SUMMER INTERNSHIP

AT
Tamilnadu State Transport Corporation Ltd.,

Submitted by
R.Revathy
Reg No: 09MBM036

Under the guidance of

Mrs. Kanchana Iyer M.Phil, MBA
Lecturer
GRG School of management studies

GRG SCHOOL OF MANAGEMENT STUDIES

Peelamedu Coimbatore-641004
 Contents

S.No Particulars Page. No.

1. Objective of the study 3

2. Methodology 4

3. About the Organization 5

3.1 Present Status 5

3.2 Organization chart 6

3.3 Divisions and Branches 6

4. Functional Department 8

4.1 Reconditioning Unit 9

4.2 Traffic and Commercial section 13

4.3 Personnel Department I 16

4.4 Personnel Department II 20

4.5 Welfare Section 23

4.6 Accounts Section 26

4.7 CPS 27

4.8 MIS 28

4.9 PBS 29

4.10 Law I 30

4.11 Law II 32

4.12 Pension Fund Section 33

4.13 Bills Section 35

5. Bibliography
1. Objective of the Study:

 To learn about the industrial exposure

 To get training or working experience
 Learn more about the organization
 To analyze the company
 Find out the issue and work on it
2. Methodology:

The method of collecting the information is primary and secondary. Primary

information means sitting and collecting the information directly from employees. Secondary
information is to collect the information by using the files and records that they maintain.
3. About the Organization:

Cheran Transport Corporation Limited was incorporated on 17.02.1972 commenced

its service on 01.03.72 with 110 fleets taken over by M/s Anamalai Bus transport Limited,
Pollachi. In view of its huge size Cheran Transport Corporation Limited was bifurcated and
new corporation namely Jeeva Transport Corporation started function with headquarters at
erode. Later the corporation has splited into 2 corporations namely Cheran Transport
Corporation and Mahakavi Bharathiyar Transport Corporation. Then it has changed its name
Cheran Transport Corporation as Tamilnadu State Transport Corporation Limited,
Coimbatore and Mahakavi Bharathiyar Transport Corporation as Tamilnadu State Transport
Corporation Limited, Udhagamandalam on 01.07.97. Tamilnadu State Transport Corporation
Limited, Udagamandalam merged with Tamilnadu state Transport Corporation limited,
Coimbatore with effect from 07.11.2000. The Tamilnadu State Transport Corporation limited
has two regions namely Coimbatore region and Erode region.

3.1. Present Status:

At present (May 2010) the corporation is operating with 8 divisional offices and 40
branches. The corporation is operating 22.22 lakhs kilometers per day benefiting 29.98 lakhs
passengers per day. The employees working in the corporation are 11374 employees in
Coimbatore and 6677 employees in Erode region. The fleet strength of the corporation is:

Name Coimbatore Region Erode Region

Town 853 421

Mofussil 468 571

Ghats 413 -

Spare and Idle 173 105

Total 1907 1097

 Nationalization of Bus Transport in Tamilnadu:

Nationalization of private bus transport service in Tamilnadu was started in 1947 in

Madras city. In 1973 an act was passed for nationalizing all private bus in Tamilnadu. The
government buses in Tamilnadu is 63% and private buses is 37%.

3.3. Organization Chart:

Board of Directors

MD/Manager/ SDM

GM/SDM

DM DM DM DM DM DM DM DM
Commercial Technical/ Workshop Accounts Divisional Materials Personnel/ EDP/MIS
Civil Manager 9 Legal
AM/SGAM AM/SGAM BMs AM/SGAM AM/SGAM
Operation RC, Tyre, Body AM/SGAM (31) Quality, Distribution
Squad Audit AM Control & Cases
AM/SGAM AM/SGAM Bus stands Disposal AM/SGAM
Permit Tax Technical Squad MACT
AM/SGAM
AM/SGAM Personnel
Project

3.4. Divisions and Branches of Corporation:

The corporation has 8 divisions and 40 branches. The divisions of corporation are

 Coimbatore (East)
 Coimbatore (West)
 Pollachi
  Tirupur
 Ooty
 Erode
 Gobi
 Kangayam

The branches included in the corporation are as follows:

