7th Pay Commission: Govt delayed pay hike to save Rs 26,000 crore
Central Government employees who are protesting after a poor show by the 7th Pay Commission will not like to hear this news. The government saved Rs 26,000 crore by delaying the pay hike.
CG employees are awaiting good news on pay hike and reports state that the basic minimum pay hike would be implemented either in January or latest by April.
The delay in hiking the basic pay was intentional. The government could have implemented the pay hike much earlier. However it decided to save on the money.
How much did govt save
In delaying the pay hike for so many months, the government had managed to save Rs 26,000 crore. At first there were indications that the pay hike would come into effect in January 2018. However if it is delayed by another three months, the government would save more.
When will new pay hike come
While several reports state that the government may implement the pay hike in January, there are chances of the same being postponed to April. A source informed OneIndia that if the matters move fast then the government should have no problem in implementing it in April. There are two formalities that are left ie the NAC meet and placing it before the DoE. If these formalities can be completed by December itself then the government should have no problem in implementing the pay hike with the fitment factor 3.
7th Pay Commission latest news
A rough calculation would suggest that government in delaying the hike saved around Rs 3,000 a month per employee. If all the 48 lakh CG employees are taken into consideration and the 18 month delay taken into account, then the estimated savings by the government is 26,000 crore after the 7th Pay Commission recommendations were implemented