Audit highlights delay in Seventh Pay Commission arrear payments to Panjab University

The financial strain stemming from unpaid arrears related to the Seventh Pay Commission continues to weigh heavily on Panjab University (PU), as both the Punjab and the Central Governments have failed to release the required funds, as highlighted in the audit conducted by Resident Audit Officer and other staff deployed by the UT local fund examiner.

For the 2023-24 fiscal, the PU had set aside a total of Rs 278.17 crore in its budget estimates to cover the arrears owed to staff under the Seventh Pay Commission, mentions the report prepared by the office of the Director General of Audit (Central), Sector 17. Of this amount, the Ministry of Education, Government of India, had approved a one-time grant of Rs 175.51 crore in February 2024. However, this allocation remains unreleased, creating a major gap in the university’s finances. Besides, the Punjab Government has yet to release its own contribution of Rs 102.66 crore, further compounding the issue.

The delay in fund disbursement from the Centre is largely attributed to the imposition of the model code of conduct during the 2024 elections. While the Ministry of Education has suggested that the pending amount may be included in the regular budget for the 2024-25 fiscal, this has extended the payment timeline, leaving the university staff in prolonged financial uncertainty.

The audit report also revealed that the Punjab Government assured that its share of arrears would be released once it resolved own financial obligations towards the pay arrears of state government employees. However, the amount has not been disbursed yet. The PU had implemented the Seventh Pay Commission pay revisions as early as 2016, but the payment of arrears remains pending, causing significant distress among the faculty and staff.