The government on Saturday denied reports aboutthe privatisation of ordnance factories across the country in a response toworkers who have threatened to launch a 30-day strike from August 20.A panel ofsenior officials of the Defence Ministry has started talks with the agitatedemployees trying to convince them that reports about privatising ordnancefactories are merely rumours.Forty-one ordnance factories function in variousparts of the country under the aegis of the Ordnance Factory Board (OFB) whichhas its corporate headquarters in Kolkata.

These factories have over 200 years of experience in defenceproduction apart from testing, logistics, research, development and marketingof a comprehensive product range in the area of land, sea and air systems"Discussionsare continuously being held by a committee of very senior officials of theDefence Ministry with employees` federations of the Ordnance Factory Board andengage with them in a positive and constructive manner on all aspects relatingto its corporatisation. It was also clarified that the government is notproposing to privatise the Ordnance Factory Board and any apprehension in thisregard is misplaced," said Secretary (Defence Production), Ajay Kumar onSaturday.The panel has instead told the agitating employees that there is aproposal to convert the OFB into Defence Public Sector Undertakings (DPSU) with100 per cent government equity.The employees` federations that have threatenedthe strike include All India Defence Employees Federation, Indian NationalDefence Workers Federation, Bhartiya Pratiksha Mazdoor Sangh and Confederationof Defence Recognized Association.The panel had begun discussions with theoffice-bearers of these federations on Friday.

The panel has further clarified that rumours are beingspread about privatising the OFB in order to mislead workers. The employees`federations have been assured that the interests of workers will be adequatelysafeguarded with the corporatisation of the OFB which will bring it at par withother DPSUs of the Defence Ministry besides providing it with operationalfreedom and flexibility.

The Union government has been trying continuously tostrengthen the functioning of the OFB, through steps taken to modernisefactories, carry out capital up-gradation, re-train and re-skill employees, andenable the development of products and components with indigenous technology.