The Tamil Nadu government has finalized the long-awaited 15th wage agreement for employees of all eight State Transport Corporations. The announcement was made by Transport Minister S.S. Sivasankar after concluding talks with various trade unions under Section 12(3) of the Industrial Disputes Act.This agreement will benefit over 1.09 lakh workers, including drivers, conductors, technical staff, and office employees. A 6% hike in basic pay will be implemented from September 1, 2023. Arrears will be paid in four installments starting from September 2024.
With this move, employees are expected to receive an additional monthly income between ā¹1,420 and ā¹6,460. The total additional cost to the government includes ā¹319.50 crore in arrears and ā¹40.26 crore in monthly salary expenses.
Of the 86 trade unions involved in the negotiations, 64 signed the agreement, including the Labour Progressive Federation (LPF), Indian National Trade Union Congress (INTUC), and Hind Mazdoor Sabha (HMS).
However, some unions like the Centre of Indian Trade Unions (CITU), All India Trade Union Congress (AITUC), and Anna Thozhirsanga Peravai opposed the agreement. They demanded that arrears be paid from September 2023 instead of next year and also raised other issues including better allowances and pension benefits.
CITU leader A. Soundararajan claimed workers suffered a loss of ā¹500 crore due to the delay and said further steps would be discussed soon.