Revanth Reddy says govt has no money for salary hikes

Telangana Chief Minister A. Revanth Reddy has made a shocking statement that the government has no enough revenue to hike the salaries of the employees. He acknowledged a deepening financial crisis in the state, stating that current revenue levels do not permit salary hikes for government employees.

Speaking at a public event, Reddy revealed that the state earns Rs 18,500 crore in monthly revenue. This means it is short of the Rs 22,500 crore required to meet basic financial obligations, leaving no fiscal space for additional expenditure.

Even if you cut me in half…

His remarks come amid mounting pressure from government employee unions, who are demanding the release of pending bills, Dearness Allowance (DA) arrears, and other long-overdue benefits.

Several unions have threatened protests and strikes. Addressing union leaders, Revanth Reddy appealed for restraint, warning that agitations could further damage the already fragile economy. “Even if you cut me in half, the revenue will not exceed Rs 18,500 crore,” he stated candidly.

The Chief Minister called for collective responsibility, urging government employees to work with the administration to boost revenue. He hinted that populist welfare measures—such as free electricity—might need to be reevaluated if salary increments are to be considered.

Blaming the previous Bharat Rashtra Samithi (BRS) government, Reddy said his administration inherited a “financial minefield.” Despite the fiscal constraints, he assured that salaries are being disbursed on time.

However, he warned that continued non-cooperation could result in delays, pointing to recent disruptions in payments to ASHA and Anganwadi workers as examples. Reddy emphasized the need for dialogue over protest and accused opposition leaders of exploiting the situation for political mileage.

A strategic political move

Many political analysts believe that Chief Minister Revanth Reddy is using the state’s financial crisis as a strategic shield to deflect mounting pressure to implement the Congress party’s six poll guarantees in full. By citing a lack of revenue and blaming the previous government for financial mismanagement, he appears to be attempting to avoid public backlash. Reddy has consistently portrayed the former BRS administration as one that did little beyond accumulating debt—an approach widely seen as politically calculated.

Meanwhile, opposition leaders from the BRS, including KT Rama Rao, have slammed Reddy’s remarks as “insulting” and accused the Congress-led government of financial misgovernance and failure to plan responsibly.