S. No Branches S. No Branches
1. Uppilipalayam 21. Ooty1
2. Sungam 1 22. Ooty 2
3. Sungam 2 23. Conoor
4. Ondipudur 1 24. Kothagiri
5. Ondipudur 2 25. Gudalur
6. Maruthamalai 26. Erode 1
7. Ukkadam 1 27. Erode 2
8. Ukkadam 2 28. Perundurai
9. Head Office Branch 29. Bhavani
10. Mettupalayam 1 30. Anthiyur
11. Mettupalayam 2 31. Gobi
12. Pollachi 1 32. Koundampadi
13. Pollachi 2 33. Nambiyur
14. Pollachi 3 34. Sathy
15. Udumalapet 35. Thalavadi
16. Palani 36. Tirupur
17. Valparai 37. Kangayam
18. Tirupur 38. Dharapuram
19. Karumathampatti 39. Palani
20. Palladam 40. Karur

4. Functional Departments:

The corporation has various departments to perform various works. The following are
the departments in the corporation:

 Reconditioning Unit
 Traffic and Commercial
 Personnel Department 1
  Personnel Department 2
 Welfare
 Accounts
 Central Parts Store
 Management Information System
 Pay Bill Section
 Law 1
 Law 2
 Pension Fund
 Bills Section

The detailed explanation of the departments is explained below:

4.1. Reconditioning Unit

4.1.1. Pollachi:

The Pollachi has reconditioning unit for main parts of bus. This includes the following
items:

 Brake
 Slack Adjuster
  Thyroid End Assembler
 Clutch
 Gear Box
 Clutch Cover
 Brake Components
 Air Compressor
 Distribution Unit
 Alternator
 Self Start Motor and Armiture
 Brake section – Assembling and Dismantling

4.1.2. Mettupalayam:

The Mettupalayam is always known as Reconditioning Unit. In Mettupalayam they

have four kinds of important process. It includes

 Disposal
 Tyre Reconditioning
 Spring Reconditioning
 FC Unit

Disposal:

Disposal means selling the waste materials in auction sale. All branches waste
material will be sent to Mettupalayam for auction sale. All waste materials are sold in auction
sale from that the corporation can earn some money. The earned money will be sent to the
accounts section for auditing. The steps included in the selling in the disposal process is

 Collect all the waste materials from various branches and register in a book called
scrap book.
 The corporation will issue the form for auction sale and parties should fill their
amount in the form at what price they are ready to get the materials with the demand
draft for 10% amount and send to the corporation.
 The corporation will select the highest price coated by the party. The party should pay
the 25% amount at the spot immediately.
 After that the corporation will prepare the confirmation order and sent to the party.
  Within 7 working days from after receiving the confirmation receipt the party should
pay the full amount to the corporation.
 It the amount not paid by the party to corporation, the corporation will charge 18%
penalty on the net amount.
 After amount paid if the party dint take the delivery goods within 7 working days,
after the 15 days the corporation will charge 0.5% ground charge will be charged to
the party.

Tyre Reconditioning:

The used tyre is reconditioned to use it again at maximum level. The tyre can be
reconditioned at 3 to 4 times. The repaired tyre will be daily send to Mettupalayam and the
tyre which is ready to deliver can be taken by the person who sends the repaired tyre. It will
be like a rotation type. The steps for reconditioning tyre is

 First the tyres are received from various branches and checked for the damages in
them.
 After that they will take necessary steps to solve the damaged parts mainly eroded
tyres.
 First the outer layer of the tyre will be removed by using ‘Puffing Machine’. With this
machine the outer layer of the tyre will be removed and kept for next process.
 Next the tyre will be cleaned by using ‘Racefer Tool’.
 The tyre which is cleaned and the new outer layer called ‘Precudecut Rubber’ will be
applied with the solution called ‘Valcunnection Cement’.
 After 30 minutes of applying the solution the tyre will be pasted with a cover called
‘Banding Rum’.
 Later with the use of ‘Vershing Machine’ the Precudecut rubber will be pasted in the
tyre.
 Then they have to boil the tyre with the Parachute cloth and then cover with the
Envelope cover by covering the tyre.
 The tyre will be kept in ‘Electric Chamber’ machine to boil the tyre at 125 degree for
3 hours.
 After boiling the tyre will be taken from the machine and they will remove the
envelope and parachute cover.
  Now the tyre will be checked and if there is any damages it will be again done from
first process.
 Other tyres are inserting with the tube with pilaf inside. The plaf is produced in the
corporation by using ‘Electrical Mold Tuning’.
 Now the tyre will be ready to use and it will be send to the delivery unit.

