7th Pay Commission: When will govt employees get minimum HRA hike of Rs 4,320 per month?


7th Pay Commission: When will govt employees get minimum HRA hike of Rs
4,320 per month?

7th Pay Commission: When will govt employees get minimum HRA hike of Rs
4,320 per month? – Zee News


The Empowered Committee of Secretaries (E-CoS) set up to screen the 7th
Central Pay Commission (CPC) recommendations on allowances is likely to
firm up the proposal in next 15 days for approval of the Cabinet.


New Delhi: The Empowered Committee of Secretaries (E-CoS) set up to screen
the 7th Central Pay Commission (CPC) recommendations on allowances is
likely to firm up the proposal in next 15 days for approval of the Cabinet. 
A high-level committee headed by the Finance Secretary, Ashok Lavasa had on
April 27 submitted its report to Finance Minister Arun Jaitley. 
The report is being currently examined by the Department of Expenditure. It
will be placed before the Empowered Committee of Secretaries (E-CoS) set up
to screen the 7th CPC recommendations and to firm up the proposal for
approval of the Cabinet. 
As per media report, the Empowered Committee is likely to firm up the
proposal in a fortnight for approval of the Cabinet. 
“After consideration by the E-CoS, the proposal for implementation of 7th
CPC recommendations on allowances after incorporating the modifications
suggested by the committee on allowances in its report shall be placed
before the Cabinet for approval,” the finance ministry has said. 

The Lavasa Committee has suggested modifications in some allowances
applicable universally to all employees and also for those in specific
categories, including railways and defence, after examining the 7th Pay
Commission recommendations. 
“Modifications have been suggested in some allowances which are applicable
universally to all employees as well as certain other allowances which
apply to specific employee categories such as railwaymen, postal employees,
scientists, defence forces personnel, doctors, nurses etc,” the finance
ministry has added. 
The committee on allowances has reportedly given its view in favour of AK
Mathur-led 7th Pay Commission recommendation, regarding decrease in house
rent allowance (HRA) by 2-6 percent depending on type of cities. 
The 7th Pay Commission headed by AK Mathur had earlier proposed the rate of
House Rent Allowance (HRA) at 24 percent, 16 percent and 8 percent of the
Basic Pay for Class X, Y and Z cities respectively. 
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The Commission had also recommended that the rate of HRA will be revised to
27 percent, 18 percent and 9 percent when DA crosses 50 percent, and
further revised to 30 percent, 20 percent and 10 percent when DA crosses
100 percent. 
The existing rates of HRA for Class X, Y and Z cities and towns are 30
percent, 20 percent and 10 percent of Basic pay (pay in the pay band plus
grade pay) 
If the government accepts the bare recommendations of A K Mathur-led 7th
Pay Commission then the HRA component of central government employees will
increase ranging between 106 percent and 122 percent. 
Take, for instance, a central government employee at the very bottom of the
pay scale under 6th Pay Commission was till now entitled to an HRA of Rs
2,100 on basic pay of Rs 7,000 (basic pay that includes pay of pay band +
grade pay) in a Class X city. It is to be noted that government, while
implementing the 7th Pay Commission in June last year had made it clear
that till the final outcome of allowances committee is being placed, the
employees would be getting the allowances as per 6th Pay Commission. 
Now, as per 7th Pay Commission, the new entry level pay at this level is Rs
18,000 per month against which the new HRA for a Class X city would be Rs
4,320 per month, that is 106 percent more than the existing level.
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Similarly, at the highest level of the pay scale, the Cabinet Secretary and
officers of the same rank have a basic pay of Rs 90,000, which means they
are entitled to current HRA of Rs 27,000 in Class X towns. After the
revised pay scale, the new basic pay is Rs 2.5 lakh, for which the HRA
would be Rs 60,000, meaning a hike of 122 percent. 
Source: ZEENEWS

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