kperc00015

							               TABLE 4.6 DEPARTMENTS HAVING LARGEST NUMBER OF STAFF, MARCH 2012
               Name of Department                   Number of Staff     Percent
               1.General Education                            170346      33.89
               2.Police Department                             57665      11.47
               3.Health Department                             36397       7.24
               4.Higher Secondary                              27061       5.38
               5.Collegiate Education                          21456       4.27
               6.Land Revenue                                  15998       3.18
               7.Judicial Service Department                   12051       2.40
               8.Medical Education                             11818       2.35
               9.Agriculture Department                         9233       1.84
               10.Public Works Department                       9108       1.81
               11.Technical Education                           8792       1.75
               12.Water Resources                               8558       1.70
               13.Forest                                        7167       1.43
               14.Animal Husbandry                              7040       1.40
               15.Vicational Higher Secondary                   6419       1.28
               16.Government Secretariat                        5287       1.05
               17.Panchayat Department                          5183       1.03
               18.Rural Development                             5068       1.01
               19.State Excise                                  4891       0.97
               20.Commercial Taxes                              4718       0.94
               21.Others                                       68419      13.61
               Total                                          502675        100




STAFF IN EDUCATIONAL SECTOR

4.6     Since the formation of the state, the policy pursued by the successive
governments was to give priority for starting a large number of educational institutions
in public sector as well as giving grant-in-aid in the form of salaries to the staff in
private aided educational institutions. Without considering the resource availability,
present and future financial implications and its impact on the opportunity cost of
spending, sanctions were issued for starting educational institutions in public and private
aided sectors. This had resulted in continuous increase in teaching and non-teaching
staff in the public funded educational sector. According to the budget document, the
total staff coming under the various government departments is 246976 in March 2012.

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This accounts for 49 percent of the total staff of the government and private
educational institutions (Table 4.7). This estimate of staff does not include the teachers
and non-teaching staff working in eleven state universities in Kerala. A good number of
staff in schools are excess protected staff working in uneconomic schools. There is also
considerable scope for reducing the excess staff working in other public and private
aided educational institutions. Hence the committee recommended to implement
measures to reduce the excess staff in the educational sector.

                       TABLE 4.7 TOTAL STAFF IN THE EDUCATIONAL SECTOR
                                                                   March
       Educational Sector                                           2012 Percent
       1. General Education                                      170346       33.88
       2. Higher Secondary Education                              27061        5.38
       3. Colligiate Education                                    21456        4.26
       4. Medical Education Department                            11818        2.35
       5. Technical Education                                       8792       1.74
       6. Vocational Higher Secondary                               6419       1.27
       7. Directorate of Ayurveda Medical Education                 1042       0.20
       8. Commissisionerate of Entrance Examination                      42    0.01
                              Total                              246976       49.13
       Total Staff of the Government                             502675        100



SALARY EXPENDITURE OF DEPARTMENTS

4.7    We have seen in the para 4.6 that educational sector account for half of the
total staff, whose salary is paid by the state. A head wise breakup of the total salary
expenditure for the year 2010-11 shows that educational sector accounts for 51 per
cent of the total salary expenditure (Table 4.8). On the other hand, the salary
expenditure for medical and public health services was slightly higher than one tenth of
the total salary expenditure. The police department which has the responsibility of
maintaining law and order in the state account for 9 per cent of the total salary
expenditure. The salary expenditure for the item on administration of justice is 2.35
percent. The other heads which accounts for one to two percent of the total salary
expenditure are land revenue, agriculture, public works, rural development, animal
husbandry, district administration, family welfare and social security and welfare. This
pattern of spending of more than half of the salary expenditure on one item of
expenditure has serious implications on the availability of adequate staff in other

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Departments and activities. Due to lack of adequate staff, important administrative
functions connected with land revenue, administration of justice, district administration,
police, local self government institutions are not properly executed. The public medical
care, public health and family welfare activities are also adversely affected due to
inadequate staff. In this context, there is a need to assess the shortage or excess of
staff of each department taking into consideration their functions. The committee
recommends that steps may be taken to assess the shortage and excess of staff in each
department and relocate the staff to improve the functioning of the departments.

                TABLE 4.8 EXPENDITURE ON SALARY FOR 2010-11: MAJOR HEAD WISE
          Major Heads                                 2010-11    Percent
          1.General Education                          545242.12         49.23
          2.Technical Education                         21215.63          1.91
          3. Medical and Public Health                 126083.05         11.38
          4.Police                                      99102.11          8.94
          5.Administartion of Justice                   26133.32          2.35
          6.Land Revenue                                18385.81          1.66
          7.Agriculture                                 19025.25          1.71
          8.Public works                                17806.93          1.60
          9. Forest and Wild life                       10784.68          0.97
          10.Secretariate - General Services             8756.29          0.79
          11.Other Rural Development
          Programmes                                    16557.66             1.49
          12.Animal Husbandry                           14822.51             1.33
          13.State Excise                                8344.24             0.75
          14.Other Adinistrative Services                8383.93             0.75
          15.District Administration                    12662.64             1.14
          16.Taxes on sales, trade etc.                  9303.05             0.84
          17.Treasury and accounts administration        8553.64             0.77
          18.Family Welfare                             21122.90             1.90
          19.Social security and welfare                18585.28             1.67
          20.Labour and Employment                       9628.35             0.86
          21.Others                                     86918.07             7.84
          Total                                       1107417.46           100.00

Large Salary Expenditure: The root cause for fiscal deficit

4.8     Table 4.9 gives the salary expenditure of government staff, teaching grants
given to private aided educational institutions, and its share to total expenditure. The
continuous increase in the expenditure of salary is one of the basic causes for the
continuous fiscal deficit of the state government. The salary expenditure of staff and
total expenditure on salary including teaching grants more than doubled between 2004-
05 and 2010-11. The item, teaching grant to private educational institutions also
increased by about 94 percent during the above period. The share of salary expenditure
constitute 28.53 percent of the total expenditure. The revision of salary and pensions in
every five years is the main reason for the increase in salary expenditure. Due to the
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