Guwahati: Assam government would pay its employees' full salary of April on May 8, Finance Minister Himanta Biswa Sarma said on Wednesday.
He said the state government has initiated a slew of austerity measures to tide over the present economic crisis arising due to the lockdown.
It is not only Assam but the entire country which is facing the crisis and many states have taken measures to defer partial payment of salaries but "we have decided to pay full salaries in May", the minister said at a press conference here.
Assam has faced an 80 per cent drop in revenue collection in April this year with only Rs 193 crore collected as against Rs 932.56 crore in the same month in 2019, he said.
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"The Cabinet has, therefore, decided to promote fiscal discipline without restricting the operational efficiency of the government and it will come into effect immediately", he said.
The measures will be reviewed as the situation develops and steps will be taken accordingly, Sarma said.
The Governor, Chief Minister and the Council of Ministers have already decided to donate 30 per cent of their salaries to the Chief Minister's Relief Fund, he said.
Remunerations of Chairman and Vice-Chairman of all PSUs, Corporations and Boards will be reduced by 25 per cent from May one.
Release of MLA Area Development Fund will remain suspended in the first four months of the current financial year or until further orders, whichever is earlier, the minister said.
Regarding administrative approval, no new development schemes can be initiated without the concurrence of the Finance department except for all central sector schemes.
Establishment expenditure has been limited to only ten per cent, instead of the 20 per cent sanctioned in the budget, in the first quarter of the financial year, he said.
All expenses related to industrial exemptions, subsidies and incentives of various sectors have been suspended till further orders and there will be no reimbursement of GST to industries in the first quarter of the current financial year.
Purchase of vehicles is banned, except in case of ambulances and vehicles required for police duty and these can be bought only with the approval of the chief minister, the minister said.
Organising conferences, seminars, workshops, fairs and functions is totally banned in the first quarter of the financial year and if required, will be held by video conferencing.
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Executive class travel will not be allowed except in the case of Governor, Chief Minister, Chief Justice and judges of the Guwahati High Court and the Chief Secretary.
General Administration department will use discretion in the declaration of visiting dignitaries as state guests, he said.
Officers will not be allowed to attend any foreign training course, workshop or seminar outside the country for which the expenditure has to be borne by the state government, Sarma added. (PTI report)
