MSRTC issues voluntary retirement scheme for those above 50 years of age

On Tuesday, December 8, the Maharashtra State Road Transport Corporation (MSRTC) issued a circular stating that those aged above 50, both officers and general employees, can sign the "golden handshake" to avail of the voluntary retirement scheme (VRS). Moreover, the responsibility of coordination has been entrusted to the senior officials of the corporation for their approval.

The move is aimed at reducing the salary burden on the cash-strapped bus corporation. Two of MSRTC's staffers had recently committed suicide due to non-payment of salaries for three months.

The transport body’s general manager Shailendra Chavan has issued the circular and said that it would be posted on the depot and component level notice boards of the department.

However, this circular has created a big problem for more than 27,000 employees of the corporation. As it further clarified that the employees who are above 50 years of age will be traced, if they do not take VRS. It has also been stated that filling in the consent form does not mean that his voluntary retirement has been sanctioned.

Since, no proper guidelines have been given so far. As a result, the transport body employees are unaware about the policy and there are different streams of opinion among the employees about this scheme.

• Salary will be discontinued after voluntary retirement.
• Loans will not be provided by any institution.
• Since there is no pension, the savings will vanish soon
• At this age, the responsibility of home and education has to be fulfilled.

What will be included in this scheme?

• Officers, employees should have completed 50 years of age by June 30, 2021.
• There will be three months’ salary for each year worked.
• The salary includes basic salary and dearness allowance.
• Regular retirement benefits will be available as per rules.
• Free family pass scheme implemented for all employees
• The corporation will have the power to approve / deny voluntary retirement.