AP Govt Implements New Guidelines for Contract Employees' Benefits

The Andhra Pradesh government has issued new directives regarding the implementation of the minimum time scale (MTS) for contract employees, which will now require approval from the Finance Department. This decision, outlined in Government Order G.V.M.S. No. 2, marks a significant step in the state's ongoing efforts to address the demands of contract workers.

The latest orders, which were issued on Monday, build on a 2021 resolution made following the recommendations of the 11th Pay Revision Commission. However, the implementation of the MTS has been limited to specific posts approved by the Finance Department, a key distinction from previous employee requests for broader application.

The government had initially planned to extend the MTS to contract employees starting in January 2022. Despite this, many workers did not benefit from the scheme due to discrepancies during the hiring process, leading to a prolonged period of demand for the implementation of the MTS across the board. In response to these concerns, the state government has now issued new guidelines.

The guidelines cover several important aspects of contract employment, including wages, maternity leave, and ex-gratia benefits. However, not all contract employees will benefit from the new policies. Below are the key details of the orders:

1. Minimum Time Scale (MTS): The MTS will only apply to contract employees in government departments, universities, and vacant posts. This payment system does not include allowances or annual increments.

2. Maternity Leave: Married female employees are entitled to 180 days of paid maternity leave for each delivery, with full benefits such as EPF and ESI during this period.

3. Ex-Gratia: In the event of a contract employee's death, families will receive an ex-gratia payment of Rs. 5 lakh in case of accidental death and Rs. 2 lakh for natural death. Claims must be submitted within three months.

4. Appointment Controls: Any new contract appointments must receive prior government approval. If regulations are not followed, salary bills will be rejected during audits.

5. Exemptions: The new guidelines do not apply to project-based or outsourced employees.

While the new rules offer several benefits, there are limitations. Employees in project-based or outsourced roles will not be able to access these benefits, which has sparked dissatisfaction among these groups. Additionally, the lack of annual increments for contract employees is seen as a barrier to economic growth and personal advancement. The strict regulations on new hires have also raised concerns about reduced job opportunities for potential workers.

Contract employee associations have called for a more inclusive approach, urging the government to consider a broader range of employment categories in future revisions of these guidelines.