Revised pay scales: Re-determine annual grant, PU to UGC

As an inter-state body corporate, PU annually receives maintenance grants from both the UGC and Punjab government. The amount of grant to be released to the university was calculated on the basis of the actual salary expenditure in the pre-revised pay structure with a provision of 6% annual enhancement.

With Panjab University (PU) to revise the salary scales of its teaching and non-teaching staff, the varsity has recently written to the University Grants Commission (UGC) to re-determine or reset the amount of annual grant received by the university. As an inter-state body corporate, PU annually receives maintenance grants from both the UGC and Punjab government.

PU has also sought the release of a onetime additional grant for the payment of arrears from UGC. The revised pay scale will benefit over 600 faculty members and 3,000 non-teaching staff. (HT File)

In its letter, the university has also sought the release of a onetime additional grant for the payment of arrears. The salary revision will benefit over 600 faculty members and 3,000 non-teaching staff.

While the staff may get their December salaries – paid in January – as per the new pay scales, the payment of arrears is going to be an uphill task for the university. The present arrangement of funding of PU was determined by the ministry of education (MoE) in 2017. The amount of grant to be released to the university was calculated on the basis of the actual salary expenditure in the pre-revised pay structure with a provision of 6% annual enhancement.

“It is submitted that the Punjab government has revised the pay scales of teaching and non-teaching staff. The same has been adopted by Panjab University as per the recommendations of the board of finance (BoF) on October 14 along with the estimated budget provision for the implementation of revised scales,” part of varsity’s letter to UGC reads.

While the PU senate – varsity’s apex governing body – had already adopted the 6th Punjab Pay Commission for the non-teaching staff in March, the varsity syndicate – the executive arm of senate – last month adopted the Punjab government notification to implement the revised UGC pay scales as per the 7th Pay Commission for the teaching staff. However, the faculty members and staff are yet to get the benefit of the revised salaries.

Financial burden on PU

The implementation of revised pay scales for both teaching and non-teaching staff will translate into a one-time burden of ₹277 crore due to arrears since 2016, along with ₹56 crore recurring liability including pension.

As per the university’s annual budget, the total expenditure for the fiscal stands at ₹992.29 crore, of which the expenditure on salaries alone amounts to ₹412 crore. The salary costs are expected to increase to ₹480 crore in the next financial year.

While considering the matter of pay revision, the varsity’s BoF in October had recommended, which was approved by the syndicate, that the MoE/UGC and government of Punjab may reset/redetermine the yearly amount of salary grant to be released to PU in view of the implementation of revised pay scales.