Telangana Chief Minister K. Chandrasekhar Rao said that Greater Hyderabad Municipal Corporation (GHMC) will be made to cross subsidise losses in the RTC to the extent of bus services within the corporation limits up to Rs. 200 crore annually.

It is known that Telangana government had announced 44 percent as salary hike to RTC employees on Wednesday. After announcing it,  KCR said that RTC is incurring Rs.400 crore of losses every year. So to minimize all these losses, a cross subsidy by the GHMC, special grant of the government in the annual budget and saving of interest of Rs. 189 crore on outstanding loan by improving efficiency were some of the measures contemplated by the Telangana government.
Centre's 33% equity to RTC?

KCR further opined that the central government did not play any role regarding the welfare of RTC, instead it took dividend from the state government when it made profits, but did not share losses. So TRS government will now ask the centre to divest its equity of 33 per cent in RTC and 49 per cent in Singareni Collieries.

Contract employees to be regularised

On the other side, he announced that the corporation would work as two entities as the contract staff of 4300 members would be regularised from Thursday. From June, all such employees would be paid salaries on par with regular employees.
The outsourcing employees will not avail the regularisation  facility. But the contract workers in other departments and corporations would also be regularised as soon as the Kamalanathan Committee divides State-level posts of officers and employees, Telangana CM assured.

By Phani