State government has stopped third installment of arrears to government employees without informing them. The issue came to light when some DDO (Drawing and Disbursal Officer) tried to file the bill at government treasury.

“Our enhanced Dearness Allowance has already been postponed by the government. In addition, now government has stopped the third installment of about 4.50 lakh government employees,” said general secretary of the class three employees federation, Laxmi Narayan Sharma.

State government employees were approved of the salaries according to seventh pay commission from January 2016 but were given from July 2017. The arrears of 18 months from January 2016 to June 2017 were to be given in three annual installments.

First installment of the arrears was given in May 2018 while the second installment was paid in May 2019. Time for paying the third installment was due in May 2020.

According to the formula worked out by the government, 50% amount of the arrear was deposited in general provident fund while remaining was to be given cash to class three and four employees of the state government. Hundred percent arrears of officials of class one and two category were to be deposited in the GPF.

Several DDOs tried to put the bill of arrears online at IFMS (Integrated Financial Management System) software but they were taken aback the message appearing on the computer screen that said this facility is not available as per government’s instructions.

More than 4.50 lakh employees of the government will be affected with this decision of the state government. It is expected that government needs about Rs 1500 crore to clear the arrear bills of these government employees.

On an average, the employees were expected to get something between Rs 15,000 to Rs 50,000 as arrear.