The State government has issued orders for deferring the disbursal of a component of the salary of employees for five months, from April to August.
The order issued by the Finance Department says that the payment of six days’ salary for employees and teachers, including those in government aided institutions, from the consolidated fund would be deferred.
Those having monthly gross salary below ₹20,000, part-time casual sweepers, last grade staff, those on daily wages, drawing consolidated sums, contract and temporary staff have been exempted from the decision.
The order would be binding on employees of public sector undertakings, quasi-government institutions, local-self-government institutions, statutory bodies, universities and such other grant-in-aid institutions,welfare fund boards, commissions, and other institutions that come under the government.
About 30% of the gross salary of Ministers, MLAs, members of various boards, elected members of local bodies and members of various commissions, including honorarium and allowances would be deducted for a year.
The order will not be applicable to those employees who have voluntarily donated a month’s salary to the Chief Minister’s Distress Relief Fund for COVID-19 containment activities.
Employees on suspension who are at present drawing a subsistence allowance have been exempted. But on regularising their salary on repealing suspension, the amount would be deducted from them.
The order has also explained the context that forced the government to resort to such steps. It says that the government has to avail itself of loans to meet its routine expenditure and hence the decision.