Question : EXPENDITURE REFORMS COMMISSION



(a) whether the Expenditure Reforms Commission has made series of recommendations on downsizing the strength of the railway employees/ privatization of some of the operations;

(b) if so, the details of the observations/ recommendations made by the Commission;

(c) the reaction of the Government thereto; and

(d) the action taken/ proposed to be taken by the Government on those recommendations?

Answer given by the minister

MINISTER OF RAILWAYS (SHRI NITISH KUMAR)

(a) to (d) A statement is laid on the Table of the Sabha.

STATEMENT REFERRED TO IN REPLY TO PARTS (a) TO (d) OF STARRED QUESTION NO. 531 BY SHRI ANANT GUDHE TO BE ANSWERED IN LOK SABHA ON 02.05.2002 REGARDING EXPENDITURE REFORMS COMMISSION.

(a) & (b) The Expenditure Reforms Commission in its report, does not mention about downsizing, with specific reference to Railways. However, in their supplementary note titled “Task Ahead” brought out in September 2001, the Expenditure Reforms Commission has mentioned Railways in the context, that only in the case of very large staff oriented services/ production organizations like Railways, Ordnance Factories etc. would there be a need for outside professional services, to review the staff strength. No reference has been made by the Expenditure Reforms Commission with reference to privatization of operations in Railways.

(c) & (d) Railways have already been following the policy of rightsizing since over a decade. The staff strength as on 31.03.1990 and as on 31.03.2001 is given below:

As on	Total Staff
31.03.1990 18,06,724 31.03.2001 15,45,308 Reduction 2,61,416


Railways have also drawn its road map in the year 2000 itself, whereby decision had been taken to restrict annual intake of staff to a maximum of 1% of men on roll excluding compassionate appointment, as against the average retirement of 3% per annum. By the end of year 2010, reduction of about 26% in the staff strength has been envisaged.