WHERE WILL MONEY GO IN 2016-17
* Salaries and related expenses: Rs 25.4 cr
* Repairs, maintenance of roads: Rs 1.9 cr
* Death cum retirement gratuity: Rs 75 lakh
* Spending on staff uniform: Rs 22 lakh
* Honorarium to corporators: Rs 31.9 lakh
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Salaries, wages and pensions are going to constitute a whopping 47% of Corporation of the City of Panaji (CCP)’s total expenditure in fiscal 2016-17. As per the budget documents released by the CCP, expenses under heads like salaries to regular employees, daily wages, contract salaries, honorarium to mayor & corporators, pensions and retirement benefits, put together, are going to cost the CCP Rs 25.4 crore in FY 2016-17.
To this extent, CCP’s financial situation mirrors that of Goa’s, wherein salaries and related expenditure make up for a huge chunk of the overall expenditure. Now, per se, expense on salaries isn’t really wholly unproductive, but massive salary expense limits an organisation’s ability to spend on other productive purposes.
For instance, the CCP is going to spend Rs 1.9 crore in FY 2016-17 on repairs and maintenance of roads, traffic-signals, drains and related works. Compared to this, Rs 25.4 crore spend on salaries does seem huge.
What is also interesting is the fact that CCP’s spend on salaries, wages, pensions in 2016-17 is a 54% jump over 2014-15 number. Certain expenses are increasing mani-fold. For instance, the CCP spent Rs 28.2 lakhs on death cum retirement gratuity in 2014-15, which is set to increase to Rs 75 lakhs in 2016-17.
Similarly, the CCP’s expense on staff’s uniform is expected to double in 2016-17 compared to what it was two years ago. The corporation spent Rs 11.2 lakhs on staff uniform in 2014-15, which is estimated to rise to Rs 22 lakhs in 2016-17.
Meanwhile, benefits & allowances in the form of honorarium to corporators, is going to only marginally increase from Rs 31.9 lakhs in 2014-15 to Rs 34 lakhs in 2016-17.
