The Union Cabinet chaired by Prime Minister Narendra Modi approved the ordinance to cut the salary of MPs and Ministers by 30 percent for one year in view of the Coronavirus crisis.
The cabinet also decided to suspend the MP Local Area Development Scheme for two years and transfer the funds to the consolidated fund of the government.
The money under MPLADS is about Rs 7,900 crore for two years: 2020-21 and 2021-22.
Union Information and Broadcasting Minister Prakash Javadekar told reporters that President Ram Nath Kovind, Vice President Venkaiah Naidu and the governors had also offered to cut 30 percent.
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More than money, the minister said, the importance of the gesture was to send the right message.
The minister pointed out that an ordinance was required after the salaries of MPs and other dignitaries were determined by law. “Donation starts at home,” he said.
Various state governments had already decided on pay cuts and other measures in the fight against coronaviruses.
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The Kerala government on Wednesday decided to deduct a month’s salary for all its employees to raise money for the state disaster relief fund.
Karnataka Chief Minister BS Yeddyurappa has given one year salary to help the state fight the Kovid-19 crisis.
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Telangana, Andhra Pradesh, Odisha, and Rajasthan also announced cuts in salaries of their government employees based on their rank.
Maharashtra, which is suffering from the coronovirus crisis with around 800 cases, has decided to pay salaries in installments.
The Union Cabinet chaired by PM Modi on Monday cleared an ordinance to slash salaries of parliamentarians and ministers by 30 percent for one year in the wake of the COVID 19 crisis.
The Cabinet also decided to suspend the MP local area development scheme for two years and transfer the money into the government’s consolidated fund. The money under MPLADS is around Rs 7,900 crore for two years: 2020-21 and 2021-22.
