The central government has approved the modifications to the 7th Pay Commission. This comes after the review report on the 7th Pay Commission was submitted by the Ashok Lavasa-led Committee on Allowances. Another meeting was held by the Standing Committee of National Council, wherein the members discussed the growing disenchantment among central government employees due to the delay in the implementation of the 7th Pay Commission. It may be recalled that the central government employees’ association had even warned that they would go on a strike if the recommendations of the 7th Pay Commission are not implemented soon.
Here are the key changes approved by the government:
- The benefits resulting from the modifications will be applicable from January 1, 2016
- The government’s annual bill will increase to Rs 1,76,071 crore, as a result of the additional benefits
- In case of pre-2016 pensioners and family pensioners, the government has approved modifications in the method to be used for revision of pension. This will effectively benefit more pensioners, as compared to the earlier recommendation.
- The percentage-based system of disability pension implemented after the Sixth Pay Commission has been retained. The earlier recommendation was to replace this with slab-based system.