The minister's direction came after reports about non-payment of salaries to the DTC employees for the past two months.
"In consultation with Deputy Chief Minister Manish Sisodia, who also holds the finance portfolio, the transport minister has directed disbursal of salaries immediately," a statement said.
It was also decided that contractual employees will get their salaries on March 25 and all other employees a day later.
Rai also reviewed various issues of public transport with transport department officers and expressed concern over the financial burden on public service vehicles, including taxis.
He made it mandatory to install GPS as a pre-condition for grant of and renewal of fitness certificates.
Rai said it has been decided to give two months' extension to all taxi drivers till May 31 to install the Global Positioning System (GPS) in their vehicles.
Members of the Delhi Dialogue Commission met Rai and discussed the need for an integrated public transport system to address transport-related problems faced by the people of Delhi.