Salary Hike : There was an element of excitement at the corridors of the Haryana Civil Secretariat in Chandigarh yesterday after months, as the announcement by the Chief Minister Nayab Singh Saini was eagerly awaited too.
After a long wait, committee recommendations and continued pressure from employee unions, the Haryana government has announced a massive salary hike package for more than 3.5 lakh state government employees.
“Bahut intezaar ke baad aakhir acchi khabar mili hai,” (Finally good news after a long wait) observed Surender Singh, a senior clerk at the Irrigation Department, whom I met when I went to the secretariat.
His sentiment was repeated across government offices in Panchkula, Ambala and Gurgaon, as employees tried to work out how the announcement would translate into a reduction in their household budgets.
Salary Hike The Big Revision Bundle
The key element in the package is a 16% rise in basic pay, which will be backdated to 1 April 2025 – well above the 11% rise that had been suggested as indicative of the state’s budget constraints. Most employees will see an immediate increase in their monthly net take home pay as a result.
” Besides, implementation of the recommendations of previous pay commissions was also reviewed and inflation was also taken in consideration according to which the salary has been hiked”, said Vijay Dahiya, Finance Secretary while addressing the press conference at Haryana Niwas.
“16% was kind the point where we found it to be somewhat of a benchmark of taking care of the employees and also not getting too outlandish,” Van Ness said.
In addition to the basic wage revision, the package has bundled a few Haryana centric improvements:
HRA has been revised with higher rates:
Chandigarh, Panchkula and Gurgaon : Fixed at 25% of basic pay (20% to 25%)
District HQs such as Ambala, Karnal, and Hisar : Hiked from 16% to 18%
Other cities: Raised from 10% to 12%
Special Allowance for Difficult Areas in the border areas of Sirsa and part of Fatehabad has been raised therefrom to 10% of basic pay considering the difficult working condition in these areas.
Rural PostingIncentive foremployees in villages having a population of less than 5000 has been enhanced from ₹2,000to₹4,000per month –putting in place an even stronger measure to bring in more staff in underserved rural areas.
Consolidated Medical Allowance for employees and pensioners not covered by the medical reimbursement scheme is doubled to ₹2,000 per month from ₹1,000 per month.
There has been a steep increase in Children Education Allowance from ₹1,500 a month to ₹2,500 Per month per child (Maximum 2 children).
These changes of Ritu Sharma, a primary school teacher in Karnal with 12years of service, mean a lot for her family’s finances.
“My basic pay will go up from ₹50,400 to ₹58,464,” she calculated while speaking to me in the District Education Office.
“When you consider the increased HRA and education allowance* @ ₹2,083 for both my children, my monthly take-home will increase by almost ₹13,000. And that’s life-changing for my family.”
Salary Hike Provisions for Particular Employees Populations
The distinguishing feature of this revision is that it has been formulated keeping in view the specific requirements and variances in employee categories of varied departments throughout Haryana.
Cops working in high-risk and high-crime zones will receive an extra risk allowance of ₹2,500 to ₹4,500 a month, as per their rank and posting.
“Hamara kaam khatarnak hai, government ne isko manya hai,” (Our work is dangerous and the government has recognized this) Constable Manoj Kumar told me at a police station in Panipat.
Healthcare workers, specifically those in Primary Health Centres and Community Health Centres in rural Haryana, will get “Healthcare Service Incentive” of between 8 per cent and 12 per cent of basic pay.
This clause is a conscious effort to address the continued issue of recruitment and retention of medical personnel in rural areas.
Even regular contractual employees, a large section of Haryana’s government workers, have been kept out.
Their joint monthly package will augment by as much as 14 per cent, bringing relief to thousands of workers who say they have been paid differently than permanent ones.
Salary Hike Economic Impact and Projected Timeline
The fiscal implications for the state exchequer for this amendment are huge. The exercise, per figures released by the finance department is going to entail an outgo of around ₹8,500 crore per annum – or roughly 8% of Haryana’s annual revenue receipts.
“This is a very big promise, though we think giving away a part of our salaries is a targeted donation of some sorts which will start with putting pressure on our government servants who are our backbone as far as the administration is concerned,” chief minister Saini said while making the announcement at Haryana Bhawan.
“We have taken some budget adjustments to make sure that our development projects don’t suffer because of this.”
