Coronavirus: Telangana announces big salary cuts

Hyderabad: With dwindling revenues following the ongoing lockdown in the state, the Telangana government on Monday decided to implement pay cut for government employees, including All India Services Officers and pensioners.

Chief Minister K Chandrasekhar Rao held a review meeting on the state’s finances in the backdrop of the coronavirus lockdown and impact on the revenues.

After the meeting it was decided to cut 75 per cent of salaries of the Chief Minister, Ministers, MLAs, MLCs, chairmen of various corporations and local public representatives, an official release said.

There will be a pay cut of 60 per cent in AIS officers such as IAS, IPS and IFS while it will be 50 per cent in state government employees.

However, the government spared Class IV employees, outsourcing and contract employees with just 10 per cent cut.

The cut will be 10 per cent for Class IV retired employees and for all others it will be 50 per cent.

Salaries and pensions of all Employees of all public sector corporations and government aided organisations will also be deducted by 50 per cent.

The release did not clarify when the dues will be paid.

Condemning the pay cut, the Telangana BJP, in a statement, said it was a hasty decision.

“BJP feels it is an extreme measure and unwarranted,” the party said in a release.

Not only in Telangana and India, the coronavirus has impacted the economy worldwide. IMF chief Kristalina Georgieva had warned last week that the world has entered a recession that will be worse than that of 2009. 

To deal with the situation, the Centre has formed a task force headed by Finance Minister Nirmala Sitharaman. The task force expected to evaluate the situation and suggest a way forward.

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