Chhattisgarh Chief Minister Bhupesh Baghel in his Budget speech on Wednesday announced the government’s decision to revert to the old pension system (OPS) for State government employees and double the yearly MLA local area development fund. He carried the Budget papers in a briefcase made of cow dung powder.
The move will benefit over three lakh employees who joined service after January 1, 2004. It, however, will not be applicable to officials of the All India Services like members of the Indian Administrative Service or the Indian Police Service.
With this, Chhattisgarh becomes the second Congress-ruled State after Rajasthan to adopt OPS.
The dfference
The main difference between two pension systems is that while an employee has to make a voluntary contribution towards pension by undertaking a 10% deduction from the basic salary and dearness allowance, there is no such deduction under OPS.
“In this Budget, I propose the restoration of the old pension scheme for government employees. A sum of ₹2 crore is proposed for the Chhattisgarh Rojgaar Mission to work on the possibilities of creating new jobs by coordinating the skill development programmes,” Mr. Baghel said.
He also announced the exemption of examination fees for the applicants who are domicile of the State in all professional exams conducted by the Chhattisgarh Professional Examination Board and the Chhattisgarh Public Service Commission.
Other highlights
Other highlights of the Budget are increasing the annual assistance for landless agriculturists -- under the Rajiv Gandhi Bhumihin Krishi Majdur Nyay Yojana -- to ₹7,000 per annum from the present ₹6,000; creating employment opportunities by setting up the Chhattisgarh Rojgaar Mission and focus on skill development, filling up the existing government vacancies and setting up a new cadre of District Strike Force in the Bastar region.
In the tribal-dominated and naxalite-affected region of Bastar, 30,439 hectares out of classified ‘orange’ forest zone had been reconverted under the revenue head. “The step would facilitate easy availability of land for setting up new industries, construction of government buildings, development of road and rail routes and other activities”, he stated.
Of the total allocations in the ₹1.04 lakh crore Budget, 37% provision is for the social sector, 40 per cent for the economic sector and 23% for the general service sector.
“We have done what we had said about our heritage and development plans, as a result of which new employment opportunities have been created in rural and forest areas. We have been successful in establishing a new village-centric economy. This Chhattisgarh model of development has got recognition at the national level,” the Chief Minister added.
