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92 CHAPTER 3 PROFILE OF ORGANISATIONAL CHARACTERISTICS AND HRM PRACTICES (KSRTC) 3.1 Introduction This chapter details the profile of the Karnataka State Road Transport Corporation (KSRTC) ie., the organization for the present study and further outlines their current human resource management practices. PROFILE OF KARNATAKA STATE ROAD TRANSPORT CORPORATION 3.1.1 Road Transport Availability of adequate, safe and comfortable Passenger Transport Facility is a very important index of economic development of any country. Public Transport provides the vital connectivity to far flung areas in a developing society. The Karnataka State Road Transport Corporation (KSRTC) was established in August, 1961 under the provisions of Road Transport Corporation Act 1950 with the objective of providing “adequate, efficient, economic and properly coordinated road transport services”. In this endeavor, the KSRTC has positioned itself with a name for reliability and safety. Three corporations viz., Bangalore Metropolitan Transport Corporation (BMTC), Bangalore was established from 15-08-1997, North West Karnataka State Road Transport Corporation (NWKSRTC), Hubli was established from 01-11-1997

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CHAPTER 3

PROFILE OF ORGANISATIONAL CHARACTERISTICS

AND HRM PRACTICES (KSRTC)

3.1 Introduction

This chapter details the profile of the Karnataka State Road Transport

Corporation (KSRTC) ie., the organization for the present study and further outlines

their current human resource management practices.

PROFILE OF KARNATAKA STATE ROAD TRANSPORT

CORPORATION

3.1.1 Road Transport

Availability of adequate, safe and comfortable Passenger Transport Facility is

a very important index of economic development of any country. Public Transport

provides the vital connectivity to far flung areas in a developing society. The

Karnataka State Road Transport Corporation (KSRTC) was established in August,

1961 under the provisions of Road Transport Corporation Act 1950 with the objective

of providing “adequate, efficient, economic and properly coordinated road transport

services”.

In this endeavor, the KSRTC has positioned itself with a name for reliability

and safety. Three corporations viz., Bangalore Metropolitan Transport Corporation

(BMTC), Bangalore was established from 15-08-1997, North West Karnataka State

Road Transport Corporation (NWKSRTC), Hubli was established from 01-11-1997

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and North East Karnataka State Road Transport Corporation (NEKSRTC), Gulburga

was established from 01-10-2000. These corporations were carved out, on a regional

basis and KSRTC is doing interstate operations and also covering Southern

Karnataka. Karnataka State Road Transport Corporation continues to coordinate the

matters like, Cadre Management of Supervisory Levels, Major Purchases and

Integrated Traffic Management and Operations for the other Corporations.

3.2 Services and Facilities Offered to Passengers by KSRTC

KSRTC has attracted passengers by adopting the measures like, providing

freedom passes and seasonal passes, offering 10 per cent discount on return journey

fare when they book both onward and return journey tickets simultaneously, 5 per

cent concession for group travel facility in fare, when there are more than 4

passengers, providing Grameena Sarige through introduction of new buses to villages

and also operating casual contracts. The following concessions are provided by

KSRTC

Concessions to Legislators and others offered in KSRTC

MLA Free travel allowed in all classes of services,

Ex-MLA Free travel is allowed in all class of services along with one

companion,

Journalist Free travel is allowed for journalist with accreditation

card within city limits (city buses) and

Senior Citizen (age 65 and above)

25 per cent concession is allowed in Rajahamsa and below

class of bus services.

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Concessions Passes of KSRTC

Student Concession Passes

These passes are provided at 75 per cent to 80 per cent

concession on normal fare is given,

Freedom Fighter

Free travel is allowed in Rajahamsa and below class of services

and for freedom fighters of above 75 years of age; one

companion will also be allowed for free travel,

Blind Passes

Free travel is allowed within the state in ordinary and express

class of services and

Physically Handicapped

By a payment of `250 per year they are allowed to travel

within 100 km radius from their residential place in ordinary /

express services.

Concessional Schemes for General Public in KSRTC

Monthly passes

Monthly passes are made available for travelling in express and

below class of services (up to 50 per cent discount is allowed

on actual fare).

Weekly freedom tickets

Public will be given weekly freedom ticket to travel without

kilometer restrictions (conditions apply) for one week,

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Daily pass (Mysore City) of `25 allows passengers to travel

without distance limit (conditions apply) for one day in Mysore

city services and Suvarna Karnataka tickets will be issued to

travel without kilometer restrictions within the state for 3 days /

4 days (conditions apply).

Computerized Passenger Reservation Services

KSRTC is the first State Transport Undertaking to introduce

Computerized Passenger Seat Reservation System for

passengers

Electronic Ticketing Machines (ETMs)

KSRTC has deployed Electronic Ticketing Machines (ETMs)

on its routes. These ETMs are first of their kind in the nation

as they are programmed for capturing km., inspection details

etc. The ETMs are very much liked by the conductors as they

are finding their job easy.

Computerization Pay roll and PF and Financials

KSRTC has computerised Pay roll and PF of all its employees

across the state and provided E-mail facilities to all of

its depots, divisions and other units for sending information‟s

electronically. KSRTC is the first Corporation to have

implemented ERP Oracle Financials.

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3.3 Segmented Passenger Products and Characteristics of services

offered in KSRTC

Table 3.1 Classification of Schedules

Sl.No. Class of Service Number of Schedules

as on 31-10-2008

1 Ordinary 2388

2 Express 2837

3 Semi Deluxe 49

4 Ultra Deluxe 317

5 Mayura 0

6 Sheetal A/C 24

7 Meghadooth 11

8 Corona 4

9 Volvo 186

10 City 185

11 Suburban 72

12 City Volvo 5

Total 6078

Source: KSRTC Annual Administration Report

Note : KSRTC is serving 96 per cent of the villages in monopoly area (7529 out of 7824) and

46 per cent in non-monopoly area (5,616 out of 12,166) with transport facility.

Range of Services offered by KSRTC, Bangalore in variety of products like

Airavat Volvo (Semi Sleeper and Executive Services), Meghadoot AC (Sleeper and

Executive services), Mayura AC (Semi Sleeper and Executive services), Rajahamsa

(Semi Sleeper and Executive), Semi Deluxe services, Sheetal AC (Karnataka Sarige

Ac services), Karnataka Sarige (Branded and regular services), Mofussil (Express and

Ordinary services), Minibuses, City and Suburban services.

Airavat Services Buses are high comfort Air-conditioned buses with video and

audio facility. Tinted, laminated and big size window glasses, window curtains,

laminated single windshield glass for better view, very low noise level inside the

coach, luxurious and comfortable reclining seats, attractive interiors and exteriors and

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adequate luggage space. Semi sleeper type buses in this category are also in operation

with seats with calf support for better comfort.

Meghadoot and Mayura service provides fully Air-conditioned buses, Air

suspension for better travel comfort, Video and Audio facility, Tinted laminated and

big size window glasses, Laminated single windshield glass for better view, Reduced

noise level inside the coach, Luxurious and comfortable reclining seats, Attractive

interiors and exteriors, Attractive glass cabin partition, Semi Sleeper buses in this

category have seats with calf support, Sleeper buses with wide berths for comfortable

journey are also in operation covering one destination at present.

Rajahamsa Executive services have Audio facility, Laminated single

windshield glass for better view, reduced noise level inside the coach, Luxurious and

comfortable reclining seats with comfortable leg space and Attractive interiors and

exteriors.

Sheetal AC services include fully air-conditioned buses with 3+2 seat layout

and high back seats, Air suspension for better travel comfort, Tinted laminated

window glasses, Laminated single windshield glass for better view, Attractive

interiors and exteriors and Attractive glass cabin partition.

Karnataka Sarige services have attractive interiors and exteriors, 3+2 seat lay

out, comfortable leg space, comfortable high back seats, Separate luggage cabin and

single windshield glass.

Minibuses and Grameena Saarige buses are introduced in rural areas where

road is narrow and to provide connectivity.

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Facilities Provided to Commuters

Pickup / Drop Services

The Corporation is operating long distance services from / to various

extension areas of Bangalore, Mysore and Mangalore as detailed below,

At Bangalore city

Pick up : Jayanagar 9th Block East, J.P.Nagar 6th Phase,

Padmanabhanagar, Koramangala, Katriguppe, Jayanagar 5th Block,

Jalahalli Cross (NH-4), KMF(Hosur Road), Bidadi Bus stand,

Vijayanagar and Indiranagar.

Drop : Koramangala, Vijayanagar, Padmanabhanagar, Indiranagar,

Jayanagar 9th East, JPNagar 6th Phase.

At Mysore city

Pick up : Kuvempunagar Complex, Housing Board, Hebbal,

Srirampura, Vivekananda Circle, Saraswathipuram and JP Nagar.

Drop: Housing Board, Hebbal, Srirampura, Vivekananda Circle,

Saraswathipuram and JP Nagar.

At Mangalore city

Pick up : Thokkottu, Deralakatte, Asaigoli, Konaje, Prabhath,

Mangaladevi, Attavara, Marnamikatte, Kavoor.

Drop : Konaje, Asaigoli, Deralakatte, Thokkottu.

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Reservation of seats for lady passengers

Two seats (seat Number 11 and 12) are reserved in Semi Deluxe and higher

classes of services for lady passengers travelling single. In Mofussil buses, nine seats

and fourteen seats in City/Suburban services are reserved for lady passengers.

Reservation of seats for physically handicapped persons

Two seats are reserved near passenger door in Mofussil and City/ Suburban

services.

Free Travel in City limits

Advance reservation ticket holders are permitted to travel free of cost to

Central bus stands in Bangalore / Mysore / Mangalore, two hours before departure

time of service with seat reservation in City and Suburban services operated in

Bangalore / Mysore and other cities, and Mofussil buses going towards Kempegowda

Bus Station in Bangalore City and Suburban limits.

Special services

Extra services to pilgrimage / tourist places are operated during festivals,

summer vacation, other fairs / festivals, weekends and holidays depending on

passenger demand.

Passenger Amenities at bus stands

Refreshment rooms, drinking water facility, sitting arrangements, display of

timetables, enquiry counters, pass issue counters, advance booking counters, luggage

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booking counters, separate toilets, parking stands, CCTV, book stalls, fruit stalls,

telephone booths, etc., are provided at bus stands.

3.4 Milestone Achievements of KSRTC

The following table indicates the various recognitions and milestone

achievements of KSRTC.

Table 3.2 Recognitions and Milestone Achievements of KSRTC during the

period of 2000 – 2008

Sl.No. Date Description

1 07-02-2000 Union Transport Ministers Trophy for lowest accident record during the period,

1996-1999.

2 05-06-2002 Parisara Award 2001 by State Government.

3 02-09-2002 Safety Award for 2001-02 by the Chartered Institute of Logistics and

Transport, India.

4 07-09-2000

(2nd

time)

Union Transport Ministers Trophy for lowest accident record during the period,

1997-2000.

5 15-11-2002

U.K. based Prince Michael International Road Safety Award and Institute of

Road Traffic Education (IRTE) Award 2002 for its contribution in building a

positive road culture through safety attitudes and practices and towards

reduction of Road accidents in India.

6 31-01-2002

National Fuel Award for the year 2001-02 for the best KMPL and outstanding

contribution to the cause of Petroleum product from the Petroleum

Conservation Research Association, Ministry of Petroleum and Natural Gas,

Government of India.

7 16-02-2003

Golden Peacock Innovation Management “Runners Up” Award, 2002 in

recognition of initiatives on Innovations focused on the Areas of Management,

Technology, Customer and Human Relations by the Institute of Directors,

India.

