State allots ₹50 crore to form welfare board for auto and taxi drivers

Mumbai govt allots ₹50 crore to form welfare board for auto and taxi drivers, introducing schemes for health, education, pension, and more.

Mumbai: After years of unions demanding provisions for auto and taxi drivers, the state government on Saturday decided to allot ₹50 crore to form a welfare board for auto and taxi drivers which will introduce schemes related to health, education, pension, medical treatment, financial assistance and scholarship for the drivers’ kids.

Mumbai, India - Nov 03, 2023 : Auto Rickshaw moving Near Metro stations, at Andheri, in Mumbai, India, Friday, Nov 03, 2023. (Photo by Vijay Bate/HT Photo)

Chief minister Eknath Shinde, who started his career as a rickshaw driver in Thane, announced to setup the welfare board. A government resolution (GR) was issued on Saturday which said that there was a demand made for a separate board.

The welfare of auto and taxi drivers will finally be taken care of with the state government allotting ₹50 crore to form a welfare board which will extend around eight to nine schemes related to health, education and scholarships for the children of drivers, pension for their old age, medical treatment of drivers in an accident and financial assistance in case of death etc.

The unions said almost 10 lakh auto and taxi drivers in the state will stand to benefit though the total estimated number of beneficiaries and funds required could be much more.

“We welcome this move as it will certainly help the drivers. The amount however could have been more,” said A L Quadros, veteran trade leader and taxi union leader.

For a long time, the unions had been demanding provisions to take care of the drivers and their families who don’t have a long-term mechanism in case they lose their livelihood. Sources said early last year the state labour department began formulating the process of setting up a welfare board for drivers of auto rickshaws, taxis and other sectors.

The state is expected to put a cap on the monthly income of ₹10,000 while extending benefits to the drivers based on the definition of below the poverty line. “We have submitted a list of demands that can be taken up by the Welfare Board which includes roping in insurance companies to whom the permit holders pay annually. A portion of this amount can be utilised to pool in money for the welfare of the auto and taxi drivers,” said Thampy Kurien, auto-rickshaw union leader.

The state government is also tapping various sources to fund that would aid these drivers in the overall maintenance of their black and yellow vehicles. Apart from taxi and auto drivers, there are chances of covering drivers from other sectors like aggregator services, goods carriages, and truck-tempo operators.

States like Tamil Nadu and West Bengal have welfare boards and schemes for drivers. The accident-related insurance and health coverage are most important for drivers that the unions expect to be covered by the Welfare Board.