Chief Minister K Chandrasekhar Rao told reporters here that a "fitment" of 43 per cent would be given to the employees, who were on the forefront of the separate statehood agitation. The "fitment" is fixed as per a formula that involves the basic salary and dearness allowance.
The hike will be implemented with retrospective effect from June 2, 2014 (the day Telangana came into existence) and the new salaries would be paid from next month, he said.
Replying to a query, the Chief Minister said that the hike in salaries would cause a burden of Rs 6,500 crore on the state exchequer, but the government can bear the expense.