Current Affairs PDF

Highlights of Seventh Pay Commission report

AffairsCloud YouTube Channel - Click Here

AffairsCloud APP Click Here

The 7th Central Pay Commission, headed by Justice A K Mathur, submitted its report to Finance Minister Arun Jaitley and has recommended 23% hike in gross salary of central government.

  • The 900-page report of the Pay panel with recommendations will be implemented from January 1, 2016.
  • Recommendations will impact 47 lakh serving govt employees, 52 lakh pensioners, including defence personnel.
  • Financial impact of implementing recommendations will be Rs 1.02 lakh croreRs 73,650 crore to be borne by Central Budget and Rs 28,450 crore by Railway Budget.

Highlights of Seventh Pay Commission reportHIGHLIGHTS

  • Based on the Aykroyd formula – Minimum pay fixed at Rs 18,000 per month & Maximum pay at Rs 2.25 lakh
  • Annual increment – 3%
  • Pension hike – 24%
  • Basic salary hike – 16%
  • Gratuity ceiling – Enhanced from Rs 10 lakh to Rs 20 lakh; ceiling on gratuity to be raised by 25 % whenever DA rises by 50 %.
  • Cabinet Secretary payRs 2.5 lakh as against Rs 90,000 per month pay band currently
  • MSP for service officers – Doubled to Rs 15,500 per month from Rs 6,000 currently; for nursing officers to Rs 10,800 from Rs 4,200; for JCO/ORs to Rs 5,200 from Rs 2,000 and for non-combatants to Rs 3,600 from Rs 1,000
  • Short service commissioned officers will be allowed to exit the armed forces at any point in time between 7 to 10 years of service
  • Commission recommends abolishing 52 allowances; another 36 allowances subsumed in existing allowances or in newly proposed allowances.
  • One Rank One Pension proposed for civilian government employees on line of OROP for armed forces

Chairmans of Pay Commission
1st – Srinivasa Varadachariar
2nd – Jagannath Das
3rd – Raghubir Dayal
4th – P N Singhal
5th – Justice S. Ratnavel Pandian
6th – Justice B.N.Srikrishna