Doubts persist despite Isaac’s bold announcement of pay hike

Rationale of including pay revision among budgetary announcements questioned
Kerala Finance Minister Thomas Isaac (Photo | Facebook)
Kerala Finance Minister Thomas Isaac (Photo | Facebook)

THIRUVANANTHAPURAM: Finance Minister Thomas Isaac’s buget announcement that pay revision for state employees and pensioners will be implemented in April has been taken with a pinch of salt by the stakeholders. While some question the rationale of including the pay revision among budgetary announcements, others voiced doubts about its implementation before the tenure of the LDF government comes to an end.

Towards the fag end of his budget speech, Isaac said the salary arrears will be paid later in three instalments. Of the two DA arrears, one will be disbursed from April this year while the other will be given in October. The arrears will be merged with the PF. Medisep, the health insurance scheme for state employees and pensioners, will be rolled out this year, Isaac said.

The last pay revision carried out in 2016, had inflicted a financial burden of Rs 7,700 crore on the exchequer. Congress leader V D Satheesan, MLA said the government went ahead with the announcement knowing fully well that it will not be voted back to power. “The huge financial burden will have to be borne by the incoming government,” Satheesan said.

K Vimalan, president of the Kerala Gazetted Officers’ Union (KGOU), said that the incumbent government may defer implementation of the commission’s recommendations citing technical grounds till the Election Commission announces the assembly poll dates. He said the government is silent on restoring the benefits which the employees had been deprived of earlier.

E7,700 cr
The exchequer had incurred for the last pay revision in 2016
Pay revision for employees, pensioners in April this year: Isaac 
Opposition dubs it an eyewash aimed at the election
Salary arrears to be paid in three instalments; DA arrears from April

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