Union Cabinet to review Pay Commission allowances

7th cpc pay commission ashok lavasa panel on allowances cabinet meeting pay commission

7th cpc pay commission ashok lavasa panel on allowances cabinet meeting pay commission

Sources said the committee has recommended raising the basic pay of each employee by almost 15 per cent. National Joint Council of Action (NJCA) is a joint body of unions representing central government employees.

Prime Minister Narendra Modi on Monday will conduct a review meeting with finance minister Arun Jaitley and finance secretary Ashok Lavasa to discuss his views on 7th Pay Commission allowances for central government employees, according to an ANI report.

The Fitment Committee, which was set up by the State Government to prepare a report on the salary for the State Government employees as per the 7th Pay Commission recommendations, is likely to submit its report soon.

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Media reports suggest that the Cabinet may accept recommendations of Committee on Allowances led by Finance Secretary Ashok Lavasa this week.

The Secretariat Seva Sangh has demanded immediate implementation of the 7th Pay Commission recommendations. The Committee was supposed to give its report on the future of allowances.

The government had past year accepted the recommendation of Justice AK Mathur-headed Seventh Pay Commission in respect of the hike in basic pay and pension. It also recommends HRA to be revised to 27%, 18% and 9% once dearness allowance touches 50%.

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Currently, the HRA rate for Class X, Y and Z cities are 30 percent, 20 percent and 10 percent of the Basic pay.

However, the 7th Pay Commission had recommended to abolish 52 out of 196 allowances and had also advised abolishing 36 other allowances as separate identities by subsuming them in another allowance.

The Reserve Bank of India has however flagged upside risks to inflation from disbursement of revised 7th pay commission allowances.

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