HYDERABAD: The state government has decided to deduct 1.5 per cent of the basic pay of government employees and pensioners towards contribution to the Employees Health Scheme (EHS) fund.
Accordingly, heads of all departments, district collectors as well as drawing and disbursing officers have been instructed to deduct the said amount from the salaries and pensions of May 2026 (payable in June 2026) onwards.
Chief Secretary K Ramakrishna Rao issued orders to this effect on Monday.
As per the orders, the deducted amount will be credited to the EHS fund under the head of accounts -- Development and Welfare Funds, Development Funds for Medical and Public Health Purposes and Employee Health Scheme Fund.
“Deduction of contribution would be restricted to one employee or pensioner in cases where both husband and wife are state government employees; where one spouse is a state government employee and the other spouse is a state government pensioner; and where a state government pensioner is drawing both service pension and family pension,” the orders said.
“In these three cases, the Drawing and Disbursing Officers concerned shall invariably verify the eligibility based on documentary evidence and record the spouse’s employment/pension particulars in the IFMIS-HRMS system to ensure that duplicate deduction of Employees Health Scheme (EHS) contribution is not made. However, where deductions have already been made, the excess amount shall be refunded,” the orders added.
The orders also made it clear that all Treasury Officers, Pay and Accounts Officers of Works and Accounts, the Pay and Accounts Officer, Hyderabad, the Examiner of Accounts, Finance Managers and other authorised payment authorities in the state shall ensure that the prescribed deductions are correctly affected and credited to the above Head of Account without fail.
Rs 2,000 CR RELEASED TO CLEAR DUES OF EMPLOYEES
Hyderabad: The state government has released Rs 2,000 crore towards clearing dues to government employees and retired staff. As instructed by Chief Minister A Revanth Reddy and Deputy Chief Minister Mallu Bhatti Vikramarka, Principal Secretary of Finance department Sandeep Kumar Sultania released the funds on Monday. In a press statement, Vikramarka said: “By releasing Rs 2,000 crore, the government has once again demonstrated its commitment towards its employees. Despite financial constraints, it has accelerated the process of clearing dues, honoring the assurances given to employees.
“As per the promise made to the Employees’ JAC leaders, the government had earlier announced that Rs 6,000 crore of dues would be cleared within 100 days. In line with this commitment, Rs 2,000 crore was released in the first phase in May and now, the government has released Rs 2,000 crore in the second phase.” Stating that the government is giving top priority to the welfare of retired employees, he said that all pending General Provident Fund (GPF) dues of retired employees and zilla parishad teachers have been cleared. “All commutation dues of retired employees up to September 2025 have also been settled,” he added.