The demonetization crisis has turned to be a great set back to the government employees of both Telugu states. The cash starving banks failing to provide them full amount of their salaries for December 1. According to sources, they would be only be receiving half of their salary for the month of November.

It was due to failure of the RBI to provide sufficient new currency notes. This makes the government unable to pay the full salary to the employees and pensioners.

The RBI is said to be cleared only Rs 3,000 towards first week payment in the state of Andhra Pradesh. Of this amount, Rs 1,500 would be spared for the state government employees and pensioners, while the remaining would be given for the central government employees and PSU staffers.

By the second week, RBI is expecting to spare another Rs 2,000 crore for the state government. The state government is hopeful to transfer the balance salary amount into employees’ bank accounts’ by this month-end.

Meanwhile, Telangana government has succeeded in getting payment of Rs 10,000 of salaries of its employees in cash form. In view of the public hardships at banks, the government has get the nod of the RBI for payment of part of salary in cash mode.

In view of huge queues at banks, the government felt it would be difficult for the employees to withdraw their salary from their bank accounts in the first week.

The government also making arrangements at banks to form separate counters for government employees. Even employees are facilitated to withdraw their amounts from any bank convenient to them, whether they have an account in that particular branch or not.