The Union Government says that it working to implement the pay hike beyond the recommendations of the 7th Pay Commission. Further sources said that by April the government would resolve all issues pertaining to pay hike, arrears, fitment formula and allowances.
The Union Cabinet had in June approved recommendations of the pay panel with 34 modifications, which meant an additional annual burden of Rs 30,748 crore on the exchequer.
Hike with arrears
While the hike is almost confirmed, the big question is whether the Central Government employees would get arrears? The wait has been a long one and the hope is that they would get arrears. However going by sources and also other reports the hike would be affective from April 2018 onwards.
Panel set up
A panel has been formed to decide on the pay hike. The panel is expected to give its report in six months time. The job of the panel would be to recommend the new pay structure. The panel will have officials from the Home and Defence Ministry, department of personnel and training among others. A decision on the pensioners too would be taken.
The Government is currently working on a strategy to accommodate the concerns of the lower level employees of the pay matrix between level 1 and 5. Reports coming in suggest that the government is contemplating a pay hike with the fitment formula 3.00 times of the basic pay of the 6th Pay Commission.
End speculation regarding 7th Pay Commission
For almost two years there has been speculation regarding the 7th Pay Commission and the issues attached to it. The government does not want any further speculation on the matter. There are deliberations and discussions on in this regard. A source said that the government wants to close this matter once and for all. The government is also aware that this issue matters to a large section. There are 1 crore people who will be affected by this decision. Both CG employees and pensioners put together account for at least 1 crore people.