Salaries and allowances of members of either Houses is determined by the Parliament.
- No provision of pension in the Constitution. However, in 1954, the Parliament enacted the Salaries, Allowances and Pension of Members of Parliament Act.
- In 2010, the salary of members increased from 16,000 to 50,000 p.m.
- Office expenses allowance from 20,000 to 45,000 p.m.
- The daily allowance from 1,000 to 2,000 (for each day of residence on duty)
- The constituency allowance from 20,000 to 45,000 p.m.
- Members are entitled to a pension on a graduated scale for each 5-year-term from 1976.
- Besides, they are provided with travelling facilities, free accommodation, telephone, vehicle advance, medical facilities, etc.
The salaries and allowances of the Speaker/Chairman are also determined by Parliament.
Presiding Officers of the Parliament: Each House has its own presiding officer.
- They are charged on the Consolidated Fund of India and are not subject to the annual vote of Parliament.
- In 1953, the Parliament enacted the Salaries and Allowances of Officers of Parliament Act. Under this Act (as amended):
- The salary of the Chairman of Rajya Sabha has been fixed at 25 lakh p.m.
- The Speaker and the Deputy Speaker of the Lok Sabha and the Deputy Chairman of the Rajya Sabha, are entitled to receive a salary same as are payable to the Members of Parliament.
- Each Officer of Parliament (including the Chairman) is entitled to receive a daily allowance (for each day during the whole of his term) at the same rates as is payable to the Members of Parliament.
- Each Officer of Parliament (other than the Chairman) is entitled to receive a constituency allowance at the same rate as is payable to the Members of Parliament.
- The sumptuary allowance
- Paid to the Speaker, same as is payable to a Cabinet Minister (i.e., 2,000 p.m.).
- Paid to the Deputy Speaker/Deputy Chairman, same as is payable to a Minister of State (i.e., 1000 per month).
- There is a Speaker and a Deputy Speaker for the Lok Sabha and a Chairman and a Deputy Chairman for the Rajya Sabha.
- A panel is also appointed for the chairpersons of the Lok Sabha and for the vice-chairpersons of the Rajya Sabha.
Salary hike of MPsDuring the 2019-20 budget speech, Finance Minister announced a proposal to double the basic pay of MPs from current Rs. 50,000 to Rs. 1 lakh per month. He also proposed a law for an automatic revision of salaries for MPs every five years indexed to inflation. What is process of hike in salaries of MP’s? Article 106 of the Constitution of India provides that the members of either House of Parliament shall be entitled to receive salaries and allowances as may from time to time be determined by Parliament. The Salary, Allowances and Pension of Members of Parliament Act, 1954, enacted in pursuance to the constitutional provision, governs the salaries and allowances of the members. Joint Committee on Salaries and Allowances of Members of Parliament frame rules from time to time after consultation with the Government of India, to provide:
The Joint Committee was constituted to frame rules under the Salaries and Allowances of Members of Parliament Act, 1954. It consists of 10 members from Lok Sabha and 5 from Rajya Sabha. The members of the Joint Committee elect its Chairman.
- for matters like medical, housing, telephone facilities, etc.
- for regulating the payment of daily and travelling allowances under the said Act.
Why protesting against the MP salary hike is not justified?It has become a trend to oppose every time whenever there is a salary hike of MPs, which is not justified due to the following reasons:
- To ensure independence and autonomy of MPs, legislatures should be provided with sufficient compensation.
- It should attract professionals who are looking to devote their full time to the politics.
- It should provide legislatures with a support system to perform their duties effectively.
- The low salaries may deter honest persons, without other income sources, from contesting elections.