Salary will be doubled, but 40,000 clerical staff will lose jobs
Picture used for representational purpose. (Photo: DC/File)
Hyderabad: Andhra Pradesh government is likely to revive the Reliance’s proposal to take over the APSRTC. A year back, when the Congress was in power in the undivided state, Reliance had proposed to take over the RTC and with a promise to improve transport facilities in the state.
Currently, in Andhra Pradesh, the RTC is suffering a loss of Rs 100 crore every month. After the bifurcation of the state, Andhra Pradesh had accumulated losses of Rs 24,000 crore which has now touched Rs 24,600 crore.
AP transport department official said that there are two alternatives before the government to save the RTC. Either the government will have to take it over, or the RTC will have to be handed over to a private firm.
Reliance had proposed to take all the drivers, conductors and technicians. It said that they will pay Rs 25,000 to the drivers and conductors who are getting around Rs 12,000 at present. But Reliance refused to employ the clerical and senior staff.
According to officials, there are around 70,000 RTC employees, of which drivers, conductors and technicians account for 30,000. The state government will have to offer VRS to the remaining employees.
On an average, if one employee is given Rs 10 lakh as VRS, it would amount to a total of Rs 350 crore. The amount Reliance will pay to the government will be decided at the time of signing a Memorandum of Understanding (MOU) between the two parties.
( Source : dc correspondent )
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