TNSTC initiated an inquiry after a video surfaced showing a student apprentice painting a toilet, a duty outside the usual training scope. An explanation was expected from the branch manager, indicating the company’s responsiveness to potential labor exploitation.

Following the expiration of its previous wage agreement on September 1, 2023, the Tamil Nadu State Transport Corporation is now set to engage in wage revision negotiations with trade union representatives on February 13-14, 2025. The delay in negotiations and the associated court-mandated union recognition process have raised concerns over the treatment of workers and labor rights.

On December 9, 2024, the Tamil Nadu State Transport Corporation Workers Federation, affiliated with AITUC, passed a resolution opposing the awarding of contracts to private bus service providers. The union criticized the decision to operate private bus services during the Deepavali season and the contract for electric buses in Chennai, arguing that these practices undermine public service and worsen employment conditions by promoting contract-based jobs over permanent positions.

The Tamil Nadu government’s decision to operate private buses on contract during festival periods—first seen during Deepavali 2024 and again for Pongal—has raised concerns among TNSTC workers about job security and reduced benefits. Union leaders and employees have decried the move, warning that the shift away from fixed employment undermines workers’ rights and contributes to long‐term structural issues in public transport.

On January 9, 2024, TNSTC workers initiated an indefinite strike across Tamil Nadu demanding the prompt signing of the 15th wage revision agreement, expedited filling of vacant positions for bus drivers and conductors, and the immediate release of Dearness Allowances (DA) for retired employees. The strike signals deep-seated concerns over fair labor practices within the corporation.

Transport workers at Tamil Nadu State Transport Corporation began an indefinite strike on January 9, 2024, protesting the failure to fulfill electoral promises regarding recruitment, dearness allowance, pension benefits, and the excessive use of outsourcing and contractual employment.

TNSTC employees, represented by the CITU-affiliated workers union, staged a day-long hunger strike in Madurai demanding immediate initiation of the 14th wage settlement talks, payment of pending dearness allowance, and other benefits, highlighting unresolved labor issues and delays in negotiations.

On October 8, 2020, the Madras High Court directed the Madurai division of the Tamil Nadu State Transport Corporation to disburse pending service benefits. The court critiqued the financial management practices of TNSTC, highlighting the disparity between government struggles and profitability in private bus companies, and urging the corporation to address its overdue labor obligations.