Himachal Pradesh Government Withdraws Ministers' Salary Deferment Notice, Directs Release Of Arrears To Pensioners Next Month

The Himachal Pradesh government withdrew the deferment of salaries of deputy chief ministers, ministers, speakers, deputy speakers of the state cabinet and legislature on June 10, 2026. The Chief Minister Sukhvinder Singh Sukhu has announced salary deferment in March this year at the time of presenting the financial year 2026-27 budget.

The deferment decision was taken due to the acute financial crunch in the state. According to the PTI report, CM’s 50 per cent salary, cabinet ministers’ 30 per cent salary, and Members of the Legislative Assembly (MLAs) 20 per cent salary were deferred for six months. But now the deferred amount of salary will be paid in July 2026, along with the salary for June.

The CM clarified that while his own salary will remain deferred, all other government workers will receive their full salaries next month, along with the deferred amount. In a recent meeting of the Finance Ministry, he attributed payment of the deferred amount to the policies of his administration that have improved the financial health of the state, per an ANI report. The CM has also directed the Finance Department to prioritise releasing the pending pension arrears for all pensioners in the 65-70 years age bracket.

The chief minister assured that all the necessary funds will be available for payments. In the review meeting of the finance department, the chief minister highlighted the issues in the state’s financial planning, such as withholding of Rs 1,200 crore in financial assistance by the Union Government. While the state government has restored the old pension scheme (OPS), the Centre has, reportedly, withheld the payment.

The CM also met with the Himachal Pradesh Road Transport Corporation (HRTC) pensioners' joint action committee, and formalised a system to ensure that their pensions are disbursed between the 7th and 10th of every month. The state government has also committed to providing a Rs 23 crore monthly grant to avoid a financial crunch.

In addition to it, Rs 20 crore was also released to settle pending medical reimbursement claims of HRTC staff, a long-pending issue from the HRTC’s retired workers.

While the government has assured pension payment within a specific period each month, the CM reportedly acknowledged the persistent challenges HRTC is facing. It continues to incur a loss despite an annual revenue and grant-in-aid pool totalling around Rs 1,500 crore. He highlighted the corporation’s extensive fleet of nearly 3,000 buses, causing high operational expenditure.

Addressing the pending pension payment, the minister stressed that a pension is a retiree’s entitlement and shouldn’t be delayed. He directed the HRTC management to speed up pension disbursement for employees retired after October 2025, who haven’t been given a pension yet.