Panaji, Nov 26 (IANS): The Goa Cabinet on Friday partially accepted the 7th Pay Commission recommendations, asking state departments to undertake "mandatory green measures" which, Chief Minister Laxmikant Parsekar said, will cut down on government spending.

The state government employees' salary, as a result of the state cabinet decision, will increase by 16 per cent and the state exchequer's overall salary bill will now stand at Rs 250 crore, Parsekar told a press conference here.

The Pay Commission had recommended a 23.55 per cent hike in overall emoluments for government employees.

"The arrears for 12 months, totalling Rs 381.60 crore, will be credited to government provident fund accounts or the National Pension System of our employees," Parsekar said.

The Goa Government Employees Association had threatened protest on November 29 over the delay by the state government in implementing the pay panel report.

Parsekar said there was a drastic need to cut down on government funding, especially in view of Goa's government servant-to-people ratio that was highest in the country.

Against a population of 15 lakh, Goa has 55,447 government employees.

Parsekar said all government departments have to undertake "mandatory green measures" to cut down on state spendings at least by Rs 10 crore annually.

"There should be a mandatory cut in purchase of office stationery, use of paper, power, water and fuel consumption etc. To ensure implementation, the budgetary provisions, under the detailed heads of office expenses, other charges, materials and supplies shall be reduced by 20 per cent from 2017-18," he said.