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Gujarat govt to challenge HC order on fixed wages

The state government had originally estimated additional burden of Rs2,400 crore per year, which has now been revised to Rs3,000 crore

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Facing a huge financial burden in the wake of Gujarat high court's order to provide benefits of regular pay scale to all its employees drawing fixed wages, the state government has decided to challenge the decision in the Supreme Court.

"We have decided to challenge the high court's decision in Supreme Court. The financial strain on the government, which is already reeling under rising debt, would be enormous and unbearable. We also feel that the government is getting a raw deal in the matter," said a senior government official, requesting anonymity.

The state government had originally estimated additional burden of Rs2,400 crore per year if it implemented the high court order to pay regular pay scale as per the Sixth Pay Commission to employees drawing fixed wages, which number around 1.60 lakh.

However, the estimated burden has been revised and is in excess of Rs3,000 crore per annum, according to an official.

"Moreover, the one-time burden for paying arrears to such employees is estimated at around Rs5,500 crore-Rs6,000 crore," said an
official.

According to officials, employees who were paid fixed wages, but had quit their jobs before completing five years of service, would be eligible to get arrears for the duration of their service.

What is worrying the government is the wider ramifications of the high court order. "If we implement the high court order, very soon you will see fixed wages employees in municipal corporations and other local bodies seeking benefits provided to regular employees. This is another reason why we are challenging the HC order," he said.

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