7th Central Pay Commission – Regularisation of Retirement Age?
As the recommendation and
implementation of the 7th Central Pay Commission is eagerly awaited by the
central government employees, some points in the recommendations are slightly
leaking in..It may not be authentically correct.
According to information from
various sources, the Pay Commission may fix the minimum basic pay at Rs.
15000/- and it is assumed that a huge increase in the salaries of the employees
cannot be expected. The term of the commission was extended for four months and
they are in full swing giving final touches to the report to be submitted to
the central government by the end of December 2015.
One more recommendation which is
said to be an important one, is the regularisation of retirement age for the
Central Government Employees. The Commission may recommend that an employee
should retire after completing 33 years of service or at the age of 60
whichever comes first. For instance, if an employee joins a central government establishment
at the age of 23, his retirement age will be 56. If this recommendation is
true, it will definitely create panic among the employees and it will not be a
wise decision by the pay commission. All Federations and Associations will
strongly oppose these type of recommendations…
The 6th CPC had brought various
changes in the Pay Structures and introduced Grade Pay. There was a moderate
increase in the Basic Pay, House Rent Allowance and re-imbursement of tuition
fees was also introduced. The minimum basic pay was Rs.5200+Grade Pay 1800=Rs.
7000/- while it was Rs. 2650/- in the 5th CPC.
Further, it is also said that, the
7th CPC may abolish the 6th CPC’s Pay Scales and may bring back the old pay
scales. The overall increase in the Pay Scale will be around 15% to 20%…
Let us wait and see for the
ultimate results…!
Source: http://www.govtstaffnewsportal.in/
Seventh Pay Commission To Propose Higher HR
By giving House Rent
Allowance hikes, the Pay Commission is likely to seek to encourage property
owners to rent out their properties, reduce the shortage of dwellings and to
provide ‘housing for all central government employees’.
Besides the basic
salary, a large portion of central government employees’ salary is the House
Rent Allowance; some changes will be made in that category this time.
Instead of the existing
three areas for house rent, four are likely to be created. ‘X’ class cities
Ahmedabad, Bangalore, Chennai, Delhi, Hyderabad, Kolkata, Mumbai and Pune,
where employees will get 40 percent of their basic salary as House Rent
Allowance (HRA), increasing from the existing 30 percent.
Employees posted at ‘Y’
class cities covers near about 90 stations, will receive 30 percent of basic
salary, instead of the existing 20 percent.
A new area will be opened
for the district towns; the central government employees will get 20 percent of
their basic salary as House Rent Allowance (HRA) there.
In other areas, the
house rent allowance will be 10 percent of basic, which is the existing rate of
House Rent Allowance (HRA) of ‘Z’ class cities.
The existing qualifying
threshold of population for HRA classification is 50 lakh and above for X, 5-50
lakh for Y and below 5 lakh for Z class cities.
However, the central
government’s salary bill will rise by 9.56% to Rs 1,00,619 crore with the
implementation of the recommendations of the Seventh Pay Commission, according
to a statement tabled in Parliament by Union Finance Minister Arun Jaitley on
August 12.
Source : http://www.tkbsen.in/
