Noida Authority proposes measures to end Contract Culture, Will employ contractual workforce directly!

28/11/2017         Saurabh Kumar

Noida Authority has now has decided to demolish the contract culture of working and is willing to employ more direct employees to fill up the gap. A draft proposal regarding the same has been forwarded to the government and an approval is awaited.

If the proposal gets government approval then 4571 contractual staff who are working under different contractors will be get a direct employment under Authority on an ad hoc basis.

The step is being taken to save upon the unnecessary expenditure, as Noida Authority is already gripped with serious financial crisis.

After the proposal comes in to implementation the authority will be able to save 2.5% commission that was given to the contractors as well as will not have to pay 18% GST that is charged on taking their services.

As per the blue print of master plan 2031, city is expected to have a population of 30 lakh residents. At present the population is less than half of this estimate at around 10 Lakh.

The work related to cities basis amenities like water, sever, electricity, park maintenance etc. is all done through contractors who hire their own staff as per requirement. The authority in-turn pays the salaries of these staff as well as 2.5% commission and under the new taxation law also 18% GST.

Since a long time many of these staffs were demanding a permanent employment with the authority and regarding this they also have done many demonstrations in the past.

Now a letter from the side of ACEO has been send to the combined secretary of Industrial Development for to get a nod regarding direct temporary employment of these 4571 workers currently employed under different contractors.

If this turns into reality then it will be the end of a long running contractual practice in the Authority which has also come under scrutiny for different reasons in past.