Arrears decision deferred

VADODARA, April 6: The Standing Committee of the Vadodara Municipal Corporation VMC on Tuesday deferred its decision on the payment of ...

VADODARA, April 6: The Standing Committee of the Vadodara Municipal Corporation VMC on Tuesday deferred its decision on the payment of Fifth Pay commission arrears to its employees.

According to highly placed civic sources, the deferment was a clear indication of the non-availability of resources in the VMC8217;s coffers. As per the Pay Commission recommendations, the civic body had paid Rs 5.70 crores in installments to its employees in February last. While it was decided to deposit the remaining 50 per cent of the amount in the staff8217;s provident fund, the corporation had failed to do so within the December 31 deadline for the same.

Arrears of Rs 75 lakhs still remains to be paid to employees in the gas department, while Rs 2 crores has to be paid to pensioners. In the event of the VMC depositing the amount in the PF now, the civic body will be required to pay an interest of Rs 1.25 crores.

Incidentally, on the one hand the VMC has made a provision of Rs 12 crore in the civic budget for 1999-2000, and on the other it is demonstrating inability to activate the process. Standing Committee Chairman N V Patel said, 8220;We have made a provision for the amount in the budget but haven8217;t stated the time-frame when the settlement would be done. Currently, it is not a feasible option.8221;

Meanwhile, the City Municipal Workers8217; Association on Tuesday gave an ultimatum to the ruling BJP heads of the VMC to deposit the 50 per cent arrears along with the interest into the PF accounts of the employees by April 15.

In a press release, General Secretary of the Association A P Brahmbhatt said the failure to credit the arrears into the PF by the civic heads made them liable for punitive action. He added that Municipal Commissioner G R Aloria had tried to shift the responsibility of taking a decision on the issue by forwarding a proposal on the same to the Standing Committee. He demanded immediate action by the Commissioner, failing which he threatened issuing a strong appeal before the heads of the civic body8217;s elected wing.