Published On: Wed, Oct 25th, 2017

7th Pay Commission: Pay hike to be announced after Gujarat, Himachal polls

New Delhi: Official sources in Finance Ministry told us on condition of anonymity that the central government will announce pay hike beyond 7th Pay Commission award for the central government employees after the completion of Gujarat and Himachal Pradesh assemblies’ poll process as the government wants to study political weighing GST and note ban’s pros and cons after these elections results.

FM Arun Jaitley says note ban and GST will fetch more revenues to government.

FM Arun Jaitley says note ban and GST will fetch more revenues to government.

The announcement is to come in January after one and half year of getting basic pay hike under 7th Pay Commission recommendations of the central government employees.

Sources, however, said the government had no plan to give allowances in arrears of pay hike from January, 2016 for the central government employees.

“There’s no arrears on pay hike will be given to employees,” they confirmed.

Finance Minister Arun Jaitley had promised to hike minimum pay for the central government employees day after the cabinet approval of the 7th Pay Commission’s recommendations.

“The minimum pay of central government employees Rs 18,000 was made on recommendations of the 7th Pay Commission. But government will consider hiking it after discussions with all stakeholders,” Finance minister Arun Jaitley had earlier said in a meeting with the central government employees’ unions leaders on June 30, 2016.

Accordingly, Jaitley formed National Anomaly Committee (NAC) headed by Secretary, Department of Personnel and Training (DoPT) in September, 2016 to look into pay anomalies arising out of the implementation of the 7th Pay Commission’s recommendations.

“The NAC is likely to go ahead for hike in minimum pay Rs 21,000 from Rs 18,000 from the existing 2.57 to fitment factor 3.00,” the sources told The Sen Times.

In the mean time note ban and GST have badly hit the country’s GDP.

“The government also failed to build up a proper system required for the implementation and execution of the goods and services tax (GST). Now it is affecting the nation’s economy, they said. These two moves of the government are “an attack on the nation’s exchequer,” they said.

“So, hike in pay of the central government employees has also been affected by note ban and GST,” they added but Jaitley says note ban and GST will fetch more revenues to government.

So, all eyes of the central government employees are on the Gujarat and Himachal Pradesh assemblies’ elections. How the BJP performs in the both states will send out strong signals about the pay hike of the central government employees.

“If BJP wins Gujarat and Himachal Pradesh assemblies’ polls, pay hike of the central government employees will be announced immediately with fitment factor 3.00 and minimum pay will be raised Rs 21,000 from Rs 18,000 as well as salary and pension in general for all segments of employees will go up,” they assured.

However, the central government employees unions are demanding for hiking minimum pay Rs 18,000 to Rs 26,000 and they asked to raising fitment factor 3.68 times from 2.57 times.

The 7th Pay Commission, led by Justice A K Mathur, earlier proposed minimum pay from Rs 7,000 to Rs 18,000 per month with fitment factor 2.57, which has been approved by the government on June 29, 2016.

TST

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