The financial situation of Himachal Road Transport Corporation (HRTC) is about to worsen significantly. The salaries and pensions of HRTC employees and retirees are currently funded through government-provided grants-in-aid. However, the budget allocated by the government for HRTC this year is nearly depleted. Next month, the corporation is set to receive only ₹55 crore, which will be its last installment for the year. Although the government could approve additional grants, the current reality is that only ₹55 crore remains. If this amount is used to pay employees' salaries, there will be nothing left for pensions.
According to sources, the government typically provides HRTC with an annual grant of ₹720 crore, known as the grant-in-aid. This year, however, the government allocated only ₹367 crore for the corporation. Out of this, ₹312 crore has already been released, leaving just ₹55 crore remaining.
Challenges Ahead for HRTC
The corporation faces a significant challenge in managing its operations moving forward. While HRTC has been steadily increasing its monthly revenue by ₹10 to ₹15 crore, this additional income is still insufficient to sustain the organization. Recently, HRTC raised the rates for school bus passes and the cost of concession cards for the public. Additionally, a major decision to discontinue police personnel services was considered, but the government has yet to issue an official order. It's expected that this matter will be revisited in an upcoming Cabinet meeting, where a new decision may be made, potentially benefiting the corporation significantly.
Suggestions for Major Decisions
Sources indicate that HRTC has proposed several major decisions to the government, but none have been implemented so far. With the corporation's financial situation deteriorating and limited support from the government, the outlook is grim. If the government does not increase the grant-in-aid, HRTC may struggle to pay its employees' salaries next month, worsening the situation further. Moreover, the corporation has been unable to provide its employees with various financial benefits. For instance, drivers and conductors have not received their night overtime pay for the past 50 months, and arrears and dearness allowance (DA) are still pending. An upcoming Joint Consultative Committee (JCC) meeting will address these issues, and employees may plan a protest strategy.
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