Even though the AP government was not willing to give such a big enhancement in salaries to its employees citing the state financial position, it was forced to follow in the footsteps of the Telangana government for fear of alienating its employees.
Chief minister N Chandrababu Naidu announced the decision late yesterday evening and said the new pay scales would come into effect from the official date of bifurcation of the state.
Government employees of the two states were granted an interim relief (IR) of 27 per cent of their basic pay since January, 2014, in the undivided AP and the balance increase within this 43 per cent fitment would mean an additional financial commitment of Rs 3,610.8 crore, according to the finance department figures.
Including the IR, the additional salary bill from the 43 per cent fitment would translate into Rs 9,284.5 crore, according to the officials. Over 450,000 employees and 340,000 pensioners would benefit from the decision.
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