Union cabinet approves budgetary support to HMT Ltd

Speed Post News Network

New Delhi: The Union Cabinet chaired by PM Narendra Modi has approved the budgetary support to HMT Ltd. for payment of outstanding salary / wages and other employee related dues. It also approved closure of HMT Tractor Division by offering attractive VRS / VSS at 2007 notional pay scales.

It will have a financial implication (cash outgo) of Rs 718.72 crore for payment of outstanding salary, wages and statutory dues, VRS/VSS ex-gratia payments and clearing of Tractor Division’s liabilities towards Bank, creditors etc, according to a PIB release. The Cabinet has also given its approval for transfer of selected small parcels of HMT land at Banglore and Kochi to different government entities for their use in larger public interest.