Monday, February 6, 2023

Govt keeps payment of salaries on hold

Barely a month after the Finance department issued a notification informing that salaries of all government servants would be paid on the first working day of the month, in the latest notification, the government has come out with another order directing all Treasuries and Sub Treasuries to hold payment of salaries and wages till further order from the department (finance).
The order issued by the Treasuries & Accounts directorate on August 9, 2022 has not been well accepted by scores of government employees, most of who were yet to receive their salaries while some have not been paid their salaries for several months.
It may be recalled that the Finance department (Budget & Monitoring Cell) in July 22 this year issued a notification (in partial modification of October 14, 2019 notification) stating that payment of bills for monthly pay and fixed pay of all government servants “shall be made on the first working day of the month following the month to which they relate.” No one from the Finance department or Treasuries & Accounts department could be contacted, as the calls went unanswered.
Union Finance minister Nirmala Sitharman, at the recently concluded Parliament session, informed the Lok Sabha that the total outstanding liabilities of Nagaland stood at a whopping Rs 15,620.8 crore as on March 2022.
Further, during an all-party meeting held in July this year, the Finance ministry in its presentation on the financial health of states, disclosed that some states had large outstanding guarantees that could pose a threat if financial embargo was invoked. Citing data, the ministry said average committed expenditure to revenue receipt of all states was 56 per cent.
The committed expenditure includes loan repayments, pension, salary and other wages while some states had almost no headroom to do anything new.

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