to the Defence Civilian Employees posted at area declared under SRO-17E.

Source-http://www.bpms.org.in/

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