Daijiworld Media Network - Bengaluru (SP)

Bengaluru, Apr 24: The state government, like other governments in the country, is facing a deep financial crisis. It has been doing everything within its reach to augment resources as the treasury has dried up. Cutting down administrative expenses is a major tool to improve the financial condition that is normally resorted too by governments.

Towards this end, the state government was in favour of reducing the salaries of the government employees. It wanted to base this deduction on the model of the central government or of Kerala state, and the rumours had said that the salary cut is inevitable. But, as per information, chief minister B S Yediyurappa rejected the proposal at the last minute.

B S Yediyurappa

The central government has sliced off 30 per cent of the salary of its ministers and MPs for a year. It has also not affected the rise in DA to central government employees. The state government was seriously considering to keep in abeyance allowances of state government employees for a period of three months.

There was another alternative proposal on the model of Kerala, as per which a month's salary of government employees is cut in six equal monthly instalments. These aspects had been discussed at a meeting of high-level officials led by the chief minister yesterday. But it is said that the chief minister advised against undertaking these measures.

Yediyurappa pointed out that the union government has released the state's share of Rs 1,678 crore in tax collection. "The centre has also agreed, as per the finance commission recommendation, to release Rs 5,495 crore to the state. Therefore, the financial problems of the state can be handled. Let's manage things with whatever we have. Let us not resort to measures like cutting down salaries of employees," he reportedly told the officers as per sources.