7th Pay Commission Latest News Today: Will Minimum Pay Hike Reduce Poverty?
New Delhi, July 17: Almost a week after the Bharatiya Janata Party (BJP) led Union Cabinet approved recommendations of the 7th Pay Commission with 34 modifications on June 28; the Finance Ministry notified allowances revised by the Commission in the Gazette of India on July 6.
The list contains as many as 197 allowances that have been revised, abolished or subsumed in a larger category by the Union Cabinet. The increase in allowance will benefit nearly 48 lakh central government employees out of which 34 lakh are civilian employees and 14 lakh are defence force personnel. Also Read – 7th CPC Impact: Post Pay Commission Allowances Roll-out, Know What Will be the In-Hand Salary of Employees For July Month
Full list of allowances that have been doubled and in some cases, it is more than double, from July:
House Rent Allowance:
Central Government employees will see a hike in their House Rent Allowances in the range of 106 per cent and 157 per cent from their July salaries. For those who fall in the highest level pay matrix, their HRA has been increased from Rs 27,000 to Rs 60,000, thus resulting in a 122 per cent hike. The HRA of these employees will be revised upwards to Rs 67,500 and Rs 75,000 when Dearness Allowance crosses 25 per cent and 50 per cent respectively. The revision will translate into a 148 per cent and 176 per cent hike, respectively.
For those lying on the bottom of the pay scale – with basic pay of Rs 7,000 – were entitled to an HRA of Rs 2,100 in a Class X city. However, after July 1, the revised pay at this level would be Rs 18,000 per month as against which the new HRA for a Class X city would be Rs 5,400 per month – that is 157 per cent more than the existing level.
For pensioners, fixed medical allowance has been increased from Rs 500 to Rs 1,000. For central government employees with 100 per cent disability, constant attendance allowance has been increased from Rs 4,500 and Rs 6,750 per month. The nursing amount has been hiked to Rs 7,200 per month, as against the earlier amount of Rs 48,000.
The Union Cabinet has increased Children Education Allowance (CEA) from Rs 1,500 per month per child to Rs 2,250 per month. Hostel subsidy has also gone up by Rs 4,500 per month to Rs 6,750 per month.
Allowances of Armes Forces personnel:
Armed Forces personnel who are deployed in difficult terrains including hilly areas. Rates of Siachen Allowance for soldiers have been increased from Rs 14,000 to Rs 30,000 on a monthly basis and from Rs 21,000 to Rs 42,500 for officers for extreme risk and hardship.
The breakdown allowance is granted to non-gazetted Railway officers who are earmarked for attending to breakdown duties. While the panel recommended abolishing it, the government retained it and enhanced the existing rates by 2.25 per cent. The government revised the rates from Rs 120 to Rs 300 per month to Rs 270 to Rs 675 per month.
The cycling allowance speaks volumes of the legendary reach of the Indian post office-from narrow to remote locations. While the pay panel recommends abolishing it, the Union Government retained it and doubled the rate to Rs 180 per month from the existing rates of Rs 90 per month for Department of Posts and Railways.
Coal Pilot Allowance:
The coal pilot allowance is paid to Shuntmen and other Group D staff of transportation Department of Indian Railways who accompany pilots in the collieries for shunting and similar other duties.