Kerala likely to discard salary deferment plan

The  state government may discard the salary deferment programme if the GST compensation issue is settled in its favour.
As far as the GST compensation issue goes, the Centre has told states to up market borrowings.  (Express Illustrations)
As far as the GST compensation issue goes, the Centre has told states to up market borrowings. (Express Illustrations)

THIRUVANANTHAPURAM: The  state government may discard the salary deferment programme if the GST compensation issue is settled in its favour. As per the original plan, the second salary deferment-cuminvestment programme named Covid-19 Income Support Scheme was to begin in September. But following protests from employees organisations, including the pro-LDF ones, it did not begin this month. Sources in the finance minister’s office said the ‘option was still open’ but may be discarded if the state gets the GST-related payments in time.

“Severe cash crunch forced the government to adopt such tough measures in the final year. But if things turn out in our favour, ie, the GST-related payments are received on the expected lines, the deferment plan would be discarded,” said an officer. A final decision on the compensation payment is expected in the next GST council meeting on October 12.

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