Voluntary Retirement Scheme – Proposal for Improved Voluntary Retirement Scheme for Inland Water Transport Corporation Limited…
The Union Cabinet chaired by the Prime Minister, Shri Narendra Modi, today gave its approval for an improved Voluntary Retirement Scheme (VRS) for the employees of Central Inland Water Transport Corporation Limited (CIWTC) and disinvestment of CIWTC thereafter. The VRS currently in vogue in CIWTC is under the existing Central DA 1996/ Industrial DA 1997 is not attractive to employees and therefore does not evince much interest from the existing workforce of CIWTC.
The VRS benefit would be computed on 2006 pay scale for the employees covered under Central DA. For other category of employees, it would be based on 2007 Industrial DA linked pay scale. The improved VRS scheme would be opened for a period of three months from the date of its offer with a provision of extension by another one month. Necessary Grant-in-Aid from Government of India under Non-Plan would be given for this purpose.
Implementation of the improved VRS package would offer a better severance package to the employees of CIWTC. This would improve the prospects of finding an investor to either take over the assets or ensure viable commercial use of assets.