8 13-06-2003 Golden Peacock International “Winner” Award, 2003 for Environment

Management.

9 01-07-2003

(3rd

time)

Union Transport Ministers Trophy for lowest accident record during the period,

1998-2001.

10 30-01-2004

(2nd

time)

National Fuel Award for the year 2002-03 for the best improvement in KMPL

from the Petroleum Conservation Research Association, Ministry of Petroleum

and Natural Gas, Government of India.

11 11-06-2004

(2nd

time)

Golden Peacock Eco Innovation Award, 2004 in recognition of the innovative

efforts on the use of bio-fuel, fitment of diesel particulate filters and induction

of alternative fuels to the buses.

12 24-01-2006

Transport Ministers trophy for 2004-05, Runner up under “Mofussil category”

in achieving lowest accident rate amongst all State Road Transport

Undertakings during 2003-04. A cash prize of Rs. 50,000 and a trophy

13 05-12-2008

KSRTC has bagged Excellency Award for implementing Electronic Ticket

issuing machine first of its kind in the country at Mysore City. The award has

been awarded by Sri. Ajay Maken, Minister of State for Ministry of Urban

Development, Government of India to Sri. Gaurav Guptha I.A.S., Managing

Director, KSRTC, Bangalore at New Delhi on 05-12-2008. Source: KSRTC Annual Administration Report

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Recognition is the importance source of motivation to the corporation and in

turn to their staff. The recent developments in the services of KSRTC are recognized

and motivated by many authorities and institution. This shows that the growth of

organisation has been good in the past decade; Safety, Lowest Accident Record, Kilo

Meter Per Liter, Innovation, Environmentally friendly set up, application of bio-fuel,

modernization and Electronic Ticketing Machine are few issues highly appreciated by

many authorities and passengers.

3.5 Implementation of Information Technology at KSRTC,

Bangalore

KSRTC has reached the following milestones in the area of Information

Technology:

1) It is the first PSU in Karnataka to have a well-structured and cabled Local

Area Networking at its Corporate Office connecting more than 180

computers in the year 1997.

2) It is the first STU in India to have its Web Site during the year 1997.

3) It was the first PSU to have Smart Card Based Attendance Monitoring

System (SCBAMS) in the year 1997, which was subsequently done by

Government of Karnataka at Vidhana Soudha and M.S. Building.

4) KSRTC is the first STU to have E-tendering implemented in India.

5) KSRTC is the first STU in India to have implemented Oracle Financials.

6) KSRTC is the first STU in India to deploy Electronic Ticketing Machines

on all of its routes.

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7) KSRTC is the first and leading State Transport Undertaking in the country

to adopt Information Technology in its administrative and operational

processes.

3.6 Personnel Staff Ratio of KSRTC Approved by the Government

The present staff ratio of KSRTC approved by the Government as per

schedule for different category of employees like Driver (1.642), Conductor (1.618),

Driver cum Conductor (0.375), Mechanical Staff (1.040), Officers (0.061), Traffic

Supervisory (0.241) and Others (0.590). This depicts that the Drivers and conductors

are the mostly required for basic bus service operations as they are the key source and

front line players for transportation.

Table 3.3 Year wise Working Staff Ratio

Sl. No. Year Staff Ratio

1 1961-70 9.672

2 1971-80 9.124

3 1981-90 7.437

4 1991-97 6.413

5 1998 6.69

6 1999 6.65

7 2000 6.35

8 2001 5.92

9 2002 5.84

10 2003 5.77

11 2004 5.41

12 2005 4.99

13 2006 4.98

14 2007 4.79

15 2008 4.66 Source : KSRTC Annual Administration Report

The Table 3.3 illustrates the year wise working staff ratio. In early stages, the

staff ratio was very high and recent period it is very less. It shows that the

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mechanization of transport industry attracts less human resources. KSRTC is rapidly

mechanizing the transport operations among all STUs in India.

3.7 Financial Performance of KSRTC

Table 3.4 Financial Performance of KSRTC, Bangalore for the period

2004 – 2005 to 2008 -2009

Parameters 2004-05 2005-06 2006-07 2007- 08 2008-09

Revenue (` in lakh)

a) Traffic Revenue 79899.2 98911.6 117398.7 132009.9 142950.5

b) Other Rev. (Incl. Subsidy) 9646.9 9657.4 9781.2 12800.9 20982.3

c) Gross Revenue 89546.1 108568.9 127179.9 144810.9 163935.8

Traffic rev./ day 218.3 270.9 321.6 360.7 391.7

Cost of Operation 86882.9 105891.1 123790.1 140756.7 158165.2

Margin (` in lakh)

a) On Traffic Revenue -6983.6 -6979.6 -6391.5 -8746.7 -15211.8

b) On Gross Revenue 2663.3 2677.9 3389.8 4054.2 5770.5

Earning per kilo meter (in paise)

a) On Traffic Revenue 1375.3 1547.4 1700.4 1737.4 1763.9

b) On Gross Revenue 1541.3 1698.5 1842.0 1905.9 2022.8

Distribution of Cost per kilo meter (in paise)

1. Staff 507.6 467.3 487.1 533.4 530.2

2. Fuel (Diesel) 524.1 650.2 718.0 701.8 786.5

3. Lubricants 7.6 7.9 10.2 11.2 12.0

4. Auto spare parts 17.4 19.7 21.0 21.7 27.5

5. Tyres and tubes 47.5 54.2 68.6 71.1 78.2

6. Batteries and electrical items 1.5 1.5 2.1 2.9 3.0

7. Other consumables 8.9 10.6 16.4 18.9 18.8

8. Reconditioning 11.0 18.6 21.8 22.3 32.7

9. M.V Tax 106.2 119.4 131.6 133.3 110.8

10. Interest 22.6 20.7 26.6 32.9 39.1

11. Depreciation (Vehicle and

other assets) 138.7 167.0 180.2 187.7 200.0

12. Micelaneous and others 82.7 94.8 101.7 145.5 113.8

13. Private hired charges 1030.9 1127.1 1318.4 412.9 260.6

CPKM 1495.5 1656.6 1792.9 1852.5 1951.6

Margin on Traffic revenue -120.2 -109.2 -92.6 -115.1 -187.7

Margin on Gross revenue 45.8 41.9 49.1 53.4 71.2 Source: KSRTC Annual Account Report

The Table 3.4 examines the financial performance of KSRTC for the period of

2004-2005 to 2008-2009. The financial performance of in terms of revenue is

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growing and the KMPL is coming down, which is a positive sign for growth of

KSRTC. But, CPKL is growing because of increase in petroleum prices and other

costs. Hence, the organization has to concentrate in this area specially to improve the

long run productivity.

3.8 Operational Highlights of KSRTC

Table 3.5 Operational Highlights of KSRTC, Bangalore

for the Period 2004 -05 to 2008 – 2009

Parameters 2004-05 2005-06 2006-07 2007- 08 2008-09

No. of Routes 4608 4811 5335 5351 5040

Route km (in lakh) 3.98 4.08 4.66 4.75 5.11

Expected revenue (in `) 11304044.9 14417701.2 16730617.3 18277081.4 201877.4

Actual revenue (in `) 79899.2 98911.6 117398.7 132009.9 142953.5

Load factor (in %) 70.7 68.6 70.2 72.2 70.8

Passenger km. offered

(in crore) 3241.8 3515.7 3776.7 4125.8 4295.3

Passenger km.

performed (in crore) 2291.4 2411.9 2650.1 2979.9 3041.6

Average seating capacity 55.8 55.0 54.7 54.3 53.0

Average fare (in `) 34.9 41.0 44.3 44.3 48.1

Cancellation (in %) 1.0 1.3 3.5 3.7 3.0

Effective km. ( in lakh) 5445.9 6072.6 6823.9 7539.3 8013.0 Source: KSRTC Annual Account Report

The Table 3.5 examines the operational performance of KSRTC for the period

of 2004 -2005 to 2008-2009. The operational performance of in terms of number of

Routes, Actual revenue, Load factor, Average seating capacity and Average fare is

growing sequentially. But, public sector transport organization is a service oriented

unit, so KSRTC can concentrate to improve their service with less system bus fare.

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3.9 Services Performance of KSRTC

Table 3.6 Services Performance of KSRTC, Bangalore for the period

2004 – 2005 to 2008 -2009

Parameters 2004-05 2005-06 2006-07 2007- 08 2008-09

Eff. Km./day (in lakh) 15.9 17.5 18.9 20.8 22.2

Vehicle Utilisation (in km) 367 362 362 365 364

Fleet Utilisation (in %) 95.3 94.4 92.6 91.1 90.0

KMPL (km per liter) 5.3 5.1 5.1 5.0 4.9 Tyre Life (in km.)

a) New tyre life 42166 43911 44096 43612 45571

b) Retreaded tyre life 26535 24826 23607 23719 23489

c) Total tyre life 141774 125062 120891 113904 113484

Passangars carried / day ( in lakh) 16.0 18.8 22.8 24.4 24.5

Staff held 24989 24866 27255 27505 32100 Staff Ratio

On schedules operated 5.4 4.9 4.9 4.8 5.17

Man power produtivity (in km.) 63.7 70.4 69.4 75.5 69.2

No. of Break-down 2604 3762 5193 6986 6316

Rate of Break down/ 10000 km. 0.05 0.06 0.08 0.09 0.08

No. of Accidents 933 1122 1125 1400 1393

Rate of Accident/ one lakh km. 0.17 0.18 0.16 0.18 0.17 Source: KSRTC Annual Account Report

The Table 3.6 depicts the service performance of KSRTC for the period of

2004 -2005 to 2008-2009. The service performance in terms of effective utilization of

kilometer per day is gradually reaching the top. But the fleet utilization of the vehicle

has come down. This may be because of poor road and congested traffic facilities. So

KSRTC can concentrate use more fleet and improve its utilization.

3.10 Other Parametrics of Performance

Table 3.7 Other General Parametric Data for the Period

2004 - 2005 to 2008 – 2009

Parameters 2004-05 2005-06 2006-07 2007- 08 2008-09

Divisions 10 11 13 13 13

Number of depots 50 56 59 60 63

Number of bus stations 107 110 112 119 120

Schedules 4615 4984 5478 5737 6202

New vehicles added 1046 1190 1263 1660 995

Vehicles scrapped 476 516 521 837 710

Vehicles held 4728 5215 5935 6664 6816 Source: KSRTC Annual Account Report

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The Table 3.7 clears the miscellaneous parameters of the corporation. Number

of divisions has not increased in the recent period and growth of bus stations and

depots also maintained with less improvement. To increase the service and

decentralization activities the corporation can go for new Bus depot and they can

increase the number of buses.

3.11 Development Works Undertaken by KSRTC

Karnataka State Road Transport Corporation has initiated the major

development of transport infrastructure in its jurisdiction for upgradation and other

transport infrastructure projects have been taken up for Bus Depots, Bus Stations and

Divisional Workshops.

a) Completed Works

Completed the construction of Bus Depots at Ramanagar (`85.00 lakh),

Magadi (`149.19 lakh) and Bus Stations at Vittla (`25.95 lakh), Sulya (`60.00 lakh),

Gudibande (`48.36 lakh), Mandikal (`24.76 lakh) and Bangarpet (`72.72 lakh).

b) Ongoing Works

Construction of Bus Depots works were going on in Pavagada (`114.05 lakh),

Tiptur (`100.00 lakh), Bhadravathi (`109.77 lakh), Sagara (`102.51 lakh), K.R. Pet

(`115.57 lakh), Nanjanagud (`143.94 lakh), Sathagally (`156.15 lakh) and

Pandavapura (`179.14 lakh).

