Friday, May 9, 2008, Jamadi-ul-Awwal 2, 1429    

Pak Steel earns Rs 3b last year: Sherry

Islamabad—The Senate was informed on Wednesday that Pakistan Steel, which Shaukat Aziz government tried to sell at throw away price, earned Rs 3.159 billion during the financial year 2006-07.
Replying to a question on behalf of Minister for Industries and Production, Sherry Rehman said no grant or aid was provided to Pakistan Steel by the government during 2006-07.
She said when it was being privatized some 8,000 of its employees, which are currently 16,483, opted for golden handshake and was earning nominal profit.
She said Pakistan’s largest industrial unit is undertaking a modernisation plan at a cost of Rs 2.8 billion from its own resources. Similarly, she added, increase of its production capacity from 1.12 million tonnes to 3.1 million tonnes is being planned.
In response to a question from Chaudhry Anwar Bhinder who said that such number of employees was very large, Sherry contended that downsizing could have serious political implications. She said contract employees and junior officers were mostly local but senior level posts are not held by locals and there should be a balance between the two.
She said there is a need to review the discretionary powers of the chairman who has hired 3761 daily wagers. Babar Awan said in line with the prime minister’s announcement all contractual and daily wage earners at Pakistan Steel should be regularised, to which Sherry said she would like it to happen if the PM has said so.—APP