Karnataka Pay Commission submits recommendations

Bangalore, Feb 24 (UNI) The Fifth Pay Commission of Karnataka today recommended a 17.5 per cent increase in the basic pay of the State Government employees.

The Commission, headed by retired bureaucrat M B Prakash, submitted its recommendations to Chief Minister H D Kumaraswamy and Deputy Chief Minister B S Yediyurappa.

According to the recommendations, the minimum hike would be Rs 525 and the maximum Rs 4,400. The new basic pay plus Dearness Allowance would be Rs 4,800 per month (from Rs 4,275) at the lowest level and the highest Rs 39,900 per month (from Rs 35,431). The minimum pension had been enhanced from Rs 1,804 per month to Rs 2,250. Besides, the house rent allowance for employees in Greater Bangalore had been increased from 13 to 15 per cent. It also suggested merging of 71 per cent of the dearness allowance with the basic pay.

The wage hike would result in an additional burden of Rs 920 crore to the State Exchequer. With regard to pensioners, the financial implication would be Rs 430 crore in a full year. The recommendations would impact over 1.1 million employees, pensioners and family pensioners.

The Commission said the recommendations had kept in view the pay scales of the Central Government and the neighbouring States, besides the provisions of the Karnataka Fiscal Responsibility Act, 2002, and developmental needs of the State.

The Commission was reconstituted on August three last year after the demise of its first Chairman C Gopal Reddy, former Chief Secretary of the State.

UNI