New Delhi, March 10 (IANS) The Indian Institute of Management (IIM), Bangalore and its counterpart in Lucknow have reduced their placement service charges substantially to attract more companies for on campus recruitment.

Majority of the IIMs charge certain fees from both domestic and overseas companies for participating in their placement drives.

'IIM-Bangalore and IIM-Lucknow have reported a change in the fee structure related to placements,' Minister of State for Human Resource Development D. Purandeswari told the Lok Sabha Wednesday.

The minister said that IIM-Bangalore has waived the participation fee entirely this year.

Last year it was charging Rs.150,000 to companies to recruit students in slot zero (the first round of recruitment), Rs.100,000 in slot one, Rs.50,000 in slot two.

It has also reduced the student career support fee charged on companies.

Similarly, the IIM-Lucknow has reduced the the domestic placement fee to Rs.25,000 in slot zero this year as against Rs.75,000 per company last year.

Companies going there for recruitment in slot one will now have to pay Rs.20,000 instead of Rs.50,000.

However, IIM-Lucknow has started imposing a fee ranging from $2,000 to $500 on overseas companies recruiting students.

The minister, however, said that though IIM-Bangalore has not seen any increase in the number of companies in its campus this year, IIM-Lucknow has got the instant benefit.

'IIM-Lucknow has informed that the number of companies have increased in the placement process and 37 new recruiters participated,' Purandeswari said.

Currently, India has seven IIMs and nearly four are expected to start operation from the coming academic session.