Spring Reconditioning:

 The spring is a thing which is used in the bus. The spring will be situated in the bus
near the tyre.
 By using the bus for many days the spring will be broken automatically.
 The broken spring will be replaced with the new reconditioned one.
 The broken spring will be sent to the reconditioning unit for further process.
 The spring has 6 to 7 layers in it. In broken piece only any one or two layer will be
found broken.
 The broken layer will be removed from spring and replaced with the new layer.
 Later the spring will be arranged and kept for deliver.

FC Unit:

FC means Fitness certificate. The bus should get FC yearly once and RWC (Road
Worth Certificate) for 6 months once. The bus will be coming to FC unit with RC book. The
following works will be done for FC. It includes

 Body damage
 Painting work
 Mechanical work
 ABC work
 Water wash
 Wheel service
 Brake
 Spring
 Electrical work
 Replacement of seats
 Engine works
 The amount charged for FC will be RS.500 + Rs.50 for service charge. If the bus comes
from RTO office for any other reasons extra Rs. 75 will be charged. The amount charge for
RWC will be Rs.125+Rs.50 service charge. If bus comes from RTO office for any other
reasons extra Rs. 75 will be charged.

Brake inspector will check the bus and issue the Fitness Certificate. The small paper
will be pasted in the RC book for FC and RWC that have done. The contract work will be
done in FC unit for several works. It includes the body work and paint.

The amount charge for body work will be Rs. 300 to Rs. 10000 according to the
damages done. The amount charge for painting work will be Rs. 300; the amount can be
reduced and cannot be increased. The Head office will be approving for all contracts.

4.2. Traffic and Commercial Section:

The traffic and commercial section is the important section in the transport
corporation. All operations related to transport corporation are deals in this section. The
following are the works to be done in this section.

The corporation is like a private concern but governed under rules and regulations of
government. It’s a company undertaking of government works. The traffic section will
decide the number of buses to be run in the particular route. If they receive the letter of
requesting the bus for particular route, this section will take necessary steps to allow new bus
in that particular route. They will check whether it need bus for that route and spare bus will
be run as trial for 10 days. If it is nice and more passengers get benefitted of that the
corporation will allow a new bus in that route with proper permission from higher authorities.

If the public requested the corporation for any bus during the college or school
timings or any other particular timings the traffic section will check and allow the new bus in
that route. When any special occasion happened like Siva Rathiri or some other thing the
corporation will allow special buses during that time to serve the public and to clear the
traffic.

The corporation will receive complaints from public and take necessary steps for it.
The corporation buses RC (Registered Certificate) books are maintained here. Bus pass
details are deals in this section. In this section they will analyze the buses which are running
in profit & loss and modify it with a proper permission. The following are the steps which are
followed in this section:

- Bus Registration
- Replacement
- Tax for buses
- Variations – Extensions of Routes with permission
- New bus for any routes if needed.
- Bus Timings

4.2.1. Tax Payment for Buses:

The corporation should pay the tax for buses in the RTO office every year – quarterly
or half yearly. The calculation for the tax is done in this section according to the seating
capacity of the buses. There is no tax for driver and conductor seats. In RTO office they
collect different taxes for different types of buses. The tax calculations are:

 Town bus:
The tax for the town bus are Rs. 325 + 10% surcharge = Rs. 357.50/seat/quarter.
  Mofussil bus:
The tax amount for Mofussil bus are Rs. 400 + 25% surcharge = Rs. 500/seat/quarter.

 Spare bus:
The tax for the spare buses is 3/4th of the maximum amount paid per seat per quarter.
The amount is Rs. 375/seat/quarter.

4.2.2. Town bus service:

Town bus means the buses which are operating inside the city. The town bus has the
capacity to run maximum of 30 – 32 Kms. The buses have two things namely stop and stage.
Stop means bus stop, stage means the stop which comes after every 2 Kms. Every 2 Kms
they have reached the conductor should make entry of ticket numbers in the invoice they had.
The bus fare for the town bus will be Rs. 2 to Rs. 6. The bus has two drivers and two
conductor with one spare driver and conductor. The timings for the buses will:

 Ordinary – Rs. 2.00

 LSS – Rs.2.50
 Express – Rs.3.00
 Semi Low Floor – Rs. 5.00

4.2.3. Mofussil bus service:

Mofussil bus means the buses which are operating outside the city i.e., intercity
operation. The Mofussil bus has the operations more than 30 Kms. If the Kms are more
(Madurai, Salem, etc.,) there will be only one round/day/bus. If the Kms are minimum then
the trip will be increased. The drivers and conductors who are working in Mofussil bus
should work only 3 days per week 3 days on duty holiday and 1 day leave is allowed for all
employees. If the drivers and conductors are absent spare driver and conductor will be sent.
The spare driver and conductor will get full salary even if they dint work also.

