Prime Minister Narendra Modi’s recent appeal urging citizens to adopt work-from-home (WFH) practices, minimise unnecessary travel and rely more on public transport has sparked concern among cab drivers and travel operators, with industry representatives warning that the move could severely impact the employee transportation sector.
The Karnataka State Travel Operators’ Association (KSTOA) has written to the Prime Minister seeking urgent intervention and protective measures for the transport industry, stating that thousands of drivers and small travel businesses could face financial distress if work-from-home arrangements become widespread again.
Recently, fuel prices in Bengaluru were revised, a move that has hit travel operators.
KSTOA president Radhakrishna Holla said,
“We fully support measures aimed at reducing fuel consumption and encouraging the use of public transport. However, the employee transportation sector is heavily dependent on daily office commuting. If companies return to large-scale work-from-home practices, thousands of cab drivers attached to employee transport services in Bengaluru and other cities could lose their livelihood. The industry had already suffered immensely during the COVID-19 pandemic, and another prolonged slowdown could push many operators and drivers into severe financial distress.”
The association stated that the employee transport industry, which supports lakhs of jobs across the country, continues to play a crucial role in servicing India’s IT, corporate and industrial sectors especially cities like Bengaluru. However, despite its importance, the sector often remains overlooked during policy discussions, Mr. Holla said.
According to the association, transport operators had only recently begun recovering from the losses suffered during the COVID-19 pandemic and recent global economic uncertainties. The latest suggestions promoting work-from-home, carpooling and reduction in travel have once again created anxiety among commercial vehicle owners and operators.
Fears job losses
Mr. Holla said that many entrepreneurs in the sector have invested heavily through vehicle loans, mortgage loans, and overdraft facilities to operate employee transportation services. “Any decline in travel demand directly affects not only drivers and vehicle owners but also support staff and families dependent on the sector,” he added.
Ramesh Kumar, a cab driver attached to a private employee transport operator in Bengaluru, said another decline in office commuting would make survival difficult for drivers already struggling with rising expenses.
“Most of us are still repaying vehicle loans taken during the pandemic recovery period. Our earnings mainly depend on transporting employees to offices every day. If work-from-home increases again, we may not even be able to manage monthly EMI payments, fuel costs and household expenses. Drivers are extremely worried because we have very limited alternative sources of income,” he said.
Informal carpooling
The KSTOA also expressed concern over the increasing use of informal carpooling systems, claiming that such arrangements could potentially conflict with Motor Vehicle Rules and regulated commercial transport services.
In its letter, the association urged the Union Government to focus on international diplomatic negotiations, energy supply stabilisation and strategic fuel security planning amid global disruptions, including concerns surrounding the Strait of Hormuz and international energy transportation routes.
The association further appealed to the Centre to introduce special protective measures for the transport, tourism and service sectors, and adopt balanced policies that protect both national interests and livelihood-dependent industries.