7th Pay Commission: 50L govt-employees expect pay-hike
About 50L government employees are waiting for official confirmation about the increase in the minimum pay hike and increased fitment factor as per the 7th Pay Commission. As per recent media reports, employees might receive their dues and increased pay hike from the next quarter, April 1. Further, the government is planning a 3 times increase to the fitment factor. Here's more about it.
What were the Pay commission's recommendations?
In June, the Union cabinet approved Justice AK Mathur-led 7th Pay Commission's recommendations with 34 modifications. These would cost the exchequer an additional Rs. 30, 748cr. They benefit over 1cr employees, including central government, defense forces and pensioners. As per new pay, entry-level basic pay goes up from Rs. 7,000/month to Rs. 18,000/month and for secretary-level, from Rs. 90,000/month to Rs. 2.5L.
But, what were the employees' demands?
However, employees protested, demanding that entry-level basic pay be hiked from Rs. 7,000 to Rs. 26,000 i.e. fitment factor be revised from 2.57 to 3.68. Seventh Pay Commission uses this factor to decide the revised pay structure. Thus, the basic pay under the 6th Pay Commission regime (Pay in Pay band + Grade pay) is multiplied with the fitment factor to formulate new salaries.
So, have the demands been accepted?
Reportedly, Modi's government plans to increase the salary of low-level employees of pay matrix 1-5 and would go beyond the recommendations of the Commission. They will send this draft proposal to the Cabinet at the beginning of the next financial year.