VIJAYAWADA: Chief Minister YS Jagan Mohan Reddy, who held talks with employees’ union leaders on the Pay Revision Commission (PRC) issue on Thursday, urged them to get practical and lower their fitment expectations.
In the Joint Staff Council meeting attended by officials and the union leaders, Jagan laid bare the financial position of the State before them. “Please get practical here. I request you to understand the situation and think as to how amicably we can work and lessen the burden on the government,” Jagan said, and at the same breath added that he would consider the employees’ demands and try to do the best.
The Chief Minister assured them that he would arrive at a conclusion on the fitment issue in the next two or three days. “I will speak to my officials. I do not want to prolong the issue. As your brother and a family member, I will try to do the best of my ability,’’ he asserted.
“Several people say that I am too liberal in giving. There may be no one to compare with me when it comes to being compassionate, humanitarian and responsive when it comes to doing good to others,’’ he said, stressing that it is inevitable to consider certain facts with regard to the PRC report as any hasty decision would have an adverse impact in the coming years.
Explaining further, he said a State revenue generally increases by 15% every year. “However, it is not the case for the past two years,” he said, mentioning that the financial impact of the third Covid wave cannot be assessed now.
“About 98,000 Covid cases are reported today. The Covid count may touch two lakh tomorrow,” he worried. IGST and SGST revenues had decreased in December, compared to November. Hence, employees’ unions should accept any decision of the State government, understanding the gravity of the situation, he pleaded.
On comparison with fitment announced by the neighbouring Telangana State government to its employees, Jagan said the net per capita income of Telangana is Rs 2,37,632 as against only Rs 1,70,215 of Andhra Pradesh. As per the Comptroller and Auditor General (CAG) report, Telangana has spent Rs 22,608 crore on salaries and pensions for the first seven months of the current fiscal, while the bill of Andhra Pradesh for the same period is Rs 36,000 crore, which is higher than Gujarat (Rs 16,053 crore) and Bihar (Rs 25,567 crore). “The revenue of Andhra Pradesh is declining while that of Telangana is increasing,’’ he observed.
Jagan said he discussed with his officials on the financial implications of the PRC and fitment before the meeting. “The burden will be Rs 7,137 crore per annum if 14.29% fitment is given,’’ he said, mentioning that Dearness Allowance should also be cleared by the time fitment is released.
Explaining the expenditure being incurred by the State with respect to salaries and pensions of government employees, he put the State Own Revenues (SORs) at Rs 62,503 crore in 2018-19 and they decreased to Rs 60,934 crore in 2019-20 and to Rs 60,688 crore in 2020-21. “The expenditure for employees salaries and pensions has increased to Rs 67,340 crore in 2020-21 from Rs 52,513 crore in 2018-19. The increase in expenditure is due to several decisions taken by the government for the benefit of employees. The amount paid as 27% Interim Relief to employees from July 1, 2019 is Rs 18,000 crore,” he highlighted.
Salaries of ASHA and Anganwadi workers, contract and outsourcing employees have been increased. The expenditure on their salaries has gone up from Rs 1,198 crore to Rs 3,187 crore per annum. On other employee-friendly measures taken by his government, Jagan said it has implemented minimum time scale and other benefits for contract staff and extended it to employees of government departments, universities, societies, KGBVs, model schools, besides announcing Rs 5 lakh ex gratia for accidental death of staffer and Rs 2 lakh for natural death, burdening another Rs 360 crore per annum to the government.
“The merger of APSRTC with the State government has caused Rs 5,380 crore burden from January, 2020 to October, 2021. Setting up of village and ward secretariats has led to an additional burden of Rs 2,300 crore per annum,” he explained.
AP salary bill higher than TS
As per the CAG report, Telangana has spent Rs 22,608 crore on salaries and pensions for the first seven months of the current fiscal, while the bill of AP for the same period is Rs 36,000 crore