Tripura CM Manik Saha warns rollback of fixed pay policy may cost Rs 4,000 crore, escalating fiscal pressure, amid political demands for SSA teacher regularisation and pending Supreme Court verdict on employment reforms.
Tripura Chief Minister Manik Saha on Wednesday cautioned that any abrupt rollback of the state’s long-standing fixed pay employment system could impose an additional financial burden exceeding Rs 4,000 crore on the state exchequer, triggering serious fiscal challenges.
Responding to a query raised by Paul Dhangshu of the Tipra Motha Party during the Assembly session, the Chief Minister underscored the financial risks associated with immediate policy changes, particularly in relation to the regularisation of teachers under the Samagra Shiksha Abhiyan (SSA).
Dr Saha clarified that while 113 SSA teachers have already been regularised after successfully clearing the Teacher Eligibility Test conducted by the Teachers’ Recruitment Board Tripura, the larger issue remains sub judice before the Supreme Court of India.
“The matter is currently under judicial consideration, and the government will take an appropriate decision after the apex court pronounces its judgment,” the Chief Minister stated, urging patience until legal clarity emerges.
Political Pressure Mounts Over Election Promises
The issue sparked a heated exchange in the Assembly, with Leader of Opposition Jitendra Chaudhury pressing the government to fulfil its electoral promise of granting regular pay scales to SSA and TET-qualified teachers. Senior Congress leader Gopal Roy also cited the example of Assam, where SSA teachers have reportedly been regularised.
MLA Paul Dhangshu further pointed out that the High Court had directed the state government twice to regularise SSA teachers. However, instead of implementing the orders, the state moved a Special Leave Petition (SLP) before the Supreme Court, prolonging uncertainty for thousands of educators.
Fixed Pay System: A Fiscal Safeguard
Defending the existing policy, the Chief Minister explained that the fixed pay system—introduced in 2001 and expanded in 2007—serves as a financial buffer. Under this framework, newly appointed government employees receive a fixed salary for five years before being absorbed into regular pay scales.
Dr Saha described this period as a “transitional phase” that allows the state to manage long-term financial commitments more effectively. He warned that dismantling the system without a phased approach could significantly inflate revenue expenditure.
“If the system is done away with abruptly, the state may have to bear an additional burden exceeding Rs 4,000 crore, which would be difficult to manage at this stage,” he said.
Budgetary Concerns and Rising Expenditure
Highlighting fiscal realities, the Chief Minister revealed that nearly 40 percent of Tripura’s budget is currently allocated to non-plan expenditure. He cautioned that this figure could surge to approximately 61 percent if all fixed pay employees are immediately transitioned to regular pay scales.
Citing recommendations from the Finance Commission, Dr Saha stressed the importance of maintaining control over revenue expenditure to ensure long-term fiscal sustainability. He also attributed ongoing legal and financial complications to policy decisions made during the previous Left Front regime.
Awaiting Judicial Clarity
With the matter now resting before the Supreme Court, the state government has adopted a cautious stance. The Chief Minister reiterated that any final decision on the regularisation of SSA teachers and potential changes to the fixed pay system would be taken only after the court delivers its verdict.
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“The government is committed to examining the matter thoroughly and will act in accordance with the law,” Dr Saha concluded.
