Salaries of Himachal Pradesh MLAs Hiked by 24%
In a recent development, the Himachal Pradesh Assembly has adopted three bills to provide for a 24% hike in salaries, allowances, and pensions of MLAs. This decision has been met with mixed reactions, with some hailing it as a necessary step to match the increasing cost of living, while others have criticized it as a wasteful expenditure. In this blog post, we will delve into the details of the bills and the implications of this hike on the state’s exchequer.
What does the hike entail?
According to the bills adopted by the Assembly, the salaries of MLAs will be increased by 24%, which translates to a hike of approximately ₹1.36 lakh per annum. This increase is expected to cost the state exchequer around ₹24 crore annually. The bills also provide for an increase in the daily allowance of MLAs from ₹1,000 to ₹1,250, while the rent allowance has been hiked from ₹75,000 to ₹90,000 per month.
Why was the hike necessary?
The Assembly has cited the increasing cost of living as the reason for the hike. With inflation rates rising steadily, the salaries of MLAs had become inadequate to meet their basic needs. The 24% hike is intended to bring their salaries in line with the increasing cost of living.
What else did the bills provide for?
The bills also mandated the linking of salaries to the Cost Inflation Index (CII) for revision after five years. This means that the salaries of MLAs will be adjusted automatically based on the CII, effective from April 1, 2030. This provision is intended to ensure that the salaries of MLAs keep pace with inflation and do not become outdated over time.
What has been scrapped?
In a move that has been hailed as a cost-saving measure, the Assembly has scrapped the previous perk of free electricity, water, and phone facilities for MLAs. These facilities had been provided to MLAs as a part of their expenses, but they had been criticized as wasteful and unnecessary. The scrapping of these facilities is expected to save the state exchequer around ₹2 crore annually.
Reactions to the hike
The hike in salaries has been met with mixed reactions. While some have praised the decision as necessary to match the increasing cost of living, others have criticized it as a wasteful expenditure. The opposition parties have accused the government of being insensitive to the plight of the common man, who is struggling to make ends meet due to rising inflation.
Conclusion
The hike in salaries of Himachal Pradesh MLAs by 24% is a significant development that has far-reaching implications for the state’s exchequer. While the decision has been met with mixed reactions, it is intended to bring the salaries of MLAs in line with the increasing cost of living. The scrapping of free electricity, water, and phone facilities is also expected to save the state exchequer a significant amount of money. Only time will tell whether this hike is a necessary step to ensure the well-being of MLAs or a wasteful expenditure that could have been avoided.
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