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Covid-19 Update: Himachal Pradesh follows Centre, cuts ministers, MLAs salaries by 30%
Governments are considering various options to cut costs and raise money to fund the expenses in fight against coronavirus.
Following in the footsteps of the Central government, Himachal Pradesh cabinet has decided to slash salaries of most public representatives in the government and the state boards by 30% for a duration of one year and has also suspended the release of the MLA area fund for two years, news agency ANI reported on Tuesday.
All the money saved through the cuts will go to the state corpus dedicated to fighting coronavirus in the state, the report added. The decision comes close on the heels of the Centre slashing salaries of all MPs and ministers by 30% and suspending the MPLADS funds for the next two years.
Several states including Telangana, Andhra Pradesh and Odisha had earlier announced a deferment in payment of a big chunk of March salaries to state employees in an effort to shore up reserves deployed for fighting Covid-19.
The Union cabinet’s decision to slash salaries taken on Monday also applies to the Prime Minister, whose 1/3rd of the salary along with that of other MPs for the rest of the year, will now go into the consolidated fund of India to be used to fight the Covid-19 pandemic.
The centre brought an ordinance to implement the directive which was a demonstration of the government’s willingness to set an example for others in this time of crisis, union minister for environment Prakash Javadekar had indicated.
“Charity begins at home,” Javadekar said while announcing the cuts.
The decision by the centre is likely to result in a saving of Rs 7,930 crore, including close to Rs 29 crore that will come from the MPs salaries.
MPs get Rs one lakh salary apart from several other perks and privileges which have been left untouched. The President, the Vice President and the governors of states have also decided to take salary cuts.
Lok Sabha speaker Om Birla, too, has decided to take a 30% cut in salary.
There has been a mixed reaction to the suspension of the MPLAD scheme, with some opposition leaders fearing the stoppage will prevent the serving of the poor and the most affected on the ground level.
The decision by Himachal Pradesh government comes amid demands by the Congress government to slash all union budget allocations by around 30% and suspension of all government advertising for the next two years.
