Munish Sood
Mandi
Marking the state-level Himachal Day celebrations in Reckong Peo, Chief Minister Sukhvinder Singh Sukhu struck a dual note of achievement and fiscal caution, asserting that his government has fulfilled all 10 guarantees while grappling with a severe financial crisis inherited from the previous BJP regime.
Addressing the gathering, the Chief Minister said that in its very first Cabinet meeting, the government restored the Old Pension Scheme (OPS) for 1.36 lakh employees. However, he underlined that the state is under significant financial strain, claiming that the present dispensation inherited a debt burden of ₹76,000 crore along with pending कर्मचारी liabilities of nearly ₹10,000 crore.
He further pointed to the discontinuation of the Revenue Deficit Grant (RDG) by the Centre—an assistance Himachal Pradesh had been receiving since 1952—as a major setback, estimating an annual loss of ₹8,000–10,000 crore. Sukhu stated that while the previous government received about ₹60,000 crore from the Centre over five years, including ₹47,000 crore under RDG and ₹13,000 crore as GST compensation, his government has received only ₹17,000 crore so far. Due to this fiscal pressure, the state had to reduce its budget by ₹3,000 crore this financial year—the first such instance in its history.
Relief for Employees and Regularisation Policy
Amid the financial challenges, the Chief Minister announced key relief measures for employees. He said that all pending gratuity and leave encashment arrears of Class IV employees who retired between January 1, 2016, and December 31, 2021, will be cleared by May 2026, involving an outlay of ₹50 crore.
Additionally, contractual employees completing two years of continuous service by March 31, 2026, will be regularised. The government has also increased daily wages of labourers by ₹25 and fixed a minimum monthly salary of ₹13,000 for outsourced employees.
On austerity measures, Sukhu confirmed that the temporary deferment of 20–30 percent salaries of the Chief Minister, मंत्रियों, MLAs, Chief Secretary, DGP and senior officers will continue, although some relief has been extended to Class I and Class II officers.
Women-Centric Schemes and Power Subsidy
The Chief Minister also announced that women aged 21 years and above in Kinnaur district, with an annual income of up to ₹2 lakh, will receive ₹1,500 per month from April 1. Reiterating the government’s welfare commitments, he said that under the ‘Apna Parivar Sukhi Parivar Yojana’, one lakh गरीब families will receive 300 units of free electricity, and eligible women will also be covered under the Indira Gandhi Pyari Behna Sukh Samman Yojana with a monthly assistance of ₹1,500.
Compassionate Appointments and Social Welfare
Sukhu highlighted that the income eligibility for compassionate appointments has been increased from ₹2.5 lakh to ₹3 lakh to widen the beneficiary base. So far, 640 appointments have been provided under this category, while 980 additional cases have been approved.
He also spoke about the ‘Sukh Ashray Yojana’, under which the state government has taken responsibility for nearly 6,000 children, reaffirming the administration’s focus on social security and welfare.
Deputy CM Echoes Fiscal Concerns
Meanwhile, Deputy Chief Minister Mukesh Agnihotri, addressing a parallel event in Shimla, reiterated that the Old Pension Scheme will continue despite fiscal constraints. He said the government has repaid ₹26,000 crore in loans over the past three years and approved 99,799 new pension cases. The state has also decided to enhance disability pension to ₹3,000 per month.
Agnihotri confirmed that pending gratuity and leave encashment dues of Class IV employees will be cleared by May, entailing an expenditure of ₹50 crore, and added that salary deferment for senior अधिकारियों will remain in force.
Balancing Welfare and Fiscal Discipline
The Himachal Day platform saw the Sukhu government strongly defend its welfare-oriented governance model while openly acknowledging the economic headwinds. Emphasising financial discipline and resource mobilisation, the Chief Minister said the state remains committed to moving towards self-reliance while ensuring that social welfare schemes continue to deliver benefits across sections of society.
