The Tamil Nadu state government has implemented a 25% salary hike for employees working at its state-run TASMAC liquor outlets, marking the first such increase in 20 years. According to reports from Livemint and India Today, this move aims to bring in reform measures and curb corruption at these establishments. State excise Minister K Vignesh announced that Assistant Salesmen will earn ₹17,925, Salesmen ₹19,413, and Supervisors ₹22,313, as detailed at the Secretariat. The pay revision directly targets the additional 10% charge per bottle that has been a frequent complaint from customers at TASMAC stores, seeking to discourage employees from collecting extra charges beyond the standard pricing. As part of the comprehensive reform, the government has also extended Employees' State Insurance (ESI) benefits to these employees to further improve their welfare. The salary increase will entail an additional expenditure of ₹110.74 crore for the government, with the state government allocating ₹550.72 crore towards salaries.
The salary enhancement directly targets the additional 10% charge per bottle that has been a frequent complaint from customers at TASMAC stores. As reported by Livemint and India Today, this move seeks to discourage employees from collecting extra charges beyond the standard pricing. The initiative represents a significant policy shift aimed at improving transparency and customer service at these state-run liquor outlets, with Minister Vignesh stating that the pay revision is intended to eliminate the incentive for employees to overcharge customers and strengthen accountability across TASMAC outlets. The government believes better wages will reduce corruption and improve accountability across the liquor retail network, with Minister Vignesh emphasizing that "For me, my employees and their welfare are important. Equally important is the public. They can't be forced to shell out more money." The ruling Tamilaga Vettri Kazhagam (TVK) has repeatedly alleged that the ₹10 collected above MRP during the previous DMK regime was diverted as "party funds," with customers forced to pay illegally over and above the notified price. The DMK has denied these allegations.
Minister Vignesh has revealed the scale of the alleged scam, claiming that around one crore liquor bottles were sold every day in 2021-22. At ₹10 extra per bottle, that translates into ₹10 crore a day, ₹300 crore a month and nearly ₹3,600 crore a year. He questioned why the previous DMK government did not end this practice despite allegedly continuing for years. The government has announced strict enforcement measures, with 40 persons placed under suspension in the last two months on charges of selling liquor above the MRP. Additionally, bar licences will be revoked if persons below 21 years were allowed entry, reinforcing the government's commitment to preventing underage access to alcohol. During the DMK regime, then Excise Minister Senthil Balaji had maintained that action was taken whenever complaints of overcharging surfaced, though the TVK government claims this practice continued unabated.
The government has extended the licences of nearly 2,320 bars attached to liquor retail outlets across Tamil Nadu by two months, as announced by Minister Vignesh. He explained that it may take another 15 to 20 days to float fresh tenders, and the entire process is likely to take another three to four weeks. This extension provides temporary relief to the liquor retail network while the government works on long-term restructuring measures. The comprehensive restructuring demonstrates the state's commitment to improving the overall liquor retail network and reducing alcohol access in sensitive public areas, with the closures strategically implemented to address proximity concerns.
The salary hike decision has drawn support from across the political spectrum, with actor-politician Kamal Haasan welcoming the move and calling for more liquor shop closures. Congress MP Manickam Tagore also welcomed the decision, calling it a response to long-standing public demand and stating it would improve the safety of women, students and the general public. While the salary hike has been announced, details of the rollout and implementation are still awaited. As reported by Livemint, the timing and specific procedures for implementing the pay increase remain to be clarified by the government. The government is also addressing wages for unloading liquor cases at retail outlets, electricity bill issues and rental issues raised by TASMAC employees, with the Chief Minister directing that ESI benefits be extended to them after they have been demanding this coverage for the past 20 years.
