7th Pay Commission: Why PM Narendra Modi may give good news to government employees in April
7th Pay Commission: What can stop FM Arun Jaitley from raising 7th Pay Commission salaries as per demands of government employees is revenue deficit. After so many state governments have indicated that their economies have been affected by the large payouts, Centre would be chary of taking a bold step and that would bring bad news for employees.
7th Pay Commission: PM Narendra Modi led government is working hard to ensure Indian economy logs growth that is outstanding. The results are being appreciated at the highest quarters, globally. Just days ago, none other than famous economist and Nobel laureate Paul Krugman had great words to say about India's efforts and achievements in boosting economic growth. He said, India achieved as much economic progress in the last 30 years as the united Kingdowm did over 150 years. It is a very rapid pace of transformation." He dubbed the growth of Indian economy as 'extraordinary' even though he did highlight concerns over poverty. He then added, "India has overtaken Japan and while being behind the US and China, it is far bigger than any European country." What does this have to do with news concerning 7th Pay Commission, fitment factor of 3.68 times and hike of minimum pay to Rs 26,000 that every government employee is looking for?
Plenty, as it turns out. What can stop FM Arun Jaitley from raising 7th Pay Commission salaries as per demands of government employees is revenue deficit. After so many state governments have indicated that their economies have been affected by the large payouts, Centre would be chary of taking a bold step and that would bring bad news for employees. However, if the economy grows robustly and substantially, the outlook for 7th CPC salary hike improve dramatically. And it is not just Krugman who is talking up India and its economy, just a day ago, a Deloitte report said it expects faster than expected growth. It added, "India's position as the fastest growing large economy in the world is set to be retained as growth is picking up and it will continue to maintain it in 2018."
Some of the concrete data points that are encouraging for a 7th Pay Commission salary hike as per demands came in a few days ago. Economy logged a 5-quarter high growth of 7.2% in the October-December quarter. This was possible on back of good performances by sectors like manufacturing, agriculture and construction. So, the signs are more than good of a 7th CPC salary hike that should set up the new fiscal for employees on a good foundation.