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How did the Punjab Reorganization Act of 1966 create Haryana and reshape Punjab?

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Amritsar, India: Harmandir Sahib — Punjab The Harmandir Sahib (Golden Temple; right), Amritsar, Punjab, India.

The Punjab Reorganization Act of 1966 fundamentally reshaped the region by partitioning the former state of Punjab along linguistic lines to resolve long-standing tensions between its diverse populations.12

The act created the state of Haryana as a separate entity for the Hindi-speaking population, fulfilling a long-standing demand for an autonomous region. Simultaneously, the remaining portion of the state was reconstituted as a primarily Punjabi-speaking Punjab. The reorganization also involved the following adjustments:132

Territorial Transfers: The northernmost districts of the former Punjab were transferred to the state of Himachal Pradesh.2
Union Territory: The newly constructed city of Chandigarh and its immediate surroundings were designated as a separate union territory.2
Shared Capital: Although Chandigarh was removed from the jurisdiction of both states, it was retained as the joint administrative headquarters and capital for both Haryana and Punjab.23

This division was the culmination of years of agitation by both the Sikh community for a Punjabi-speaking province and the Hindi-speaking population for a separate state, effectively ending the "awkward" union that had existed since 1858.123