The gradual approach: To deal with the impact on the fiscal side, the scheme is being phased in:
Modified pay scales will be in place from April 1, 2025
Cumulative arrears for April to September 2025 will be credited in employee’s GPF accounts directly
Arrears from October 2025 would be paid in cash with the monthly salary.
Complete roll-out across all departments will be finished by December 2025
Special arrangements apply for employees close to retirement to ensure they are not disadvantaged by the changes.
“Those who will retire before the full implementation of the revised pension will have it as a priority and their pension will be also processed in a priority standard,” Dahiya said in a detailed briefing with the heads of the departments at the Civil Secretariat.
Salary Hike A Long Campaign for Change
The decision has come after almost three years of sustained struggle and fight against employee unions of Haryana.
The Sarva Karmachari Sangh, the biggest employee federation in Haryana, had held several protests in Panchkula and Chandigarh demanding the enhancement of the pay scales which have been locked at the 2016-level.
“We had to fight for what should have come to government employees anyway,” said Subhash Lamba, President of the Sangh, I interviewed him at their office in Sector 5, Panchkula.
“We had conducted 23 district-level demonstrations and two state-wide strikes preceding the government’s formation of the Pay Revision Committee in 2024 January.
The three-member committee, led by retired IAS officer K.K. Khandelwal, had sent in its recommendations in November 2024, after consultations with employee stakeholders, financial brains and a study of pay scales in neighboring states like Punjab, Himachal Pradesh and Rajasthan.
Salary Hike Reactions, mixed ce Across the State
While the news has generally been well-received, reactions range from one employee group to another, and may look different by region.
Younger employees (those under Group A) in Groups C and D seem more content as they see a percent increase that makes an actual difference to their household economics.
My income was just sufficient to pay the rent in Gurgaon and the school fees of my children.”Ramesh Kumar, a Group D employee in Mini Secretariat “This raise will allow me to stop spending weekends at a second job.”
Middle-ranking officers are more cautiously appreciative. “It’s a welcome change, but if you look at how inflation has driven prices up in Haryana over the last 5-6 years, the hike only neutralizes the impact this inflation has had on us and doesn’t take us any further,” remarked Sanjay Dahiya, a Deputy Superintendent of Agriculture in Hisar.
The announcement, just months before assembly elections, has been criticized by opposition parties for its timing.
Former Chief Minister and Leader of Opposition Bhupinder Singh Hooda said: “Had the government been really concerned about the welfare of the employees, why did they keep them waiting for so many years? This is obviously electioneering.
Government spokesmen have sharply denied this portrayal, citing the scrupulous work of the Pay Revision Committee and the increased financial buoyancy of the state resulting from two successive years of bumper revenue.
Salary Hike Challenges Moving Forward
Like any major administrative reform, the system must confront various obstacles in the implementation process.
Such anomalies and grievances that will naturally accrue during implementation will be looked into by a special cell in the finance department at the secretariat, an official said.
Departments have been told to verify the service records and update/correct all the employees’ particulars in the IFMS by 5 July 2025.
“Any inconsistencies in the service records may delay modification at individual level,” a communication issued to all department heads warned.
The relief for its large contingent of contractual workers, on the one hand, and the fresh questions about regularization, on the other.
“The raise is good news, but we will continue to demand the government’s commitment to framing a policy for regularization as assured to them,” said Dhanpat Singh, president of Contractual Employees Association, in a brief interaction in Rohtak.
Salary Hike Outlook: Economic Implication on Haryana
In addition to the direct impact on government employees, economists expect a major boost for Haryana’s local economy.
With some 3.5 lakh employees getting enhanced salaries, consumer spend is expected to rise in sectors ranging from housing to automobiles and education to retail.
The government employees are the biggest consumer class with regular income,” said Kurukshetra University economist Dr Rajiv Sharma.
“The additional ₹8,500 crore reaching the state economy per annum through enhanced salaries will in the next course produce second order benefits due to enhanced consumption and increase in tax collection.”
While government offices across Haryana sponge up the specifics of this long-awaited development, there’s an air of hope that the announcement brought.
For most employees, the adjustment means not only financial respite but also validation of the work they have been doing for the state — a feeling best encapsulated, perhaps, by Savita Rani, an Anganwadi supervisor in Jind, who said: “Mehngai ke is daur mein, yeh badhottari hamari roz ki pareshaniyon ko kam karega.”
(And in this era of inflation, our daily grind will be lessened as a result of this hike.