Delay in receiving GST share from state delays salaries of CSMC staff

Chhatrapati Sambhajinagar:

The lower grade employees and personnel of Chhatrapati Sambhajinagar Municipal Corporation (CSMC) have complained of undergoing financial stress due to delay in releasing their monthly salaries which is further delaying repayments of their bank loans.

It is learnt that the CSMC is facing hurdles in releasing the salaries of 4,500 employees and personnel (of different cadres) and pensions of more than 2,000 retired personnel every month for the last few years. The CSMC receives a share of GST of Rs 30 crore from the state government. This helps CSMC in making the payment of the staff. Two weeks of February have passed and the CSMC has not yet received the share. Hence the salaries have not been made.

The monthly expenditure of CSMC is between Rs 45 crore and Rs 48 crore, while the deposition of money through various resources - property tax, water tax, town planning, gardens etc - is between Rs 22 crore and Rs 25 crore in the treasury. In this unstable situation the CSMC pays the salaries to the staff from the GST share for the past many years.

Earlier, the share would get deposited in the first week of every month, but now till February 13, the share is yet to be deposited in the bank account. The remaining balance money after paying salaries is spent on paying energy bills. If the bill payment is delayed the MSEDCL threatens to disconnect power supply.

The delay in salaries has affected the staff who had obtained vehicle, home and educational loans. They are also penalised for the delay payment by their respective banks for their no fault.

The CSMC staff have demanded to release their salaries by the seventh of every month. The memorandums in this regard were also submitted by various organisations to the administration during last month.