The Union Cabinet is expected to take final call on proposals related to
higher allowances, including HRA (House RentAllowance), under the 7th
Pay Commission, on June 28. The central government employees are likely
to get higher allowances as per the 7th Pay Commission from July.
However, the central government employees have been demanding arrears on
higher allowances, but the government is in no mood to accept this
demand. While the salaries of central government employees have been
hiked as per the 7th Pay Commission, revised higher allowances haven’t
been paid since July last year.
On June 28, the Cabinet would take up the proposals made by the
Empowered Committee of Secretaries (E-CoS), whichscreened the report of
the Ashok Lavasa committee on higher allowances under 7th Pay
Commission. If media reports are to be believed, the Ashok Lavasa led
Committee on Allowances stuck with the 7th Pay Commission’s
recommendations on higher allowances. It simply means, there could be no
hike in higher allowances. The HRA under the 7thPay Commission is
likely to be kept at 27 per cent of the basic pay.
Higher Allowances:
The central government employees should not expect any big announcement
on higher allowances under the 7th Pay Commission because the Empowered
Committee of Secretaries (E-CoS) hasn’t suggested any hike, according to
reports. Sources in the Finance Ministry also said that the quantum of
allowances may not vary from those proposed by the 7th Pay Commission
and the government is not bound by the findings of the Empowered
Committee of Secretaries. “The central government finally decided not to
give any facility to central government employees better than the 7th
Pay Commission recommendations. Accordingly, the government stuck
withthe 7th Pay Commission recommendations on pay scales and advances
and its implementation have been made forcefully,” sources in the
Finance Ministry were quoted as saying.
HRA:
The E-CoS has suggested to keep the HRA rate at 24 percent, 16 percent
and 8 percent of the Basic Pay for Class X, Y and Z cities respectively,
as recommended by the 7th Pay Commission. The central government
employees, however, demanded to retain HRA rate at 30 percent, 20
percent and 10 percent of Basic pay (pay in the pay band plus grade
pay). A Financial Express report said the HRA in cities with population
above 5 million could be 27 per cent of the basic pay. Shiv Gopal
Mishra, chief of the National Joint Council of Action (NJCA), leadingthe
7th Pay Commission negotiations with the government, also said that
there is a possibility of higher HRA than that recommended by the 7th
Pay Commission.
Arrears:
The central government employees have demanded arrears on higher
allowances as well, but the government neither accepted, nor rejected
their demand. Shiv Gopal Mishra was unsure whether their demands about
arrears on higher allowances under the 7th Pay Commission will be
accepted.
Source : India.com