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i) Construction of Bus Stations

Construction of Bus Stations works going on in Turuvekere (`115.42 lakh),

Melukote (`25.00 lakh), Bannnur (`59.67 lakh), Halagur (`55.64 lakh),

Belakawadi (`35.64 lakh) and Terekanambi (`30.51 lakh).

ii) Upgradation of Bus stations

Upgradation of Bus Stations are also being done at Saligrama (`78.07 lakh),

MM Hills (`47.54 lakh), Doddamaralavadi (`38.11 lakh), Hiriyur (`130.00

lakh), Sira (`44.45 lakh), Mercara (`101.98 lakh), Malavalli (`94.00 lakh) and

Madhugiri (`71.00 lakh).

iii) Miscellaneous works

Some Miscellaneous Works is also being carried by KSRTC at Driver‟s

Training Institute at Hassan (`400.00 lakh), Concreting the PA of depot at

Harohalli (`123.00 lakh), Concreting the PA of depot at MCTC, Mysore

road (`98.00 lakh) and Concreting the PA of bus station at CR Patna (`63.45

lakh).

iv) Works under Tendered Process

KSRTC has tendered the following works Shimoga Bus Station (`1500.00

lakh), Shimoga Bus Depot, Millaghatta (`206.00 lakh), Soraba Bus Station

(`110.00 lakh), Shanthinagar depot number 3 (`150.00 lakh), Shanthinagar

depot number 4 (`150.00 lakh), Nelamangala depot (`99.30 lakh),

Harapanahalli depot (`148.00 lakh), BC Road depot (`150.00 lakh,

Upgradation of Kottegehara bus station (`66.00 lakh), Upgradation of

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Chamarajanagar depot (`110.00 lakh), Concreting balance PA at Haroralli

depot (`73.00 lakh) and Ujire bus station (`10.00 lakh).

KSRTC has also initiated to train its drivers in a scientific methodology and

state of art Driving Training Institute has been constructed at Hassan which is

ready for inauguration.

c) JNNURM (Jawaharlal Nehru National Urban Renewal Mission) Projects

KSRTC has initiated development of transport infrastructure at Mysore under

JNNURM Scheme at a cost of `85.00 crore with 80 per cent Government of India

contribution, 10 per cent Government of Karnataka contribution and 10 per cent

KSRTC funds. The following projects have been taken up under JNNURM Scheme

includes the Upgradation of Central Bus Stand (CBS) and Moffusil Bus Station at

Mysore and Inter Modal Transit Center at Sathagalli, Kuvempunagar,

R.S. Naidunagara and Illawala at Mysore.

Further, KSRTC has proposed to construct modern Satellite Bus Stations at all

major directions of Bangalore city. As a first step, KSRTC has already constructed a

satellite bus station at Mysore Road, Bangalore. It has been proposed to construct

satellite bus stations at Tumkur Road-Peenya, Hosur Road-near peripheral ring road.

KSRTC also has planned to construct new Divisional Workshops at Tumkur,

Mandya, Ramamnagara and Chickballapura.

3.12 Importance and Organization of Mechanical Engineering

(Production) Department (MED (P))

The MED (P) is organized and manned by the Chief Mechanical Engineering

(Production) (CME (P)) is the head of the Production Department in the grade of

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class-I selection grade. The Two Regional Workshops at Bangalore and Hassan are

under the administrative control of CME (P) and the Regional Workshops are headed

by the Works Manager in the grade of class-I senior. The activities of Mechanical

Engineering (Production) Department in KSRTC include:

a) Planning and Budgeting

Based on the augmentation for new schedules given by the Traffic Department

and number of aged buses to be scrapped during the year by the Mechanical

Engineering Department, planning for induction of new buses to fulfill the

requirement is done. Planning for procurement of new domestic vehicles as a

replacement of aged domestic vehicles is done as and when required. Based on the

planning, the estimated budget will be submitted to the Government.

b) Procurement of chassis / fully built buses / domestic vehicles

This includes the new chassis / vehicles are procured with the approval of the

Corporation Board, the Corporation Board has empowered the Managing Director for

procurement of domestic vehicles for replacement and newly created post,

Procurement of chassis is by inviting tenders as per the Karnataka Transport

Procurement and Purchase Act and Domestic vehicles are procured under DGS and D

rate contract which is exempted from tendering.

c) Construction of bus bodies at Regional Workshops and Construction of bus

bodies by outsourcing agencies and outsourcing labour contract

The works undertaken are, Tendering of bus body construction required for

KSRTC, Tendering for bus body construction on labour contract, Tendering of fully

built buses required for the Corporation, Tendering of chassis required for three

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corporations and verification of all the tender documents furnished by the tenderers

for evaluation.

d) Drafting of specification and drawings for bus bodies, chassis, bus body

materials etc.,

The work includes drafting the specification for - procurement of chassis, bus

body construction, specification for passenger seats, specification for various bus

body components, specification for major equipments required at the Regional /

Divisional Workshops, Drawings for bus body construction and Seating layout for

these buses.

e) Inspection of new buses at different stages

This is done by the inspection of buses constructed at the various outsourced

agencies is in three stages: The first stage of inspection is the structure of the bus;

Second stage of inspection is the paneling of the bus and the third stage of inspection

is the pre-final / final stage of the bus, Five stage inspection of buses procured as fully

built buses, The senior technical officers / officials inspect the buses at the work place

and Major bus body components are approved by the CME (P) before fitment on the

buses.

f) Planning of reconditioning of Engines and Automisers etc and taking up

construction of buses of other Government Departments

As and when there are requests from other Government Depts., buses are

constructed at Regional Workshops Bangalore.

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g) Scrapping of buses / domestic vehicles as followed in KSRTC

The aged buses are scrapped as per the stipulated norms after following the

procedures laid down for scrapping, the vehicles scrapped are evacuated to the

Regional Workshops, Bangalore and Hassan, the W-23 forms for scrapping is

scrutinized for approval of scrapping, the W-23 forms are forwarded to accounts for

clearance, the file is placed for approval before the committee constituted for

scrapping and the certificate is issued for scrapping of buses.

h) Designing new type of buses / R and D activities

Design of new bus bodies of different types, Market survey of new materials

used for bus body construction, Adopting the latest technologies available for bus

body construction within the purview of KSRTC, Improving on the passenger comfort

and aesthetics of the bus, and KSRTC is operating 6078 (31-10-2008) schedules

covering 22.85 lakh km. carrying 25.00 lakh passengers every day.

3.13 Management, Finance and Organizational Structure and

Accounting in KSRTC

The management of the affairs and business of the Corporation is vested with

the Board of Directors consisting of not less than 5 and not more than 17 directors. In

conducting the day-to-day business, the Board is assisted by the Managing Director

appointed by the State Government who is the Chief Executive of the Corporation.

Form of Accounts

As required under Section 33(1) of the RTC Act 1950, the Corporation is

maintaining annual statement of accounts including the Profit and Loss Account and

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Balance Sheet in the form prescribed by the State Government in consultation with

the Controller and Auditor General of India.

Annual Accounts

The annual accounts for each financial year showing the financial results of

the undertaking shall be drawn up within six months from the date of closure of the

financial year. Accordingly the Accounts of the Corporation for the year ended 31st

March, 2008 has been finalized and adopted by the Board of Director in their meeting

held on 20th

May, 2008 and the audited Accounts for the year 2007-08 along with the

Audit Report in the printed form will be submitted to Government.

Capital of the Corporation

According to Section 23(1) of the RTC Act, 1950 the Central Government and

the State Government have to provide Capital in such proportion as may be agreed to,

by both the Governments, which is required for the purpose of carrying on the

undertaking or for the purposes connected therewith, on such terms and conditions not

inconsistent within the provisions of this Act. The State Government may with the

previous approval of the Central Government determine may such amount. The

Central Government has stopped their capital contribution from 1987 - 1988.

Although the State Government was giving sufficient capital contribution up to 1994 -

1995 this was reduced substantially and an amount of `12.00 crore for 2004 - 2005,

`13.00 crore for 2005 - 2006 and `35.00 crore for 2007 - 2008 have been provided for

infrastructure development of the Corporation. However, the corporation is

depending much on external borrowings for its capital expenditure programmes.

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The state government capital invested in equity capital is `21928.94 lakh

(18.18 per cent), Union Government‟s equity capital is `4809.76 lakh (3.99 per cent),

Union Government‟s Capital Contribution is `100.00 lakh (0.08 per cent), Loans

`27276.06 lakh (22.60 per cent) and Internal Resource of the corporation is

`66541.40 lakh (55.15 per cent) and the total capital of corporation stands at

`120656.16 lakh (100 per cent).

The value of fixed assets in KSRTC are, Land `2466.75 lakh (2.04 per cent),

Buildings `19368.14 lakh (16.05 per cent), Motor buses, trucks, cars, etc., `91012.04

lakh (75.43 per cent) and Plants, Machinery and equipment‟s `7809.23 lakh (6.48 per

cent) and thus the total value reaches to `120656.16 lakh (100 per cent).

During the year 2007 - 2008, the Corporation had invested an amount of

`282.81 crore on its assets. Out of this, the investment on buses itself stands at

`235.34 crore, land and buildings `42.11 crore and the balance of `5.36 crore were

invested on procurement of plant, machinery and equipments including computers.

The sources of funds for this investment are from `127.75 crore from Commercial

Banks, `35.00 crore from State Government as equity Capital and `120.06 crore from

internal resources.

3.14 Financial Results of KSRTC

Table 3.8 Financial Results for the period 2005 -2006 to 2007 -2008

Sl. No. Particulars 2005-06 2006-07 2007-08

I Effective km (in lakh) 6392.10 6904.32 7598.07

Revenue (`in lakh)

1 Traffic Revenue 98911.55 117398.68 132009.93

2 Misc. Revenue 9657.44 9718.81 12800.99

Total 108568.99 127117.49 144810.92

II Total Expenditure 105891.10 123727.72 140756.83

Profit 2677.89 3389.77 4054.09 Source: KSRTC Annual Administration Report

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The Table 3.8 depicts the financial performance of KSRTC for the period of

2005 – 2006 to 2007 - 2008. The financial performance of in terms of traffic revenue

and miscellaneous revenue had increased with the proportionate increase to

expenditure and hence the profit of the company is moderate one because it is a

service oriented unit with involvement and catering to social cost and concessional

obligations to the user public.

3.15 SWOT Analysis of KSRTC

The following are the observations of the corporation in respect of SWOT

analysis

The Strength of the corporation include

1) KSRTC has well organized structure and system of governance, 2) KSRTC

has well equipped and excellent infrastructure, 3) KSRTC has support from both the

State Government and Central Government, 4) KSRTC has well trained staff in the

organization, 5) KSRTC is providing large fleet of buses with modern amenities to the

customers, and 6) KSRTC is regularly provides innovative services to the customers.

Number of luxury buses named as "Vayu Vajra" introduced for the people to

travel from their places to reach the new airport, situated in Devnahalli which is far

away from the major areas of Bangalore city. It has provided tickets booking counters

all around the city and also in major cities. They have adopted online reservation

scheme-AWATAR (Any Where Any Time Any Reservation) to facilitate public to

reserve their tickets online. Uses of new technology like computers are located at all

booking counters. In today's world tourism is one of the best and profit gaining

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business and KSRTC is an old and huge transport service provider has taken

advantage of gaining a huge share in the tourism market.

