Part V: The Union
Article 106: Salaries and Allowances of Members

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Article 106: Members of either House of Parliament shall be entitled to receive such salaries and allowances as may from time to time be determined by Parliament by law and, until provision in that respect is so made, allowances at such rates and upon such conditions as were immediately before the commencement of this Constitution applicable in the case of members of the Constituent Assembly of the Dominion of India.
Explanations
Article 106 of the Indian Constitution establishes a framework for the remuneration of members of Parliament. This Article empowers Parliament to decide on the salaries and allowances of its members by law, ensuring that the legislative body has the authority to adjust these terms based on the needs of governance. The provision also ensures that until such laws are passed, members receive allowances akin to those of the Constituent Assembly under British India.
Clause-by-Clause Explanation
Clause (1): Parliament's Authority to Determine Salaries and Allowances
Parliament holds the power to establish, alter, or revise the salaries and allowances of its members through legislation. This ensures that the legislative body can respond to changing economic conditions and the complexities of governance. By allowing Parliament to control its financial compensation, the Constitution emphasizes the autonomy of the legislature.
Clause (2): Provisional Allowances
In the absence of specific legislation, this Article provides a provisional mechanism for members to receive allowances similar to those of the Constituent Assembly of the Dominion of India. This ensures that members have a stable source of income during the transition from colonial administration to the functioning of the Indian Parliament.
Real-Life Examples
- During the 2020 pandemic, Parliament passed temporary reductions in allowances to reflect the economic impact of COVID-19. This was seen as an act of solidarity with the public during a time of financial hardship.
- In 2018, Parliament passed a bill increasing the salaries and allowances of members, taking into account inflation and the growing demands of parliamentary work. This move stirred debate on whether increased remuneration would improve accountability and performance among members or simply add to public expenditure.
Historical Significance
The Constituent Assembly of the Dominion of India played a vital role in shaping the democratic framework of the country. By aligning the interim compensation structure of members of Parliament with that of the Constituent Assembly, the framers of the Constitution acknowledged the importance of continuity and the significant role played by these legislative bodies in India's transition to independence.
Legislative History
Article 106 of the Indian Constitution, initially drafted and deliberated as article 86 of the Draft Constitution, was ultimately integrated into the Indian Constitution on May 20, 1949.
Debates and Amendments
During the debates on Article 86, Mr. Z. H. Lari proposed an amendment to ensure the Leader of the Opposition received a fixed salary. He argued that such a provision was essential for a robust democracy. By recognizing the role of the opposition formally, it would prevent corruption and strengthen the opposition's ability to hold the government accountable.
- Shri K. Santhanam proposed an amendment to replace the term "Legislature of the Dominion of India" with "Constituent Assembly," arguing that the former term was outdated and no longer applicable. Santhanam’s amendment was accepted, but Mr. Lari's proposals were rejected.
- Shri T. T. Krishnamachari opposed Lari’s proposal, arguing that financial provisions alone would not create an effective opposition, and that such matters could be addressed by future Parliaments. He emphasized that financial incentives were not the key to an effective opposition.
Consequently, Shri M. Ananthasayanam Ayyangar also opposed Lari’s amendment, asserting that Article 106 already allowed Parliament to determine salaries without needing explicit constitutional provisions. He argued that a true opposition should arise from policy differences, not financial incentives. The assembly ultimately rejected Lari's proposals but accepted Santhanam's amendment.
Frequently Asked Questions (FAQs):
The salaries and allowances of members of Parliament are determined by Parliament itself through legislation.
Until Parliament passes such a law, members will receive allowances similar to those of the Constituent Assembly of the Dominion of India.