The Telangana State government has announced that its ministers will voluntarily reduce their salaries by 50 per cent. This decision aims to facilitate the clearance of longstanding pending dues owed to government employees. The announcement was made during a Cabinet meeting presided over by Chief Minister Revanth Reddy on Thursday, April 24, 2026.

Government officials have indicated that this initiative forms part of a wider fiscal strategy that seeks to address the increasing financial liabilities of the state. Ensuring timely payment of pensions and other employee benefits is a key objective driving this decision.

Details of Pending Dues

The Cabinet has authorised a comprehensive 100-day action plan designed to facilitate the settlement of outstanding dues, which are estimated to total over Rs 14,000 crore. This figure includes retirement benefits and various arrears that have yet to be paid.

It is reported that Rs 6,200 crore is owed to currently employed personnel, while retired employees await the payment of arrears amounting to approximately Rs 8,000 crore. The government has acknowledged the difficulties faced by pensioners who have been adversely affected by delays in receiving their retirement benefits.

In light of financial constraints, the state administration is actively pursuing further resource mobilisation measures. One such initiative includes ministerial contributions to accelerate payments to retired employees. This strategy is expected to alleviate the financial burdens experienced by those awaiting their dues.

Commitment to Stakeholder Engagement

The Cabinet has also expressed concern regarding a significant amount of pending dues inherited from the previous administration. Notably, there were no such outstanding arrears at the time of Telangana’s formation in 2014. This situation underscores the extent of the fiscal liabilities that the current government is endeavouring to resolve.

This decision is being regarded as both a symbolic and practical measure reflecting the government’s accountability towards its employees. By initiating these pay cuts among ministers, the administration communicates its commitment to easing the financial strain on state resources while prioritising the welfare of its workforce.

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