Employee Protests Against the AAP Government in Punjab, Withdrawal of the July 17, 2020 Letter (Finance Department Notification)

State government employees and pensioners across Punjab—operating under major umbrella organizations like the Punjab Mulazam and Pensioners Front and the Sanjha Mulazam Manch Punjab—have organized demonstrations and marches toward the Punjab Vidhan Sabha in Chandigarh. A key driver behind these widespread protests is the government’s continued enforcement of past restrictive policy letters alongside unfulfilled poll guarantees.

Key Grievances & Demands

1. Withdrawal of the July 17, 2020 Letter (Finance Department Notification)

Background: Issued on 17-07-2020 (Letter No. 7/42/2020-5FP1/741–746) by the Finance Department, this notification stipulated that pay scales for all fresh direct recruitments and compassionate appointments under the Punjab Government would no longer follow traditional Punjab pay scale structures. Instead, they were capped/aligned at par with the central pay scales under the 7th Central Pay Commission (7th CPC).

Employee Grievance: Unions argue that central 7th CPC scales for several cadres are significantly lower than existing state pay scales. Employees recruited after July 17, 2020, feel discriminated against as they perform identical duties to senior peers but receive reduced compensation packages.

Current Demand: Employee organizations are demanding the complete quashing/withdrawal of the 17-07-2020 letter, restore equal pay scales under state service rules for all appointees regardless of their joining date, and implement court directives (such as the High Court rulings in the Saurabh Sharma case) uniformly.

2. Restoration of the Old Pension Scheme (OPS)

Issue: Despite pre-election guarantees made ahead of the 2022 Punjab Assembly elections, employee unions state that a formal, functional roadmap for reverting from the New Pension Scheme (NPS) to the Old Pension Scheme (OPS) has not been implemented on the ground.

3. Release of Pending Dearness Allowance (DA)

Issue: Protesters are demanding the immediate release of the long-overdue 18% pending Dearness Allowance arrears, along with timely parity in future DA installments.

4. Regularization of Contractual & Temporary Staff

Issue: Thousands of contractual, daily-wage, and scheme-based workers across various departments continue to demand regular job status and parity in benefits.Affected Employee Cadres

The opposition to the 17-07-2020 notification and related demands spans almost all state public service departments, including:

Ministerial and Secretariat Staff

School Teachers and Higher Education Faculty

Health Professionals (Doctors, Nurses, and Paramedics)

Technical Cadres (Engineers and Sub-Divisional Officers)

Police Support & Class-IV Staff