7Th Pay Commission : All You Need To Know

19 min read
7Th Pay Commission
[vc_row][vc_column][vc_column_text]Since the announcements madeby the Ministry of Finance on behalf of Union Cabinet on 15th of August, 2016, where the Honourable Minister and his panel presented the revised scheme of central payments as in 7th Pay Commission. In favour of the 7th CPC, several recommendations were made where the States were asked to raise the salaries of central government employees as well as the pensioners. Receivingmonthly salary under the 6th pay commission made during the rule of UPA-led Congress government, the present central ruling party disagreed to the system thus creating new recommendations for lakhs of people under the 7th pay commission. A committee was formed by Finance Minister Arun Jaitley which included high authoritative officials and ex-bureau chief inplace.

Recommendations for 7th Pay Commission

The recommendations for near about 60 lakhs employees are working in central government sectors like Railways, Electricity Boards, Educational Institutions, etc. were scanned entirely with a 7th pay commission calculator carried out by the panel where the centre made a decision for the employees to be eligible for equal pay scale structure as private or semi-private employees hold on to.

7th Pay Commission Calculator

The pay structure for the present 7th CPC can be calculated as Basic Pay+Grade Pay (inclusive)+Pay Band+DA+HRA(optional)+MA (optional), and that is how you can get your new salary scale. The calculated amount will be given to the permanent employees of the central government bodies wherein those who work as daily wagers or temporary employees will get a salary of Basic Pay+MA (travelling allowance)+DA. For those who are waiting for the pensions under the fresh 7th CPC recommendations may get Basic Pay+Grade Pay+DA. Employees who are eligible to any Non-PerformingAssets such as credit facility, bonds, loans, etc. will be paid a deducted amount from the Basic Pay or Grade Pay as per the 7th pay commission calculator.


The seventh pay commission will most probably be applicable from the next fiscal year i.e. April 2017 where Army personnel to Army veteransand everyone might get benefitted. The increment in the salary with almost 14.27% hike in basic pay where the minimum pay which will be provided to a person may be Rs. 18,000/- and rise to Rs. 2,75,000/-. The pay structure including 33 lakhs central government employees, 14 lakhs Armed Forces Personnel and 52 lakhs pension holders, the highest salary of Rs. 4,00,000/- to Rs. 4,50,000/- will be given to that of President of India and Secretariat of the Office.

Hurdles in Implying seventh pay commission

In the midst of raising basic pay under the salary of the employees, the union of the employeecommittee took to stage to protest against the Union Cabinet as they disagreed to the provided pay structure and salary hike, especially of daily wagers. The protest came with a reason that hike in salary of 14.27% was not at all preferable as the previous government made a recommendation of 14.25% thus promising to raise it by 20%. However, as per the 7th pay commission, recommendation hike by 14.27% is not logical and acceptable.

Railway workers strike against Centre for unacceptable salary hike recommended for 7thCPC.

The first strike by the central government employees took place in Goa on November 8 where near about 30,000 workers went on indefinite strike hence leading the centre to increase 2% in the Dearness Allowance (DA) which will be given to the workers along with increased basic pay. Initially, centre denied to including any kind of extra payment facility despite utter pressured aroused by the workers but later on nodded to the plea. Soon, the Union Cabinet announced that temporary workers would be given same salary that of permanent employees as the duration and physical strength they input, it almost equivalent to all.

Requirement for Increased Salary Under 7th Pay Commission

The criteria for permanent workers changed for the hike in the payments as MACP got introduced in each of the central offices. Termed as Modified Assured Career Progression (MACP), the central government, from now onwards, will be eligible to the increased salary only when there are credibilities attached to his/her name. Making the performance scale more stringent from being “Good” to “Very Good” to even “Outstanding”, the offices will set a benchmark for all the employees or permanent workers. Those who are unable to set any example or create adifference, will not be eligible for any salary hike. Centre also plans to give 3% hike in salary who give above average performance on a regular basis or throughout a fiscal tenure.

Apart from setting anexample for central government employees, Armed Forced personnel will be paid as per their ranks and job profiles. Starting from Rs. 3,600 to Rs. 15,500 for initial stage rank holders, the higher officials, may be eligible for Rs. 65,000/- to Rs. 80,000/-, entirely based on the performances. Also, 10% arrears were added to the basic pay including Dearness Allowance under the seventh pay commission recommendations. The pay scale also included Defense Civilian Employees who work on grounds but with the Armed Force Services.

