APSRTC staff merger with government from January 1

New Act will bring happiness to 52,000 employees and their families, says Andhra Pradesh CM YS Jagan Mohan Rddy; Hails govt’s decision as historic.
For representational purposes ( File Photo | EPS)
For representational purposes ( File Photo | EPS)

VIJAYAWADA:  The long cherished dream of AP State Road Transport Corporation (APSRTC) employees to be treated on a par with those in State government sector is set to become a reality from January 1, 2020. Chief Minister YS Jagan Mohan Reddy made the announcement during a marathon discussion on a slew of Bills, including the one facilitating merger of the APSRTC with the government on Monday. The Bill was unanimously passed on the sixth day of the ongoing winter session of the Assembly. 

Explaining the reason that necessitated the new legislation, he said, “The new Act is being made as the AP Prohibition of Absorption of Employees of State Government Public Sector Undertakings Into Public Service Act, 1997 brought by Chandrababu Naidu government became an obstacle to the merger of the Corporation with the government.”

“It will bring happiness to 52,000 employees and their families. Though it will put an additional burden of `3,600 crore per annum on the State exchequer, our government has taken the historic decision,” he explained. He reminded the House that the retirement age of employees of the APSRTC, to be called hereafter public transport department, was extended to 60 years from 58. 

Introducing the Bill, Transport Minister Perni Venkataramiah (Nani) said Jagan made it possible what the previous chief minister ruled out dashing the hopes of 50,000 plus employees. True to his promise made before the elections, the CM had set the ball rolling immediately after assuming office as CM, the minister said.

‘Promise fulfilled’: Govt terms it a historic day

Explaining the timeline of the merger process, he said on July 14, Anjaneya Reddy Committee started studying the proposal and submitted its report on September 3. On September 4, State Cabinet resolved to absorb APSRTC employees into the government. On October 11, a committee of IAS officers was constituted to frame modalities for the merger. On November 1, the RTC board resolved in favour of the merger. On December 4, the committee gave its report and suggested bringing in a new Act to clear the hurdles created by the previous Act.

“Today, the promise has been fulfilled and it is a historic day,” Nani said. As per the new Bill, the APSRTC has outstanding liabilities of `6,938 crore and it is estimated that by 2021-22, the revenue from the newly created department would be `1,612 crore, which would be a net surplus of `687 crore to the government after discharging the current liabilities. On the penultimate day of the winter session, the house also passed a total 16 Bills, including the one for the creation of separate SC and ST commissions, amendments to The Andhra Pradesh Excise Act and others. The passage of the Bill saw a heated exchange of words between the treasury and opposition benches.

16 Bills passed
AP Excise (Second Amendment) Act, 2019 proposes stringent punishment ranging from six months to five years jail and a minimum fine of `2 lakh to maximum of `5 lakh for violation of the Act
The AP State Commission for Scheduled Castes Bill, 2019
The AP State Commission for Scheduled Tribes Bill, 2019
The AP Millets Board Bill, 2019

Privilege motion against Atchannaidu
During the debate on the Bill for amendments to the Excise Act, the CM said a privilege motion would be moved against TDP deputy floor leader K Atchannaidu for his ‘misleading’ statements in the House. The TDP legislator claimed that number of liquor shops had only increased in the present government

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