Govt Approves MPS Salary Hike – Cost of Living and Inflation Rate … On what basis did 24% increase in salary of MPs? Pension also increased – Central Govt Approves 24 pc hike in mps salary now lawmakers to earn nine times more than more than average indian ntc

The government has approved an increase of 24% in the salary and pension of Members of Parliament (MPs). This will be applicable from April 1, 2023 from the increment restrospective effect. The allowances of MPs have also increased. The government said that this decision to increase the salary and pension of public representatives has been taken keeping in mind the Cost of Living and Inflation Rate. According to the notification of the Ministry of Parliamentary Affairs on Monday, with this increase, the monthly salary of MPs has increased from ₹ 1 lakh per month to ₹ 1.24 lakh, while their daily allowance has increased from ₹ 2,000 to 25% to ₹ 2,500. The pension of former MPs has also been increased by 24% to Rs 25,000 to Rs 31,000 per month.

According to the notification, this is the first such amendment after April 2018, which aims to bring the salary of MPs in accordance with inflation. However, this increase has raised new questions about income inequality between MPs and the general public. According to the data of the Ministry of Statics and Plan Implantation, India’s estimated per capita income in 2022-23 was ₹ 1.72 lakh or about ₹ 14,333 per month. These figures show that now a former MP also gets double pension from the average income of a common Indian, while the income of a current MP is about 9 times more than the income of a common Indian.

Also read: Special screening of ‘Chhava’ may be included in Parliament complex in Delhi, PM Modi can also be involved

Income inequality between MPs and general public increased

Apart from this, MPs also get facilities like daily allowance (benefits during Parliament session), constituency allowance, free travel and free government housing. The decision to increase the salary of MPs has been taken at a time when ordinary Indians are facing the pressure of inflation. Most of the time during the last financial year, the retail inflation in India was above the Reserve Bank of India’s level of 4%. A rapid rise in the prices of food items was observed. In many areas, there is no coordination with the salary increment, cost of leaving and infection rate of those working in the informal sector.

The data from the Periadic Labor Force Survey (PLFS) of the year 2022-23 shows that the average salary of salaried employees in India is much lower than the salary received by MPs. Apart from this, the issue of determining the increase in their salary by MPs themselves has been a matter of debate for a long time. Critics argue that instead of deciding by voting in Parliament on the increase in their salary by MPs, a decision should be taken by an independent commission on such amendments.

Also read: Government’s new initiative to promote electronic manufacturing, discussion on corporate tax-employment in Parliament

An MP will cost ₹ 42.9 lakh per year

After increasing the salary and allowances of MPs, the total annual expenditure of the government on MPs has increased significantly. Now every MP will cost about Rs 42.9 lakh per year from the government exchequer, including the expenses incurred on their salary, allowances and facilities. The annual salary expenditure of MPs has been increased to Rs 14.8 lakh due to increase in salary by 24 %. Apart from this, MPs will get a daily allowance of Rs 2,500. If there is a 100 -day Parliament session in a year, then according to this, an MP will cost Rs 2.5 lakh in a year as a daily allowance.

Total MPs will spend ₹ 3,386.82 crore every year

In addition to salary and daily allowances, MPs get an constituency allowance of Rs 70,000 per month, which is Rs 8.4 lakh annually, and office expenses are Rs 60,000 per month, which is totaling Rs 7.2 lakh per year. Apart from this, MPs also get travel allowance and other facilities, whose approximate expenditure is ₹ 10 lakh per MP every year. In this way, the expenditure on a total of 788 MPs (543 in Lok Sabha and 245 in Rajya Sabha) has reached around ₹ 3,386.82 crore per year. This includes the salary of MPs, allowance, office expenses, travel allowance and other facilities.