Minister furnishes Financial Implication of 7th Pay Commission

GOVERNMENT OF INDIA

MINISTRY OF RAILWAYS

RAJYA SABHA
UNSTARRED QUESTION NO.2704
ANSWERED ON 24.03.2017

IMPLICATIONS OF IMPLEMENTATION OF SEVENTH PAY COMMISSION

2704.SHRI MOHD. ALI KHAN:Will the Minister of RAILWAYS be pleased to state:

(a) whether it is a fact that implementation of the Seventh Pay Commission recommendations has serious financial implications on Indian Railways, if so, the estimated additional financial implication over staff and pensioners; and
(b) whether Railways are planning to take up rationalisation of manpower in view of the financial implications, if so, the details thereof?
ANSWER
MINISTER OF STATE IN THE MINISTRY OF RAILWAYS
(SHRI RAJEN GOHAIN)
(a) The estimated additional financial impact of 7th Pay Commission on Railways is around Rs.15,000 crore (Rs 8,000 crore for staff and  Rs. 7,000 crore for pensions). The Railways would be able to absorb the 7th CPC impact in 2016-17 within its resources.
(b) Manpower Planning is a continuous process and involves review of staff through work-studies, change in nature of work etc. No separate rationalization is proposed consequent upon the 7th Pay Commission.

Source: Rajya sabha