The Hindu Business Line : Cabinet nod to hike MPs salaries

The Cabinet on Friday approved revision in the salaries, allowances and pension of members of Parliament in line with the report of the Joint Committee on Salaries and Allowances of MPs dated May 2006.

The exercise is expected to cost the exchequer around Rs 60 crore annually, the Minister for Information & Broadcasting, Mr P.R. Dasmunshi, told reporters after the meeting.

It has been agreed to raise the basic pay of the MPs from Rs 12,000 to Rs 16,000 per month along with a hike in the constituency allowance from Rs 14,000 to Rs 20,000 per month and pension from Rs 3,000 to Rs 6,000 per month, he said.

"The salary and other facilities were fixed in 2001 for a period of five years and are due for a revision. The revised facilities are being provided to the members to efficiently discharge their responsibilities," Mr Dasmunshi said.