Thursday, July 20, 2017

7th CPC Allowances: Reason for implementation from 01st July 2017 instead of 1st Jan, 2016 and lowest hike since last 70 yrs: Fin Min reply in Parliament




GOVERNMENT OF INDIA

MINISTRY OF FINANCE

Department Of Expenditure


RAJYA SABHA

UNSTARRED QUESTION NO.257



TO BE ANSWERED ON TUESDAY, THE 18TH JULY, 2017

ASHADHA 27, 1939 (SAKA)


Implementation of recommendations of Seventh CPC

257 Shri Neeraj Shekhar:

Will the Minister of FINANCE be pleased to satate :-


(a) whether Government has implemented the recommendations of Seventh CPC regarding allowances w.e.f. 1st July, 2017 instead of 1st January, 2016;

(b) if so, the reasons and rationale therefor;



(c) the reasons for denying allowances from 1st January 2016 or from the date of announcement for implementation of enhanced basic pay under 7th CPC and arrears thereof;



(d) whether Government will review it and implement enhanced allowances w.e.f. 1st January, 2016;



(e) if so, the details thereof; and



(f) if not, the reasons therefor along with the reasons for lowest hike in Pay Commission since last 70 years?


ANSWER


MINISTER OF STATE IN THE MINISTRY OF FINANCE
(SHRI ARJUN RAM MEGHWAL)




(a) to (c): As per the established practice relating to implementation of earlier Central Pay Commission’s recommendations on allowances, the recommendations of the Seventh Central Pay Commission (7th CPC) on allowances have been implemented prospectively with effect from 01.07.2017.



In view of significant departure from the existing provisions relating to allowances as recommended by the 7th CPC and representations received in this regard, recommendations of the 7th CPC on allowances were referred to a Committee by the Government. After taking into account the recommendations of the Committee on Allowances which submitted its Report on 27.04.2017, the recommendations were approved by the Government on 28.06.2017.



(d) to (f): There is no proposal for revision of the date of implementation of recommendation on allowances. The hike is based on the recommendation of the 7th CPC on allowances, which is commensurate with the rise in Dearness Allowance as has been mentioned by the 7th CPC at Para 8.2.5 (4) of its Report.

Source: RAJYA SABHA Click to  pdf