MPs to take 30% constituency allowances cut after salary reduction amid Covid crisis

After the reduction in their salaries, all the Members of Parliament will now take a 30 per cent cut in their constituency and stationary allowances to help fund the COVID-19 fight, as per the government orders issued on Tuesday evening. The cumulative amount will be over Rs 25 crore for a period of one year.

Parliamentary Affairs Minister Pralhad Joshi tweeted the notification issued by the Lok Sabha and Rajya Sabha secretaries regarding 30 per cent reduction in constituency and stationary allowances for MPs is a "good beginning for augmenting resources for fighting COVID-19". In addition to the 30 per cent salary cut, MPs will now have to forfeit a total of Rs 27,000 per month from their constituency and office allowances, according to the notification issued by the Lok Sabha and Rajya Sabha secretariat.

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Combined with salary reduction, these measures are estimated to free a nearly Rs 8,000 crore, which the government wants to use for COVID-19 fight. The decision to cut MPs allowances was taken by the Joint Committee of Parliament in consultation with the government.

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"Notwithstanding anything contained in the rule 2, a member shall be entitled to receive the constituency allowance under section 8 of the salary. Allowances and pension of members of Parliament Act, 1954 (30 of 1954), at the rate of Rs 49,000 per month for the period from April 1, 2020 to March 31, 2021," the government said in a notification.

Out of Rs 60,000 of Office Allowance per month, each MP will now get Rs 14,000 towards stationery as against Rs 20,000 per month earlier. There has been no cut in the amount of Rs 40,000 per month meant for engaging personal assistants by MPs.

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30% salary cut for one year

In an unprecedented move, the Central Government on Monday decided to slash salaries of Members of Parliament and Union Cabinet Ministers by 30% for one year amid the novel Coronavirus hit to the country. Union Minister Prakash Javadekar informed that the Union Cabinet has approved an Ordinance amending the salary, allowances and pension of Members of Parliament Act, 1954 reducing allowances and pension by 30% w.e.f. April 1 for a year.

The money saved by the public exchequer will be used in the government's fight against the COVID-19 oubreak and the subsequent fallout on the economy. "The President, Vice President, Governors of States have voluntarily decided to take a pay cut as a social responsibility. The money will go to the Consolidated Fund of India," Prakash Javadekar said.

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