The Telangana government declared on Wednesday that the salary cut for the employees will continue for the month of May too since the state has not attained financial stability till now.
The salaries of public representatives will be reduced by 75%, all India service officers by 60%, personal employees by 50%, pensioners by 50% and for outsourcing and contract workers by 10%.
Chief Minister K Chandrasekhar Rao took this decision along with the finance department after going through a review meeting.
Rao claimed that the amid the lockdown, the state should receive ₹12,000 crore income per month but they have been rendered ₹3,100 crores only, inclusive of its share of ₹982 crores in the central taxes.
Rao said, “Though the state government has given some relaxations to lockdown guidelines, the income did not increase substantially.
Income from transport, registration and other departments was also not up to the mark”. He also told that the state government has to pay the debts of ₹37,400 crores in instalments per year.
“We have requested the centre to re-schedule the loans. But they did not take any action in this regard. Though there was an increase in the FRBM Limit by the Centre, the conditions imposed by the central government could not be raised” said Rao.
“If the salaries of the employees and pensions paid fully, the expenditure would be more than Rs 3,000 crore. The entire treasury will be empty. Henceforth no payment can be made nor can any work be undertaken. So we have to adopt a proper strategy” added Rao.
He assured that full payment of the aged pension will be provided.
Since the restrictions have been eased during the fourth phase of the lockdown, the daily wage labourers will be given work on a daily basis and the cash worth ₹1500 will not be paid from this month. The state, however, will continue supplying them with 12kg of rice-free.