The Maharashtra government has approved a 5% Dearness Allowance (DA) hike for MSRTC employees. With this revision, their DA has increased from 53% to 58% of basic salary, bringing them in line with other state government staff.
The state's Transport Minister said the 5% DA increase will cost the corporation an extra ₹13.75 crore. On top of that, clearing the pending House Rent Allowance (HRA) arrears will cost another ₹100 crore.
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MSRTC is one of India's biggest state-run transport bodies. It has a massive fleet of over 15,000 buses and more than 86,000 employees, serving over 55 lakh passengers every day, despite facing a financial crunch.
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Minister Pratap Sarnaik held a meeting with leaders from the Joint Action Committee (JAC) of employee unions. The committee, called the 'Maharashtra State Transport Kamgar Sanghatana Kruti Samiti', put forward their demands.
After the meeting, Sarnaik confirmed the state government will pay the long-pending HRA arrears of ₹100 crore. He urged the unions to call off their protest, saying, "I sincerely request that passengers should not face any trouble."
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But the JAC is standing firm. They have warned that if the pending DA arrears are not paid by the end of June, they will go ahead with their planned 'Chakka Jam' or transport strike. Union leader Shrirang Barge said they were disappointed as the minister gave no firm promise on the arrears.
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During the meeting, the minister directed the administration to ensure that any future DA or salary hikes are immediately passed on to the ST corporation staff. Sarnaik also promised to arrange a meeting for the unions with the Chief Minister and both Deputy Chief Ministers.