4.2.4. Meetings:

The meetings of the corporation are arranged by this section. The following are the
meetings which are conducted in the corporation.
  Branch Meeting
 Divisional Officers Meeting
 Unit Officers Meeting – Head of the department or Deputy Manager will attend.
 Special Operation Meeting
 Board Meeting
 Finance Company Meeting
 Local Bodies Meeting
 Labors Meeting
 Unit Meeting alone will be arranged by MIS department

4.3. Personnel Department 1:

The Personnel Department is the important department in the transport corporation.

The major works done in these departments are appointments and transfers. The
appointments and transfers of driver and conductor are the major activity in this section.

4.3.1. Appointments:
 The appointment of drivers and conductors for the transport corporation are deals in
this section. The appointment of drivers and conductors will be based on the certificates
which are required in the government. It includes SSLC certificate, driver license, medical
certificate, community certificate, etc., After verifying all these certificates appointment will
be done. If any certificate is not there they will reject the application. The appointment will
be based on the number of vehicles available and the number of drivers and conductors need
for it. The spare driver and conductor will also appointed. It any persons died during their
working periods their child or wife will get the job with the proper meetings conducted. The
appointment will also be based on the sports quota.

4.3.2. Transfers:

The transfer for the driver and conductor will be decided in this section. The transfer
will be based on the drivers and conductors family situation, government order or
punishment. If the drivers and conductors need transfer because the family will be situated in
different place from his working places so he may wish to ask transfers. If the drivers or
conductors did any mistakes like accident, drunk, resale of tickets, etc., for punishing them
the corporation or government will do transfer.

4.3.3. Reappointment of Drivers and Conductors:

If the any drivers and conductors are dismissed or suspended for any reasons like
mistakes done by them, punishments and medically unfit. If the persons are left the job for
these reasons they can be again reappointed with the proper meetings conducted with the
Board of directors and government order for reappointment.

4.3.4. Training Institute Centre - Pollachi:

The training institute in Pollachi established during 1978 to impart training to crew,
technical staff, line staff and supervisory staff. In Pollachi the corporation has reconditioning
unit and training institute for drivers and conductors. The office timings for Pollachi are 8am
to 5pm. The training given in the institute is:

Driver Training:
 The training will be given to the driver after their appointment. The training for driver
includes driving the bus without any accident, friendly behavior with customers, increasing
the KMPL, maximum usage of diesel, etc., Practical training will be given to the driver for a
minimum kilometers. The training also given in SIMULATOR.

Simulator:

The simulator is like a video game its shows the physical presentation like driving the
bus. In that they have fix the computer to show the trainer how the driver is driving and
shows the report whether excellent, good, fair or bad. The simulator was installed in Training
Institute to impart training to newly recruited drivers and existing drivers to improve their
driving skills. 196 drivers were imparted training in this unit. The cost for using the simulator
is Rs. 1250 for 40 minutes and Rs. 550 for 25 minutes.

Conductor Training:

The training will be given to the conductor after their appointment. It includes
friendly behavior with customer, how much cost for the particular kilometers, duties of
conductor, route map, and discount bus fare, etc., the training will be in lecture type with
exercise and yoga. In training they teach how to use the ETM machine.

ETM (Electronic Ticket Machine):

The ETM machine will be useful in checking the sold tickets without any fraud by
conductor. It will show the correct fair for every shop and the conductor’s mistake also
identified easily. The ETM was introduced from 18.12.07. As on 31.03.10 1280 machines
were introduced in Coimbatore.

4.3.5. Employee information:

Drivers:

 With the following certificates the person should go and register in employment
office. It includes SSLC certificate, age 24 completed and driver license.
 In employment office they will call for interview and conduct the interview for the
persons.
  After the completion of interview they will check the some certificates. It includes
SSLC certificate, height and weight, license, eye test and medical fitness certificate. If
IRT (Institute of Road Transport) certificate is available there is no age limit.
 Later the corporation will send an appointment order to the particular person with the
issue of RD (Reserve Driver) No. which represents he is a temporary and get daily
wages of Rs.213.
 Later he will be sent to Pollachi for a period of 30 days training.
 After their training period gets over they will be have a posting, i.e., fixing a person
for particular bus.
 When a temporary driver works for 240 days without any case or problem he will be a
permanent staff. After that he will get monthly salary which includes basic, dearness
allowance, etc., \The starting salary will be Rs. 8300
 If any accident is done by the driver the corporation will give punishment and again
30 days training will be given for that driver.
 The drivers have to show their improvement in mileage, diesel consumption, usage of
spare parts, etc.,

