The government constitutes the Pay Commission almost every 10 years to revise the pay scale of its employees and often these are adopted by states after some modifications. As part of the exercise, the Commission holds discussions with various stakeholders, including organisations, federations, groups representing civil employees as well as Defense services.
The 7th Pay Commission is ready with its report and is expected to hand over the recommendations to the Central Government any time now. The Department of Personnel and Training will examine the recommendations and consult the Finance Ministry on them. After which the recommendations will be implemented from January 1, 2016.
We have information from reliable sources, which if true, will make the Central Government employees happy. The Seventh Pay Commission is likely to recommend a substantial pay hike which could be up to 30% or even more, said sources on Thursday.
There will be 5 to 6% performance-based increment every year and those who are under-performing could retire by 55 years of age or after 30 years of service, added sources. House Rent Allowance could also be hiked by 10% to 30%.
The Commission, whose recommendations may also have a bearing on the salaries of the state government staff, was given more time by the Union Cabinet just a day before its original 18-month term was to end. Headed by Justice AK Mathur, the Commission was appointed by the previous UPA government in February 2014.
Source: CNN IBN
