'No proposal to cut salaries of central govt employees'

The Finance Ministry on Monday clarified that there is no proposal to cut salaries of central government employees.

 Reacting to news reports, the ministry in a tweet said: “There is no proposal under consideration of Govt for any cut whatsoever in the existing salary of any category of central government employees”.

“The reports in some section of media are false and have no basis whatsoever.”

Last month, the government had put on hold payment of increased Dearness Allowance to its 50 lakh employees and 61 lakh pensioners till June 30, 2021, as it looks to curtail expenditure to meet the spending requirement to fight coronavirus pandemic.

The Finance Ministry’s Department of Expenditure in an office memorandum had earlier said no arrears of DA will be paid from January 1, 2020 to June 30, 2021.