The management of the Kerala State Road Transport Corporation (KSTC) has said that compulsory voluntary retirement scheme (VRS) would not be implemented in the organization. Transport Minister Antony Raju too said in Palakkad that the government had not taken any decision to implement compulsory VRS. The management made it clear that it had not prepared any list of 7,200 persons for implementing the scheme for those above 50 years of age and those who have been in service for more than 20 years. At present, 1,243 employees are not reporting for duty. Many employees do not follow the requirement of having to do 16 rounds of duty a month. It is in this context that Rs. 200 crore was demanded from the government two years ago to implement VRS for them.

This was dropped after the government made it clear that the money could not be sanctioned. An order was issued to implement the furlough leave scheme by paying half the salary and giving leave. If even 2,000 persons who do not report for duty regularly make use of the furlough leave facility, Rs. 4 crore could have been saved every month on the salary outgo. However, a section of the employees conducted a vigorous campaign against the leave scheme and defeated it.

If VRS is implemented, it will be only for those who want it. The Minister said that a compulsory VRS scheme would bring a huge financial burden on the government. Each department customarily submits a report every year to the Finance department on how the funds were utilized.