The Weakness of the Corporation include

Some services of the organization are not extended to the remote places of the

state. The organization is very slow in adopting new technology when compared to

the private organizations. This organization is a highly ceremonial setup and red

tapism is also prevalent.

The Opportunity of the Corporation include

In Karnataka there large number of unreachable remote places which have the

potential for availing services. So the organization can provide services to these

remote places. Now standard of living of people in India has increased and people

want good services. So the organization should provide luxury buses such as

Rajahamsa, Sheetal, Mayura etc., to satisfy customer needs of remote areas.

A new airport has been inaugurated in Devanahalli which is far away from the

city of Bangalore. So KSRTC has an opportunity to provide transport facilities to the

people who want to reach airport. KSRTC has introduced Vayu Vajra deluxe buses to

help customers to reach airport from their places. They can introduce few more buses

to facilitate customers reach airport on time.

Competitors

There are many transport corporations from neighboring states which

competes with KSRTC. They are, 1) Kerala State Road Transport Corporation, 2)

Andhra Pradesh State Road Transport Corporation, 3) Tamil Nadu State Road

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Transport Corporation, 4) Uttar Pradesh State Road Transport Corporation, 5) West

Bengal State Road Transport Corporation and 6) Gujarat State Road Transport

Corporation.

KSRTC is not only facing competition from other states but also from private

transport companies which provide better services and facilities to the public and

employees. They are 1) National travels, 2) Blue lines 3) Sharma transports,

4) Vijayananda road lines, and 5) Natraj travels and many more.

3.16 Future Plans of KSRTC

The Corporation aims to secure and install Certification on ISO-14000,

Installation of decentralized treatment plants, Solar street lighting and heating, Solar

generators. (Hybrid systems for power generation through solar and wind) and De

fluoride plants (Kolar, Bagepalli).

The Bangalore Metropolitan Transport Corporation and Kempegowda Bus

Station at Subashnagar for long distance buses are overflowing. Passengers getting off

from train at the City Railway Station cannot enter to both the bus stations easily. The

subway was a helpful but it has been found damaged. So KSRTC and BMTC have

planned to redevelop the area in modern inter-modal transit centre taking into account

the new metro rail which is planned to be located close to City Railway Station.

Earlier both KSRTC and BMTC had separate entries, exit, public amenities etc. The

transit centre has been planned to the meet future needs of BMTC and KSRTC

Combinely. The long-term forecasts have been built into the plans. The terminals and

other infrastructure will meet the needs of a large number of commuters. Provision of

parking lots for those using the bus terminals and construction of offices and shops in

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the transit center to be developed are also planned. Additional parking space, perhaps

in the form of multi-level lots, is likely to come up with a view to decongest the

adjacent areas of Gandhinagar and Subashnagar.

3.17 Performance Parametric of the Corporation

KSRTC Bangalore Ltd., being an organisation operating the passenger

transport services is expected to cater to the growing-passenger-needs of this region.

Being a state-owned transport corporation, it has got dual objectives of (i) rendering

better passenger-transport service for the benefit of the public (ii) and at the same time

operating the sequences on efficient lines. In this section an attempt is, therefore,

made to recapitulate the functioning of the corporation.

For assessing the performance of the corporation, informations relating to the

performance was gathered from the reports and records of KSRTC Bangalore Ltd. for

the period between 2001-2002 and 2008-2009.

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Table 3.9 Performance of KSRTC, Bangalore Division for the period 2001 – 2009

Sl. No. Name of the Events Units

Year

Gro

wth

2001-02 2002-03 2003-04 2004-05 2005-06 2006-07 2007-08 2008-09

1 2 3 4 5 6 7 8

1 Number of Depots In Nos. 46 48 49 50 56 59 60 63 4.75

2 Fleet held (As on the last day) In Nos. 4278 4346 4410 4944 5384 5950 6759 6914 7.80

3 Schedules (As on the last day) In Nos. 3899 4050 4094 4615 4984 5478 5737 6206 7.08

4 Addition of New vehicles In Nos. 685 665 657 1046 1190 1263 1660 995 11.04

5 Vehicles scrapped In Nos. 637 701 660 476 516 521 837 710 1.21

6 Effective kms. Operated per day In Lakh 14.26 14.70 15.36 15.92 17.51 18.92 20.76 22.20 6.60

7 Effective kms. Operated In Crore 52.05 53.66 56.22 58.10 63.92 69.04 75.98 81.04 6.61

8 Vehicle utilization In km. 360 362 367 367 362 362 365 364 0.08

9 Percentage Cancellation of kms. In Nos. 2.40 2.40 0.90 1.00 1.30 3.50 3.70 3.00 9.60

10 KMPL (HSD) In Nos. 4.88 5.02 5.25 5.28 5.13 5.07 5.02 4.92 -0.09

11 Average age of vehicles In lakh km. 4.44 4.42 4.41 4.23 4.11 3.93 3.61 3.66 -3.26

12 Percentage load factor In Nos. 70.70 69.00 73.90 70.70 68.60 70.20 72.20 70.80 0.06

13 Break downs Rate per 10000 km 0.12 0.09 0.05 0.05 0.06 0.08 0.09 0.08 -1.48

14 Accidents Rate per 100000 km 0.17 0.18 0.16 0.17 0.18 0.16 0.18 0.17 0.07

15 No. of Accidents In Nos. 900 950 825 925 1125 1128 1400 1390 7.28

16 Staff employed In Nos. 23085 23655 23626 24989 24866 27255 27505 32100 4.15

17 Staff ratio per on road vehicles In Nos. 5.83 5.84 5.64 5.76 5.11 5.05 4.83 5.26 -2.52

18 Staff ratio per schedule In Nos. 5.92 5.82 5.77 5.41 4.99 4.98 4.79 5.17 -2.91

19 Staff ratio per vehicle In Nos. 5.40 5.44 5.36 5.05 4.62 4.58 4.07 4.64 -3.66

20 Effective kms. Per employee per day In Nos. 61.60 62.20 65.00 63.70 70.40 69.40 75.50 69.20 2.48

21 Traffic Revenue ` in crore 621.48 680.63 749.16 798.99 989.12 1173.99 1320.1 1429.53 12.74

22 Traffic Rev. earned per bus held In ` 3980 4291 4641 4428 5033 5508 5748 5767 5.59

23 Traffic Rev. earned per employee per day In ` 738 788 866 876 1090 1180 1311 1220 8.58

24 Gross Revenue ` in crore 685.65 730.57 790.83 895.46 1085.69 1271.8 1448.11 1639.36 13.26

25 Gross Rev. earned per bus held In ` 4391 4606 4900 4962 5525 5856 6305 6614 6.05

26 Gross Rev. earned per Employee per day In ` 814 846 915 982 1196 1278 1438 1399 9.10

27 Revenue from advertisements ` in lakh 34.38 48.86 60.1 46.49 50.88 72.53 92.63 123.58 15.25

28 Revenue from sale of scrapped vehicles and materials ` in lakh 853.97 829.01 1010.12 903.27 915.32 1553.36 1488.56 1670.05 10.63

29 Revenue from commercial establis ` in lakh 650.24 861.15 1266.1 1221.22 1329.46 1495.73 1705.42 1709.19 12.82

Contd…

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Table 3.9 Performance of KSRTC, Bangalore Division for the period 2001 – 2009 (Contd…)

Sl. No. Name of the Events Units

Year

Gro

wth

2001-02 2002-03 2003-04 2004-05 2005-06 2006-07 2007-08 2008-09

1 2 3 4 5 6 7 8

30 Variable cost per kilometer In paise 579.00 721.20 739.40 854.70 1040.20 1162.90 1165.02 1068.48 9.81

31 Fixed cost per kilometer In paise 584.60 586.30 601.00 623.60 606.10 627.60 689.20 882.15 4.51

32 Financial Margin on Gross Revenue ` in crore 16.52 32.74 25.87 26.63 26.78 33.9 40.54 57.71 12.67

33 EPKM In paise 1317.3 1361.4 1406.8 1541.3 1698.5 1842.0 1905.9 2022.8 6.66

34 CPKM In paise 1285.5 1300.4 1360.8 1495.5 1656.6 1792.9 1852.5 1951.6 6.69

35 Profit ` in crore 16.52 32.74 25.87 26.63 26.78 33.9 40.54 57.71 12.67

36 M. V. Tax ` in crore 36.91 40.72 53.33 61.64 76.3 90.88 101.26 89.74 14.98

37 Subsidy from Government ` in crore 43.13 21.00 10.62 63.53 60.00 52.10 81.81 70.73 17.83

38 Medical reimbursement paid to employees ` in lakh 112.47 157.30 230.21 301.22 374.05 431.50 467.32 440.00 20.35

39 Number of de-addiction checks In Nos. 32630 22282 27694 11248 14026 13258 15658 18068 -9.39

40 Number of cases detected In Nos. 12 9 28 32 30 17 26 37 13.84

41 Number of De-addicted employees treated In Nos. 232 180 251 246 149 151 212 145 -5.35

42 Number of buses checked In Nos. 320635 325051 312628 314733 268848 374989 564122 642424 9.53

43 Pilferage amount ` in lakh 12.14 9.72 7.70 9.35 4.46 5.70 10.69 10.25 -2.80

44 penalty collected ` in lakh 43.55 45.18 53.32 40.85 29.39 44.04 70.79 80.81 6.75

45 Smoke emission checks In Nos. 44944 49890 50488 52169 53567 50488 60925 61101 3.78

46 No. of MVC/MFA cases disposed In Nos. 1495 1910 1833 2117 2162 2630 2114 1462 1.73

47 Compensation paid (MVC and MFA cases) ` in crore 11.40 12.94 15.83 15.71 18.57 20.01 25.88 25.73 11.95

48 Expenditure incurred for infrastructure (Land and Building) ` in crore 14.29 9.88 23.61 24.08 17.12 20.72 42.03 56.36 19.18

49 Cumulative expenditure incurred for infrastructure (Land and Building) ` in crore 80.82 90.7 114.31 138.39 155.52 176.32 218.35 274.71 17.11

50 Accumulated loss ` in crore -311.92 -279.18 -253.31 -226.67 -199.89 -166 -125.46 -67.75 **

51 Loan availed ` in crore 55.86 7.90 59.33 64.83 75.00 117.00 127.75 79.16 22.07

52 Value of stores inventory holding (As on 31st March) ` in crore 10.90 11.32 11.08 14.68 16.23 19.70 22.32 27.78 14.01

53 Net worth ` in crore -78.08 -42.16 -14.27 26.85 67.21 103.27 183.94 284.58 95.79*

54 Return on capital ` in crore 44.94 58.57 43.50 39.74 40.03 52.57 65.53 89.37 7.08

55 Value of fixed assets Buses ` in crore 366.45 382.91 400.31 500.85 618.42 747.15 922.34 957.75 15.72

56 Value of fixed assets Land ` in crore 11.03 14.36 22.25 22.28 23.59 24.43 24.67 25.06 10.46

57 Value of fixed assets Building ` in crore 74.52 76.59 92.29 115.70 132.00 151.89 193.68 249.65 17.53

58 Value of fixed assets PME ` in crore 36.93 38.26 40.44 43.46 53.95 59.81 65.86 74.53 10.74

59 Value of fixed assets Jn NRM ` in crore - - - - - - - 24.07 26.51

Source: KSRTC Annual Administration report, Annual Accounts Report and CIRT, Pune Annual Publications; ** No growth have been occurred and * for only five years from 2004-05 to 2008-09

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The Table 3.9 illustrates the performance of KSRTC for the period 2001 -

2009. The corporation had improved with the fleet held, addition of new vehicles,

traffic revenue, traffic revenue earned per bus held, revenue from advertisements,

revenue from sale of scrapped vehicles and materials, revenue from commercial

establishments, earning per kilo meter and cost per kilo meter. In addition, the growth

of the corporation was found slow in the vehicles scrapped, vehicle utilization,

average age of vehicles, break downs, accidents, number of de-addiction checks and

smoke emission checks. Hence the corporation has to concentrate on the above

elements.

