To reduce unnecessary expenditure, the Himachal Pradesh government has withdrawn Cabinet-rank status for all Advisors to the Chief Minister, as well as Chairmen and Vice Chairmen of Boards and Corporations.
The General Administration Department issued the order, which also imposes an immediate 20 per cent cut in their salaries and emoluments. These measures would remain in effect until September 30, 2026.
The decision is expected to affect more than a dozen officials who previously enjoyed cabinet-rank privileges. Observers see this move as part of the state government’s efforts to trim costs and conserve revenue amid financial constraints.
Officials have emphasised that the step aims to rationalise expenditure and ensure more efficient use of public funds, reflecting a push toward fiscal discipline in the state.
Talking to the media in Shimla on Tuesday, Chief Minister Sukhvinder Singh Sukhu said a decision has been taken to withdraw the cabinet rank given to Advisors and Chairmen and Vice Chairmen of Boards and Corporations.
“The manner in which about Rs 10,000 crore annual Revenue Deficit Grant (RDG) for Himachal has been discontinued, there is a need to push reforms. We want to make Himachal self-reliant,” said Sukhu.
The CM hinted that this was just the beginning, and in the near future, more such reforms will be seen.
“To begin with, we have withdrawn the cabinet rank given to these people, but in the near future, more such reforms will be taken, considering the financial health of the state,” said Sukhu.
He said preparation for the budget for 2026-27 is underway, and several other steps aimed at pushing in reforms are also being contemplated, he added.
In the wake of the recommendations of the 16th Finance Commission to discontinue RDG to Himachal, it was expected that the state government would take some steps towards cutting down wasteful expenditure.
