7th Pay Commission: Salaries to increase by Rs 2,000, check if you are eligible

New Delhi, Aug 06: A location based hike relating to the 7th Pay Commission is on its way.

This could cheer up the Central Government employees who have been waiting for some good news on the issue. The government it may be recalled has given the go ahead for the revision of the House Rent Allowance.

This was done owing to the upgradation of cities in terms of population. This would mean that CG employees salaries would increase from Rs 800 to Rs 2,000.

The Centre said that the HRA of A pay hike would be increased based on the city he or she is living. A city is is categorised on the basis of X, Y and Z. In X category cities, the population is above 50 lakh and the HRA is 24 per cent for month. For the Y and Z category cities, the HRA is 16 and 8 per cent respectively.

This decision had led to several doubts and the government decided to make it clear about how employees would be entitled for this hike. A circular by the Finance Ministry stated that if a city has been upgraded on the basis of the population, then the HRA of the CG employee living there will be enhanced. The circular was issued by the Finance Ministry after the upgradation of cities was made based on a report by the government agencies.

Following the recommendations of the 7th pay Commission, the Government of Haryana the new HRA from August 1 2019. This would also be applicable to the state government employees posted in different cities and towns.