7th Pay Commission: Payment of arrears with current month salary; committee on allowances to meet this week
The first meeting of the Finance Secretary-led committee appointed to
look into the allowances recommended by the 7th Pay Commission is
scheduled this week while the payment of arrears will be paid to central
government employees and pensioners in a single installment along with
this month salary.
IANS has reported quoting Finance Secretary Ashok Lavasa that the committee on allowances will have its first meeting this week.
The Committee will submit its report within a period of four months.
Till a final decision on Allowances is taken based on the
recommendations of this Committee, all Allowances will continue to be
paid at existing rates in existing pay structure, as if the pay had not
been revised with effect from 1st day of January, 2016.
"The 7th Pay Commission examined a total of 196 existing allowances and,
by way of rationalization, recommended abolition of 51 allowances and
subsuming of 37 allowances. Given the significant changes in the
existing provisions for allowances which may have wide ranging
implications, the Cabinet decided to constitute a Committee headed by
Finance Secretary for further examination of the recommendations of 7th
CPC on allowances," as per the press release issued by the government
after the Cabinet approval to Pay Commission recommendations.
It was estimated by the Pay Commission that the additional financial
impact on the exchequer due to the implementation of all its
recommendations in 2016-17 will be Rs 102,100 crore. This apart, it had
estimated an additional implication of Rs 12,133 crore on account of
arrears.
With IANS Inputs