Conductors:

 With the following certificates the person has to go and register in the employment
office. It includes conductor license, SSLC certificate and ration card Xerox.
 In employment exchange they will call for the interview. After their interview they
have to produce some certificates. It includes employment office registration form,
community certificate, medical certificate, etc.,
 After verification of certificates they will sent the order for appointment and training
will be given in Pollachi.
 In corporation they will give PR (Pay Roll) no for them to identification.
 The training will be in lecture type, practical training for one day and which ticket for
which shop, etc.,
 After training they have posting in the corporation.
 The conductor will work as a temporary conductor and receive daily wages at Rs.212.
 If a person works 240 days without any case he will be confirmed as a permanent
conductor. The starting salary for the conductor will be Rs. 8300.
 The conductor should report their daily collections in the branch office collections
section.
  If any mistakes or damages done by the conductor he will be suspended and sent to
training to Pollachi for a particular period of time. The increment will be postponed
for any cases.
 He has to take the ticket book from branch before one hour from branch, should write
the ticket number in voice at every stage, should show the improvement in
collections, customer safety, bus stand signing, etc.,

4.4. Personnel Department 2:

In Transport Corporation every departments are important to run the corporation

smoothly. Likewise the Personnel department is also very important. There are many works
which are important to perform in this section. The works which are perform in this section
are finding the shortage of drivers and conductors, salary increment for employees, fixation
of salary, settlement for employees and promotions.

4.4.1. Shortage of Drivers and Conductors:

 In this section they will calculate the number of conductors and drivers who are working
and compare them with the needs of the drivers and conductors with the norms that
government allotted. With this comparison they will find out the number of drivers and
conductors who are needed for the corporation. This will be sent to the Personnel Department
1 to inform to employment exchange and call for interview to give appointment to them with
proper procedures.

4.4.2. Salary Increment:

The salary will be given to the employees every month; the increment in the salary will
give yearly once. It will be given once in a year at following terms February, May, august,
November. Within these four months the salary increment will be done. If any mistakes are
done by the employees their increment will be postponed. If the increment for the employees
is postponed within the four months which are mentioned they will avail of increment if not
there will be no increment for that particular year. For the every review there will be
increment in the basic at 5%. After 10th, 20th and 30th year there will be special increment in
the salaries of the employees.

4.4.3. Fixation of Salary and Settlement:

The salary for the every employee is fixed in this department. After appointment of the
employees from the personnel department 1 the salaries are fixed in this department. The
salaries will be fixed according to the norms they have. The settlement is given to the
employees 3 year once for encouraging them to do their work.

4.4.4. Record Maintenance:

The separate register will be maintained in the corporation for every employee. In that
register they will have the full details of the employees. It includes PR.No., name, design,
date of appointment, daily wage or salary, date of retirement, community, license no.
language known, family details, salary increment, promotions, settlement, etc.,

4.4.5. Reviews and Promotions:

 The review is like a promotion but not exactly a promotion. The review is done to the
employees automatically after a fixed period of time. The promotions for the employees are
done only if there is any vacancy. For the review the employees will get increase in their
salary, for the promotion they will get senior post to work in the office. The following are the
reviews done in the Corporation.

 Security Guard:
After 6 yrs After 8 yrs After 10 yrs
Security guard Senior Security Selection guide Special guide Security
Guard Security Guard
 Driver:
Driver Senior Driver Selection guide Driver Special guide Driver
 Conductor:
Conductor Senior Conductor Selection guide Conductor Special guide
Conductor
 Clerk:
Clerk Senior Clerk Assistant Senior Assistant
 Non IT Holders:
Helper Junior Trades Man Assistant Trades Man Trades Man
 Technical staff:
Junior Trades Man Assistant Trades Man Trades Man Senior Trades
Man
 Superintendent:
Superintendent Senior Superintendent Selection Officer Selection
Guide

 Graduate:
Junior Assistant Assistant Senior Assistant Selection Guide
 Diploma Holders:
Junior Engineer Senior Assistant Selection Guide Assistant Assistant
Engineer Engineer Manager
 B.E Holders:
Assistant Engineer Senior Assistant Selection Guide Assistant
Manager Engineer Assistant Engineer
Promotions:

The promotions will be avail only if there is vacancy. The following are the
promotions which are given after their all reviews:

 Security – Section Chargent (Supervisory)

