New Delhi, July 26: Central government employees get good reason to celebrate as Modi Government on Tuesday announced notification regarding the implementation of 'salary increment' under Seventh pay Commission.
The notification which is dated July 25, 2016 says that Government staff will get their revised salary from August. Reportedly, employees will get 2.57 times hike in their basic pay. Around 4.8 million employees and 5.2 million pensioners will get increment under 7th CPC.
The minimum pay in central government with effect from January 1, 2016 will now be Rs 18,000 per month; at the highest level, it will be Rs 2.5 lakh.
"With regard to fixation of pay of the employees in the new Pay Matrix as on January 1, 2016, the existing pay (Pay in Pay Band plus Grade Pay) in the pre-revised structure as on December 31, 2015, shall be multiplied by a factor of 2.57," the notification said.
There shall be two dates for grant of increment - January 1 and July 1 every year - instead of the existing July 1 only.
Gazette Notification has been made with regard to 7th Pay Commission Recommendations by the Ministry of Finance.— Ministry of Finance (@FinMinIndia) July 26, 2016
Employees will be entitled to only one annual increment on either of these two dates depending on the date of appointment, promotion or grant of financial upgradation, it said.
The Cabinet had last month decided on pay increase for central government employees and pensioners, that is estimated to cost the exchequer Rs 1.02 lakh crore annually.
(with inputs from PTI)