Why Centre refused to pay Kerala Rs 750 crore for UGC pay revision arrears
Kerala incurred a loss for UGC pay revision arrears only due to non-compliance of the conditions laid down by the Central government amounting to Rs 750.93 crores.
Thiruvananthapuram: The Kerala government has suffered a major setback in receiving fund allocation from the Centre for UGC pay revision arrears. The Chief Minister's claim that the Centre arrears the amount despite giving Kerala's proposal has also turned out to be false. The loss incurred only due to non-compliance with the conditions laid down by the Central government is Rs 750.93 crores. When the central government points out that there is an error in the calculation of salary arrears for 39 months, the state defends it as unnecessary disputes.
As the deadline expired on March 31, 2022, the benefit will no longer be availed. The dispute is over the pay revision arrears implemented by the 7th Pay Commission.
Union Finance Minister on Saturday said, "The Kerala government sent a proposal which had a lot of unanswered questions. They were asked to correct all that and send back (the proposal) by March 31, 2022."
However, the Kerala government did not send the complete proposal before March 31, 2022 and therefore the Centre cannot release the share.
State universities, affiliated and government-funded colleges, law colleges, engineering colleges, agricultural, animal science, and technological universities, as well as polytechnics, physical education, medical, dental, and pharmaceutical colleges, are likely to lose approximately Rs 1,500 crore in outstanding arrears.
This is because the arrears span 39 months, from January 1, 2016, to March 31, 2019.
The central government has taken the stand that the grant will be given if the 7th Central Pay Commission (CPC) is fully implemented. Kerala was not able to produce the documents of payment of revised salary or to collect the money by properly convincing the situation. Kerala also did not take into account the Centre's ultimatum to finally provide the documents of the amount sanctioned before March 31, 2022 for various writings.
Kerala adopted the UGC pay revision in the last days of the V S Achuthanandan government in 2010 and the arrears were cleared in four installments from 2013 to 2016.