Government on Thursday released wages and other allowance that are due to employees of 12 public sector firms, including Andrew Yule and HMT.
The Cabinet Committee on Economic Affairs has given its approval for providing non-plan budgetary support of Rs 77.48 crore for a period of three months (from July 1, 2007 to September 30, 2007) towards outstanding statutory dues, salary and wage of employees of 12 PSUs, an official spokesperson said.
The 12 PSUs are Andrew Yule, Bharat Wagon Engg, Hindustan Cables, HMT, HMT (Watches), HMT (CW), Hindustan Photo Films, Instrumentation Ltd, National Instrument Ltd, NEPA, Triveni Structural Ltd and Tungbhadra Steel Products Ltd.
"It would mitigate the hardships of the employees thereby motivating them for better output, and prepare them to achieve the goal of revival/restructuring of the companies," she said.
The CCEA also gave its approval to the Agreement for Avoidance of Double Taxation and Prevention of Fiscal Evasion with Luxembourg.
The Agreement will stimulate the flow of capital, technology and personnel from India to Luxembourg and vice- versa. "It will provide tax stability and reduce any obstacles in providing mutual cooperation," the spokesperson said.
India has so far signed and notified such bilateral treaties for avoidance of double taxation with 71 other countries. In more than 20 such agreements, the scope of the pact includes capital taxes.