7th Pay Commission Key highlights from Arun Jaitley’s press Conference
7th Pay Commission highlights: Minimum pay of Rs.18,000 has been recommended against the existing Rs.7,000 per month, and more
The Union cabinet on Wednesday accepted the recommendations of the 7th Pay Commission, giving a substantial raise to the salaries and pensions of central government employees.
The pay panel had in November last year recommended 14.27 per cent hike in basic pay at junior levels, the lowest in 70 years. The previous 6th Pay Commission had recommended a 20 per cent hike which the government doubled while implementing it in 2008.
Here are the highlights from Finance Minister Arun Jaitley’s press conference this evening:
* Minimum pay of Rs 18,000 has been recommended against the existing Rs 7,000 per month
* Rs 2,25,000 per month is the maximum pay for apex scale and Rs 2,50,000 per month for Cabinet Secretary and others presently at the same pay level
* Based on the minmum pay, a fitment factor of 2.57 is being proposed to be applied uniformly for all employees
* The rate of annual increment is being retained at 3 per cent
* The commission has recommended abolishing 52 allowances altogehter
PIB NEWS – Cabinet approves Implementation of the recommendations of 7th Central Pay Commission
* Another 36 allowances have been abolished as separate identities, but subsumed either in an existing allowance or in newly proposed allowances
* The total financial impact in the FY 2016-17 is likely to be ₹1,02,100 crore
* Gratuity has been increased from 10 lakh to 20 lakh
* Two dates of increments in place of existing one – 1st Janunary and 1st July
* Ex-gratia lump sum compensation and military service pay increased
* Existing rates of monthly contribution towards Group Insurance to continue
* Grade Pay & Pay Band structure to be replaced by Pay Matrix, comprising 19 Levels
* Total annual burden of pay, pensions and arrears of 7th Pay Commission recommendations stands at Rs 1,02,100 crore
Source: http://indianexpress.com/
Ramachandran KK says
Caloric requirement for a healthy person is not depend on their living condition. So for a 4 member family there is a fixed amount required for the healthy uplift of the family. so the basic pay of the lower most cadre employee need to be fixed in accordance with actual requirement. based on this consideration in mind. We must not forget that if the market price increases the compensation is automatically provided as dearness allowance. The problem like strike and civil disturbances can be solved by fixing upper and lower limit of the salary of government employees and suitable mathematical progression can be applied for the payment of employees in between. For higher echelon professional employees and extra efficient employees with higher education can be compensated with special pay. So the pain and problem of the pay commission can be minimised in future. If an employ can calculate if he know the upper limit and lower limit of pay further demand to increase their pay will never arise.
Debasis says
No coments. Thanks.
Debasis says
Thank you for post.
Debasis says
What are the needs for empowered commitee set up and waste 7 months for implementation of pc report. It is clear that govt. Has cut the arrear of allowance for those months.Therfore it is a farce decission.