C-DIT withdraws services from Motor Vehicles Department; 246 employees lose jobs

Kottayam: With C-DIT withdrawing services at the Motor Vehicles Department, 246 employees have lost their jobs. C-DIT officially ceased providing technical and related services to the department from May 1. On April 30, C-DIT dismissed its employees from duty.
Following the termination of C-DIT services, Motor Vehicles Department staff themselves are now handling the responsibilities. However, due to lack of sufficient technical expertise among many of them, the functioning of the offices has been severely affected.
Since 2010, C-DIT had been managing services such as maintenance of computers in the Motor Vehicles Department offices, supply of A4 paper, and distribution of drinking water. A total of 246 employees were engaged in various roles including system administrators, assistant system administrators, and housekeeping staff.
As per the original contract, the department had allotted ₹27 crore to C-DIT for a three-year period, with payments made every three months after bill approval. The contract was not renewed in 2021. Instead, the government had issued an order allowing C-DIT to continue services until a new tender was floated. Based on this order, C-DIT had been continuing its services for the past four years.
Despite repeated requests from C-DIT authorities to renew the contract, the government took no action. C-DIT had also demanded an increase in the contract amount, citing the implementation of GST and the resulting tax burden. In April this year, C-DIT proposed a new three-year project worth ₹79 crore to the Motor Vehicles Department, but the department did not approve it.
Due to the delay in decision-making regarding the contract renewal, C-DIT eventually withdrew. Most of the dismissed employees had been working on a contract basis for over 10 years. The C-DIT Employees Federation, under the leadership of AITUC, is currently protesting in front of the Secretariat, demanding the reinstatement of the dismissed workers.