Published On: Tue, Oct 10th, 2017

7th Pay Commission: Central employees to see 17 percent more pay hikes

New Delhi: A top official of the finance ministry today told The Sen Times on condition of anonymity that government plans for pay raises, settling on a proposal that would give central government employees minimum pay Rs 21,000 — an unprecedented 17 percent increase over Rs 18,000 they receive now.

The proposed salary hikes are expected to zip through FM Arun Jaitley, with a goal of getting the package to Cabinet by January.

The proposed salary hikes are expected to zip through FM Arun Jaitley, with a goal of getting the package to Cabinet by January.

The proposed salary hikes are expected to zip through the National Anomaly Committee (NAC) and Finance Minister Arun Jaitley, with a goal of getting the package to Cabinet by January. The plan also includes fitment factor 3.00 times from 2.57 times, which has earlier been approved to apply uniformly for all employees. And it proposes a slew of salary raises for all central government employees, whose salary would increase from fitment factor 2.57 times to 3.00 times.

The official, after initially floating the idea of giving central government employees salary hike beyond the 7th Pay Commission recommendations, are pushing the new raises at a time when the public’s attention is focused on the GDP growth slipping and the impact of GST roll-out.

Significant salary increases were recommended by the 7th Pay Commission in February 2014. The central government employees unions leaders note that salaries for government employees have been raised a 14.27 per cent increase in basic salary, the lowest in 70 years. — though their base salaries are not subject to cost-of-living increases.

The unions have been demanding minimum pay Rs 26,000, higher than the Rs 18,000 approved by the cabinet on June 29, 2016 on the 7th Pay Commission’s report and asked to raising fitment factor 3.68 times from 2.57 times.

So, government has formed National Anomaly Committee (NAC) to look into pay anomalies arising out of the implementation of the 7th Pay Commission’s recommendations.

Before meeting the NAC, which is likely to be held in October, the Union leaders said they wanted to wait to see the package before commenting.

“What we’ve said up until now hasn’t changed, which is we’ve not seen a proposal from government, and until we see a proposal, we are not going to comment on it,” the leaders told The Sen Times.

The 7th Pay Commission, led by Justice A K Mathur, earlier proposed minimum basic pay from Rs 7,000 to Rs 18,000 per month while the maximum basic pay from Rs 80,000 to Rs 2.5 lakh, which have been paid with arrears, effective from January 1, 2016.

TST

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