Seventh Pay Commission: An Overview

The union government of India vide Notification No1/1/2013-e III(A)of 28.02.2014.appointed the seventh pay Commission to revise the Remuneration of Central government employee as well as pensioner of its government. The commission, after due deliberation, submits its report to the union government of India on 19^thNovember 2015. The seventh pay Commission headed by justice Shri A. K. Mathur and ShriVivek Rae, Member, Dr. Rathinroymember and Smt. Meena Agarwal, worked as Secretary. AS per the Recommendations of VIIpay Commission16% hike in basic pay and 63% in allowances and Overall 23.55% hike in pay and allowances of government employee and 24% hike in Pension Commission has also Recommended ‘ONE RANK ONE PENSION’ for civilian government employee too on line of OROP for armed forces.

Recommendations of seventh pay Commission to be implemented from 1^thJanuary 2016. The Financial Impact of Implementing recommendation in to will be Rs1.02lakh crore. Out of this Rs 73650 crore are borne by the Union Budget and Rs 28450 crore by Railway Budget. The total Financial Impact will be from the Implementation of Commission Recommendation to raise the ratio of expenditure on salary and wages to GDP by 0.65% to 0.7%.