Kerala

MGU seeks more government grants

more-in

Grants are barely adequate for pension, salary

Aimed at overcoming the acute cash crunch experienced by it, the Mahatma Gandhi University (MGU) in Kottayam has decided to approach the State government with a request to raise its annual plan and non-plan grants to the institution.

A meeting of the MGU syndicate, held here on Saturday, unilaterally adopted a resolution presented by P.Padmakumar, senate member, on the issue.

According to the resolution, the varsity currently is the highest affiliating varsity in the State to function using government funds. However, the grants received from the State over the last few years have only been adequate to pay the pension for its 1,170 retired employees, besides disbursing the monthly salary of the current employees.

While the non-plan grants received in the fiscal 2018-19 was around ₹130 crore, the institution spent around ₹187 crore under the heads of salary and pension during the same period. This shortage of ₹57 crore was addressed using the revenue generated internally. However, the winding up of a few off-campus centres and self-financing courses has put the varsity’s revenue streams under severe stress and this shortage of cash flow could be addressed only by raising the non-plan grants.

The situation is set to worsen further in 2020-21 when another batch of 104 employees are set to retire from service.

Based on memorandums, the government has now appointed a committee to analyse the vast differences in allocation of annual grants to the different varsities.

Why you should pay for quality journalism - Click to know more

Related Topics Kerala
Recommended for you
This article is closed for comments.
Please Email the Editor

Printable version | Dec 12, 2019 11:08:58 AM | https://www.thehindu.com/news/national/kerala/mgu-seeks-more-government-grants/article30063728.ece

Next Story