Proposed fare rise delays RAK bus services



RAS AL KHAIMAH // Bus services to rural and industrial areas have been postponed at least until March after the contracted bus company threatened to double its proposed fares.

The RAK Transport Authority (Rakta) has delayed its January 17 launch, arguing that the newly proposed fare is too high for low-income workers in the rural areas that the service aims to help.

Rakta officials, who would not release the name of the contractor, said they had given the company two months to comply.

The proposed fares have not been released. Under the previous price structure released in August, a one-way bus fare was set to cost Dh7. However, Rakta officials said the contractor told them it would not be economically feasible to operate the service at that price.

"We will launch accordingly, but it will be in the second quarter of the year," said Jason Farhat, the authority's director of commercial and investment affairs. "We are in the final stage of clearing these obstacles and doing more studies. We will have a clear picture in March."

He continued: "Just be a little bit patient with us, we will eventually launch. We are putting more pressure on the company itself to finalise their study, to co-operate in launching, and we are making more meetings with the concerned personnel."

It is the fifth time Rakta has postponed its bus service to rural areas, citing bureaucratic delays or a lack of available buses. Bus stops planned for privately owned land also remain a problem.

There is no existing public transport in RAK city or to outlying areas. Taxi fares increased by 30 per cent in October, with a minimum Dh5 charge.

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How the UAE gratuity payment is calculated now

Employees leaving an organisation are entitled to an end-of-service gratuity after completing at least one year of service.

The tenure is calculated on the number of days worked and does not include lengthy leave periods, such as a sabbatical. If you have worked for a company between one and five years, you are paid 21 days of pay based on your final basic salary. After five years, however, you are entitled to 30 days of pay. The total lump sum you receive is based on the duration of your employment.

1. For those who have worked between one and five years, on a basic salary of Dh10,000 (calculation based on 30 days):

a. Dh10,000 ÷ 30 = Dh333.33. Your daily wage is Dh333.33

b. Dh333.33 x 21 = Dh7,000. So 21 days salary equates to Dh7,000 in gratuity entitlement for each year of service. Multiply this figure for every year of service up to five years.

2. For those who have worked more than five years

c. 333.33 x 30 = Dh10,000. So 30 days’ salary is Dh10,000 in gratuity entitlement for each year of service.

Note: The maximum figure cannot exceed two years total salary figure.