Kerala: KSRTC salary crisis nears end, Minister Ganesh Kumar assures payment on 1st of every month

Thiruvananthapuram: The salary crisis at KSRTC (Kerala State Road Transport Corporation) is finally coming to an end as Minister KB Ganesh Kumar announced that from now on, salaries will be disbursed on the first of every month. The salary for the last month will be distributed from this evening.

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The government has played a crucial role in resolving this issue, having provided around Rs 10,000 crore in various phases and committing to a continued monthly support of Rs 50 crore. This milestone is part of a larger effort to reduce costs within KSRTC.

To manage the current financial shortfall, a Rs 100 crore overdraft will be taken from the State Bank of India (SBI). This overdraft will be repaid when the government provides its monthly contribution of Rs 50 crore in two installments. The remaining funds will come from KSRTC's income and further cost reductions. The overdraft is expected to be cleared within 20 days.

In addition to salaries, pension payments will also be made on time. A portion of KSRTC's income, 5%, will be set aside for pension contributions, ensuring proper pension distribution within the next two months. Furthermore, provident fund (PF) benefits will be provided accurately and promptly.

The Chief Minister had tasked the government with ensuring that employees receive their salaries collectively. Finance Minister's support has been instrumental in achieving this. To streamline operations, 148 KSRTC accounts have been closed, leaving only one overdraft account in operation.

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