COVID-19: Maharashtra and Telangana Government announce major salary cuts

On March 31, 2020, the Maharashtra and Telangana State Governments announced major salary cuts.


The Maharashtra Government had cut 60% of salary from the Chief Minister and other members of Legislative Assembly and Legislative Council and other representatives of the local governing bodies. The Class A and Class B employees of the government are to take 50% of cut. There will be no salary cuts for Class D employees that includes office assistants and peons. So far Maharashtra has reported 225 COVID-19 infected cases and 10 deaths.


The state of Telangana had also announced such salary cuts. The Telangana Government is to cut 75% of salary from the Chief Minister, members of legislative assembly and state ministers.

7th Pay Commission

The Seventh Pay commission revised the salaries of State Government employees. It increased the pay of contractual employees by 10%. It is not necessary that all the state government employees will receive equal hikes under the revision being made by pay commission.

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SEZs manufacturing essentials like pharmaceuticals, hospital equipment are operational

Around 280 SEZ (Special Economic Zones) that are involved in manufacturing essential goods such as pharmaceuticals, drugs and hospital equipment are operational amidst Lock Down. These economic zones contribute 18% of the exports of the country.


While addressing the ministers video conference of G20, the Union Minister Piyush Goyal said that India has not reduced its pharmaceutical exports and other essentials of 190 countries. This was possible mainly because the SEZs are operational in the country.

Also, more than 1,900 IT units have been facilitated with their employees working from home.

It is to be noted that in 2019-20 the exports from the SEZs have increased and has reached 110 billion USD.

Special Economic Zones

There are 7 SEZs operating under the Central Government and 12 operating under the state government or private sector as of July 2019. These SEZs operate under Ministry of Commerce and Industry. The states were permitted to operate SEZs under SEZ act, 2005. The act defines key role of the state governments in export promotion.

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