The Hindu : National : Cabinet defers decision to hike MPs' salaries

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Tuesday, Aug 17, 2010
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National

Cabinet defers decision to hike MPs' salaries

Smita Gupta

NEW DELHI: With a vocal section of the Union Cabinet stressing that it would be politically unwise to enhance the salaries and allowances of Members of Parliament by three times at this stage, the government on Monday deferred a decision on the subject.

At a meeting of the Cabinet, Ministers opposing the move pointed out that at a time when the ‘aam aadmi' was battling inflation and high prices, and farmers' suicides and allegations of corruption in the Commonwealth Games were hitting the headlines, such a move would evoke a negative reaction.

The discussion on the Bill on MPs' salaries and allowances was steered by Parliamentary Affairs Minister Pawan Bansal and backed strenuously by Commerce Minister Anand Sharma, among others.

Mr. Sharma, sources said, pointed out that it was important to enhance the salaries of MPs to attract a better quality of person to politics, but he was cut short by Prime Minister Manmohan Singh, who asked him to be brief.

Leading the charge against the hike was Minister for Overseas Indian Affairs Vayalar Ravi. The others who opposed the increase were Home Minister P. Chidambaram, Defence Minister A.K. Antony, Information and Broadcasting Minister Ambika Soni, and Minister of State for Environment and Forests Jairam Ramesh — all of whom felt that such a decision would not go down well with the people at the moment.

If the Cabinet had cleared the Bill on Monday, it would, in all likelihood, have been brought to Parliament in this session, but now, sources said, this was unlikely.

Currently, MPs get Rs.16,000 per month as salary. The proposal was to increase it three times so that the base salary is Rs.50,000.

An MP also gets a daily allowance of Rs.1,000 when Parliament is in session or a sitting of a House committee is scheduled; a monthly constituency allowance of Rs.20,000; and a monthly office expense allowance of Rs.20,000. Also, MPs are entitled to a certain number of air travels, AC first class train travel, and a rent-free flat or hostel accommodation.

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