Published On: Wed, Jan 10th, 2018

Finmin confirms no Pay Commission in future

New Delhi: A top Finance Ministry official stated on condition of anonymity, that the no new Pay Commission would be formed in future for increasing salaries of central government employees.

FM Arun Jaitley will declare not to form Pay Commission later.

FM Arun Jaitley will declare not to form Pay Commission later.

Speaking to The Sen Times, the official informed “The government is determined to take strong decision in this regard.”

The official further said, “The government to follow in the footsteps of the 7th Pay Commission Chairman Justice A K Mathur for formation of the next Pay Commission.”

Justice Mathur had earlier told The Financial Express in an interview, “The government should review the salary of central government employees every year looking into the data available to it and based on the price index.”

“The 7th Pay Commission recommended that the pay matrix may be reviewed periodically without waiting for the long period of ten years. It can be reviewed and revised on the basis of the Aykroyd formula which takes into consideration the changes prices of the commodities that constitute a common man’s basket, which the Labour Bureau at Shimla reviews periodically.,” the official elaborated.

He added “the 7th Pay Commission also suggested that this should be made the basis for revision of that pay matrix periodically without waiting for another Pay Commission. So government will discontinue the practice of appointing pay commissions in future to suggest salary structure and other perks for all central government employees and pensioners.”

The official came up with the remarks while talking to our reporter about Minister of State for Finance P Radhakrishnan statement was made in the Lok Sabha that there is no proposal at present under consideration of government, not to form Pay Commission in future.

The official has made u-turn from the Minister statement which he had stated in a written reply to a question in the Lower House of Parliament on Friday, the official said, “Not formation of Pay Commission is not on government radar now. Should be at a later stage but not at present and Finance Minister Arun Jaitley will declare it later.”


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