Clears 2 DAs, to release Rs 700 per month to clear pending bills
Hyderabad:The state Cabinet chaired by Chief Minister A. Revanth Reddy on Thursday approved a slew of welfare measures for government employees, signaling a shift toward addressing long-pending demands and clearing financial backlogs inherited from the previous BRS regime.
The Cabinet approved the release of two pending Dearness Allowances (DAs) out of the five that have accumulated. One DA will be paid immediately, while the second will be disbursed after six months, marking the government’s commitment to easing financial strain on employees.
The Cabinet also gave its nod to issue new health cards to government employees and pensioners under a contributory health insurance scheme. Each employee will contribute ₹500 per month, matched equally by the state government. A Health Care Trust, to be chaired by the Chief Secretary and comprising representatives from employees' unions and government departments, will be established to manage the funds and implement the scheme.
Addressing the massive financial backlog left by the previous BRS government, the Cabinet approved a monthly disbursement plan to clear over ₹10,000 crore in pending retirement benefits and other dues to employees and pensioners. A minimum of ₹700 crore will be released every month until all arrears are settled.
The Cabinet also agreed to fulfill the employee unions’ long-standing demand for a 12.5% quota for government staff in Secretariat appointments. It also approved the constitution of a Medical Invalidation Committee to assess cases of medically unfit employees, and decided not to re-employ retired staff, signaling an end to ad-hoc appointments post-retirement.
Further, the government has approved the upgradation of panchayat secretaries and their promotion on par with employees of other departments. Departmental Promotion Committees (DPCs) will be constituted for this purpose. Panchayat staff will also be graded based on the classification of their respective village panchayats.
The Cabinet has decided to repatriate all government employees who were transferred during the general election period to their original postings, bringing relief to hundreds of employees affected by election-time reshuffles.
In the health and welfare sector, the government has agreed to establish a Director of Nursing to streamline and oversee nursing services in the state. For Anganwadi workers, retirement benefits have been enhanced to ₹2 lakh, up from existing levels.
Pending bills for rental vehicles used by government departments will also be cleared, and vehicle usage norms will be revised upward to align with operational needs.
Finally, the Cabinet has decided to review the contentious GO 317, which has been a source of ongoing concern among employees affected by past transfers and postings.
