Himachal's Fiscal Woes: Government Arrears and DA Dilemma

The Himachal Pradesh government faces an arrear backlog of Rs 8,643 crore, including pending dearness allowance and medical reimbursements. Chief Minister Sukhvinder Singh Sukhu highlighted the disparity in DA rates with central government employees during a state assembly session. The fiscal challenges epitomize the state's financial strain.

Amidst mounting financial pressure, the Himachal Pradesh government is grappling with substantial fiscal arrears, amounting to Rs 8,643 crore, according to Chief Minister Sukhvinder Singh Sukhu. He addressed the assembly, noting a significant backlog affecting both government employees and pensioners.

The disclosure comes as state employees contend with disparities in the dearness allowance (DA) compared to their central government counterparts. While central employees enjoy a DA of 53%, state employees receive just 42% of their basic salary. The financial implications are profound, underscoring persistent challenges in aligning with central standards.

In addition to pending DA, there are other arrear liabilities, notably Rs 12.83 crore for government employees and Rs 57.92 crore concerning pensioners related to unsettled medical reimbursements. These fiscal obligations highlight the ongoing fiscal strain within the state's economic framework.

(With inputs from agencies.)