New Delhi: Government said on July 30 there had been improvement in the performance of most public sector undertakings (PSU) after their disinvestment as also increase in pay scales of workers of some of these businesses.

In a written reply to a question, Minister of Law and Commerce Arun Jaitley said, "there has been improvement in the performance of the most PSUs post-disinvestment".

He said as per the information provided by the companies, the pay scales of the workers had been increased in some of the disinvested PSUs.

Jaitely said modern foods and paradeep phosphates were loss-making companies prior to disinvestment; but post-disinvestment, their sales have increased and loss levels significantly reduced.

Citing the case of IPCL, a profitable company in June 2002 when it was disinvested, he said during 2002- 03 there had been a six per cent increase in gross turnover and a 90.65 per cent increase in net profit as compared to the same period previous year.

In reply to a query, he said 1099 Balco workers had taken voluntary retirement but no employee had been retrenched.

To another question, Jaitely said a small group comprising Hasubhai Dhave, president, Bharatiya Mazdoor Sangh, Sharad S Patil, secretary general, employers federation of India, Sanjeev S Ahluwalia, joint secretary, disinvestments ministry, and K Chandramouli, joint secretary, ministry of labour, had been constituted.

The team had visited Balco's head office and factory in Korba on February 13-14 and one unit of modern foods in Mumbai on April 29, 2003.

PTI