Mahadeep Singh Jamwal
The corona pandemic that has caused unprecedented collapse in economic activities and grappling with tremendous uncertainty has left deep impact on Indian economy. The novel corona virus pandemic has brought the economy to a screeching halt. In order to keep its wallet in proper order, the Government of India has announced many measures such as:
On 28 March, 2020, PM CARES (Prime Minister’s Citizen Assistance & Relief in Emergency Situations) Fund created to receive donations and within a week’s time, a whooping sum of rupees 6,500 crore, (till April 4, 2020) poured in. This is three times more than the combined public donation of Rs 2,119 crore received in the Prime Minister’s National Relief Fund (PMNRF) between 2014-15 and 19-20. The donations also poured in States/UTs and at the district level in large scale. In another move on April 6 the federal cabinet reduced the allowances and pension of MPs by 30 percent, starting April 1, 2020, for a year through an ordinance amending ‘the Salary, Allowances and Pension of Members of Parliament Act, 1954’. At present according to a report, the Centre spent Rs 2.7 lakh on an MP per month. The 30 percent salary cut will fetch Rs. 77.27 crore from 545 MPs in the Lok Sabha and 250 in the Rajya Sabha and 3.85 crore approximately from salary deduction of President, Vice-President and Governors in India. By suspending MPLAD fund scheme for two years, it will fetch 7950 crore towards the Consolidated Fund of India. Among all these measures, the next one has the freezing of three installments of DA/DR of central government employees and pensioners. This decision has attracted reactions from many quarters. Here we have to understand actually what for the DA/DR is meant? This relief in actuality is cost of living adjustment to compensate serving/retired employees for inflation in consumer price index. The cost of living is the amount of money needed to sustain a certain standard of living by affording basic expenses. It sounds well that as the cost of living go up (As there is no control on price rise), it is unfair to deny the compensation to the employees/pensioners. The decision has been much reacted especially by the pensions and obviously every pensioner is a senior citizen also, a category propagated by the government as much taken care of. Some political versions that have come up such as: the government had taken an insensitive and inhuman decision to cut the DA/DR of its employees, pensioners and jawans, who are serving the public by fighting the COVID-19 pandemic, can be taken as natural critic from opposing parties to the government but many cannot be simply brushed away. All India BSNL-DOT Pensioners Association (AIBDPA), have come up that their members have already contributed to the PM and CM’s relief funds according to their ability and deduction, hence freezing of DA will put pensioners to extreme difficulty. The BSNL Employees' Union (BSNL EU) called the move a retrograde action and a big attack on the livelihood of the central government employees and pensioners. We come across the concern (a letter dated 23 April 2020) purported to be on behalf of of National Council (staff side) a letter on social media against DA freeze. The voice has been raised that Government is targeting them on the plea of “Crisis arising out of COVID-19” and workers and employees are made the sacrificial item for the same. The government is cutting the money of the middle class people. The Centre of Indian Trade Unions (CITU) had strongly condemned this retrograde decision of the Central government. The All India Bank Employees Association (AIBEA) has remarked the decision as highly arbitrary and unfair. Among these resentments, there are many other ways for the government to find resources that are additionally needed to contain the pandemic such as: The development fund of MLAs/MLCs that is also required to be suspended as applied in the case of MPLAD fund. As the Country has a total number of 4131 MLAs and 454 MLCs and in the proportion of Rs. 3 crore per MLA/MLC will bring an amount of Rs 13755 crore in States wallet in proportionate to their number of MLAs/MLCs. The foreign tours are required to be contained as an expenditure of over Rs 2,021 crore (source Google) was incurred collectively during PM’s visits to foreign countries since June 2014 to 2018. The expenditure on advertisements required to be curbed to a large extent keeping in view lavishly spent Rs 5,245 crore (source search engines) on this aspect by the government since 2014-15 to 2018-19. The government should also look towards its 475 crorepati MPs (ADR) for their contribution from personal wallets and to surrender their all monetary benefits. We are proud of our temples in India and some of them are so rich that if they come to the rescue of our country men at this hour of economic crisis, they can solve the India’s poverty. Padmanabhaswamy Temple in Kerala, possesses wealth of around 20 billion dollars (Rs 13, 60, 99, 90, 00,000), Tirumala Tirupati temple in AP gets an annual donation of Rs 650 crore, and alone makes 11 million dollars (Rs 75 crore) from selling laddus, Meenakshi Temple in Madurai earns a revenue of Rs six crore every year and the list is un-ending. Last but not least, the India's richest 1 per cent hold more than four-times the wealth held by 953 million people who make up for the bottom 70 per cent of the country's population, while the total wealth of all Indian billionaires is more than the full-year budget (Oxfam study) . Income inequality is the grey area to be targeted at this juncture but not the soft targets i.e. employees and pensioners to meet the extra burden because of corona. I cannot escape without incorporating a beautiful calculation received on social media as to how government employees will suffer because of freezing DA. Total employees 54 lakh, total pensioners 65 lakh, average pay per employee/pensioner Rs. 50,000, DA @ 4% from 01-01-2020 to 30-06-2020, it is 2000X6 = 12.000/-. DA @ 4% from 01-07-2020 to 31-12-2020 (4%+4%=8%), 4000X6= Rs.24,000. DA @ 4% from 01-01-2021 to 30-06-2021 (4%+4%+4%=12%), Rs 6000X6=36000. This way per individual will be contributing 12000+24000+36000 = Rs.72000, so total central government employees/pensioners 1, 19, 00,000 will contribute 72000X11900000 = 85, 680, 00, 00,000 i.e 85.60 thousand crore to the state exchequer. In addition approximately 1000 crore has been deducted by government as one day salary. It is something more than50% of the Government’s Corona package of 1.7 lakh crore. |
