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Amid financial crunch, Himachal says no to extension of employees, re-employment

By IANS | Updated: April 7, 2026 19:45 IST

Shimla, April 7 Amid financial crunch, the Himachal Pradesh government on Tuesday announced that no government employee will ...

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Shimla, April 7 Amid financial crunch, the Himachal Pradesh government on Tuesday announced that no government employee will get extension or re-employment.

The Department of Personnel has issued formal orders in this regard.

According to the new instructions, no administrative department will send a proposal to the government for the extension of the service of the retiring officers or employees.

The government has made it clear that no such application will be considered in future. All departments have been instructed to strictly comply with the orders.

However, the government clarified that those employees who are currently working on service extension or reappointment will not be removed. They will remain in office until the completion of their tenure.

Subsequently, they will be relieved as their term ends. Last month, the government withdrew the status of 'Cabinet Rank' accorded to various authorities, including Chairman, Vice-Chairman, Deputy Chairman of Boards, Corporations and Commissions, as well as Principal Advisors and Political Advisors.

At that time a government spokesperson had said the decision was taken as part of efforts to streamline administrative protocol. He had said that in addition, 20 per cent of the salary and monthly emoluments of the authorities concerned will stay deferred till September 30.

The spokesperson added that necessary directions have been issued to all Administrative Secretaries to take prompt action in this regard.

Tabling the Economic Survey for 2021-22 in the Assembly on March 20, Chief Minister Sukhvinder Sukhu, who also holds the finance portfolio, said as per the advance estimates for 2025-26 the state’s Gross State Domestic Product (GSDP) at current prices is estimated at around Rs 2.54 lakh crore, registering a healthy growth of about 10.1 per cent over the previous year.

In real terms, he had said, the state economy is expected to grow by about 8.3 per cent, reflecting sustained economic activity across key sectors despite global uncertainties and climatic challenges.

“This performance highlights the inherent strength and adaptability of Himachal Pradesh’s economy,” he had said.

As per the advance estimates, the GSDP at constant prices (2011-12) or real Gross State Domestic Product for 2025-26 is estimated at Rs 156,681 crore as against Rs 144,656 crore in 2024-25, exhibiting a growth rate of 8.3 per cent for 2025-26 as against 6.4 per cent for 2024-25 first revised.

As per the advance estimates for 2025-26 the gross state value added from the primary sector is expected to grow at the pace of 8.4 per cent at constant prices.

During 2025-26 (advance estimates) the gross state value added of the primary sector is expected to be Rs 18,824 crore as against Rs 17,362 crore in 2024-25 (first revised) at constant prices.

--IANS

Disclaimer: This post has been auto-published from an agency feed without any modifications to the text and has not been reviewed by an editor

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