What Central Government Employees can Expect from the 7th Pay Commission

What Central Government Employees can Expect from the 7th Pay Commission

Unlike the private sector where employees get salary appraisals on an annual basis, government employees have to wait for a period of ten years to get a hike — a time which is now coming closer. The 7th Pay Commission is expected to be implemented from 1st January, 2016 and hence, heated debates and hard lobbying are going on in the backdrop. Most of the stakeholders have had a round of talks with the CPC, while some are waiting for another round. The commission, headed by Justice Ashok Kumar Mathur, was set up in February 2014, under former Prime Minister Manmohan Singh.

Other members in the 7th Central Pay Commission (CPC) include Mr. Vivek Rae — Secretary, Ministry of Petroleum & Natural Gas, Dr. Rathin Roy – Director of NIPFP (part time member) and Mrs. Meena Agarwal – OSD in the Department of Expenditure, Ministry of Finance.

Who Expects What?

  • The most debated topic concerning the 7th Pay Commission is One Rank, One Pension which has been an old demand of the Indian Army. It refers to equal amount of pension for retired armed forces personnel, who held the same rank for the same length of time, irrespective of their last drawn pay.
  • The Indian Revenue Services (IRS) has sent a long memorandum to the CPC demanding better pay and perks than IAS officers on the grounds that they are responsible for collecting direct taxes in the country. Although entry level salaries of all Group-A Central Services are the same but with two extra increments and quicker promotions, IAS officers have an enviable position.
  • Indian Police Services (IPS) has also submitted its memorandum speaking not only for the 4,720 IPS officers but also for the 30 lakh police personnel in every part of the country. It is being argued that cops have to face a tough life with unexpected situations and odd working hours. Apart from a fat salary hike, the department is also seeking better life and health insurance cover and allowances for overtime and “un-social” hours.
  • Railway officers as well as workers’ associations have also met the CPC and demanded a strong hike citing 24-hour work as the main reason for it. While officers are in favor of non-gazetted staff getting their dues, they have also demanded that the proportion between salaries of lowest and the highest paid employees should be increased to 1:18 from the current 1:12.

On 9th June the National Council JCM Staff Side had a final meeting with the 7th Pay Commission and submitted their memorandum concerning the issues commonly faced by Central Government Employees. Discussions were centered on matters of pay, allowances, advances, facilities and retirement benefits. While several speculations are being made about the hike and numerous Expected Pay Structure Calculators are out, the commission’s recommendations in August will decide the size of smiles on face of government employees.

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