7th Pay Commission: Government mulling over hike in pay without arrears

7th Pay Commission: Government mulling over hike in pay without arrears
Government is mulling an increase in the hike in pay to central government employees beyond 7th pay commission recommendations, a top Finance Ministry official, who did not wish to be named told The Sen Times here today.

Government will come out with a decision in this regard soon after consulting finance experts and weighing its pros and cons, he said.

Government is now considering to make only pay hike for its employees.

"The financial advisers of the government believe it could be tough to give arrears of the hike in pay as the government has been worried after the April-June GDP growth slipped to a three-year low of 5.7 percent but government believes it will bounce back in the second quarter. Among others, it observed that this year's fiscal math is already stressed as public spending was front-loaded to offset slower private sector participation and cushion the impact of GST roll-out", he revealed.

"All round development is possible only hike in basic pay with fitment factor 3.00 and minimum pay will be raised to Rs 21,000," he said.

The 7th Pay Commission, led by Justice A K Mathur, earlier proposed minimum basic pay from Rs 7,000 to Rs 18,000 per month while the maximum basic pay from Rs 80,000 to Rs 2.5 lakh, which have been paid with arrears, effective from January 1, 2016.

The central government employees unions had expressed their dissatisfaction over the inadequate hike in basic pay in accordance to the pay panel recommendations.

They are demanding for hiking minimum pay Rs 18,000 to Rs 26,000 and the and asked to raising fitment factor 3.68 times from 2.57 times.

Stating that National Anomaly Committee (NAC) headed by Secretary, Department of Personnel and Training (DoPT) has been formed under pressure in September, 2016 to look into pay anomalies arising out of the implementation of the 7th Pay Commission's recommendations, the official said, "The NAC meeting is likely to be held in October to confirm to hike the basic pay with fitment factor 3.00."

Pointing out that the Finance Minister Arun Jaitley had promised to hike minimum pay after discussions with all stakeholders, he said, "government has made active efforts to fulfill the same".
The proposal of hike in pay is likely to be sent to the Finance Minister Arun Jaitley from NAC, after which it will be placed before the cabinet. Official believes it will come into effect within January' 2018.

TST

7th CPC Minimum wage and fitment formula hike issues - CoC Karnataka

7th CPC Minimum wage and fitment formula hike issues - CoC Karnataka

Minimum wage and fitment formula hike issues

There are various reports in the news media, print media & social media regarding the hike in the minimum wage of Central Government employees from the existing Rs 18,000/-  to Rs 21,000/- and fitment formula from 2.57 to 3.00, which shall be implemented from 1st January 2018. The same shall be announced in the National Anomaly Committee due on 9th of October.

Comrades, 

We cannot confirm this news, comrades we should concentrate on struggle path as the Confederation has given the series of programs , I hope the Government will implement the hike in minimum wage for CG employees and revise the fitment formula also from the existing 2.57 to 3.00 even though the Staff side JCM has demanded Rs 26,000/ as minimum wage and fitment formula of 3.56 , this hike should be from 1/1/2016 not 1/1/2018 as per media reports.

In fact the Central Government has to take the political decisions on the wage hike , in fact the group of ministers of the Central Government have agreed to raise the minimum wage for CG employees on 30th June 2016 . I hope the commitment of the union minsters shall be honoured now.

Secondly the economy of the country which was going very well during past three years has showed down ward trend in last one year as the GDP which was at 9.1 in 2015-16 has reduced to 5.7 in 2017-18 .The economic activity has to take place, it is also observed during the past one year, in spite of economic recessions, the Government revenue collection has increased considerably. To improve the economic activity of the country and increase the GDP the Central Government should spend its funds which is available with them .

If the Central Government increases the minimum wage and fitment formula for its employees, the Central Government employees gets back 40% of the wage increase through the Income Tax and GST . So hardly a Government servant is left out with 60% wage hike , here also he spends the amount credited to him , as such an economic activity is induced in the public which will help to create more demand and employment activity.

I hope the Central Government takes a political decisions on increase of minimum wage hike and fitment formula for more than one crore employees which will also benefit the public and the CG employees.

