Saurabh Sood
Shimla: The excitement over the long-awaited pay revision for Himachal Pradesh legislators appears to have faded quickly. Although official notifications were issued last month approving amendments to the salaries and allowances of ministers and MLAs, the actual monetary gain for lawmakers has turned out to be modest — reportedly around ₹20,000 per month.
According to reliable sources, the revision, which was approved by the Governor in October — just before Diwali — after nearly seven months of delay, has come with significant reductions in several allowances that legislators were previously entitled to.
The state government had passed separate Bills for revising the salaries and allowances of ministers and legislators during the Budget Session in March this year. These were forwarded to the Governor for approval and have now come into force following the issuance of the notification.
While initial reports suggested that the total monthly package of an MLA would now touch ₹2.95 lakh, sources within the Assembly Secretariat and the Finance Department revealed that several allowances have been curtailed or discontinued altogether, offsetting much of the increase.
Adding to the impact, the legislators are now required to pay their own income tax, a decision taken earlier by the state government. Until recently, the government had been paying income tax on behalf of ministers and MLAs — an amount that ran into crores annually.
As a result, the net increase in take-home salary, after accounting for the withdrawn allowances and self-paid tax obligations, is estimated to be only around ₹20,000 per month.
Dissent Within Party Ranks
Sources confirmed that nearly 10 ruling party MLAs have met Chief Minister Sukhvinder Singh Sukhu to express their displeasure over the new structure. However, the Chief Minister is said to be firm on his stand and is not in favour of restoring the abolished allowances, emphasizing the need for austerity and fiscal discipline in the state’s finances.
“The MLAs are now confused whether to celebrate the pay hike or lament the overall reduction in their allowances,” one senior legislator remarked wryly.
Breakdown of the Revised Pay and Allowances
Basic Pay:
Earlier: ₹55,000 per month
Now: ₹70,000 per month
(Some proposals reportedly suggested ₹85,000, but ₹70,000 was finalized.)
Total Monthly Package (Including Allowances):
Earlier: Around ₹2.10 lakh
Now: Between ₹2.80 lakh and ₹2.97 lakh (depending on the nature of duties and entitlements)
Major Allowance Reductions:
Telephone Allowance: ₹15,000 per month — discontinued
Electricity and Water Bill Allowance: ₹20,000–₹30,000 per month — discontinued; legislators to bear actual expenses
Former MLAs’ Telephone Allowance: withdrawn completely
Political Context
The Himachal Pradesh government, under Chief Minister Sukhu, has emphasized fiscal prudence amid rising state expenditure and limited revenue inflow. Officials argue that rationalizing the allowances of public representatives sends a positive signal of financial restraint at a time when the government is struggling with salary and pension liabilities.
However, several legislators — particularly those from smaller constituencies with limited local resources — have expressed concern that the revised structure may increase their personal financial burden, given the rising costs of travel and constituency management.
While the official revision may appear substantial on paper, the actual financial benefit for lawmakers remains marginal, sparking quiet discontent within sections of the ruling party. The government, however, appears determined to uphold its austerity narrative even at the cost of political unease among its own members.
Saurabh Sood
