Delhi Metro slashes employee perks and allowances by 50%

With operations being suspended ever since the lockdown, no revenue has been generated and DMRC has suffered losses.

0
1371

Since the lockdown, train operations have remained shut completely. Not surprisingly, the Delhi Metro Rail Corporation (DMRC) has suffered losses and has finally decided to slash the perks and allowance of its employees by 50 per cent, effective from August 2020, as per an order released on August 18.

The order mentions that DMRC has suffered a financial setback of Rs 1,500 crore since March 22, 2020 and that there is no clarity as to when the metro will resume operations. Therefore, DMRC’s 14,500-strong workforce, will no longer receive allowances and perks at the rate of 15.75 per cent of their basic pay.

With no revenue being generated owing to suspension of services, and income from non-ticketing sources also dwindling, the Company has decided not to sanction any fresh advances for buildings, laptops or other purposes until normalcy is restored.

However, the advances which have already been sanctioned shall continue to be disbursed as and when a demand is received.

After the Union Housing and Urban Affairs (HUA) ministry had asked DMRC to approach the Delhi government for financial assistance last month, it had written to the Centre, requesting it to defer repayment of its loan to next year.

The rail corporation had taken a soft loan of Rs 35,198 crore for construction work from Japan International Cooperation Agency (JICA), out of which, it has repaid Rs 3,337 crore.

Comment on the Article

Please enter your comment!
Please enter your name here

17 + fourteen =