centre-notifies-24-pc-hike-in-mps-salaries-pensions

The central government has announced a 24 pc increase in the salaries, daily allowances, and pensions of sitting Members of Parliament (MPs) and former Parliamentarians.

 

The revised rates, effective from 1st April 2023, were formally notified by the Ministry of Parliamentary Affairs on Monday.

 

Under the new structure, the monthly salary for serving MPs has been increased from ₹1 lakh to ₹1.24 lakh. The daily allowances for these members have also seen a rise, going up from ₹2,000 to ₹2,500. This adjustment is intended to account for inflation and the rising cost of living.

 

Former MPs, who previously received a monthly pension of ₹25,000, will now receive ₹31,000. Additionally, the extra pension for each year of service beyond five years has been raised from ₹2,000 per month to ₹2,500.

 

This increment aims to provide financial support to former members who have contributed extended service to the Parliament.

 

The hike has been implemented under the powers granted by the Salary, Allowances, and Pension of Members of Parliament Act, relying on the Cost Inflation Index as outlined in the Income Tax Act of 1961.

 

The decision reflects the government's acknowledgment of the increasing financial responsibilities of public representatives and the need to align their compensation with current economic realities.

 

The notification also highlighted that these revisions were made considering the substantial gap between the previous salary structure and the current economic scenario.

 

The increased allowances are intended to ensure that MPs can carry out their responsibilities effectively while maintaining a standard of living befitting their position.

 

This development has sparked a range of reactions. Supporters argue that the hike is necessary to match the growing demands of public life and the responsibilities of Parliamentarians.

 

Critics, however, question whether the substantial increase is justified, especially when common citizens face financial challenges.

 

While there has been no official statement from the opposition regarding the pay hike, the decision is likely to stir debates in the coming parliamentary sessions.

 

The government, however, maintains that the increase is a reasonable measure considering the inflationary trends and the broader economic situation.