 Junior Trades Man – Foreman
 Driver – Checking Driver
 Conductor – Checking Inspector
 Junior Assistant – Superintendent
 Superintendent – Assistant Manager

4.5. Welfare Section:

Employee welfare measures is done for the comfort and improvement of the
employees and its provided over and above the wages welfare helps in keeping the morale
and motivation of the employees high so as to retain the employees for longer duration. It is
not a monetary condition, harmpony through infrastructure for health and insurance against
disease, accident and employment for those activities of employer which are directed towards
providing the employees with certain facilities and services in addition to wages or salaries.
The objectives of labor welfare are as follows:

 To provide better life and health to the workers

 To make the workers happy and satisfied
 To relieve workers from industrial and to improve intellectual cultural and material
conditions of living of the workers.
 To bring about the development of whole personality of the workers to make a better
workforce.
 To regular wages and other economic benefits available to workers due to legal
provisions and collective bargaining.
 It includes various facilities like service and amenities provided to workers for
improving their health efficiency economic betterment and social status.

4.5.1. Employee Welfare Scheme:

The corporation provides welfare facilities to their employees to keep their motivation
level wish. The employee welfare scheme can be classified into two categories:

 Statutory Welfare Scheme

 Non Statutory Welfare Scheme

Statutory Welfare Scheme:

The statutory welfare scheme is compulsory to provide in organization as compliance

to the law governing employee health and safety. This include provisions provide in
industrial act 1948, Dock workers act (safety, health and welfare) 1986, Mines act 1962. The
statutory welfare scheme includes the following:

 Drinking water
 Office equipments
 First aid appliances
 Canteen facilities
 Washing places
 Rest rooms

Non Statutory Welfare Scheme:

 The non statutory welfare scheme differs from organization to organization and from
industry to industry. The non statutory welfare scheme includes the following:

 Personal health care – regular check up

 Flextime – comfortable working hours
 Employee assistance programs – counseling for various matters
 Free pass to the family
 Marriage loan
 Festival advance – Rs. 1000/year
 Education advance – Rs. 1000/year
 Education facilities – 50% seats are allotted to TNSTC employees children in
government college

4.5.2. Leave Provisions and Medical Facilities:

Types of Leave:

 Earned Leave:

The earned leave is allowed to the employees are two and a half day for each
completed calendar month of service.

 Casual Leave:
The casual leave is a leave which is allowed to the employees 12 days per year.
 Maternity Leave:
One year of service is eligible for maternity leave. The maternity leave of 90 days is
allowed on production of medical certificate. The maternity leave is allowed only for
two child’s not more than that. In case of abortion 42 days leave is allowed on
production of medical certificate.

Government Holidays:

 Festival Holidays – 5
 National Holidays – 4
 Optional Religious Holidays – 2

Medical Facilities:
 The medical facilities are allowed every month at the rate of 4% on basic and
dearness allowance.

4.5.3. Canteen facilities:

Subsidized canteen is run by the department itself. It provides the facilities at a lower
cost. They provide full meals at Rs. 1.25, coffee at 30 paise and tea at 15 paise. The coffee
and tea are provided two times to the employees at their table itself.

4.5.4. Transport Facilities:

The transport facilities are available to the transport employees. The transport
employees can travel in town bus freely with their family members. In Mofussil buses the
employees can travel freely but their families members can travel freely only up to 4500
kilometers.

4.5.5. Trade Unions:

The trade unions are started by the employees to fulfill their benefits. This includes
negotiation of wages, work rules, complaint procedures, and promotion of workers, benefits,
workplace safety and policies.

4.6. Accounts Section:

The accounts section is the main department in the transport corporation. It collects all
the information from other departments and various branches to prepare the profit & loss
account and balance sheet to know whether the corporation is running in profit or loss. After
preparing the accounts it will be sent to the auditors for auditing. Later it will be published to
all who demand for the accounts report. The following are the works which are doing in the
accounts section:

 All incomes which includes collections, training fees, damage cost, scrap sale, etc.,
are received and expenses which includes diesel, electricity, taxes, bank charges,
print of ticket and stationery, etc., are paid.
 With these incomes and expenses calculate the revenue
 Maintenance of cash book
 Cheques
 Collections
 Loans and advances
 Bank reconciliation statement
 Preparing of journal, ledger and balance sheet
 Preparation of profit & loss account and balance sheet

4.7. Central Parts Store (CPS):

Central parts store is the important one which sends goods or parts to all the branches.
All braches has its own store parts system to use if any parts get damaged in the bus. So all
the branches will send their requirement to the CPS and they will order for the items and
delivered to the branches. The four main activities done in the CPS are:

 Indent
 Issue
 Receipt
 Purchase

An indent list has to be handed over to the purchase section for placing the necessary
purchase order. According to the quotation, agents or sellers with the lowest price will be
chosen and the orders will be placed. The purchase order has to be realized to the concerned
party and to receipt stores and bills section for necessary follow up.

