Lok Sabha Passes Bill To Reduce Salary & Allowances Of MPs For One Year To Meet Pandemic Expenses

The Lok Sabha on Tuesday passed the Salary, Allowances & Pension of Members of Parliament (Amendment) Bill, 2020. The same was passed by voice vote and was moved by Minister of Parliamentary Affairs, Pralhad Joshi, proposes to reduce certain allowances of MPs for one year, to supplement the financial resources of the centre to tackle the COVID-19 pandemic.

The Bill, if it becomes an Act, will be made effective from April 1, 2020 for a period of one year.

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The Bill seeks to amend:

1. the Salary, Allowances, and Pension of Members of Parliament Act, 1954 to reduce the salaries of MPs by 30%
2. the Salaries and Allowances of Ministers Act, 1952, to reduce the sumptuary allowance of Ministers by 30%
3. Rules under the 1954 Act to reduce constituency allowance and office expenses allowance of MPs.

During the debate for passing the bill, it was highlighted that the move will save approximately Rs. 54 crores, which less than 0.001% of the special economic package announced by the Central Government, in view of the pandemic.