Union Cabinet approves Ordinary To Reduce salary of MPs by 30% for one year; MPLADs suspended for 2 years

April 7,2020

by Swastika Saxena


The outbreak of this contagious disease(COVID-19) has created a stir in everyone’s life. Covid-19 not just caused major activities of life to come to a prolonged halt but also impacted every sphere of life in a severe way.Considering INDIA’S current situation with three hundrered (approx) positive cases of Corona virus rising everyday, it has now  become a struggle to contain the adverse effects it is continuously having on GDP, finance, trade and Economy of the nation.The country is trying hard to contain the outbreak. Lockdown of 21 days and the overall impact of the virus has caused the GDP prediction for the next fiscsal year very low. The preliminary estimates are deeply worrying.Taking this into notice, the Union Cabinet has approved an ordinance to reduce the salaries of MPs by 30% for one year.This will be implemented from APRIL 1, 2020 for one year. These decisions were taken at a meeting  of the union cabinet on Monday. The amount to be save will be utilised  to manage the fallout  from the virus, Union minister Prakash Javedkar said.The salaries of Prime Minister, President , Vice president and Governors  will also be reduced by 30%.This ordinance will amend the Salary, Allowances and Pension of Members of pariliament act,1954.The cabinet also approved suspension of MPLADs( Member of Parliament  Local Area Development ) fund scheme for two years( 2020-2022) and the funds will be used to contain the outbreak.Prakash Javedkar further said, “the consolidated  amount of  MPLADs funds for two years  around , Rs. 7900 crores will go to the Consolidated Fund Of India”.

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