No deputation of officials to PSUs

NEW DELHI: Government officials opting for deputation to public sector companies to avail of better perks and other benefits would now have to stay put in the respective firms.

Coming down heavily on the practice of bureaucrats opting for temporary posting in public sector companies, the government has said deputing officers, including those belonging to defence services, to state-owned companies was not permissible.

It has, however, allowed government officials to join PSUs on immediate absorption basis.

Railways would be the hardest hit by this directive, as all the key posts in the PSUs under the ministry are manned by officers on deputation.

In fact, the notification stresses that the directive would apply to all central PSUs, including those under the Ministry of Railways.

"The practice of deputation was hampering development of cadre of managers in particular PSUs. The notification would address that situation," sources said.

The government has also said employees of one PSU can join another PSU on a permanent basis.