Make CEOs of pvt firms eligible for appt of PSUs directors:DPE

Monday, 21 February 2011, 15:21 IST
Printer Print Email Email
Make CEOs of pvt firms eligible for appt of PSUs directors:DPE
New Delhi:Chief Executives of private firms will be able to join PSU boards as independent directors if the proposal of the Department of Public Enterprises is accepted by the Department of Personnel and Training. At present, only retired CEOs of the private sector are allowed as independent directors (IDs) on the PSU boards. "We have suggested to the DoPT that serving CEOs in private companies should also be made eligible for the appointment of independent directors in state-owned companies," DPE Secretary Bhaskar Chatterjee told PTI. He said that since there is no retirement age in private sector, the PSUs are not able to take advantage of the experience of the corporate heads in the non-official capacity. According to a CAG report, of the 47 listed government companies, majority of them do not have the required number of IDs.
Source: PTI
siliconindia