Performances and Profile of KSRTC

This section of the chapter highlighted the KSRTC profile and performances

like services and facilities offered to passengers, products and services, milestone

achievements, technological advancements, personnel staff ratio, financial

performance, operational performance, services performance, development works

undertaken, functions of various departments and future plans of KSRTC were

discussed.

The foregoing details and descriptions in section I of this chapter depict the

profile and management of KSRTC, Bangalore Division. It has been clearly

brought, that fulfills the objective viz., to study the profile and management

performance of the Karnataka State Road Transport Corporation. Hence the

researcher had achieved the realization of the first objective.

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HUMAN RESOURCE MANAGEMENT POLICIES AND

PRACTICES IN KSRTC

3.18 HRM function in KSRTC

The Ministry of Transport, Government of Karnataka, is the highest authority

to formulate the human resource policies and practices which should be followed and

implemented by all the KSRTCs uniformly.

The policies and practices relating to Human Resource Management are

elucidated in this section. The following HRM factors were identified and discussed.

Human resource planning, recruitment and selection, training and development, wage

and salary, amenities provided to the employees, worker's participation in

management, benefits, performance appraisal method, promotion method and transfer

adopted, grant of increment, allowances and other benefits provided, welfare

measures provided, motivation methods, disciplinary action and conduct rules,

grievance redressal procedures and employees union and management relations in

KSRTC were discussed.

3.19 Human Resource Planning

It would refer to the process of determining and assuring that the organization

would have an adequate number of qualified personnel. The KSRTC Bangalore has

an expert team headed by the personnel manager. The HRD team would review the

current manpower inventory so that non available talents could be recruited from

outside. Workload analysis is done based on possible or proposed future expansions

of transport service. Conversions of work load into quantity and quality of personnel

have been the other major tasks of the HRD team. Finally they would chalk out time

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bound employment programme that included external recruitment, selection and

training and internal employment practices such as transfer and promotion.

3.20 Recruitment and Selection

In KSRTC the employment has been via the employment exchanges and

internal avenues or sources. Apart from these internal and external sources of

recruitment, compassionate ground category appointment has also found place in

KSRTC as per the special order of the Government.

The selection process of the KSRTC would comprise of man power planning,

checking the age limit and reservation norms, interview, an verification of the relevant

documents and examination of the physical fitness of the candidates, especially the

drivers to have eye checkups.

3.21 Compulsory Notification of Vacancies to Employment

Exchanges

The corporations come under the purview of the Karnataka Public Service

Commission (KPSC) for filling up the vacancies of posts. Therefore it has to notify

the vacancies of posts to the respective district employment exchange offices.

The details such as name of posts, number of vacancies, pay and allowances,

physical requirements, educational, qualifications, experience, age limit if any, sex,

term of vacancies must be sent to the concerned district employment exchange.

Similarly notifications should be sent to the professional and executive employment

office, Bangalore, for filling up managerial and administrative posts which required

the qualifications of bachelor degree or higher degree in engineering, law or post

graduate degree or diploma in other subjects.

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The employment offices would furnish a panel of names of candidates for

interview and selection. If suitable candidates were not available in their live registers

they would have to furnish non availability certificates. The corporation has to send

periodical returns on employment matters to the employment exchange.

3.22 Mode of Compassionate Recruitment in KSRTC

If an employee has put in more than 240 days of work, died in accidents,

leaving the family in the helpless condition, a member of his family / wife / husband /

son / unmarried daughter would become eligible for direct recruitment subject to the

availability of vacancy and fulfillment of terms, subject to the availability of vacancy

and fulfillment of age and qualification requirements. This recruitment could be done

without reference to the employment exchange.

3.23 Selection

The Corporation has an objective to provide safe, reliable and convenient

transport service to the public and to achieve this objective, the organization should

recruit the best manpower into the organization. To recruit the best manpower in the

organization KSRTC has its own Recruitment Regulations called KSRTC Cadre and

Recruitment Regulations, 1982.

The merit is the only criteria for selecting candidates for various posts.

Recruitment of Class II and Class III supervisory posts are done through Common

Aptitude Tests (CAT). Recruitment of Class III and Class IV non- supervisory posts

like conductors, mechanics, junior assistant are purely based on merit. The criteria

adopted for post of drivers are based on their performance in the driving test. The

candidates for the posts of drivers/ driver cum conductor should have a minimum of

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160 cm. height and 50 kg. of weight in case of male candidates and in case of female

candidates the weight is 45 kg. and height is 155 cm.

3.24 Recruitment of Male and Female Candidates

KSRTC provides 33 per cent reservation for ladies as per Government order.

While advertising for vacancy, the organization standards to gain people with

multidimensional skills which benefits the organization in future, if need arises, will

be communicated. KSRTC recruits people who fit into the culture and values of the

organization so that people can adjust to the environment and KSRTC can also retain

them for longer duration.

3.25 Method of Recruitment

1) Appointment to a post in the Corporation shall be made by any of the

following methods, namely, By promotion, By transfer of a person already

in service of the Corporation from an equivalent cadre or class of post, By

obtaining on a loan of service of a person already in service of the Central

or State Government or other State Transport Undertakings, By direct

recruitment, By contract on such terms and conditions as are mutually

agreed to, By recruitment from among the In-service candidates and By

deputation of a person already in service in the State or Central

Government or any undertaking owned or controlled by the State or

Central Government or other State Transport Undertaking to fill up any

direct recruitment vacancy of Class-Ill or Class - IV post.

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2) The method of recruitment to each post and the qualifications prescribed

thereof are shown in Schedule 'A' of the corporation regulations except for

In-service candidates which include,

The method of recruitment for In-service candidates and the

qualifications thereof shall be as per the Karnataka State Road

Transport Corporation (In-service Recruitment) Scheme, 1997,

Where in the opinion of the Managing Director if it is found

desirable to fill up any Class - III or Class IV direct recruitment

vacancy on deputation, such vacancy shall be filled in by

deputation of an employee already in service of the Central or State

Government or Undertakings owned by Central or State

Government or other State Transport Undertakings on such pay,

pay scale and allowance as are admissible to him in his parent

department undertaking, provided the employee is holding

equivalent post to which he is appointed on deputation in the

Corporation and

Where in the opinion of the Managing Director, if it is found

desirable to fill up any direct recruitment vacancy of Class-Ill or

Class- IV posts, by deputation of a person already in the service of

the Central or State Government or any undertaking owned or

controlled by the State or Central Government or other State

Transport Undertaking and holding an equivalent post, such

vacancy may be filled by deputation of such person on such pay,

pay scale and allowance as may be determined by the Corporation

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but not exceeding the emoluments that he was receiving in his

parent department or undertaking, as the case may be".

3) The Corporation shall prescribe by written examination and / or Trade Test

to assess suitability for filling in posts by promotion.

4) Whereas-suitable departmental candidates are not available for promotion

to any of the posts specified in Schedule 'A' which are to be filled in by

promotion of such posts may be filled by direct recruitment or by

obtaining loan of service.

5) Notwithstanding anything contained in Sub-Regulations (2), (3) and (4)

above, the Competent Authority may adopt the method of recruitment

under Sub- Regulation (1) (b) of Selection Authorities for Direct

Recruitment, Class - of posts which include,

Class-I Senior and Junior : The Selection Authority shall consist

of Chairman, Vice-Chairman, Managing Director, Director

(Personnel) and the concerned Heads of Department. The

Chairman of the Corporation shall be the Chairman of the Selection

Authority,

Class II posts : The Selection Authority shall consist of Managing

Director, Director (Personnel) and concerned Heads of

Department. The Managing Director shall be the Chairman of the

Selection Authority.

Class-III posts (Supervisory posts) : Selection Authority for

selection of candidates to various class - III State wise posts

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(Supervisory posts) shall be constituted by the Managing Director

from time to time and

Other Class-Ill and IV posts (Division-wise posts) : The

Selection Authority for other Class-Ill and IV posts (Division-wise

posts) shall be constituted by the Managing Director with not less

than 3 official members from time to time for each Division. The

Managing Director shall nominate one of the official members as

the Chairman of the Selection Authority. They should follow the

following notes viz., (a) The quorum for the Selection Authority at

(i) shall be the Chairman and two members, (b) The quorum for the

Selection Authority at (ii) shall be the Chairman and one member,

(c) The quorum for the Selection Authority at (iii) and (iv) shall be

the Chairman and two members, (d) No act or proceedings of the

Selection Authority shall be invalid by reason only of the existence

of any vacancy in the Selection Authority or any defect in the

constitution thereof and (e) The select list shall be signed by the

Chairman and all the members in respect of Class-I, Class - III and

IV posts and the Chairman and any one member in respect of

Class-II posts shall be deemed to be valid.

3.26 Reservation of Appointments

There are for posts earmarked for direct recruitment and reservation for

persons belonging to Scheduled Castes and Scheduled Tribes in specified categories

of promotional vacancies.

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1) The reservation of posts meant for direct recruitment for the persons

belonging to the Scheduled Castes, Scheduled Tribes, Backward Classes

and women shall be as per State Government Orders and Amendments

thereto issued by Government from time to time, effective from the dates

mentioned therein.

2) The reservation for persons belonging to Scheduled Castes and Scheduled

Tribes, under Article 16 (4) of the Constitution in specified categories of

promotional vacancies shall be as per Government Orders issued from

time to time, effective from the dates mentioned therein.

