LIC's partial disinvestment will not lead to its privatisation: LIC Chairman
Mumbai/IBNS: Disinvestment of a part of the government's share in Life Insurance Corporation(LIC) will not pose difficulties for the employees, according to Chairman of LIC MR Kumar, reported NDTV.
Kumar said the government's move will draw a reaction from the employees, but the company will talk to them and assure that a part of the government's stake in LIC will not impact them.
The government holds 100 per cent stake in LIC.
"This (the stake sale) is nothing to do with privatisation... Yes, there will be a reaction bit we will talk to staff and employees," Kumar was quoted as saying by NDTV.
The trade union All India LIC Employees Federation staged an hour-long walkout strike this week against Finance Minister Nirmal Sitharaman's budget announcement on Feb 1 to sell a part of government's stake in the state-run insurance company.
He said the valuation of the company is yet to be decided and a series of meetings will be held to arrive at a final number, he added.
Divesting of a part of government's stake could lead to the partial listing of the country's biggest insurance company.
Kumar, however, said he had said in October that it was too early to go public, but said on a lighter note that he was "overruled".
The government's move has triggered protests by LIC employees who have termed the disinvestment against national interest.
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