“Forward ever, backward never: onwards with Breaking Through”
25/07/2016

7th Pay Commission Implementation Hidden facts

After the Cabinet approval, the Finance Minister tweeted, “Congratulations to central government officers, employees & pensioners on a historic rise in their salary & allowances through the 7th Pay Commission.”
The Central Government Employees were dismayed by this tweet and wondered how it was described as historic rise. There are so many hidden facts in the cabinet approval for implementation of 7th Pay Commission recommendations.
1. What did the Empowered Committee of secretaries do in Sixth months and what did they recommend? There was nothing mentioned about the report of this committee submitted to Cabinet and Whether the cabinet considered the ECoS recommendations or not.
2. This is the first time in the Pay Commission History that Pay Commission recommendation are going to be implemented in staggered manner. Only Basic Pay alone will be revised. All other Allowances will be revised after four months.
3. After second Pay Commission, this is the lowest hike recommended in Pay Scale. Just 14.27%. 30% hike is expected invariably by all cg employees.
4. This is the first time the central government employees are not so excited about the Hike recommended in 7th pay Commission and its Implementation. The reasons are, Very Minimal hike and Implementation of Allowances is deferred.
5. There was an anomaly in sixth pay Commission in granting Annual Increment for the New entrant. If the Govt Servants recruited in the first six months of the year from January 2nd to June 30th, the Annual Increment will be granted on 1st July of next year (i.e after 13 to 18 Months ) .This anomaly is also not addressed by 7th Pay Commission.6. To address this issue, NCJCM proposed Two Increment dates i.e on 1st January and 1st July . This is not considered by Govt.
7. The Sixth CPC has recommended to grant MACP on Grade Pay Hierarchy. Many Court Cases are won by Govt servants in favour of granting MACP on Promotional hierarchy. But this issue also not considered by Govt and 7th Pay Commission.
8. The Central Government Employees were shocked by the recommendation of reducing the Rates of HRA to 24%, 16% and 8%. Adding further fuel to the fire, the reduced allowances are also not implemented with immediate effect.
9. The Cabinet also decided not to accept the steep hike in monthly contribution towards Central Government Employees Group Insurance Scheme (CGEGIS) recommended by the Commission. But the CG Employees welcomed the Pay Commission recommendation in CGEGIS, as it is providing high risk cover. But it is turn down by Government.
10. The only positive fact in 7th Pay Commission Recommendation is its PAY MATRIX. In Sixth Pay Commission, there was disparity in Pay fixation for promotes and new Entrants. The Entry Pay fixed for particular Grade to the New Recruits is higher than the Pay fixed for the Govt Servants promoted to that same Grade. This issue is somehow addressed in 7th Pay Commission by fixing Entry Pay for all Levels in New Pay Matrix.