The government of India may be considering stopping arrears on revised minimum pay under the 7th Pay Commission, as per many media reports.
Financial advisors to the government are of the view that arrears on higher minimum pay will bring an extra burden on exchequer, reported India.com.
Reportedly, instead of arrears, the government may increase the minimum pay in the range of Rs 7,000 to Rs 18,000 per month and fitment factor to 3 times.
A National Anomaly Committee (NAC) has been formed to scrutinise the 7CPC recommendations, media reports mentioned.
Union Cabinet on June 28, among many recommendations under the 7CPC, also approved raising the minimum pay from Rs 7,000 to Rs 18,000 per month and fitment factor to 2.57 times.
The issue of raising minimum pay beyond the 7CPC recommendation, is expected to be discussed by the Union Cabinet by end of January 2018. Recently, central government employees have been demanding to raise minimum pay from Rs 18,000 to Rs 26,000 under 7CPC.
Apart from this, the government on October 09, hiked the dress allowance given to diplomats and Special Protection Group (SPG) officers.
Under 7CPC, SPG officers would get Rs 27,800 annually during operational duties and Rs 21,225 a year during non-operational work as dress allowance.
Earlier the officers were getting Rs 9,000 annually as uniform allowance.
According to Ministry of Finance, 7th CPC will benefit 34 lakh civilian employees and 14 lakh Defence Forces personnel. It has examined 197 allowance, recommending abolition of 53 allowance and subsuming 37 in others. Also, 7th CPC recommended revised rates commensurate with Dearness Allowance.