3) The reservation of appointments for posts meant for Direct Recruitment in

the categories of posts in class III and IV for Ex-servicemen and the

Members of their families shall be; (i) The percentage of number of

vacancies set apart for direct recruitment to any Class III or Class IV post

in the Corporation shall be reduced by ten per cent or by such number as is

equal to ten per cent of the vacancies and the percentage or number so

reduced shall be filled by direct recruitment from among Ex-servicemen

and Members of the families of persons who while serving in the Armed

Forces of the Union were either killed or permanently disabled as may be

found suitable for the post, (ii) For appointment to any vacancy reserved

for Ex-servicemen in cadres of posts falling under Class-IV, every. Ex-

serviceman who has put in not less than three years Service in the Armed

Forces of the Union shall be exempt from the minimum educational

qualification if any prescribed in respect of such cadre or posts, and (iii)

For appointment to any vacancy reserved for Ex-servicemen in cadres of

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posts other than clerical posts, falling under Class-III include (a) the

minimum educational qualification, where such qualification prescribed is

a pass in VII standard or any lower examination, may be relaxed in favour

of Ex - Servicemen who have put in at least three years' Service in the

Armed Forces of the Union and who are otherwise considered fit and

suitable for appointment to such cadre or posts; (b) where the posts are to

be filled partly by direct recruitment and partly by promotion or transfer

and the minimum educational or technical qualification prescribed for

appointment by direct recruitment is higher than that prescribed for

promotion or transfer, an Ex-serviceman shall be deemed to satisfy the

prescribed educational or technical qualification if he, (i) Satisfies the

educational or technical qualifications prescribed for promotion to the

post, and (ii) Has identical experience of work in a similar discipline and

for the same number of years in the Armed Forces of the Union, as

prescribed for the promotes. Explanation: (a) for the purposes of this

Regulation, in Computing the period of three years service, there shall be

added any period of service which an Ex-serviceman has rendered while

serving in a corresponding post or posts in a Civil Department, or a Public

Sector Undertaking or an Autonomous Organisation, whether under the

Central Government or and State Government or in a Nationalized Bank to

the period of service rendered in the Armed Forces of the Union, (b) In

respect of posts where direct recruitment is prescribed as one of the

methods of recruitment the percentage or number of vacancies set apart for

that method shall be reduced by two per cent or by such number as is equal

to two per cent of the vacancies in addition to the vacancies, to be reduced

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under Sub-Regulation and (3) (a) and the percentage or number so reduced

shall be filled in by direct recruitment from among candidates who are

physically handicapped, provided that this Sub-Regulation shall not be

applicable to Direct Recruitment to; Any Class I or Class II post; Posts for

which specific physical standards have been prescribed under Sub-

Regulation (2) of Regulations 5; All posts in Mechanical, and Stores and

Purchase Department; and Such other posts as the Corporation may by a

Resolution prescribe. (c) If sufficient number of suitable persons

belonging to categories mentioned in (a) and (b) are not available for

filling the vacancies set apart for them, such vacancies shall be added and

classification made as per Regulation 9(3) supra. Explanation: (1) For the

purpose of Sub-Regulation (3) (a) "members of the family" means the wife

or husband, as the case may be, and children and step children wholly

dependent on the person who served in the Armed Forces of the Union. (2)

For the purpose of Sub-Regulation (3) (b) physically handicapped

candidate means a person; (a) who suffers from: (i) total absence of sight;

or (ii) Visual acquity not exceeding 6/60 or 20/200 (snellen) in the better

eye with correcting lenses; or (iii) Limitation of the field of vision sub-

tending an angle of 20 degrees or worse. (b) In whom the sense of hearing

is non-functional for the ordinary purpose of life or who does not hear and

understand sounds at all events with amplified speech -or having hearing

loss of more than 90 decibels in the better ear (profound impairment) or

total loss of hearing in both ears, or (c) Who has physical defect or

deformity which causes an interference with the normal functioning of the

bones, muscles and joints; Note: 1) The reservation percentage shall not be

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applicable in respect of appointments made on Contract basis and 2) The

reservation percentage shall be applicable for temporary and local

candidates.

3.27 Mode of Recruitment for Class-II Officer Posts

This could be done by KSRTC by Notification will be published in widely

circulated daily news papers, On line Applications will be invited through KSRTC

website, for conducting CAT examination reputed agencies will be identified like

IIMB, IISc and CAT Examination will be conducted in main cities of Karnataka the

merit lists will be prepared. Based on the Cadre and Recruitment regulations (75 per

cent of Qualification Percentage + 25 per cent of marks scored in CAT examination

for general Degree holders and 50 per cent of Qualification percentage + 50 per cent

of marks scored in CAT examination for specific Degree holders) the eligible

candidates will be called for verification of Original documents and physical

standards for Assistant Traffic Manager (ATM) posts in the ratio of 1:2. No oral

interview marks will be awarded for ATM.

3.28 Mode of Recruitment for Class-II Officers (In-Service

Recruitment)

This is done by KSRTC by following 20 per cent quota will be carved out of

the direct recruitment quota. Notification will be published and circulated to all the

corporations / divisions, On line applications will be invited through KSRTC website,

Common Admission Test Examination (CAT) will be conducted in all main cities of

Karnataka, for conducting CAT examination, reputed agencies will be identified like

IIMB, IISc and merit lists will be prepared as per the Cadre and Recruitment

Regulations (25 per cent of Qualification Percentage + 50 per cent of marks scored in

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CAT examination + marks scored in interview out of 25 marks) and eligible

candidates will be called for verification of original documents and for oral interview

in the ratio of 1:4.

3.29 Mode of Recruitment for Class-III Supervisory Posts

The posts are recruited by Notification will be published in widely circulated

daily news papers, On line applications will be invited through KSRTC website, For

conducting CAT examination reputed agencies to be identified like IIMB, IISc, and

CAT Examination will be conducted in main cities of Karnataka. Merit lists will be

prepared as per the Cadre and Recruitment regulations (75 per cent of Qualification

Percentage + 25 per cent of marks scored in CAT examination for general Degree

holders and 50 per cent of Qualification Percentage + 50 per cent of marks scored in

CAT examination for specific Degree holders) and eligible candidates will be called

for verification of original documents and physical standards for the Traffic

Inspectors posts in the ratio of 1:5. CAT examination centers are Gulbarga for

Bangalore, Hubli for Mysore, Belgaum for Mangalore and Bijapur for Davanagere.

3.30 Mode of Recruitment for Class-III Non Supervisory Posts

This is accomplished KSRTC by Notification will be published in widely

circulated daily news papers and on line applications will be invited through KSRTC

website. Merit lists will be prepared based on the marks secured by the candidates in

the prescribed education qualification for the post (excluding mechanical and traffic

posts) as per the Cadre and Recruitment regulations. Eligible candidates will be called

for verification of original documents and physical standards in the ratio of 1:5.

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3.31 Mode of Selection for Driver and Driver-Cum-Conductor

This is done in KSRTC by following guidelines mentioned as under

1) All candidates will be called for verification of original documents and

physical standards. Only eligible candidate are allowed for Driving Trade

Test. Based on the marks scored in the trade test, final merit lists will be

prepared for the post of Driver,

2) In respect of Driver-Cum-Conductor, 50 per cent of the marks scored by

the candidate in SSLC will be added to the marks scored in Driving Trade

Test Final Merit lists will be prepared,

3) Testing through Electronic Driver Testing Track System includes

extremely transparent system it avoids political interference, more

objective, no discretion, no room for manipulation, Quicker than any other

system and being cost effective and

4) Allocation of Marks for track test, reverse (S) 7 marks and the time period

of 180 seconds, forward (8) 5 marks 60 seconds, for reverse parking 6

marks 60 seconds and upgrade 5 marks in the respective category and Two

rounds of driving trade test will be conducted for each candidate.

3.32 Mode of Selection for Assistant Traffic Inspector, Artisan,

Assistant, Artisan and Helper-B posts

Merit lists will be prepared based on the marks scored by the candidates in the

prescribed education qualification for the post and marks scored in the interview out

of 15.

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3.33 Mode of Selection for Security Guard

Candidates will be called for verification of original documents and physical

standards. Only those candidates who fulfill the prescribed physical standards will be

sent for physical efficiency test. Candidates who physically qualified are selected

based on the marks scored in the prescribed qualification.

3.34 Recruitment Data of KSRTC, Bangalore

a) Year Wise Recruitments Made in KSRTC, Bangalore

Table 3.10 Recruitment’s Details for the period for 2003 – 2007

Posts 2003 2004 2005 2006 2007

Class-II Officers 39 0 0 16 114

Class-III Supervisory 104 0 0 0 475

Class-III Non-Supervisory 42 2887 2140 3113 5312

Class-IV 0 04 0 295 1027 Total 185 2891 2140 3424 6928

Source: HR department, KSRTC, Bangalore

b) Details of SC/ST Backlog Recruitment Made Through Special Drive During

2006-07, Notification No.1/2006

Table 3.11 Vacancies Identified and Recruited

Grade SC ST Total Not Reported

Class- II 07 08 15 03

Class-III Supervisory 0 0 0 0

Class-III Non- Supervisory 134 71 205 55

Class-IV 25 6 31 18 Total 166 85 251 76

Source: HR department, KSRTC, Bangalore

c) Achievements by On-Line Recruitment in KSRTC

This method of on-line receipt of applications was made for the first time in the

history of STU„s and on line recruitment results in saving manpower, time and paper.

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Table 3.12 On-Line Recruitment 2007

Posts No. of Posts Applications

received

Appeared for CAT

Examination

Class-II Officers 114 11726 7870

Class-III Supr. 475 44478 32908

Class-III Non-Supr. 5312 47538 --

Class-IV 1027 12412 -- Total 6928 116154 40778

Source: HR department, KSRTC, Bangalore

3.35 Age limit for Appointments

A person to become eligible for appointment by direct recruitment should

have completed 18 years of age or any higher minimum age that may be prescribed.

In the absence of fixation of specific upper age limit for any post 30 years for open

competition 35 years for Most Backward Classes (MBC) and Backward Classes (BC)

and 40 years for scheduled caste / scheduled tribe (SC / ST) should been the upper age

limit criterion.

3.36 Training and Development

At present training has become an important function of HRD department of

every organization. KSRTC provides training to its employees to improve their

efficiency and the employees can adopt new technologies effectively and efficiently.

The training program helps the organization to adopt new technologies and to meet

new technological advancements and are conducted in regional workshops of KSRTC

which are a) Bangalore, b) Hassan, c) KST- Bangalore, d) Jayanagar-Bangalore, e)

Central Training Institute (CTI) f) Regional Training Institute (Mysore), g) Civil

engineering (Mysore, Bangalore) and h) KSBPE (Karnataka State Bureau of Public

Enterprises). These are the workshops where KSRTC provides training to their new

and regular employees of the organization.

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3.37 Training for New Employees

KSRTC provides training to the employees who are newly employed in the

Corporation for them to understand the work and work environment and to perform

well in future. Training period for new employees, first period of training will be 2

years and Probationary period will be one year.

During the training period trainees will not apply for any leave and after

completing the training the Corporation will sanction holidays to the employees.

During this period trainees will get consolidated pay of `2500/- per month and

Benefits like medical leaves, maternity leave benefits for women are provided.

3.38 Training for Regular Employees

KSRTC provides on the job training to their regular employees in their

institutes like CTI, KSBPE etc.,

3.39 Training Period for Regular Employees

The organization provides training to their regular employees for duration of

two month in every year. A separate training program is organized specially for

women employees to motivate them to perform effectively and efficiently in the

organization.

3.40 Probation Period

A probationer should cross such a period of probation as it has been fixed by

the management before being confirmed in service. The probation period would

generally be one year of continuous period. It has been provided that no probation

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should be necessary with regard to class of transfer if the levels of scales were

identical.

3.41 Extension, Suspension or Termination of Probation

The appointing authority may at any time before the expiry of the prescribed

period of probation, extend the period of probation or suspend a probationer in a

category or discharge him from service in that category for want of a vacancy. The

probationer discharges him from service after giving him a reasonable opportunity of

showing cause against the proposed termination of probation, if the probationer was

prima facie found incompetent.

3.42 Completion of Probation

If the appointing authority decided that the performance of the probationer

during the period of probation or extended period of probation has been satisfactory, it

should issue an order declaring the probationer to have satisfactorily completed the

period of probation in that category. He would become a regular employee. Since

then, his annual increments would also be regularized.

3.43 Apprenticeship and Regularization

A company apprenticeship / trainee would be a person undergoing pre

employment training. It would be different from the apprenticeship training under the

Apprenticeship Act, 1961, candidates who have successfully completed the

apprenticeship under the apprenticeship Act, 1961 along should be taken as KSRTC

apprenticeship trainee.

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The ITI certificate holders with a pass in the National Apprentices

Examination taken on daily wages and after 240 days of duty on daily wages they

would be regularized. The Drivers and conductors would be taken on daily wages

and on completion of 240 days of duties, they are regularized on the time scale of pay.

No previous apprenticeship training for them under the act of company apprenticeship

would be stipulated.

