7th Pay Commission Latest News: No CPC in Future, Uncertainty Continues Over Minimum Pay Hike

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7th Pay Commission Latest News: No CPC in Future, Uncertainty Continues Over Minimum Pay Hike

'The government to follow in the footsteps of the 7th Pay Commission Chairman Justice A K Mathur for the formation of the next Pay Commission'

New Delhi, Jan 11: The 7th Pay Commission or 7th CPC could be the last pay commission as the government may not form new pay panel in future for increasing salaries of central government employees. The government is likely to implement the recommendation of the 7th Pay Commission which suggested that the government should review the salary of central government employees every year rather than forming new pay commission after the long period of ten years. Meanwhile, uncertainty continues over a hike in minimum pay and fitment factor beyond the recommendation of the 7th Pay Commission.

“The government to follow in the footsteps of the 7th Pay Commission Chairman Justice A K Mathur for the formation of the next Pay Commission,” a senior Finance Ministry official told Sen Times when asked about new pay panel in future. “The 7th Pay Commission recommended that the pay matrix may be reviewed periodically without waiting for the long period of ten years. It can be reviewed and revised on the basis of the Aykroyd formula which takes into consideration the changes prices of the commodities that constitute a common man’s basket, which the Labour Bureau at Shimla reviews periodically,” the official added.

The official said the government will discontinue the practice of appointing pay commissions in future to suggest salary structure and other perks for all central government employees and pensioners. Earlier in an interview, Justice AK Mathur, who led the 7th Pay Commission, said, “The government should review the salary of central government employees every year looking into the data available to it and based on the price index.” Instead of forming new central pay commission after the 7th Pay Commission, the government may revise salaries and allowances when DA crosses 50 per cent.

Meanwhile, the central government employees have been waiting for a hike in minimum pay and fitment factor beyond the recommendation of the 7th Pay Commission. The 7th Pay Commission had recommended a 14.27 percent hike in basic pay, raising minimum pay from Rs 7,000 to Rs 18,000 month. However, the central government employees have been asking to raise minimum pay to Rs 26,000 and fitment factor 3.68 times from 2.57 times. However, no final decision has been taken on higher minimum pay.

If media reports are to be believed, the government is likely to form a high-level committee to fix new pay structure beyond the recommendation of the 7th Pay Commission. The central government employees have warned the government to go on indefinite strike if it doesn’t raise minimum pay and fitment factor beyond the recommendation of the 7th Pay Commission.