State-owned Bharat Petroleum Corporation Limited (BPCL) has offered a voluntary retirement scheme to its employees ahead of the government privatising the country's third-biggest oil refiner and second-largest fuel retailer.
The 'Bharat Petroleum Voluntary Retirement Scheme - 2020 (BPVRS-2020)' opened on 23 July and will close on 13 August, a PTI report said.
A senior company official told PTI that the VRS has been brought to offer an exit option for any employee or officer who does not want to work under a private management.
The central government, as part of its divestment plans, is planning to sell its entire 52.98 percent stake in BPCL.
Expressions of Interest (EoI) for buying BPCL are due on 31 July 2020. BPCL will give buyers ready access to 15.3 per cent of India's oil refining capacity and 22 per cent of the fuel market share in the world's fastest-growing energy market.
BPCL has about 20,000 employees and the official said that 5 to 10 perent of them are expected to opt for VRS. All employees who have completed 45 years of age will be eligible for the scheme, according to the VRS notice accessed by PTI, but excludes active sportspersons (employees recruited as sportsperson who are yet to be deployed in mainstream) and board level executives.
"Employees opting for VRS would be eligible to receive a compensation payment equivalent to two months' salary for each completed year of service or the monthly salary at the time of voluntary retirement multiplied by the balance months of service left before normal data of retirement on superannuation, whichever is less," it said.
Repatriation expenses, as payable in case of retirement, will also be paid. Employees who opt for voluntary retirement will be eligible for medical benefits under the Post Retirement Medical Benefit Scheme.
Also, they would be eligible for encashment of leaves including casual, earned and privilege leaves.
While those opting for VRS will neither be eligible for employment in company's joint ventures nor be engaged as retainers/consultants/advisors, any persons facing disciplinary action will not be eligible for the scheme, the notice said.