7th Pay Commission: Salary of These Central Govt Employees May Increase in New Year. Big Decision on HRA Soon

7th Pay Commission Latest News Today: If the pending proposal at the Centre gets approved, then the Central govt employees will get increased HRA in January 2022.

7th Pay Commission Latest News Today: Even though they got hike in their Dearness Allowance last month, the salary of the Central government employees is likely to increase again this New Year. The Prime Minister Narendra Modi-led government at the Centre is likely to give a New Year gift to central government employees. As per media reports, the Centre is panning to increase the House Rent Allowance (HRA) of Central government employees in early January 2022.

In this regard, the Union Ministry of Finance has started discussions to implement the House Rent Allowance (HRA) of more than 11.56 lakh employees. It was learnt that a proposal in this regard has been sent to the Railway Board for approval. If this proposal gets approved, then the employees will get increased HRA in January 2022. The development comes as the Indian Railway Technical Supervisors Association and the National Federation of Railwaymen have been demanding implementation of HRA from January 1, 2021. If the demand is approved, there will be a bumper increase in the salary of Central government employees.

The Central government employees must be knowing that the HRA is a salary component which is being paid to employees by an employer towards the accommodation cost of living in that city. However, the employers in all the cases decide the HRA amount to be paid depending on criteria like the salary structure, salary amount, and city of residence.

HRA calculation as per 7th pay commission

It must be noted that the HRA is paid @24%, 16% & 8% for X, Y & Z cities respectively. For the Central government employees, the HRA is not less than Rs 5400, Rs 3600 and 1800 for X, Y and Z cities, calculated @30 percent, 20  percent and 10  percent of minimum pay of Rs 18,000.