Even before the global financial meltdown hit Indian shores, central government-owned companies had shed 44,000 employees, says the 48th Public Enterprises Survey 2007-08. The number of people employed by the central public sector enterprises came down to 15.7 lakh (1.57 million) at the end of 2007-08 from 16.14 lakh (1.61 million) in the previous fiscal, the survey stated.

The trimming of the workforce took place in a year which witnessed the overall increase in the CPSEs' profits from Rs 89,578 crore (Rs 895.78 billion) a year ago to Rs 91,140 crore (Rs 911.4 billion) and has no links with the global financial crisis that hit the world in September 2008. The crisis, according to a labour ministry survey, resulted in loss of job of 500,000 workers during four-month period ending December 2008.

The survey also revealed that out of a total of 15.7 lakh (1.57 million) people employed by 242 CPSEs, only 1.32 lakh (132,000) were women. The employee strength of the CPSEs has been reducing since 2001-02, during which they had a staff of about 20 lakh (2 million). The number fell gradually to 16.14 lakh (1.61 million) during 2006-07 and further to 15.7 lakh (1.57 million) in 2007-08.

The survey said the CPSEs' wage bill went up by 15.9 per cent during 2007-08 to Rs 64,306 crore (Rs 643.06 billion).

Some of the blue chip companies occupied lower ranks in the survey. ONGC [Get Quote] was placed at 16th position, NTPC at 21st place and Indian Oil Corporation [Get Quote] at 24th position. Telecom giants like Bharat Sanchar Nigam Limited and Mahanagar Telephone Nigam [Get Quote] Limited were placed quite low, at the 61st and 72nd position respectively.

The survey further said the number of profit-making CPSEs went up to 159 from 154 a year ago and their profits increased to Rs 91,140 crore (Rs 911.4 billion) from Rs 89,578 crore (Rs 895.78 billion) during the period. As regards loss-making enterprises, though the number of companies incurring losses dropped to 54 from 60 in the previous fiscal, the quantum of losses jumped to Rs 11,332 crore (Rs 113.32 billion) from Rs 8,457 crore (Rs 84.57 billion) during the same period last year.

The networth of the central PSUs, it said, increased by 14.66 per cent during the year to Rs 5,21,000 crore (Rs 5,210 billion), while their reserves and surpluses rose 16.56 per cent to Rs 4,86,000 crore (Rs 4,860 billion). The turnover of the central government-owned companies increased by 12.13 per cent to Rs 10,82,000 crore (Rs 10,820 billion).

The contribution of the CPSEs to the exchequer, according to the survey, rose significantly to Rs 1,66,000 crore (Rs 1,160 billion) during 2007-08 from Rs 1,49,000 crore (Rs 1,490 billion) a year ago. The contribution includes excise duty, customs, corporate tax, dividend and other duties and taxes.

As regards the CPSEs' total wage bill of, the survey said, the outgo towards salaries during 2007-08 increased 15.90 per cent to Rs 64,306 crore (Rs 643.06 billion), although the number of people employed by them declined by 44,000 to 15.70 lakh (Rs 1.57 million).

The market capitalisation of the 41 listed central public sector enterprises, it added, increased by about 65 per cent during 2007-08 to Rs 11,20,000 crore (Rs 11,200 billion).

As a percentage of the market capitalisation of the companies listed on the Bombay Stock Exchange, the share of CPSEs rose to 21.80 per cent on March 31, 2008, from 19.16 per cent a year ago, reflecting increasing investor interest in PSU shares.