Mumbai, June 23: In a significant decision benefiting nearly 86,000 employees of the Maharashtra State Road Transport Corporation (MSRTC), the Maharashtra government has approved an increase in Dearness Allowance (DA), House Rent Allowance (HRA), and annual salary increments, bringing them in line with benefits provided to state government employees.
Announcing the decision in the state legislature, Transport Minister Pratap Sarnaik said the move reflects the government’s commitment to addressing the long-pending demands of ST employees. He noted that MSRTC, popularly known as the “Red Bus,” is the lifeline of Maharashtra and that its employees have been serving passengers across the state with dedication under all circumstances.
Under the revised package, Dearness Allowance has been increased from 53 percent to 58 percent, House Rent Allowance from 8-16-24 percent to 10-20-30 percent, and the annual increment rate from 2 percent to 3 percent.
The decision will result in an additional financial burden of approximately ₹45 crore per month on the corporation. However, the government said improving employee welfare and morale remains a priority. The state has also assured efforts to clear pending dues, including arrears related to allowances and salary revisions, amounting to nearly ₹5,649 crore.
Following the announcement, employees have decided to withdraw their proposed protest scheduled for June 29. The government described the development as a victory of mutual trust between employees and the administration and reaffirmed its commitment to making MSRTC financially stronger, modern, and more passenger-friendly.
