Thiruvananthapuram: The HLL Lifecare Ltd, which was a successful PSU, is running at a loss of over Rs 23 crore.
Niti Ayog is planning to disinvest it, the only ‘Mini Ratna’ public-sector undertaking of the Union Ministry of Health and Family Welfare. However, the trade union organisations are determined to save the PSU with the BMS kickstarting a protest on Tuesday. HLL Lifecare Ltd, which produces contraceptive products, first experienced losses in the 80s, but was revived later.
The company suffered losses in 2015-16 fiscal, but the current management led by acting CMD, R. M. Khandelwal was hoping to turn it around. When Niti Ayog came out with the first list of PSUs in all the sectors, HLL Lifecare Ltd was not included. Company sources told DC that Niti Ayog recommended its disinvestment as it has not been involved in strategic affairs. “We have given a memorandum to Prime Minister Narendra Modi, Finance Minister Arun Jaitley and Health Minister J. P. Nadda. Unfortunately, the BMS withdrew from the strike on Wednesday. But CITU, AITUC and INTUC have decided to oppose its privatisation,” said Ajai. K. Prakash, general secretary, AITUC, and an employee of the company.
The total loss is estimated at Rs 90 crore and only by the end of this month, the first quarterly results will be announced. However, a top management official told DC that the centre had not taken a final decision. “We are hoping to turn around the company and we believe the centre will reconsider the move,” he said.