PU to present Rs 100-cr deficit budget

Bhartesh Singh Thakur

Tribune News Service

Chandigarh, November 21

Panjab University (PU) will present Rs 100.12 crore deficit budget for 2018-19 in the upcoming Board of Finance (BoF) meeting on November 28.

The deficit is on account of the 7th Pay Commission which has enhanced salaries of teachers and there are arrears too. But the budget does not specify from where Rs 100.12 crore would come. The BoF would discuss possibilities.

The salary and retirement benefits in 2018-19 would need Rs 457.96 crore, whereas revised estimates for 2017-18 for the same are Rs 437.18 crore. There is a jump of 4.7 per cent. Research journals and books, remuneration for examiners, power and water charges, repair and maintenance and sports activities would cost Rs 98.52 crore whereas the revised estimates of 2017-18 for the same are Rs 90.64 crore. There is a jump of 8.7 per cent.

The tentative liability for the implementation of the 7th Pay Commission and other staff in the UGC and Central pay scale has been calculated at Rs 66.61 crore as arrears from January 1, 2016, up to March 31, 2018, and Rs 33.51 crore from April 1, 2018, to March 31, 2019, as enhanced salaries.

The total expenditure of the PU would come around Rs 656.5 crore. The revised estimates for 2017-18 for expenditure are calculated at Rs 527.83 crore. The maximum share of expenditure goes in paying salaries and pension to teachers. The salaries and retirement benefits include leave encashment and gratuity and pension cost Rs 452.22 crore. If we add Rs 100.12 crore for the 7th Pay Commission too, it would rise to Rs 552.34 crore, which is 84.1 per cent of the total expenditure.

The salaries part also includes provision for filling of 70 teaching positions (assistant professors), which got vacated in the past 3-4 years on account of attaining the age of 65 years by teachers as well as provision for vacant administrative posts such as Chief of University Security Officer, Dean College Development Council, deputy registrars and medical officers.

The budget specifies that the tentative revision of pay and pension of non-teaching staff would cost Rs 21.73 crore per annum for which no provision has been made as the Punjab Government is yet to notify it.

The internal income projected in 2018-19 is Rs 307.49 crore while in revised estimates of current financial year, it is Rs 293.03 crore. There is a jump of 4.9 per cent.

The maximum income would come from examination fee at Rs 153.36 crore. It forms 49.9 per cent of the internal income. The revised estimates of the current year, however, for examination fee would generate Rs 150 crore. There is a jump of 2.24 per cent.

The partially self-financed departments would contribute Rs 66.51 crore whereas the revised estimates of current year kept this income at Rs 62.75 crore. Hence, there is a rise of 6 per cent.

University teaching departments (aided) will contribute Rs 14.57 crore whereas in revised estimates, their share is Rs 13.25 crore. There is a rise of 10 per cent. The maintenance grant from the Punjab Government is projected at Rs 28.62 crore while in revised estimates for the current financial year, it is Rs 27 crore. There is a jump of 6 per cent.

The contribution from the Centre is projected at Rs 220.26 crore while in this financial year, it is Rs 207.80 crore. There is a rise of 6 %. Had there been no pay commission, the income and expenditure are matching at Rs 556.38 crore.

There is an uncovered deficit of Rs 17.93 crore relating to previous financial years, which has to be met by the Punjab Government as per directive from the Ministry of Human Resource Development (MHRD) dated June 19 of this year.

Also, the excess expenditure over income while running constituent colleges, for which funding comes from the Punjab Government, is Rs 6.89 crone.

MHRD directive

Earlier as a practice, the pay revision notification related to teaching staff used to be adopted by the university after the same got notified by the Punjab Government. But as per the latest MHRD directive dated June 19, 2017, the salary expenditure towards teaching staff, which is 1,378 as assessed by the manpower audit committee of the university, and such a number of non-teaching staff would commensurate with ratio of 1:1.1 is to be met out of the grant released by the MHRD/UGC.