Bill Summary

The Salary, Allowances and Pension of Members of Parliament (Amendment) Bill, 2020

The Salary, Allowances and Pension of Members of Parliament (Amendment) Bill, 2020 was introduced in Lok Sabha on September 14, 2020. It amends the Salary, Allowances, and Pension of Members of Parliament Act, 1954. The Act lays out the salary and various allowances to sitting Members of Parliament (MPs) and also provides for the pension to former MPs. The Bill replaces the Salary, Allowances, and Pension of Members of Parliament (Amendment) Ordinance, 2020 promulgated on April 7, 2020.

Reduction in salaries: The Act specifies the salary of an MP to be Rs 1,00,000 per month during his term in Parliament. The Bill reduces the salary of MPs by 30%. This reduction has been made for a period of one year, effective from April 1, 2020. This is to raise resources to meet the urgent needs arising out of the COVID-19 pandemic.

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