Seventh Pay Commission Highlights Hike Allowances HRA Transport Gratuity Pension 2017
Seventh Pay Commission Highlights, Hike, Allowances, HRA, Transport 2017
Seventh Pay Commission Highlights
- The term of the 7th Central Pay Commission is ending on 31.12.2015. After 31.12.2015 the office of the 7th Central Pay Commission will cease to exist.
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Approval has been given to Bureau of Indian Standards (BIS) for applicability of revised pay scales to its employees on recommendations of Seventh Pay Commission," an official statement from the Consumer Affairs Ministry said.
- The Seventh Pay Commission has recommended a 14.27 % hike in basic pay. It has proposed a 138.71 per cent hike in housing allowance (HRA) and 49.79 % for other allowances
- The recommendations cover 47 lakh central government employees and 53 lakh pensioners. This includes 14 lakh serving employees and 18 lakh pensioners in defence forces.
- The past experience of implementation of pay commission's recommendations suggests that automobile sector and companies dealing in consumer durables and FMCGs get huge push and are the primary beneficiaries.
Seventh Pay Commission Highlights on Gratuity
- Government has decided to increase the gratuity limit from Rs 10 lakh to Rs 20 lakh
Seventh Pay Commission Highlights on Transport and House Allowances
- No hike in Transport Allowance and Dearness Allowance; HRA raised to 30 per cent
- The Committee on Allowances accepted the 7th Pay Commission recommendations about the Transport Allowance (TPTA) and said there will be no hike. The panel, however, decided to raise the House Rent Allowance or HRA to 30 per cent. Central government employees will now receive the travel allowance as per the 6th Pay Commission recommendations including Dearness Allowance (DA).
- The Committee on Allowance also suggested suggest to raise HRA to 30 per cent of the basic pay as against the 24 per cent recommended by the 7th Pay Commission
- The 7th Pay Commission has revised the Transport allowance (TPTA), which is given below:-
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Pay Level Higher TPTA cities (Rs pm) Other places (Rs pm) 9 and above 7200+ DA 3600+ DA 3 to 8 3600+ DA 1800+ DA 1 and 2 1350+ DA 900+ DA - The government has given higher basic pay with arrears, effective from January 1, 2016 in August 2016 to its employees on the recommendations of the 7th pay commission but referred hike in allowances to the Committee on Allowances.