New Delhi, Jun 4: Central government employees have been waiting for a hike in minimum pay and fitment factor beyond the recommendations of the 7th Pay Commission or 7th CPC since 2016. Their wait may get over on August 15 as Prime Minister Narendra Modi may announce a hike in minimum pay and fitment factor beyond the recommendations of the 7th Pay Commission and raise in retirement age on the Independence Day, according to a report. (Update: 7th Pay Commission: Hike in Minimum Pay, Fitment Factor Unlikely; Here’s Why)
A report published in Sen Times quoted a government official and said that hike in minimum pay and fitment factor beyond the recommendations of the 7th Pay Commission will be announced on the Independence Day. Along with the much-awaited hike, the government is likely to raise the retirement age to 62 years from 60, it added. Recently, Madhya Pradesh government raised the retirement of age of its employees.
“Under pressure from the coming general election due by May 2019, the Modi government has indicated that it may hike pay of central government employees beyond the 7th Pay Commission recommendations, seeking to win the Lok Sabha polls because the government knows one government employees can persuade at least 100 voters for the party,” the official was quoted as saying.
“The two announcements that Prime Minister Modi is likely to make in his speech from Red Fort on 15 August, the Independence Day for central government employees are an increase of pay and the raising retirement age to 62 years from 60,” he added. However, the government, in March, said that it wasn’t considering raising minimum pay and fitment factor beyond the recommendations of the 7th Pay Commission.
“The minimum pay of Rs.18,000/- p.m. and fitment factor of 2.57 are based on the specific recommendations of the 7th Central Pay Commission in the light of the relevant factors taken into account by it. Therefore, no change therein is at present under consideration,” Minister of State Finance, P Radhakrishnan told Rajya Sabha in a written reply.
The 7th Pay Commission had recommended a 14.27 per cent hike in basic pay, raising minimum pay from Rs 7,000 to Rs 18,000 month, which was accepted by the government in June 2016. Since then, central government employees have been asking to raise minimum pay to Rs 26,000 and fitment factor 3.68 times from 2.57 times.