Sales of the PSU also rose 84.89 percent to Rs 4.16 crore in the same period as against Rs 2.25 crore during the previous quarter ended December 2016.
HMT derives majority of its revenues from its subsidiaries. In FY17, HMT as a standalone entity contributed just 11 percent to consolidated revenue. For its...
quarterly results, HMT declares only the standalone numbers. However, these numbers do not reflect complete picture of HMT’s consolidated financials.
The beleaguered PSU has been battling to stay afloat. Earlier, the government had asked HMT Watches to arrange funds on its own to clear pending salary dues of its employees.
As many as eight central public sector enterprises under the Department of Heavy Industries (DHI) including HMT Bearings, HMT Watches and HMT Chinar Watches, are facing closure. The employees of these undertakings have been relieved through VRS/VSS (Voluntary Retirement Scheme/Voluntary Separation Scheme). HMT Watches has sought funds from DHI for payment of salary for the period from January 2016 to March 2017 of Rs 19 crore for 815 employees relieved between January to June 2016 comprising Rs 10.70 crore and Rs 8.30 crore for 146 employees of watch factory Ranibagh who did not opt for VRS, he said.
HMT Ltd is a PSU under the Ministry of Heavy Industries & Public Enterprises. The Cabinet Committee on Economic Affairs (CCEA) in its meeting held on January 6, 2016 considered and approved the Closure HMT Watches Limited, HMT Chinar Watches Limited and HMT Bearings Limited the Subsidiaries of the PSU and to relieve all the employees of these Companies in terms of approved Roadmap for CPSEs under DHI.
DHI vide their letter No. I- 050II/6/2014-PE-X dated January 13, 2016 have requested to take appropriate action and process the closure of the Company by offering attractive VRS package at 2007 notional pay scales with gratuity and leave encashment also at 2007 notional pay scales, in relaxation of DPE guidelines to the employees of HMT Watches Limited, HMT Chinar Watches Limited and HMT Bearings Limited. As such VRS was introduced in these subsidiary companies and all the employees of HMT Bearings, HMT Chinar Watches Limited along with the employees of HMT WF Bangalore and Tumkur were relieved. All together 894 employees were relieved out of 1040 employees except 146 employees of Ranibagh Unit. The matter with regard to retrenchment of employees was taken up with the Labour Ministry and Order was passed by the Labour Ministry on November 17, 2016.