Punjab Employees End Strike After Disciplinary Action Pledge
The decision follows talks between employee unions and Chief Secretary KAP Sinha, who agreed to withdraw show-cause notices issued after a mass leave protest on 27 August.
Punjab Employees Halt Work Stoppage
Punjab government employees have ended their pen-down strike, which began earlier this week. The decision came after Chief Secretary KAP Sinha assured the Punjab Sanjha Mulzam Manch that show-cause notices, issued for disciplinary action against participants in a mass leave protest on 27 August, would be withdrawn.
The agreement followed discussions held on Wednesday, 9 September. The strike had disrupted administrative operations across state government offices.
Core Demands Remain
Over three lakh employees participated in the 27 August mass leave, pushing for several key demands. These include the payment of pending 18% Dearness Allowance (DA) arrears and the reintroduction of the Old Pension Scheme (OPS).
Other significant points are the regularisation of contractual staff, the enforcement of minimum wages for various worker categories, and the extension of Punjab's pay scales to employees hired after 17 July 2020.
Government's DA Offer Rejected
On 4 September, the Punjab government had proposed increasing DA from 42% to 60% for approximately 85,000 state employees recruited after 17 July 2020. Cabinet Minister Aman Arora stated this move aimed to standardise DA with the central pay pattern and address salary discrepancies.
However, employee representatives rejected this offer, insisting on the full clearance of DA arrears as mandated by the Punjab and Haryana High Court. The state government has challenged this High Court directive in the Supreme Court, arguing that paying around ₹14,191 crore in arrears within a fortnight is unfeasible.
This resolution averts further disruption to public services but leaves significant financial and labour policy issues unresolved for the Punjab government. The ongoing dispute over DA arrears, amounting to over ₹14,000 crore, indicates continued pressure on state finances.
Businesses operating in Punjab, particularly those reliant on government approvals or services, may see a temporary return to normal administrative function, but the underlying fiscal challenges tied to employee remuneration and pension liabilities persist.
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