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Mizoram chief minister Zoramthanga

The Mizoram government has decided to defer payment of salaries to its employees in view of the coronavirus-induced financial crisis.

Chief minister Zoramthanga, who also holds the finance portfolio, said the Cabinet has adopted austerity measures, including deferment of salaries of the government employess.

“The Cabinet has recommended deferment of 15 per cent of the gross salaries for Group A, 10 per cent for Group B and 5 per cent for Group C and D employees from June to August,” the chief minister told reporters in Aizawl on Saturday.

He said the salaries alone cause a cash outflow of about Rs 290 crore a month.

The salaries of All India Services officials on deputation to the State Government will also be deferred, but the police and Health department employees will be exempted, he added.

Zoramthanga said the deferment of salaries would reduce the monthly cash outflow by about Rs 35 crore.

With the drastic decline in funds received from the Centre, like post-devolution deficit grants, share of taxes and GST, the Cabinet has also considered budgetary cuts.

Zoramthanga said the budgetary cut would result in saving about Rs 190 crore.

“Priority will be given to expenditure under major/minor works which can create stimulus for the economy and labour-intensive works to create more jobs,” he said

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