Legislators’ salary cut by 30%
Part of: GS Prelims and GS-II – Polity
- Union Cabinet has approved an Ordinance amending the Salary, Allowances and Pension of Members of Parliament Act, 1954 for reducing salary by 30% for one year.
- It will come into effect from 1st April, 2020.
- President, Vice President, Governors of States have also voluntarily decided to take a pay cut of 30% as a social responsibility for one year.
- The money will go to Consolidated Fund of India.
Important value additions:
Consolidated Fund of India
- It includes revenues, which are received by the government through taxes and expenses incurred in the form of borrowings and loans.
- All government expenditures are met by consolidated funds except a few.
- It was created under Article 266 of the Constitution.
- Similar to the Centre, every state has its own Consolidated Fund as well.