New Delhi: The ‘Committee on Allowances’ is expected to soon submit its report to the Finance Minister Arun Jaitley, a top finance ministry official told The Sen Times.
The ‘Committee on Allowances’ examining 7th pay commission recommendations on allowances held a “conclusive” meeting on April 6 and its report is expected in a week’s time, said Shiv Gopal Mishra, the convenor of the National Joint Council of Action (NJCA), which is a centralised union of several central government employees unions.
At its previous meeting on March 28, the committee had sought comments from the ministries of defence, railways and posts on treatment of some allowances.
On HRA, the 7th pay commission had recommended that it be paid at the rate of 24 per cent, 16 per cent and 8 per cent of the new basic pay, depending on type of cities. The 7th pay commission had also recommended that the rate of HRA be revised to 27 per cent, 18 per cent and 9 per cent, respectively when DA crosses 50 per cent, and further revised to 30 per cent, 20 per cent and 10 per cent when DA crosses 100 per cent. With regard to allowances, employee unions have demanded HRA (house rent allowance) at the rate of 30 per cent, 20 per cent and 10 per cent.
The Finance Minister Arun Jaitley had earlier said in the parliament that the decision on allowances will be taken after ‘Committee on Allowances’ submits its report.
The government had in June accepted the recommendation of Justice A K Mathur-headed 7th Pay Commission in respect of the hike in basic pay and pension.
But the government in July had formed the ‘Committee on Allowances’, headed by Finance Secretary Ashok Lavasa, for examination of the recommendations of 7th Pay Commission on allowances other than dearness allowance as the pay commission had recommended abolition of 51 allowances and subsuming 37 others out of 196 allowances.
The hike in basic pay and pension for central government employees and pensioners has been made effective from January 1, 2016 but the they are still awaiting for the higher allowances.