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Reform Process
The principles of the reform process in BR is to transform BR into a more commercial organization. This would result in a sustainable and financially viable carrier and ensure less government interference in respect of organizational and commercial decisions of BR. This would mean progressive independence of BR from the Government.

  • In the process of reform efforts, major achievements are:-
  • Reduction of workforce from 58,000 to 38,000 (through voluntary
    separation & natural attrition).
  • Closure of a number of money losing branch lines, stations, sheds,
    depots etc. and withdrawal of some non profitable passenger train services.
  • Adoption of PSO principle for compensation by the government for running services on social consideration, in place of open subsidy.
  • Tariff fixation on commercial principle.
  • Association of private sectors in different activities.
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