New Delhi, Jan 22: Central government employees can expect an announcement regarding salary hike beyond the recommendations of the 7th Pay Commission or 7th CPC in the Union Budget 2018. However, only lower-paid employees are likely to get a salary hike and top and middle-level employees will continue to get the salaries, according to the recommendations of the 7th Pay Commission. The government is mulling to allocate fund for salary hike beyond the recommendations of the 7th Pay Commission. (ALSO READ: 7th Pay Commission: Salary Hike Likely For Civic Body Employees Too as Per CPC Recommendations)

The government economic managers are ready to allocate fund for raising the salary of central government employees, beyond the recommendations of the 7th Pay Commission, in the proposed Union Budget 2018-19. Speaking to Sen Times, an official, who is involved in Budget-making process, said, “Fund is likely to be allotted in the Budget 2018-19 for salary increase of central government employees especially lower-level employees up to the pay matrix level 5. It’s subject to clearance by the Finance Minister Arun Jaitley and the Cabinet.”

The official further said that the Finance Ministry would like to review the DoPT letter in respect of employees who draw salaries from pay matrix level 1 to 5. The DoPT letter stated that the demand for an increase in minimum pay and fitment formula beyond the recommendation of the 7th Pay Commission does not appear to be treated as an anomaly, therefore, these do not come under the purview of the National Anomaly Committee (NAC). “Ajay Mittal, Secretary, DoPT, who is the head of NAC, has to talk to the Finance Minister Arun Jaitley about this. After that, the proper announcement in this regard will be made by FM,” the official said.

The government had approved recommendations of the 7th Pay Commission on a hike in salary of central government employees in June 2016. The 7th Pay Commission had recommended a 14.27 percent hike in basic pay, raising minimum pay from Rs 7,000 to Rs 18,000 month. However, the central government employees have been asking to raise minimum pay to Rs 26,000 and fitment factor 3.68 times from 2.57 times.

On June 30, 2016, a day after the Cabinet cleared the 7th Pay Commission recommendations, Arun Jaitley had promised to appoint a high-level committee to look into the issue of hike in minimum pay and fitment factor. “The government is going to fulfil the promise of FM Jaitley to increase the salary of lower-level employees beyond the the 7th Pay Commission recommendations,” the official added.