The citylocal bodieshave been facing a severe financial crunch due to the pandemic. The institutions are unable to pay their workers’ salaries and pensions despite special grants from the provincial government. Due to a government grant Karachi Water and Sewerage Board (KWSB) was the only institution able to pay its employees on time. Meanwhile, thousands of employees of Karachi Metropolitan Corporation, Karachi Development Authority (KDA), Malir Development Authority, Lyari Development Authority and district municipal corporations have been deprived of their salaries and pensions. With financial resources drying up for these institutions, paying the salaries and pensions of employees has become a challenge. KDA employees have, reportedly, not received their salaries for the last three months, even as the Sindh government has released a grant of Rs400 million. The government provided a monthly grant of Rs200 million to KDA. According to sources, Rs30 million would be deducted from the special grant of Rs400 million and the regular grant of Rs200 million would start again next month. Meanwhile, the Sindh government has restricted all kinds of payments for employees, such as leave encashment.
Local bodies facing severe financial crunch
