Maharashtra State Engineers’ Association, Maharashtra State Contractors Federation, and Maharashtra State Water Supply Contractors Association said the state’s finances have been under strain for the past two years, and the drought will add to the pressure
Drought has been declared in 265 of Maharashtra’s 358 talukas, covering nearly 74% of the state. Under their austerity proposal, the associations have sought a 50% cut in the salaries of MLAs and MLCs, as well as a reduction or suspension of their allowances, telephone expenses, travel expenses, and accommodation-related payments from Oct 1, 2026, to July 2027. They have also sought a 50% cut in the monthly pensions of former legislators.
The govt has announced relief measures, including crop-loan restructuring, land revenue concessions, and waivers on agricultural electricity bills.
Maharashtra State Engineers’ Association, Maharashtra State Contractors Federation, and Maharashtra State Water Supply Contractors Association said the state’s finances have been under strain for the past two years, and the drought will add to the pressure. Milind Bhosale, president, Maharashtra State Contractors Federation, said thousands of crores owed for completed development works are pending, affecting contractors, developers, and allied businesses. “The delayed payments are affecting cash flow and could also restrict new works and employment generation,” he said.
They have proposed limiting cabinet meetings to one or two a month and curbing the official tours of ministers and public representatives, suggesting the use of district-level control rooms and digital communication wherever possible.
The contractors had earlier reached out to the state govt regarding Rs80,000 crore in pending dues. Among other demands, the associations have requested a fortnightly public statement detailing savings, expenditures, and released payments so citizens can track the impact of these austerity measures.
The members stated that the govt should implement a temporary halt on “free distribution schemes,” with the savings diverted toward drought relief and clearing dues owed to agencies and contractors executing development works. “A 12-month moratorium on large govt publicity campaigns and public functions has also been sought,” said association members. Additionally, the associations have sought strict limits on govt vehicles and other official facilities used by ministers, politicians, and officials. They have called for examining temporary salary and expenditure cuts across government establishments, including higher education institutions and universities.