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Friday, July 23, 2021

MP GOVT ENFORCES FURLOUGH SCHEME FOR REGULAR GOVT EMPLOYEES/OFFICER

After the Covid-19 outbreak, many institutions including government institutes suffered a lot. Many companies closed working stating themselves bankrupt or other financial reasons. Inflation increased continuously despite the coronavirus disease pandemic. In this article I will discuss about a scheme that is generally followed by big Institutions/Companies or by Governments to reduced financial burden from themselves.

Furlough Scheme Thumbnail
Furlough Scheme MP Govt

Because of the coronavirus outbreak both the central and various state governments in India had stopped increment in dearness allowances and salary increments previous year. Now after about 2 years the central government released order for increasing DA (Dearness Allowances) for central employees/officers. Following the path of the central government some states like Rajasthan also released an order of increasing the increments for salary and dearness allowances.

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MP GOVT ENFORCES FURLOUGH SCHEME FOR REGULAR GOVT EMPLOYEES/OFFICER

Seeing all this, employees of Madhya Pradesh are also angry over the current ruling BJP government lead by Shivraj Singh Chouhan. They are also protesting demanding for increment in DA and salary that is stopped from previous years. Seeing the inflation rate in India the central government has increased 11% dearness allowances, now it is 17% to 28% but the state government of Madhya Pradesh has stopped salary increments and Dearness Allowances from previous year. In Madhya Pradesh government employees/officers are getting merely 12% dearness allowance that is 16% less to the central government employees.

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Seeing the protests by the government employees in Madhya Pradesh, CM (Chief Minister) Shivraj Singh Chouhan has already said that Madhya Pradesh has already hefty loan burdens and the economical conditions of the state is not fine. So there is less chance for any kind of further increments in dearness allowances & salary increments. But the govt employees are having regular protest for their salary hike rights.

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Now the Madhya Pradesh government has a proposal for furloughing the permanent government employees. This scheme is lucrative for employees that will save hefty amount of government. So let's start about this scheme.

What is Furlough Scheme - When a company, whether that is private, PSU or government, goes towards financial crisis/problems, the company gives leave to employees for No Pay Leave, or Less Pay Leave. This saves a lot of money of the company and thus the company recovers financially. In Furlough Scheme, provision for salary and allowances amid leave can be vary company to company/institution to institution.

Is the employee thrown out from the company permanently? - No, the company has provisional time limit for same. The employee/officer is not permanently removed from the company.

Is employee bound to the company amid Furlough Scheme? - No, the employee after getting furloughed from the company can do another jobs and do self business for the time period he has taken furloughed leave. The terms and conditions for same could be varying.

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In this article, I am mainly focusing on Madhya Pradesh Government, so I will take some points from Furlough Scheme of Madhya Pradesh 2002 ordered by Digvijay lead congress government then. Furlough Scheme was eradicated in 2007 by the Shivraj lead BJP government. So let's discuss about furlough scheme in context of Madhya Pradesh government - 

Leave Period - One can take a leave under furlough scheme from 3 years to 5 years.

Eligibility  - The employee should have completed probation period, means the employee/officer must be permanent in job to get the benefit of this scheme.

Pay - The government will give 50% (half) salary when someone takes furlough scheme benefit. No increments and other allowances will be given in this time.

Will the employee be needed to appear office amid leave period? - No, the employee/officer is free from the MP Government institute where he was working. He need not to report the employer amid this period of time.

What can do furloughed beneficiary? - S/he can do his own business, take a rest, fulfill his passion, do job in other companies in either India or abroad. He is free to utilize his time in any way.

Rejoining - After completion of furloughed period the employee/officer will be working like previously.

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Seniority and other benefits - While being in furloughed period, the employee/officer's seniority will not be lost. He will be getting full benefit and will be treated like in service before.

Should I take benefit of Furlough Scheme? - If you think this is necessary and you can manage your life and financial balance, you must take it. You can do your business, jobs in other companies, learn some skills, complete studies, take care of parents, travel countrywide, etc could be possible after getting furlough scheme. Actually getting 50% salary without working any day for 5 years and also your service will not be treated as broken is really lucrative and too good. If you are getting 20K in hand salary then you will be getting 10K salary without working for a single day. And after 5 years when you join the service, and the salary is increase 30K for all other employees, you will also get 30K from the date of rejoining the service. You will not get arrears for 5 years for furloughed period.

Other good thing is that, if someone dies amid furloughed period, his child/relative will be liable to get compassionate service. Your NPS (National Pension Scheme) and other benefits covered by the government schemes will be secured. In a report it is said that whose salary is not so big are generally interested in this scheme.

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Obviously Furlough Scheme will save a lot of money of Madhya Pradesh government. If govt employees have taken furlough scheme, the work will be completed with outsourced employees. Thus way government will need to pay less amount and no other additional benefit to the outsourced employees. Many unemployed will get outsourcing jobs and permanent employees will be getting furlough scheme leave, thus everyone will feel satisfied and all this will help the current BJP government in next upcoming elections.

There is strong possibility that the Madhya Pradesh government introduce Furlough Scheme soon.

Hope this article is useful for you. If you have any query, ask in comment box. You can watch video Furlough Scheme Madhya Pradesh 2021 | What is Furlough Scheme and its Advantages & Disadvantages | in Hindi  


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