7th Pay Commission: Panel Consults With CM Siddaramaiah On Fiscal Impact Of Salary Revision

The 7th Pay Commission on Friday met Chief Minister Siddaramaiah to discuss fiscal implications of revision of salaries of state government employees.

Former chief secretary K Sudhakar Rao, Commission members P B Ramamurthy (retired IAS) and former Karnataka State Audit And Accounts Department principal director Srikanth B Vanahalli and member-secretary Hephsiba Rani Korlapati met the Karnataka Chief Minister on Saturday.

The 7th Pay Commission was formed in November 2022, with a stipulated six-month period for submitting its recommendations. In May this year, the Commission's term was extended till November.

"General discussion was held on fiscal implications, but the 7th Pay Commission did not share any indications of their likely recommendations during the meeting with the CM," a source told Deccan Herald.

Enforcing the 7th pay scale for state government workers will result in a substantial rise in both salaries and pensions in the upcoming years. Based on the fitment factor, the financial impact of the 7th pay scale is estimated to range from Rs 12,000 crore to Rs 18,000 crore in the initial year of implementation, as outlined in the Medium Term Fiscal Plan.

Approximately six lakh employees' salary prospects will be reviewed by the Pay Commission.