7th Pay Commission : Govt. not to hike minimum pay

7th Pay Commission : Govt. not to hike minimum pay

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7th Pay Commission: Govt not to hike minimum pay, higher allowances to
be paid from April 1

Higher allowances and minimum pay under the 7th Pay Commission have
been the major bone of contention among majority of the central
government employees. 

 
New Delhi, Feb 8:
In a setback to central government employees, Centre has decided not to
hike minimum pay under the 7th Pay Commission recommendations. Higher
allowances and minimum pay under the 7th Pay Commission have been the major
bone of contention among majority of the central government employees. The
government seems in no mood to increase minimum pay of Rs 18,000 under the
7th Pay Commission. Though the government is expected to announce higher
allowances in March, it had no plan to give allowances in arrears from
August. 
The government has fixed the minimum pay at a meagre Rs 18,000 in the 7th
Pay Commission. In the 6th Pay Commission, the basic pay was Rs 7,000. The
government multiplied it by 2.57 (fitment formula) and came to Rs 18,000.
But the central government employees unions are demanding to hike minimum
pay to Rs 26,000 by 3.68 fitment formula. (ALSO READ:

Is Modi government deliberately delaying higher allowances?

The government had assured central government employees unions that their
demands would be considered and promised to form High Level Committee to
examine the 7th Pay Commission recommendations in respect of minimum pay.
The government then took a U-turn and decided not to appoint the High Level
Committee. It shows the government is no mood to raise the minimum pay
under the 7th Pay Commission. 
“The government will not clear any proposal on hike in minimum Pay
including others pay related matter under the 7th Pay Commission
recommendations because the cabinet had already passed it. Hence cabinet
only will take higher allowances which was not given nod by it”, the
Finance Ministry sources were quoted as saying by

Sen Times

When it comes to higher allowances, the government is hopeful for the
announcement of higher allowances in March after the completion of five
states assemblies’ elections. The government is planning to pay higher
allowances under the 7th Pay Commission from April 1, but it is unlikely to
make any announcement about arrears. “There’s no arrears on allowances will
be given to employees,” said the Finance Ministry sources. 
The 7th Pay Commission had recommended abolition of 51 allowances and
subsuming 37 others out of 196 allowances. To examine the hike in
allowances other than dearness allowance, the government referred the
matter to the ‘Committee on Allowances’ headed by the Finance Secretary
Ashok Lavasa. The report of ‘Committee on Allowances’ is ready, but the
government gave extension the committee till February 22, 2017 to submit
its report. 
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