GOVERNMENT OF INDIA
MINISTRY OF FINANCE
UNSTARRED QUESTION NO-1526
Pay hike after implementation of Seventh Central Pay Commission
1526 . Dr. Sanjay Sinh
(a) the salient features of the Seventh Central Pay Commission;
(b) the percentage of increase in the salaries of employees after the implementation of the recommendations of Seventh Central Pay Commission;
(c) the percentage of increase in the salaries of employees after the fourth, fifth and sixth Central Pay Commission;
(d) whether the extent of pay hike this time is very less as compared to the previous pay hikes; and
(e) whether Government would reconsider it in view of the resentment among employees and pay anomalies?
MINISTER OF STATE IN THE MINISTRY OF FINANCE
(SHRI ARJUN RAM MEGHWAL)
(a): The Seventh Central Pay Commission (7th CPC) has recommended the minimum pay of Rs. 18,000 per month and uniform fitment factor of 2.57 for all employees. The system of Pay Band and Grade Pay has been replaced with separate Pay Matrices for Civil, Defence and Military Nursing Services personnel. The Commission has recommended abolishing 52 allowances and subsuming of another 36 allowances either in an existing allowance or in newly proposed allowances. Allowances relating to Risk and Hardship will be governed by a Risk and Hardship Matrix. The Commission has also recommended revised pension formulation for all personnel who have retired before 01.01.2016 to bring about complete parity of past pensioners with current retirees.
(b) to (e): Salary of all employees will increase by at least 14.29 per cent after the implementation of Seventh Central Pay Commission (7th CPC) recommendations. The 7th CPC has mentioned that increases given in Minimum Pay were 27.6%, 31.0% and 54.0% by Fourth, Fifth and Sixth Central Pay Commissions, respectively. The anomalies arising out of implementation of the recommendations of the 7th CPC will be examined by the Anomalies Committee which has already been constituted. Based on the report of the Committee, the matter will be considered by the Government and appropriate decision will be taken.