7th CPC: Some clues emerge on Allowance – NDTV

7th Pay Commission: Some Clues Emerge On Allowance Timeline: the Empowered Committee of Secretaries
(E-CoS) may take 2-3 weeks to screen the allowance committee report on 7th
pay commission recommendations then proposal of Empowered Committee will be placed for approval of the Cabinet. The 7th pay commission had recommended that house rent allowance or HRA be
paid at the rate of 24 per cent, 16 per cent and 8 per cent of the new
basic pay, depending on the type of city. 

An employee union leader said the Empowered Committee of Secretaries
(E-CoS) may take 2-3 weeks to screen the allowance committee report on 7th
pay commission recommendations. The Empowered Committee of Secretaries will
then firm up the proposal for approval of the Cabinet. The employee union
leader earlier this week met top government officials where he was told
about the tentative time to be taken by the Empowered Committee of
Secretaries on screening the allowance committee report on 7th pay
commission recommendations. The Ashok Lavasa committee on allowances, which
examined the 7th pay commission’s recommendations on allowances, submitted
its report to the finance minister on April 27.
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The allowance committee has suggested some modifications in some allowances
that are applicable universally to all employees as well as certain other
allowances which apply to specific employee categories, the finance
ministry said in a statement. The allowance committee report is being
currently examined by the Department of Expenditure. Once that is done, it
will be placed before the Empowered Committee of Secretaries (E-CoS) set up
to screen the 7th pay commission recommendations and to firm up the
proposal for approval of the Cabinet. The employee union official said that
the allowance report will be soon taken up by the Empowered Committee of
Secretaries.
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The 7th pay commission had recommended that house rent allowance or HRA be
paid at the rate of 24 per cent, 16 per cent and 8 per cent of the new
basic pay, depending on the type of city. 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 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 at the rate of 30 per cent,
20 per cent and 10 per cent. (Also read: House rent
allowance claims under scrutiny. How to avoid refection).
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The 7th pay commission had recommended that of a total of 196 allowances,
52 be abolished altogether and 36 be abolished as separate identities by
subsuming them in another allowance.

The Cabinet on Wednesday approved modification in recommendations of the
7th pay commission relating to the method of revision of pension of
pre-2016 pensioners and family pensioners based on recommendations of a
high-level panel. The decision will benefit over 55 lakh pre-2016 civil and
defence pensioners and family pensioners. 

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