New Delhi, April 29: The committee on allowances, headed by Finance Secretary Ashok Lavasa, submitted its report to the Finance Ministry on Thursday. The Central Government employees have been waiting for nearly the past 10 months for the hike in allowances as per the 7th Pay Commission report. The recommendations of Lavasa committee is yet to be approved by the Cabinet. As of now, the details of Lavasa committee report have not been made public. According to the National Joint Council of Action (NJCA), the non-release of arrears would remain a point of contention.
While speaking to India.com, NJCA chief Shiv Gopal Mishra had reiterated that arrears on higher allowances is one of the integral demands of the union. “Government is bound to provide arrears on allowances. The pay commission is implemented once in a decade. If Centre has failed to implement the 7th Pay Commission on the scheduled date, then why the employees bear the loss?”
“We want the Government to provide allowances, along with arrears from January 1, 2016. If they fail to do so, we will raise our demand on all platforms and launch an organised form of protest,” Mishra had further added.
The Reserve Bank of India (RBI) had raised apprehensions earlier in the month over higher allowances to be implemented for the 47 lakh strong Central Government employees. Along with arrears, it would escalate the burden on exchequer. The central bank had claimed that it could significantly impact the rate of inflation.
Dismissing the concerns raised by NJCA, Mishra said, “Why should employees pay the price? If RBI thinks it would cause an adverse impact on inflation, then they should think for an alternative to control inflation.”
“Government of India is an employer. And an ideal employer has to revise wages when required. You cannot tell employees that the wages and allowances would not be revised as we are facing financial hardships,” he added.
According to Mishra, arrears would cause no major impact on the exchequer. “Finance Minister Arun Jaitley had allotted Rs 1,02,100 crore for implementation of 7th Pay Commission in the 2016-17 Budget. The amount has not been spent completely. Even if they implement higher allowances along with arrears, I don’t think it would cost any additional amount to the exchequer,” the top union leader told India.com.