3.44 Apprentices Act, 1961

Apprenticeship is a system by which an industrial employer undertakes by

contract to train a person systematically during a specified period for the category of

Trade Apprentices or Diploma Technician Apprentices or Engineering Graduate

Apprentices. Trade Apprentices are supposed to have undergone institutional training

in schools or other institutions affiliated or recognised by the State Board or State

Council of Technical Education.

They should have passed the trade test and should possess the other

requirements prescribed. If the institutional training for the technical trade is for one

year, the apprenticeship period is one year. If the former is one year, the

apprenticeship period is one year. The apprenticeship period to all diplomas in

engineering or degree in engineering is one year. In respect of commercial trade

apprentices, the period of apprenticeship has been fixed as one year. The Transport

corporations being an industrial undertaking are bound to abide by the above

requirements to train the apprentices.

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3.45 Training and Education in KSRTC

The need and importance of training and skilled manpower before putting on

the job was recognized by the KSRTC. Such training could be divided into two parts;

one being under the apprentices‟ Act, 1961 and the other being company traineeship.

3.46 Orientation and Training

The corporation has been running a Driver Training Institute. Before casual

jobs could be assigned, the drivers would be given short term intensive training.

Besides this officers and employees would also be sponsored for retraining and

refresher programmes organized by various institutions likes Institute of Road

Transport (IRD) in Chennai and Central Institute of Road Transport (CIRT) in Pune.

The personnel from the executive level or worker level, would be sorted out to

undergo training programmes at various training institutions like National Institute

of Personnel Management (NIPM), Chennai Chapter, Central Institute of Road

Transport (CIRT) in Pune, Tata Engineering Locomotive Corporation Limited

Chennai and so on. Training would be gives in the area of management, material

management, workshop standardization and computerizations. Supervisors and

executive would be encouraged to attend seminars on the subjects like law, culture,

industrial relations behavioral science, etc.,

3.47 Wage and Salary

People are recruited for Class I to Class IV levels from KSRTC with the (as

per review) mentioned pay scales. Women employees are employed from Class I to

Class IV levels; they are recruited under reservation policy based on the required

qualification by the Corporation.

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Table 3.13 Cadres and Pay Scales of KSRTC Employees

Employee Category Pay Scale

Class - I Employee (Super Time Scale) 13175-420-16535-480-17495(10 years)

Class - I Employee (Selection Grade) 10595-36-12755-420-16535-480-17015 (16 years)

Class - I Employee (Senior Officer) 9225-290-9515-360-12755-420-16535(19 years)

Class - I Employee (Junior Officer) 8645-290-9515-360-12755-420-14855

Class – II Employee (Officers) 6525-240-7485-290-9515-360-12395(19 years)

Class III Employee (Supervisory) 4415-200-5015-225-6590-250-8090(16 Years)

Class III Employee (Non Supervisory) 4105-125-4480-200-5480-225-6830-250-7830 (18 years)

Class IV Employee 2780-40-2980-50-3230-75-3680-100-3880 (18 years) Source: HR Department, KSRTC, Bangalore

Note :Merit is the only criteria for selecting candidates for various posts. Recruitment of Class II and Class III

supervisory posts are done through Common Aptitude Tests (CAT). Recruitment of Class III and Class IV non-

supervisory posts like conductors, mechanics, junior assistant are purely based on merit. The criteria adopted for

post of drivers are based on their performance in the driving test. The candidates for the posts of drivers/ driver

cum conductor should have a minimum of 160 cm. height and 50 kg. of weight in case of male candidates and in

case of female candidates the weight is 45 kg. and height is 155 cm.

3.48 Amenities Provided to the Employees

KSRTC provides certain amenities to its employees to retain them in the

corporation for longer duration and to motivate employees to work efficiently and

effectively in the organization. KSRTC being a public undertaking it adopts many

Labor Acts to facilitate the employees‟ retention.

3.49 Worker's Participation in Management

According to the policy of the corporation worker's can participate in

management particularly at the shop floor level and the corporation has constituted

production cum grievances committee at all depots, regional workshops and printing

press with equal representatives of labor and management. At production

management level bipartite committee, P.F. trust, educational assistance fund, state

level sports and cultural committee, editorial committee of house magazine 'SARIGE

SAMPADA' are constituted for smooth and effective functioning.

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3.50 Paid Holidays

The employees who come under Factories Act, 1948 and Motor Transport

Workers Act, 1961 are entitled to 10 paid holidays in calendar year.

3.51 Gratuity

The corporation provides gratuity to the employees according to the provisions

of Payment of Gratuity Act, 1972. The quantum of gratuity is equal to one month's

pay for each completed year of service.

3.52 Employees Provident Fund

Employees‟ provident fund is regulated according to the provisions of

Employees Provident Fund Scheme. The corporation comes under exemption

category and the fund is managed by trust consisting of management and labor.

3.53 Canteens

The Corporation Board vide resolution No. 6035 dated 27-02-1989 has

approved for establishing and running of canteens at workshops, divisional

headquarters.

3.54 Medical Aid

The corporation has constructed hospitals at cities like Bangalore, Hubli,

Bijapur and Gulbarga. Full time doctors are appointed at Bangalore and Hubli and

part time doctors at all divisions. Under the KSRTC Employees (medical attendance)

Regulation 1970 the medical claims made by the employees will be reimbursed by the

KSRTC.

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3.55 Compensation

The compensation provided to the employees is according to the provisions of

Workmen's Compensation Act, 1923.

3.56 Festival Advance

Festival advances are given to all Class III and Class IV employees.

3.57 Leave Salary

The employees are entitled to leave salary advance for the period of leave.

The leave period should not be less than 7 days at a time.

3.58 Sports and Cultural Activities

The State level sports and cultural committee at central level and every

division has its own sports and cultural committees which are effectively functioning.

3.59 Motor Transport Workers Act, 1961

According to this act a lump sum amount is paid to those employees who are

discharged / dismissed during the year in lieu of their leave.

3.60 Death cum Retirement Benefit

This benefit is provided to all the regular employees of the corporation and all

of them are enrolled as members of this fund by contributing `20/-per month where

Class II- is for death coverage and `13/- credited to employee's savings account. If

any death of an employee occurred while in service and receipt of such information,

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the Corporation will pay `2,000/- towards funeral expenses and balance of `20,000/-

will be paid to the dependents of the employee towards final settlement in addition to

the savings plus interest.

3.61 Educational Assistance Fund

KSRTC provides financial backing to the employees for educating their

children at different disciplines. They provide loans, scholarships to employees‟

children who got merit for their further education and this motivates employees to

work hard and continue their service in the Corporation. For those employees‟

children who are interested in courses like Instrument mechanic, motor mechanic,

diesel mechanic, sheet metal, auto electrician, Corporation has established 4 training

institutes at Bangalore, Hassan, Hubli, and Gulbarga to benefit employee's children

and for trainees `50/- each month as stipend is provided to them. Awards and

certificates are provided from the Corporation to the employees‟ children who score

well in their studies which encourages employees to work hard.

3.62 Awards to Accident Free Drivers

The Corporation has introduced awards like" Chief Minister's Gold' and Silver

medals to accident free drivers who drive carefully and reduce accidents. Awardees

are entitled to a cash amount of `1,000/- and `500/- besides monthly allowance of

`100/- and `50/-. For officials gold and silver awards are given for rendering

commendable service to the Corporation.

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3.63 Bonus

Bonus is provided for the employees according to the provision of

Memorandum of settlement.

3.64 Rehabilitation Centre

Under KSRTC Family Welfare Association employment is provided to the

dependents of the deceased or handicapped employees who cannot continue their

service in the Corporation. They provide employment to those who have required

qualification and age as per Cadre and Recruitment Regulations. Otherwise they

provide finance, to them instead of providing employment.

3.65 Wage Revision

Wage Revision is undertaken in the corporation once in four years.

3.66 Miscellanies Benefits offered by KSRTC

Insurance Scheme : An internal insurance scheme called KSRTC Employees

Family Welfare Scheme is introduced which provides a compensation

of `3.00 lakh to employees who die while in service to the dependent of the

employee.

Merit Awards : Merit awards for children of employees / officers who secure

higher marks in SSLC, PUC and Degree examinations.

Educational Loan : A scheme is important for extending educational loan up

to a maximum of `1.00 lakh for coverage of tuition fee to the employees‟

children who are admitted to professional courses.

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Medical Reimbursement : Reimbursement is given on par with State

Government. Advance for major illness and personal sickness of the

employee and their dependents are also provided.

Preventive Medicine and Healthy life Style Clinic at Bangalore and

Mysore : KSRTC Established to provide a comprehensive annual health

checkup program for the employees.

Recognition of Hospitals for Treatment : To provide adequate medical

facilities to the employees and their dependents more than 100 reputed private

hospitals and seven Diagnostic centers have been recognized by the

Corporation so far.

De-addiction Centre : A de-addiction programme WAPPA (Work Place

Alcohol Prevention Programme and Activity) was implemented in KSRTC

since 1997 to help the addicted employees to overcome the addiction, In

addition to the above the following facilities are also extended to the

employees like educational assistance in the form of scholarship to children of

employees / officers, awards to accident free awards for drivers (gold and

silver medals), sports and cultural activities, festival advance, counseling,

voluntary retirement scheme and library.

3.67 Performance Appraisal Method in KSRTC

Performance appraisal would refer to all the formal procedures used in

KSRTC to evaluate the individual potentials, contributions and potentials of group

members. Such appraisal should be continued to part performance must also be

assessed. To assess the performance of employee belonging to working group /

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miscellaneous group, a form called. “Performance Review Check Sheet” has been

used by the corporation. It would be done once in six months in KSRTC.

The points assessed could be 1) Health and Physical capacity,

2) Dependability (compliance with instructions), 3) Job knowledge, 4) Attitude

(Relations with colleagues and superiors), 5) Initiative, 6) Sincerity and loyalty,

7) Attendance and regularity, 8) Quality of work and productivity, 9) Conduct and

behavior, 10) Supervisory ability, 11) Overall rating, and 12) Whether fit for

promotion or further review.

Guidance for writing the report has been indicated at the reverse side of the

printed form. The above report would be written by the assistant branch manager /

unit officer and countersigned by branch manager / unit officer as the case may be.

The reports would be reviewed for corrective action including suitable guidance and

training at the time of regularization, probation declaration, review or promotion of

the employee concerned.

3.68 Confidential Reports on Supervisors / Managers

This report would be written once in a year or when the incumbent went on

transfer. A self assessment report for the period of the confidential report are

converging the matters like details of training courses attended, special work

undertaken by the individual on his own initiative for improving the corporations

performance / image, special task specifically assigned to him and accomplishment

and any specific problems solved worthy of recording would be obtained from the

officers of supervisory or managerial cadres. Then the reporting officer would write

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the confidential reports which could be reviewed at the time of regularization,

declaration of probation and promotion.

3.69 Review for Advancement to Higher Level Scales

An employee in the working group or a miscellaneous group should be

entitled (on the basis of review of performance by completing authority) for

advancement to higher scale after completing 6 years, 8 years and 10 of years of

qualifying service at the first level or second level or the third level as the case may

be. The advancement to higher level has not been automatic. It has been done based

on performance and other parameters prescribed by the management or appropriate

committee of officers constituted for that purpose who would do the review.

