Cabinet Cut MP’s Salary : Know Their Salary & Development Scheme launched

Cabinet Reduce the salary of 30% According to Members of Parliament Act, 1954 for a year. Here you can get the details of MP's Salary and Scheme Launched by them.

MP’s Salary Cut and No MPLAD funds for 2 years by Cabinet :

The ordinance – an amendment to Members of Parliament Act, 1954, will reduce the allowances and pension by 30 per cent with effect from April 1, 2020. The reduction will be applicable for a year.

Cabinet reduces salaries of MPs by 30% for a year, no MPLAD funds for 2 years

  • The Union Cabinet has approved an ordinance slashing the pension and allowances of members of the Parliament by 30 per cent for a year.
  • “Apart from the ordinance on MP salary, President Ram Nath Kovind, Vice-President Venkaiah Naidu and many state governors and lieutenant-governors have also voluntarily decided to take a pay cut as a social responsibility.
  • The minister also informed the media that the MPLADs (Members of Parliament Local Area Development Scheme) fund has been discontinued till 2022. “MPs’ funds of Rs 10 crorse each will be pushed towards nation-building.

♦Salary Details (2020)

  • President: ₹500,000 + Other allowances fixed to President of India.
  • Vice-President: ₹400,000 +Other allowances fixed to Vice President of India.
  • Prime Minister: ₹200,000 (salary received as a Member of Parliament in Lok Sabha or Rajya Sabha) + allowances as a Member of Parliament + Other allowances for the Prime Minister of India.
  • Governors of States: ₹350,000 + Other allowances fixed for Governors of States.
  • Lieutenants Governor of Union Territories: ₹110,000 + Other allowances fixed by the Union Government.
  • Member of Parliament of India: ₹100,000 + Constituency allowances ₹45,000 + Parliament office allowance ₹45,000  + Parliament session allowance (₹2,000 per day).

Note: According to a report, the Centre spent Rs 2.7 lakh on an MP per month. The Parliament has a total of 795 members – 545 in the Lok Sabha and 250 in the Rajya Sabha.

Approx- 80cr. Rupees 

Other Important Post

  • Chief Justice of India: ₹280,000 + Other allowances fixed for Chief Justice of India.
  • Judges of Supreme Court of India: ₹250,000 + Other allowances fixed for SC Judges.
  • Chief Election Commissioner of India: ₹250,000 + Other allowances.
  • Chiefs of Staff (Army, Air, Naval) in the rank of General and equivalent ranks in Indian Armed Forces: ₹250,000 + Other allowances. Senior-most Armed Forces personnel in Government of India.
  • Chief Justice of High Courts: ₹250,000 (US$3,500) + Other allowances fixed for Judges.
  • Judges of High Courts: ₹225,000 (US$3,200)  + Other allowances fixed for Judges.

♦About MPLADs (Members of Parliament Local Area Development Scheme)

  • The Members of Parliament Local Area Development Scheme (MPLADS) scheme was launched in 1993-94. MPLADS is an operational Central Sector Scheme today. Under this Scheme, the Members of Parliament deliver different works for the creation of lasting community assets based on the needs of the locality in their constituencies in the area of national priorities like education, sanitation, drinking water, public health, roads etc.
  • The formulation of policy, release of funds and prescribing monitoring mechanism for implementation of this Scheme is done by The Ministry of Statistics and Programme Implementation.


✅ Government of India fully funds the MPLADS Scheme. Rs. 5 crores per MP constituency is alloted annually under MPLADS fund.
✅MPs have to deliver works every year costing at least 15% of the MPLADS allotment for the year for regions inhabited by SCs population and 7.5% for regions inhabited by ST populations.
✅ In the scheme guidelines, to encourage trusts and societies for the betterment of tribal people, a limit of Rs. 75 lakh is required for building assets by trusts and societies.
✅Lok Sabha Members are allowed to do works within their Constituencies and Elected Members of Rajya Sabha are allowed to deliver works within the State of Election (with selected exceptions). Nominated Members of both the Rajya Sabha and Lok Sabha can deliver works anywhere in the country.
✅In the scheme guidelines, all works to satisfy locally felt infrastructure and development needs, with a stress on the creation of durable assets within the constituency are permissible under MPLADS. Expenditure on specified items of non-durable nature is also permitted as listed in the guidelines.


An amount to the tune of 7900 crore rupees will be accumulated and deposited in the consolidated Fund of India to fight COVID-19

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