Hyderabad: The state government is likely to announce a Voluntary Retirement Scheme (VRS) for Road Transport Corporation employees to remove around 20, 000 workers.
The state cabinet, which will meet at 2 pm on Friday, will take the final call on VRS as well as other issues, said government officials.
Chief Minister K. Chandrasekhar Rao, who is keen on privatising at least 50 per cent of bus routes, held a series of reviews with transport and legal experts on the issue of privatising the RTC routes.
He also held a review with the transport department, RTC and police officials in view of the RTC workers’ decision to resume work and also the decision of the RTC management not to allow them to do so.
Sources said that the Chief Minister is of the opinion that in view of the High Court’s order paving the way for privatisation of 5,100 RTC routes there would not be any hurdle for granting the permits to the private stage carriers.
According to sources, RTC may not need 48,000 employees to run 10,400 buses in the state after the government privatises 5,100 bus routes. So it is planning to reduce the work force by offering them VRS.
The sources claimed that the CM is also examining the possibility of accommodating the RTC workers, who opt for VRS, in some other departments on contract basis so that they would not lose their livelihood.
Sources said the Chief Minister is also looking at the option of removing the workers if they don’t accept VRS.
The Chief Minister, according to the sources, wants to give loss-making routes such as Palle Velugu to private operator as he believes that they can make them profitable.
According sources, the Chief Minister has also instructed the authorities to work out modalities to regulate and fix the fares of private buses by setting up a fare regulating authority which would work under the Road Transport Authority (RTA).
