Central Govt Employees May Get A Salary Hike


New Delhi: In what promises to be a big bonanza for central government employees, a hike of 15-20 per cent in salaries is expected to be proposed under the Seventh Pay Commission.

Highly placed sources have told India Today that Prime Minister Narendra Modi today asked the Finance Ministry to place the recommendations of the Cabinet Secretary’s report on the seventh Pay Commission in the next Cabinet meeting on June 29.

Sources say that government employees are likely to get a pay hike of between 15-20 per cent over their current compensation with sources saying the recommendations of the pay commission are likely to be accepted by the Modi government.

In January, the government had set up a high-powered panel headed by Cabinet Secretary PK Sinha to process the recommendations of the Seventh Pay Commission. Over 98.4 lakh government employees will be impacted by the Seventh Pay Commission recommendations. This figure includes 52 lakh pensioners

The Finance Ministry had provisioned 70,000 crore for 7th Pay Commission after a committee led by retired Justice A K Mathur recommended that at least RS 70,000 crore has to be provisioned in order to grant salary hike of 30 per cent for more than 47 lakh Central Government employees.

According to reports, the committee led by A K Mathur had made the recommendations before annual Budget 2016. A finance ministry official was quoted by Indian Express where he said, “We have provisioned 70,000 crore which will was around 60-70 per cent of the total burden that was talked about”.