Another round of confrontation is likely between the state government and the pro-Telangana groups with the cabinet sub-committee deciding to implement GO 177 that threatens strict action including the 'no-work-no-pay' principle against those striking work. The Telangana employee associations have threatened an agitation from August 1 including a general strike from August 17. GO 177 had been enacted three months ago but was kept under abeyance after fierce protests from the Telangana groups including many ministers in the Kiran Kumar cabinet.

According to sources, the group of ministers who met here on Thursday agreed to revive the controversial GO but stopped short of announcing it. "Since the Telangana ministers were not present at the meeting except for deputy CM Damodar Raja Narasimha, we did not want the decision to be seen as taken by Seemandhra ministers. It will be announced a couple of days later," said a minister who is a member of the GoM.

The sources said that the chief minister has been given clear instructions by the Congress high command to ensure that the proposed strike should not go out of hand. "Last time around, since it was a non-cooperation movement, we were lenient. This time they have threatened a general strike. We cannot allow this," said an official.

CM loyalists claimed that it was the stern approach of Kiran Kumar that forced the employee union leaders to defer their general strike from August 1 to 17 in order to ensure that their July salaries are not forsaken. Last time, when employees participated in the non-cooperation movement, the salaries of more than 4 lakh employees were delayed by more than 15 days. Apart from imposing the 'no-work-no-pay' principle, GO 177 threatens action for dereliction of duty including dissuading fellow employees from attending work.