The state government has announced a 53% Dearness Allowance (DA) on the basic salary for employees of the Maharashtra State Road Transport Corporation (MSRTC), up from the current 46%. The revised DA will be applicable from the June 2025 salary.
Additionally, the government has introduced a ₹1 crore accident insurance coverage for MSRTC employees and extended the free travel pass facility for retired employees and their spouses from 9 months to a full year.
The announcements were made during a meeting with representatives of various MSRTC employee unions at Sahyadri Guest House. The meeting was convened by Deputy Chief Minister Eknath Shinde. Transport Minister Pratap Sarnaik, MLA Sadabhau Khot, former MP Anandrao Adsul, Captain Abhijeet Adsul, Additional Chief Secretary of the Transport Department Sanjay Sethi, MSRTC Vice-Chairman Madhav Kusekar, and other union leaders were also present.
Deputy CM Shinde emphasized the need for improved and reliable transport services through MSRTC buses, which serve as a lifeline for common citizens. He underlined the importance of cleanliness in buses, depots, restrooms, and waiting areas. He also encouraged the introduction of cargo services through MSRTC and proposed transforming bus depots into modern bus ports to enhance the corporation’s financial viability. “We need to change the way we look at MSRTC,” he said.
Union representatives raised various demands during the meeting, including increasing revenue and reducing fuel costs. The DA increase to 53% will begin with the June 2025 salary. A decision regarding the pending DA arrears will be taken based on fund availability, Shinde stated.
Employees will also be allowed to choose between two healthcare schemes — the Mahatma Phule Jan Arogya Yojana or the Dharmaveer Anand Dighe Medical Reimbursement Scheme. Under a joint initiative of the Mahatma Jyotirao Phule Jan Arogya Yojana and Ayushman Bharat PM-JAY, employees will be eligible for up to ₹5 lakh in cashless medical treatment.
Moreover, a memorandum of understanding has been signed with the State Bank of India (SBI) to provide accident insurance coverage. Employees with salary accounts in SBI will be covered both on and off duty. The insurance includes ₹1 crore for accidental death or full disability, and up to ₹80 lakh for partial disability.
Deputy CM Shinde also announced that around 35,000 retired employees and their spouses will benefit from the revised provision of a one-year free travel pass in MSRTC buses.