7th Pay Commission Latest News

The decision was accepted whole-heartedly by most of the State bodies such as Arunachal Pradesh, Madhya Pradesh, Maharashtra, Uttarakhand, Jammu & Kashmir, Haryana, Goa, Uttar Pradesh, to which recently Assam and Gujarat agreed on implying the recommendations made by 7th CPC. Rest of the States like Odisha, Tripura, Mizoram, etc. fall short of revenue as they pleaded the government to provide a bigger amount of the revenue. Mostly depending on revenue generated from Tourism Department, the State do not have a petty amount to pay basic salary to its employees, stay far hike in salaries.

Rest of the regions like Tamil Nadu, Telangana, Karnataka, Meghalaya, Himachal Pradesh, Punjab and so on tend to seek proper probe into the matter as they are completely unhappy with the recommendations. Moreover, the budget given to few States are so less that it all fades away in a matter of time in just rectifying errors and complete Centre directed unfinished projects. In fact, a few days back Centre booked Punjab University for accepting hiked fees from the students coming for new admissions. The State reverted as that they were a shortage of revenue and the hiked fees were mere 1.5% to 2%, to the pivotal courses which require lots of field work and laboratory jobs. Although, it hasn’t agreed to provide salaries under 7th central pay commission.

Apart from the ongoing charges of acceptance and denial, the demonetization probe left thousands of employees merry wherein others in the severe gloom. The elimination of 500 and 1000 rupee notes from the currency left many startled as the payment of basic salary (not even the hiked pay) were delayed at great extent. Few central industry claimed to have “no capital” so as to provide thousands of employees to pay as the cash crunch hit mostly not only in various organisations but Reserve Bank of India (RBI) also.

Implementation of 7th Central Pay Commission

The Supreme Court of India directed central bank to work with immediate effects as hundreds of lives had already been claimed due to the demonetization and shortage of money in families. The apex court directed central government hospitals, educational institutions, roadways, airways, etc. to go ahead with trading and transactions of old notes along with centre directed petrol pumps henceforth giving a halt to the 7th pay commission recommendation at large scale.

Soon after the dusk of the set date of December 31, 2016, for usage of old notes, Ministry of Finance assured that no hurdles would stop them to make India a cashless economy hence pushing the nation towards digitalization. Centre-led organisational bodies, offices were asked to use e-banking for payments of the salary wherein it also made an announcement regarding the leftover States of agreeing on the recommendations as the current fiscal year draws to an end.

In fact, Centre directed States to imply the set recommendations under 7th CPC coming March as they plan to introduce Union Budget 2017 accordingly per State. The provided revenue will help all 29 States and Union Territories to help in nation building along with digitalisation as the employees will be paid salaries through the internet under the revised salary probe. The Union Cabinet finally settled in the matter with giving green signal to the payment of hiked salaries as it assured to be implemented from January and maximum by March.

Railway department, on the other hand, states that they would again sit on an indefinite strike thus ignoring the Centre’s decision to imply recommendations coming January or March. Thoughcontinuously revising its date from February 7 to March 15, 2017, union leader of the railwayemployee committee argue that the sum of an amount fixed for them as of hiked payments or revise salaries is simply not applicable as well as justifiable. Demanding more percentage over basic pay or grade pay, railway employees go ahead with disagreeing Centre with firm accountability.

Expectation From 7th Pay Recommendation

Despite all efforts put by Union Cabinet for the implementation of the seventh pay panel, central government employees keep on disagree with the recommendations subsequently ignoring all the positive sides to the urges. If we take a keen look at the pay scale and analyse it, then the increment is in every possible way practical as it helps a worker accept a monthly amount of Rs. 18,000 at a minimal basis. the increment in the salary only is applicable on the basis of performance eventually saving time and money of the Centre. Also, giving equal priority to the Secretariat body as of President’s as well as high-rank officials of the Armed Forces who are somehow related and work for the nation directly.

Union cabinet holding a meeting for the implementation of the 7th pay scale recommendations

Keeping the model code of conduct intact, Centre has, however, announced that all the implementations will be genuine and applicable after the Assembly polls ahead in February and March 2017. Also, giving a sense of relief to the low-paid employees, the medical allowances as well as house rent allowances has been included in the 7th CPC thus giving lakhs of permanent employees a chance to perform brilliantly and justify the provided salary.

So, assembly elections approaching near day by day, the updates of the latest news of 7th pay commission and implementation of the recommendations will be provided with full assurance.

  • Anti-CAA Jamia Protesters Clash with Cops (2nd Lead)

    Anti-CAA Jamia Protesters Clash with Cops: New Delhi, Feb 10 (IANS) Tension erupted during…

Check Also

4 Ways to Make your living Room Engaging and Interesting

The colour scheme and flooring play significant roles when transforming your living room i…