On receipt of purchase order, the party tends to supply items to the store. On receipt
of item, receipt store assure the quality as per the invoice and the materials are received after
the acceptance of quality. They will issue the items to the branches as per the requirement
received from the branch office.

4.8. Management Information System (MIS):

 The main work done in the MIS is to collect the various information from different
branches and provide the information when it is demanded. The MIS department will receive
the information’s like number of buses ran, collections per day, number of kilometers run,
number of passengers benefitted, revenues, usage of diesel, KMPL, etc.,

The main work is to check the attendance, prepare the salary and attendance form for
the employees. The employees attendance details will be sent to the MIS department through
files, email, floppy disk, etc., They will check the attendance from 21-20 for a month. This
section will help in cutting the salaries, PF amount, interest for any loans or borrowings, etc.

4.9. Pay Bill Section (PBS):

 The pay bill section will receive the salary form from the MIS and check the details in
it. If there is any mistake they will correct it and prepare the new one. Every month salary
form of all employees will be maintained here. The PBS will help to send the salary to all
branches. The various works that carried down in this section are as follows:

 Salary checking
 Earnings are deducted
 Sending the salary to all branches
 IT recover
 Checking and sending the cheques to all branches
 Deposit the salary in employees account
 Calculation of bonus

4.10. Law 1:
 Law 1 is the section which helps in dealing with the court case of any accidents done
in the transport bus. The following are the steps followed in the corporation for any accidents:

 FIR (First Information Report)

 File the case in the court
 Court notice – this is the notice send by the court to appear in the court for the
accident done.
 Petition – it is the form which state the name of the persons with full address, accident
time, date, biodata of him/her, claim amount that he claimed, etc.,
 Counter statement – this will have the full details of the accident.
 All copies will be sent to the lawyer for process
 Lawyer and the concern person will appear in the court for every date told by the
judge.
 Case will be going in the court for years
 Finally the judge will announce the judgment and the judgment copy will be send to
the corporation.
 If the judgment is not benefitted to the corporation they can appeal in the high court
within 90 days from the judgment reserved.

The judgment will be accepted and the corporation will pay amount to the person who
files the case. The accidents claim can be taken in three ways they are as follows:

 Damage
 Injury
 Fatal (Death)

Damage:

The accidents done by the transport drivers are dealed in the corporation. The damage
is one of the claims that are claimed by the persons. In this damage claim, the amount for the
damage that have done and the man power loss alone will be settled in the corporation.

Injury:
 This is one of the claims in the transport corporation. In this claim they will pay the
concern person the amount for the disability alone. The calculation part for the disability that
is followed in the corporation will be as follows:

30*1000 (fixed for all) = Rs. 30000+medical expenses

Fatal:

The fatal is one type of accident claim for any death done due to the accident. If the
person died within 30 days from the accident held it will be treated as accident. If he dies
after 30 days it will treated as injury. The corporation and court will be paid the amount to the
fatal as per their schedule. If the person is died when he is employed one third of salary will
be taken or else Rs. 1250 will be taken for the claim.

For E.g. if a person died at the age of 35 with the salary of Rs.6000 p.m. the compensation
will be as follows: Rs. 4000*12*17= Rs. 816000.

4.11. Law 2:
 The law 2 is the section which deals with the employees to give any punishment for
their accidents. The punishment will be given for Drivers, Conductors, Technical staff,
Officers and all employees for their disciplinary actions. Common service rules will be
followed for Assistant Manager, Deputy Manager and Officers. The Standing order will be
followed for drivers and conductors. If any employee in the corporation did not work
properly the basic report will be sent from the particular section to law 2 section. After seeing
to the basic report the employee will be called for enquiry. If it is true necessary actions will
be taken. The steps followed in the law 2 section are:

 FIR (First Information Report)

 Sent a report to government
 AE/JE/BM will go to the spot for enquiry
 Central Accident Officer will go the place and investigate
 CAO will prepare the accident report and send to the GM office
 Later the report copy will be sent branch where the driver who made accident is
working
 The respective staff will sent a report to the individual to whom the accident made
and get a reply from him
 After that in office they will take necessary steps/punishment to a particular person
 If a driver is making the 3rd fatal, he will be dismissed
 If a person is suspended for any accident or action again they will be sent to Pollachi
for training of 30 days

