Increment, more benefits for CG staff, pensioners: 7th Pay Commission

Employees and pensioners will get higher wages as well as dearness allowance.


The Central government will grant higher wages to its employees with an expected rise in dearness allowance (DA) of two per cent. The Cabinet is expected to meet later this month to decide on the implementation of the new pay structure.

This move will benefit 50 lakh Central government employees and 55 lakh pensioners and staff. If implemented, the salaries of the non-gazetted medical staff of the Indian Railways will be hiked to up to Rs 21,000, along with potential promotions happening. Promotions may also be extended to the non-gazetted medical staff of the Indian Railways. The salary of non-gazetted medical staff is expected to be increased by at least Rs 5,000 per month, which will also lead to a hike in the HRA, DA and TA of the employees.

The existing pay matrix will undergo a drastic change wherein the pay scale will be decided by the level of the employees. There has been no introduction of new pay scales and the new matrix takes into account the already existing levels.

Maximum pay for government employees will be ensured especially for the Cabinet secretary and employees at the same level. The monthly salary is expected to rise from Rs 2.25 lakhs to Rs 2.5 lakhs.

Entry-level employees will receive Rs 18,000 as against the Rs 7,000 they are getting paid. For a freshly-recruited Class I Officer, the monthly salary will amount to Rs 56,100 per month.

Full pay and allowances will be given to all employees who are hospitalised due to any work-related illness and injury relief (WRIIL). The annual increment level will also stay the same at 3 per cent per annum.

The 7th Pay Commission focuses on individual performance and the performance benchmarks of the Modified Assured Career Progression Scheme (MACP) has been made stricter. Military Service Pay (MSP) will be payable for all ranks inclusive of brigadiers and people at the same level. Other allowances that may increase include house rent and pensions, which will have a slab-based system depending on the disability of the pensioner.

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