Issued by COC Karnataka

7th Pay Commission: Good news for autonomous bodies as government may give them salary hike, but with conditions

7th Pay Commission: Good news for autonomous bodies as government may give them salary hike, but with conditions

The finance ministry has also made arrangements for those autonomous body employees who do not meet these criteria to get salaries as per the revised pay scale.

The Ministry of Finance has come up with some good news for employees of autonomous bodies that are present under various departments and ministries of the Central government: These workers will get benefits of the recommendations of the 7th Central Pay Commission (CPC) although there is a string of conditions attached to the implementation.

These employees have expressed frustration in the past saying their wages have not been increased despite repeated assurances since the middle of last year. They were also disappointed over the news that their dues could get delayed further due to various reasons.

Now, the Ministry of Finance has said in a memorandum that the employees of these autonomous bodies - which are expected to be "financially self-sufficient" so as not to burdent the state exchequer - may get a revised pay scale as per the part of their salaries that deals with allowances, including dearness, house-rent and transport.

According to the ministry's memorandum, the allowances of these employees can be increased in correlation with the pay panel recommendations only on the following three conditions:

1. The "conditions of service" of employees of an autonomous body, in particular those that pertain to work hours and over-time payment, are same as to those of the Central government employees.

2. The revised pay scale will also apply to those who opt for the aforementioned "conditions of service."

3. The pension and provident fund deductions of these employees will happen on the basis of their revised pay structure.

Payments on other components of the salary will be revised to the CPC recommendations, said the memorandum. For other autonomous body employees

For employees of autonomous bodies, the working conditions of which do not match those of Central government employees, the ministry has proposed setting up of a group of officers for each autonomous body - with the departmental or ministerial financial advisor acting as the finance ministry's representative - to determine whether and how much of an increase these employees will get. Of course, their recommendations will be implemented only after the ministry approves it.
The memorandum added: "The Central government has not taken any decision so far in regard to various allowances based on the 7th Central Pay Commission in respect of Central government employees and, therefore, until further orders the existing allowances in the autonomous organisations shall continue to be admissible as per the existing terms and conditions, irrespective of the revised pay scales having been adopted."

7th Pay Commission: Double bonus for Government employees – salary hike from August, six month arrears in October – Social Media

7th Pay Commission: Double bonus for Government employees – salary hike from August, six month arrears in October – Social Media

Around 47 lakh Central Government employees are eagerly awaiting the salary hike, along with the 52 lakh pensioners who are expecting a significant increase in the monthly pension provided to them.

New Delhi, June 16: As per the latest updates related to 7th Pay Commission, the government is likely to give a double bonus for those working under the central government. According to reports, the Commission has decided that salaries would be hiked from August 1 and six months arrears will be paid to the employees in one installment in October.

As per the recent developments, the government has already started working to credit the hiked salaries in the accounts of employees from August 1, 2016. Around 47 lakh Central Government employees are eagerly awaiting the salary hike, along with the 52 lakh pensioners who are expecting a significant increase in the monthly pension provided to them which was also promised by Narendra Modi government.

The Seventh Pay Commission will be implemented from July and the increased payout will be credited in employee’s’ account on August 1.

On Thursday a news report suggested that the six months arrears from January to July will be handed before Dussehra festival which is in October.

An unidentified official working with the commission was quoted by The Financial Express saying, “Central government employees could get the revised pay-scales with their July salaries that would be credited on August 1?.

There was a meeting held on Tuesday where Cabinet Secretary P K Sinha along with other Empowered Committee of Secretaries sat for few hours and submitted its final report. Report suggest that, Secretaries Panel in its final report has recommended 30 per cent hike which is more than what was proposed by the pay panel i its November report.

The commission had earlier recommended a minimum monthly basic salary of Rs 18,000 and maximum of Rs 2,50,000. With the 30 per cent hike the minimum basic monthly pay will be Rs 23,500 and the maximum will be Rs 3,25,000. The new reforms will directly impact the Central Budget by Rs 73,650 crore and the Railway Budget by Rs 28,450 crore.

Source : India.com