Himachal Pradesh: Employees to Receive September Salaries on October 1 Amid Financial Challenges
Himachal Pradesh Government Implements Strategies to Manage Cash Flow and Debt
The state government in Himachal Pradesh is facing financial crises these days. Meanwhile, the state government has said that the employees will be paid their salaries on October 1. The salary for September was delayed by five days. A state government spokesperson said on Saturday that this time everyone will get their salary on October 1.
According to the news agency report, a statement said that after reviewing the cash flow of the state treasury, it has been decided that the salary for September will be paid on October 1 while the pension will be paid on October 9.
The state government spokesperson said that the salary for August was released on September 5 and the pension on September 10, which reflects the government's commitment to make judicious use of financial resources.
He said that the current state government is actively working to reduce the gap between income and expenditure to ensure timely borrowing, thereby reducing the interest burden on the state's debt.
Chief Minister Sukhwinder Singh Sukhu informed the Assembly on September 4 that the state requires Rs 2,000 crore every month to pay Rs 1,200 crore in salaries and Rs 800 crore in pensions.
The CM had said that the revenue deficit (RDG) of Rs 520 crore and the state's share in central taxes, Rs 740 crore, are received on the sixth and tenth of every month, necessitating the raising of debt.
Sukhu had also said that by borrowing from the market at 7.5 percent interest to meet salary payments on the first day of every month, about Rs 3 crore can be saved every month, which amounts to Rs 36 crore annually in interest payments.
The CM had said that the decision to release salaries for September was taken after a review of the state's financial position, considering employees whose monthly installments (EMIs) are scheduled on the first of the month.
