The scheme which was extended by a month had seen 5,573 employees being relieved as on February 28. A few hundred applications might pour in before the end of the day, an MbPT official said.

The response, however, is below expectations as port officials had anticipated around 14,000 employees to exercise their option as per their `strategic plan' at the start of the VRS two months back. The strategic plan approved by the port trust covered all areas of operations and included suggestions on reviving the 125 year old port.

The scheme was open to all employees completing either 10 years of service or 40 years of age, was in line with the old VRS scheme put forth in 1991. As per the scheme an employee opting for VRS was to receive one and half months salary for each completed year of service. The average compensation worked out to around Rs 5 lakh which will lead to MbPT coffers being lighter by around Rs 300 crore.

The VRS scheme was put forth, even as another VRS scheme, which entails two months salary for each year of service, is awaiting approval from the department of the public enterprises. The scheme, when launched in 1991, had seen 2,000 employees opting for it. The trust which is reeling under a financial crunch is likely to post a deficit for the current year to the tune of Rs 400 crore on account of 10 per cent reduction in cargo handled over the corresponding year along with the huge wage bill. The wage bill currently constitutes 80 per cent of total revenues which is to the tune of Rs 400 crore annually, officials said.

The wage bill had also increased by around Rs 200 crore this year on account of the arrears due to the revision incurred retrospectively, officials said.The port, despite being the largest owner of real estate in the city, derives a nominal sum of Rs 40 crore of its total revenue through lease rentals. At the same time it is involved in over 1900 litigations over the same properties on various issues.