3.70 Working Conditions and Employee Safety

Road Safety is a major concern for Transport Sector in India, with fatality

rates about ten times than those of the developed economies, and trucks are

responsible for a disproportionate share of these accidents. The annual economic loss

from road accidents has been estimated to exceed `550 billion, with a majority

attributable to the truck fleet. To improve the safety record, driver training, licensing,

the working conditions of drivers, and enforcement of safety regulations must become

a priority for the Government. KSRTC meticulously follow the safety regulations and

train the operational staff.

3.71 Promotion Method Adopted in KSRTC

When vacancies are arose in KSRTC in higher cadres, the management used

to find out whether qualified workers were available in the corporation by going

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through internal employment plans, if eligible and workers were found available, they

would be promoted on the basis of both seniority and seniority-cum-merit basis. That

is to say, if there were two or more employees of different length of service with the

required qualification, promotion would be made on seniority basis. But at the same

time when two or more workers of equal service were competing for a post with skill

and additional qualification (merit) would be considered for promotion. The

promotional opportunities have been provided for the administrative staff technical

personnel, drivers and conductors.

3.72 Eligibility for Promotion

The Corporation shall prescribe Departmental Examinations / Tests for

promotion to various categories of posts where promotion is on the basis of seniority-

cum-merit and no person shall be eligible for promotion to any of the posts specified

in Schedule 'A' unless he passes the Departmental Examination/Test so prescribed.

3.73 Procedure of Transfer Adopted In KSRTC

Transfers have been effected by the management of KSRTC only on need

basis. The usual causes for transfer are Mutual willingness of staff involved,

individual requests (depending upon vacancies), and administrative convenience and

punishment. Transfer on account of punishment has been very rare. Transfer would be

done to enhance convenience of staff and without causing much dislocation and

disturbance to them. However the organizational interest would be given top priority

in this respect.

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3.74 Appointment by Transfer

Notwithstanding anything contained in these Regulations, the Corporation

may authorize such officers as it deems fit to appoint a person already in service in the

Corporation to any post by transfer of a person holding a similar post or a post in an

equivalent category / post / cadre.

3.75 Salary and Allowance

“Pay” would mean the basic pay drawn monthly by an employee in a time

scale of pay fixed to a post held by him. It would be personal pay, special pay and

other remuneration which would be specified as pay by the management. The pay

scales would be revised and finalized (once in four years) by periodical pay

settlements agreed upon between management and employees representatives at state

level.

3.76 Grant of Increment

An employee on a time scale of pay would ordinarily draw an increment in

the scale when he completed one year of service counting for increment unless the

increment was withheld as a measure of punishment or for not passing the

prescribed test or for not acquiring any special qualification as required for

declaration of probation by the competent authority. Annual increment occurring to a

quarter shall be advanced to the first day of the quarter in which the increment occurs.

A probationer with one year of probation would be entitled of draw the first increment

after one year of service and the second increment with effect from the date of

declaration of probation.

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3.77 Terms of Salary Settlement

The terms of settlement would include fixation of pay dearness allowance,

washing allowance minimum assured increase in gross emoluments, leave benefits,

special pay etc., Wage revision has been agreed upon at the end of every four years.

Settlement has been made between State Government and representative of

recognized unions of transport workers at state level.

3.78 Allowances and Other Benefits Provided in KSRTC

Besides pay and allowances, and benefits have found significant place in the

compensation system. Generally, these allowances and benefits would be provided to

promote employee, loyalty to the organization, to compensate against the increasing

cost of living and to motivate the employee for better performance to encourage him

to face the risk involved in the job and to share the profit in the form of bonus. The

allowances granted in KSRTC have been given as Dearness allowances, house rent

allowance, washing allowances. Health allowances, bonus, provident fund

contribution, night stay allowances, salary disbursement allowance and collection

bata.

3.79 Welfare Measures Provided in KSRTC Bangalore

The Corporation has to comply with the provisions of the Factories Act, 1948

in respect of health and safety amenities. The statutory welfare measures provided by

the KSRTC Bangalore have been as follows. Proper lighting, appointment of safety

officers, lifting machines, cranes chains etc., protection of eyes, precautions in case of

fire accidents, disposal of waste, provision of drinking water, provision of latrines and

urinals, fencing of machinery and proper maintenances of vehicles, building etc.

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These facilities and safe guards have been provided for the benefits of workers in

KSRTC, Bangalore.

3.80 Non- Statutory Welfare Measures

Most of the voluntary labour welfare measure (Non Statutory Labour Welfare

Measures) provided by KSRTC to the employees have been family and community

oriented rather than “individual oriented”. They could be Home magazine, funeral

expenses, free pass facilities, fairs and festivals, library and reading rooms,

educational facilities to employee‟s children, medical benefit, incentives and awards,

marriage advance, recreation facilities, free uniforms and shoes and fairs and festivals.

3.81 Motivation Methods in KSRTC

KSRTC Bangalore has been providing both monetary and non-monetary

motivations to its employees. The monetary motivations have been given by the

KSRTC Bangalore as monthly performance incentives, legal expenses innovation

award, award for not availing any leave, Meritorious Services Award, Award for

Safety and advance increments and the non monetary motivation schemes have been

provided by KSRTC Bangalore to Home Magazine and festivals and games.

3.82 Disciplinary Action and Conduct Rules followed in KSRTC

The conduct rules of the corporation apply to the employees of the corporation

except those coming under a contract or agreement subsisting between them and the

corporation. Some of the provisions of the conduct rules have been listed below.

i) Every employee shall maintain absolute integrity and should act to the best

interest of the corporation and serve honestly loyally and faithfully.

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ii) He shall comply with the provisions of all rules and regulations and should

not evade responsibility.

iii) Every employee should take leave with prior permission of the competent

authority and should take permission to leave head quarters.

iv) No employee should criticize or offer opinion on the policy or action of

the corporation or of Government of the State. Every employee should

maintain strict security regarding the corporations‟ affairs.

v) No employee should use his official position to secure jobs in private firms

for his relatives.

vi) The rules further enumerates act of omission and commission amounting

to misconduct (eg.) abusing or misusing of corporation property by self

and in combination with others, unauthorized use or vehicles, negligence,

one‟s own carelessness in duty, failure to effectively supervise the work of

subordinates, insubordination, dishonestly, misappropriation with the

business of the corporation, illegal strike, sabotage, moral turpitude,

breach of circulars or rules, dishonestly behaviour, damage to property of

the corporation threatening, assaulting an employee outside, on connection

with employment in the corporation, will be constructed as misconduct

and disciplinary action could be taken against such acts.

The management has the right to take disciplinary action after proper enquiry.

Sufficient opportunities would be given to the worker alleged of misconduct for

defending their interest. The disciplinary procedure adopted in KSRTC has been

reasonable, logical and systematic. It has included the following principles of natural

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justice like Oral warning, written warning, suspension calling for show case notice,

enquiry and action which may included demotion, penalty or pay cut discharge or

dismissal.

3.83 Grievance Redressal Procedures in KSRTC

Grievances would include complaints affecting individual employee on

payment of wages leave and transfer relating to policy of managements or

punishments under disciplinary rules matters of policy covering general issue should

have to be taken by the trade union and it would be outside the scope of grievance

procedure with the object of providing the employees easy and readily accessible

machinery for the ventilation and prompt redressal of their day to day individual

grievances and efficient grievance procedure has been adopted in KSRTC.

a) First Stage

First of all grievance petition in duplicate has to be submitted to the immediate

superior or offices not below the rank of assistant manager. He has to give his

decision in writing within 5 days of the receipt of the grievance petition.

b) Second Stage

If the officer either fails to gives a decision or give decision not agreeable to

the aggrieved worker, then the grievance would be passed on to the second stage.

Grievance appeal petition has to be submitted in duplicate to the officers in charge

nominated by the managing director who would be the General Manager (Personnel)

through the officers who gave decision of the first stage. The General Manager would

be expected to give a solution within two days. Whenever necessary he could consult

the concerned specialist, department, officers, head of the department or branch or

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unit concerned in order to settle, the Grievance at these levels he could in this case

take an additional period of five days

c) Third Stage

If the officer in fails has taken to give a decision within the stipulated period

or if the employee concerned has not been satisfied with the decision given by the

officer in charge, he could prefer to send representation to the Managing Director in

the form prescribed with all the facts, he would like of represent with a copy to the

officer in charge who had heard him. The Managing Director shall call for the

records relating to the first and the second stage and carefully examine the grievance

in consultation with the concerned officer, and if necessary after the personal hearing,

give his final division within 30 days from the date of receipt or grievance.

All decision on grievance taken under the grievance redressal procedure

should be in conformity within the rules, regulations and policies of the corporation.

The time limit allowed to the employee to represent the grievance from one stage to

another has been two days from the result of appearance in person before the

authorities shall be treated as duty. Number of employee should not have stoppage of

work until the procedures have been fully gone through and violation of the

procedures would make the employee to lose his rights under these rules.

The reviews were summed by the General Manager / Personnel Manager and

it should make an overall review of the grievances that arose during every six months.

The type of grievances that had arisen and the decision taken there on have also to be

reviewed. Action many be initiated on the basis of the review so as to prevent the

occurrence of such grievances in future.

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3.84 Employees Union and Management Relations in KSRTC

The relationship between the employees unions and management of KSRTC

was not cordial as expected. Because most of the unions have had conflicts with the

management of KSRTC as they fought for the common objectives, job security,

uniformity in pay scale and other allowance throughout the state. There were “15

employees unions” in KSRTC under study. It was significant to note that the majority

of the employees have become members in anyone of the unions. If was observed

that generally employees preferred to join unions. The unions are found emerged or

disappeared depending on the political futures of party in power in the state

Government.

Observations on the collective bargaining and functioning of trade unions will

be, the representatives of unions are permitted to represent the labour problems and

issues to the authorities at branch level / shop level. However, only recognized unions

have been authorized to represent the issues to authorities at head office level.

Similarly they could alone participate in the talks for wage settlement which is held

“once in four years” at state level. The union leaders would be elected from among

the workers. However, they would have close rapport with leaders of respective

political parties. The unions have been found keen on maintaining cordial relations

with officers of the corporation and management with a view of finding solutions to

the problems of their members. Nevertheless, the union affiliated to the ruling party

would enjoy much importance among the officers of the corporation.

The KSRTC, Bangalore has been providing noble mobility services to the

public for the past 35 years. It has vast fleet strength catering the transport needs of

four districts with the aim of extending economical and efficient transport facility.

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Though it adhered strict rules and procedures formulated by the State Government,

there existed the practical complexities in resolving the grievances of workers and in

understanding their attitude. Streamlining the HRM practices would be very essential

to implement the best practices and detailed analysis of the human resource

development could help the KSRTC to improve upon.

Summing Up of HRM practices

This section of the chapter brings out the significance, role, objectives, and

principles of human resource management practices in clear terms. The various

human resources management practices adopted by the management of KSRTC,

Bangalore have been elaborated with a view to highlight the existing aspects of HRM

practices. This would help the researcher to relate the prevailing HRM practices to the

current and realistic perceptions‟ of the corporations‟ employees / study respondents

and the results would enable the corporation to fine tune the HRM practices so as to

maximize the whole hearted involvement of their employees in providing best

services to traveling public leading to profitable financial performance.

In section II of this chapter, the HRM policies and practices have been vividly

illustrated by scouting details, informations reforming records and evidences,

inquiring and discussing with HR department executives and trade unions. This

presents a clear understanding as to what exactly the HRM policies and practices are

in KSRTC. Thus the researcher achieves the realization of second objective viz.,

to understand the Human Resource Management Policies adopted by the

Karnataka State Road Transport Corporation. Hence the researcher had

achieved the realization of the second objective.