4.12. Pension Fund Section:

 In the corporation the pension will be given for the retired person. The person will be
retired after completion of 58 years or voluntary retirement at the age of 50 years/ 20 years of
service. The person who retires from the corporation will be given various pensions. They are
as follows:

 Employee Pension Fund

 Gratuity
 STERBS

Employee Pension Fund:

The employee pension fund is the government fund. Every month 12% will be cut
from their salary to issue pension at the last. This pension amount will be sent to government.
If an employee wish he can contribute more percentage of his salary to pension that is called
Contribution Pension Scheme. This pension amount will be transferred to Corporation
Pension Trust. When the pension amount is demanded the amount will be given to the
employee after opening pension account. The steps followed to open the pension account are
as follows:

 Before one month of retirement they have to open a PF account.

 Bank account copy, doctor certificate for both husband and wife, children birth
certificate, photos of husband and wife are the certificates which are demanded in the
corporation to open PF account
 The employee salary details will be collected from the Pf section to verify their no. of
service and their basic, based on this information the PF will be provided
 If the service of a person is below 30 years the concerned person will get only half
pension. If it is more than 30 years they will get full pension
 The calculation will be salary/2*no. of service/30+Rs 50 for health allowance

Gratuity:
 The gratuity is the amount which is given to the employee for their service in the
corporation. The employee who worked in the corporation will be provided this amount for
his service in the corporation when he retires. The persons who are eligible for the gratuity
amount in the situations like retirement, VRS, death, resigned, medical invalid and dismissed.
The person who works less than one year will not eligible for gratuity. The steps followed in
the corporation for the issue of gratuity is

 Calculation of date of joining and date of retirement

 Deduct non qualifying service
 After calculating their working days they will calculate the gratuity amount.
 Basic*no. of service*15/26
 The maximum eligible amount of gratuity is Rs.350000
 The person who died below 5 years of service will get full gratuity

STERBS (State Transport Employee Retirement Benefit Scheme):

This is another kind of pension issued to the employee of the corporation. It is a

separate pension. Retired, VRS and expired person are eligible for this pension. Rs. 50 is
charged in their salary every month to issue this pension. If a person is expired he will get
only Rs. 300 as pension. The person who works in the corporation for 15 years is eligible for
this pension. At present this pension is issued to 3040 employees in the corporation.

4.13. Bills Section:

 The bills section is one of the important sections in the corporation. In bills section
various kinds of bills are collected from all branches and departments. After verifying the
bills the required payment cheque will be provided in this section. The bills which are mainly
treated in this section are as follows:

 HID
 Tax for buses
 Sales tax
 Civil bills
 Creditors bills
 Advances
 Salary bills

HID (Highly Inflammable Diesel Bills):

 Each branch has separate diesel vehicle to carry for it.

 All branch diesel bills will be collected with proper sign by the persons
 The diesel is consumed from IOC, BPC and HPC
 The diesel rate will be fixed by the Petroleum corporation
 The value includes diesel value, transportation charge, other charge, etc.
 The payment for the diesel will be made weekly
 The load for the April month in the corporation is 4752KL, one Kilo Litre is equal to
1000 Litres.

Sales Tax:

The sales tax will be charged for auction sale. If any items sold in production unit will
also charged sales tax. The sales tax will be paid through internet. The vat will be charged for
every sale. The vat tax will be 4% for metal scrap, 12.5% for tyre, paint and bus body. If any
items sold to government only 4% vat will be charged. Each and every month the tax will be
filed and paid.

Civil Bills:
 The civil bills are charged for the value of work. Any tenders is called in the
corporation will be signed based on their agreement. The parties will issue the civil bills for
their work. After receiving the bills the payment will be provided.

Creditors Bills:

The creditors will be received from the CPS. The creditor’s bills will be checked with
discount, taxes, etc., After receiving the bills the cheque will be passed within 30 to 45 days
for the payment. If there is any change in the discount or tax details amendment will be
created. After creating the amendment it will be sent to the parties for further corrections.
Stationary bills will be maintained here and payment will be provided within 30 – 45 days.

Salary Bills:

The salary bills will be received from the PBS. The cheque will be passed for each
and every employee in the corporation and again sent to the PBS for further process.
5. Bibliography:

 www.tn.gov.in/transport/cbedivone.htm