COVID-19: Railways to implement austerity measures, cut down on wasteful expenditure

With revenue to take hit severely due to COVID-19 pandemic, Indian Railways is working on to implement strict austerity measures by cutting down on wasteful expenditure in the organisation including reducing ticket booking counters and reducing cost on staff.

Railway Finance Commissioner Manjula Rangarajan in a letter to General Managers of Zones suggested number of measures to cut down the costs including freezing of creating new posts, posts created in the last two years and not filled should be abolished, uneconomic branches should be closed down and reconsider staff re-engaged after retirement.

“Review of posts created in the last two years should be done and if recruitment has not been done against those posts, the same may be reviewed for surrendering,” the letter said.

Follow live updates on the coronavirus here

“Review and closure of uneconomic branch lines to the extent possible, " she said as part of the government measures to tighten the expenditure.

Reduce passenger reservation system (PRS) counters and redeployment of Enquiry Cum Reservation Clerks due to decrease in the over-the-counter reservation, some of the measures the railways wants to implement.

The railways also suggested zonal offices to ensure annual General Manager inspection, a “silent and low key affair with minimum number of staff required.”

" An effort has to be in control activities, works, purchases and all contractual obligations so that the liabilities are controlled within available funds, the allocation of which should be prioritised,” said the railways.

Due to nationwide lockdown, the railways suspended its passenger trains services from March 24 and only freight trains transporting essential commodities operated.

At present, besides freight trains, railway is operating 100 pair regular passengers trains and 15 pair special Rajdhani.