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Sukhu orders withdrawal of salary deferment notification; all arrears to be released next month

Attributing the decision to the state’s improved financial condition, Sukhu who was presiding over the finance department meeting, said the arrears of the deferred salary would be released along with the full salary next month

Updated on: Jun 7, 2026, 21:57:51 IST
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Himachal Pradesh chief minister Sukhvinder Singh Sukhu on Sunday directed the finance department to withdraw the notification regarding the salary deferment, while choosing to apply the deferment exclusively to himself.

Himachal Pradesh chief minister Sukhvinder Singh Sukhu during meeting of finance department in Shimla on Sunday. (HT Photo)
Himachal Pradesh chief minister Sukhvinder Singh Sukhu during meeting of finance department in Shimla on Sunday. (HT Photo)

Attributing the decision to the state’s improved financial condition, Sukhu who was presiding over the finance department meeting, said the arrears of the deferred salary would be released along with the full salary next month.

“The financial condition of the state has improved significantly due to the pragmatic policies and sustained efforts of the present state government. The state’s economy has shown encouraging results and we are steadily moving towards self-reliance. The government has successfully plugged several loopholes that had led to financial leakages and corruption in the past, thereby strengthening the state’s fiscal position,” said Sukhu.

The deferment decision was conveyed by the CM during the March budget session. The step was taken to tackle the state’s financial woes following the Centre’s discontinuation of the Revenue Deficit Grant (RDG). For Himachal, this translates to an estimated annual loss of over 8,000 crore, a staggering blow for a state already burdened by debt exceeding 1 lakh crore.

Meanwhile, the chief minister also directed the finance department to release the pending pension arrears of all pensioners in the age group of 65-70-years. He said the arrears would be disbursed next month. The chief minister assured that the state government would make available all funds required for this purpose.

Reviewing the pending arrears and dearness allowance of employees, the CM said that government employees are the backbone of the state and the government remains committed to safeguarding their welfare and interests. He reiterated that the present state government had restored the Old Pension Scheme (OPS) to ensure the social and financial security of employees.

 
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