7th Pay Commission: Central staff demands go unheard in electioneering

May 18, 2018, 02:30 PM IST

7th Pay Commission: Although Indian economy is getting thumbs up in terms of growth and the Centre is also getting a big thumbs-up from different quarters, the promise related to hike in salary and fitment factor beyond the recommendations of the 7th Pay Commission for central staff is still in doldrums. However, as India's economic growth is likely to accelerate to 7.3 per cent in the current fiscal, and 7.5 per cent in the next, expectations are that the Centre will extend some monetary relief to its employees ahead of 2019 Lok Sabha polls. There are other developments related to salary hike demand taking place across the country, lets have a look;


1. Notably, lakhs of central government employees after getting initial hike are waiting for their salary revision, as they are not satisfied with fitment factor hike of 2.57 times, and want it to be 3.68 times so that their minimum salaries reach Rs 26,000, and respectively to other ranks. Photo: PTI


2. The state governments facing assembly elections have been offering sops to people as well as their employees, and the latest being Karnataka, where the new Chief Minister announced loan waiver for farmers. Such announcements spur the demand for salary hike on part of government employees. Photo: PTI


3. Since the party in power at the Centre will face Lok Sabha elections next year, the central staff is hopeful of their demands being fulfilled, as several ministers have promised a hike to them. Photo: PTI


4. According to Motilal Oswal's recent report, at least six states have implemented the 7th CPC in 2016-17, while the rest are yet to do so. "The 5th and 6th PCs boosted physical savings, not consumption. This time, however, with limited arrears and generally lower increase in salaries, a boost to (physical) savings is doubtful, let alone consumption, the report stated, citing sympathy with employees' demand. Photo: PTI


5. A recent UN report said that 7th CPC recommendations will lead to price rise and that was due to the higher housing rent allowances for government employees and military staff as recommended by the Pay panel. Such reports seem to discourage the government from taking the step. Photo: PTI


6. Of the Central staff, employees at Indian Railways are getting restive, and their union, the All India Railway Federation (AIRF), resorted to a relay hunger strike across the nation on May 7, 2018, protesting the non-execution of various provisions of the pay panel recommendations and other demands. Photo: PTI