The private transport industry will not be able to pay salaries to employees for the next two months and needs government support to tide over the situation, A. Afzal, president Tamil Nadu Omni Bus Owners Association said.
“Till mid-March the collections were coming and we had funds to pay the salaries. But now that operations have come to a standstill, it would be difficult to pay salaries. We have to retain employees and they won’t come back if we don’t pay salaries,” he said.
The government has funds in the form of pension, provident fund and employee benefit funds which can be released to registered transport operators to enable payment of salaries, Mr. Afzal who is also General secretary of Bus and Car Operators Confederation of India said.
He pointed out there are 26 lakh passenger transport vehicles across India, out of which 15 lakh is buses and big vehicles and remaining is tourist cabs. The sector provides 6 crore direct employment.
Mr. Afzal also said the Centre has to direct banks to provide six months moratorium on loans without interest and the current three months provided with interest accumulation will add to costs. He said another important thing needed for the industry is capital infusion to quickly restart operations once the lockdown ends, which can be enabled through banks.
Mr. Afzal also urged the State government to defer road tax by six months and also insurance for vehicles for the period till it remains idle. He also called upon the State to bring out comprehensive steps to promote domestic tourism, as international tourism would not happen for at least next six months.
