State Govt To Release ₹300 Crore Per Month To Clear Staff Dues
The government had promised to release Rs.700 crore per month. Accordingly, it honored its commitment and made monthly payments up to March 2026
Hyderabad: The state government has increased the monthly allocation for clearing pending dues of employees and retired staff from `700 crore to `1,000 crore. The enhanced payments have brought considerable relief, particularly to retired employees, with General Provident Fund (GPF) dues now cleared up to October 2025.
Deputy Chief Minister and finance minister Mallu Bhatti Vikramarka said the government has fulfilled the assurance given during the recent Assembly session on the clearance of pending employee dues. Acting on his directions, the finance department released `1,000 crore on Wednesday.
Principal secretary (finance) Sandeep Kumar Sultania issued the formal orders for the fund release on Wednesday. The government had earlier committed, during discussions with employee unions last year, to release `700 crore every month, and adhered to this schedule up to March 2026.
However, after reviewing the financial challenges faced by employees and pensioners, Bhatti Vikramarka decided to enhance the monthly allocation to `1,000 crore from the current financial year. Accordingly, the April tranche of `1,000 crore has been released on a war footing.
The move has had a particularly positive impact on retired employees, with all pending GPF dues up to October 2025 now fully cleared. This has provided much-needed relief to thousands of pensioners who had been awaiting their retirement benefits.
Addressing healthcare concerns of employees, the government has directed officials to ensure that medical reimbursement bills are processed on a priority basis without even a single day’s delay. Officials have been instructed to maintain a fast pace in clearing such bills, alongside the disbursal of scholarship payments.
The government reiterated that there would be no compromise on employees’ health security and has put in place measures to ensure continuous and timely processing of medical claims.
Employee unions have welcomed the decision, expressing satisfaction over the large-scale release of funds by the government in resolving long-pending issues.
