SHILLONG: Independent legislator SK Sunn on Tuesday said that there is a need to keep the wages and salaries of government employees intact during the current crisis.
While referring to the submissions made by him in the recently-concluded reassembled budget session, Sunn said capital investment for creation of assets may be curtailed.
He said there is a need to fine-tune the priorities of budget during the implementation of various projects.
According to Sunn, the state’s own resources — tax and non- tax — which constitute about 20 per cent of the state’s total revenue receipts may be adversely impacted due to the COVID-19-induced lockdown.
Further, though the state’s share of 0.765 per cent of divisible pool of tax will not change, the amount of tax available in the divisible pool may be less than expected as a result of economic impact of coronavirus.
According to Sunn, though the budget proposal is appreciated, there are concerns over its implementation due to the current economic crisis.
The World Bank and credit rating agencies have downgraded India’s growth for 2021 with the lowest figures India has seen in three decades since economic liberalisation in the 1990s, he said.
During the lockdown, 140 million people have lost employment and more than 45 per cent households across the nation have reported a drop in income as compared to previous year, he said, adding that those in the informal sector and daily wage groups are the worst affected. A large number of farmers who grow perishables are facing uncertainty, he added.
Besides, business houses and major companies have resorted to salary cut and reduction of staff, he said.
