Published On: Fri, Nov 4th, 2016

7th Pay Commission: Govt should think about better pay to root out corruption

New Delhi: Corruption is rampant in many of the central government’s offices, despite Prime Minister Narendra Modi’s warning that corruption was eating away at India “like a termite”.

Three top cabinet ministers including Finance Minister Arun Jaitley assured them, “the the minimum pay and allowances would be considered by the High Level Committee.”

Three top cabinet ministers including Finance Minister Arun Jaitley assured Unions, “the the minimum pay and allowances would be considered by the High Level Committee.”

Accordingly, the government should consider to root out corruption in the Indian bureaucracy and the official system.

The 50 lakh central government employees are now getting 14.27 % hike in their basic pay against recommended overall 23.55 percent by the 7th Pay Commission.

The decision to hike the allowance has not been taken taken by the ‘Committee on Allowances’ headed by Finance Secretary Ashok Lavasa till date.

The ‘Committee on Allowances’ has been set up on July 22 for examination of the recommendations of 7th Pay Commission on allowances other than dearness allowance and deadline of four months given to it by the cabinet to submit the report.

Until cabinet approval on the Committee on Allowances’ report, allowances are to be paid according to the existing rates under the existing pay structure of the 6th Pay Commission’s recommendations.

“The central government has finally decided not to give any facility to central government employees better than the 7th Pay Commission recommendations and the government will also stick with the 7th Pay Commission recommendations on pay scales and allowances like advances,” the finance ministry sources said.

“The demands of central government employees over their pay scales and allowances are likely not to be considered by the National Anomaly Committee on behalf of the government,” the finance ministry sources added.

The central government employees’union expressed its resentment over the non-formation of High Level Committee for reviewing the minimum pay and allowances. However, three top cabinet ministers including Finance Minister Arun Jaitley assured them, “the the minimum pay and allowances would be considered by the High Level Committee, which will soon be set up and the government will take steps accordingly.”

About four months was passed after assurance, no High Level Committee has been formed, while the ministers confirmed, “the favourable decision will be taken within four months.”

The central government employees unions had demanded for hiking minimum pay Rs 18,000 to Rs 26,000 and asked to raising fitment factor 3.68 times from 2.57 times, which was implemented by the government based on the pay commission recommendations.

If the 2.57 fitment formula is tinkered with, then salary and pension in general for all central government employees will go up.

The government hasn’t honour the ministers’ assurance till date, so the central government employees unions say they must lead their march to Parliament on December 15.

The minimum pay and allowances should be hiked for central government employees immediately by the government on the acceptance of the unions’ proposals.

Such a move would help to start countering the criminally extortionate mind-set which embeds corruption in many government posts as a way of mitigating low wages. Better-paid staff are more motivated in performing their jobs well and in working to root out corruption.

Implementing such an approach to government employees salaries has been shown to work very well in countries such as Singapore. If we are to emulate this here, the government also needs to take a more rational approach to managing is resources.

This would allow the government to pay, recruit, and retain higher quality government officials and begin to root out corruption and poor quality in public services, once and for all.

TST

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