Minister Atchannaidu’s Initiative Ends PACS Employees’ Agitation

The Andhra Pradesh government has brought an end to the nearly three-month-long agitation by employees of Primary Agricultural Cooperative Societies (PACS) by announcing a comprehensive package of salary and welfare measures.

The breakthrough came after a high-level committee meeting chaired by Agriculture Minister Kinjarapu Atchannaidu at the Velagapudi Secretariat on Tuesday. Senior officials, including the Special Chief Secretary of Agriculture and the Managing Director of APCOB, participated in the discussions, which focused on resolving long-pending employee grievances.

Following detailed deliberations, the government approved a 20 per cent salary hike for PACS staff. In addition, the gratuity ceiling has been enhanced from ₹2 lakh to ₹4 lakh, strengthening post-retirement security . The State has also cleared a proposal to introduce a comprehensive group medical insurance scheme with ₹5 lakh coverage for each employee. Implementation guidelines are expected to be announced shortly.

The protest, which began on December 6, 2025, was launched over stagnant wages , lack of revision in tune with rising living costs, inadequate retirement benefits, absence of health insurance coverage, and the non-implementation of a structured HR policy. Employees had also pointed out that despite managing digital operations such as computerisation, ERP-based real-time transactions, End-of-Day (EOD) processes, and HRMS-linked salary systems, their contributions were not adequately recognised.

Addressing the media, Atchannaidu said the government recognises the vital role played by PACS employees in strengthening the cooperative banking system and supporting farmers at the grassroots level. He added that other demands raised by unions are under examination and appropriate recommendations would follow.

In Vijayawada, employee unions welcomed the decisions and felicitated the Minister. They termed the measures a morale booster that would further strengthen the cooperative banking network and improve service delivery to farmers. The unions also acknowledged the support of Chief Minister N. Chandrababu Naidu in resolving the issue.

With the announcement of the revised pay structure and welfare benefits, employees formally called off their agitation and resumed regular duties.