Arun Jaitley to Keep His Promise on Minimum Pay: Finance Ministry Official

Arun Jaitley to Keep His Promise on Minimum Pay: Finance Ministry Official

New Delhi, Oct 3: Union Finance Minister Arun Jaitley will keep his promise to raise minimum pay beyond the Rs 18,000, recommended by the 7th Pay Commission or 7th CPC and approved by the Cabinet, a Finance Ministry official reportedly said. The National Anomaly Committee (NAC), formed by Arun Jaitley to look into pay anomalies arising out of the implementation of the 7th Pay Commission’s recommendations, may recommend hiking minimum pay to Rs 21,000. 

On June 30, 2016, Finance Minister Arun Jaitley held a meeting with representatives of central government employees unions at the residence of Home Minister Rajnath Singh. At the meeting, Jaitley assured them that their demand of raising minimum pay beyond the recommendation of the 7th Pay Commission would be considered. He had also agreed to form a high-powered committee to look into the anomalies in the 7th Pay Commission recommendations’ implementation and kept his promise on this.

The government in June approved the 7th Pay Commission recommendations for its employees with higher minimum basic pay from Rs 7,000 to Rs 18,000 per month. The 7th Pay Commission had recommended a 14.27 percent hike in basic pay — the lowest in 70 years. However, the central government employees expressed displeasure over the hike and accused Arun Jaitley of betraying them.

Speaking to Sen Times, the Finance Ministry official said the Finance Minister is likely to announce an increase in minimum monthly pay of central government employees beyond the Rs 18,000. “Since the Finance minister Arun Jaitley had promised to hike minimum pay after discussions with all stakeholders, efforts would be made to fulfil the same,” the official was quoted as saying.

Meanwhile, a senior official of Department of Personnel and Training (DoPT) said the Empowered Committee of Secretaries headed by Cabinet Secretary P K Sinha and the Department of Expenditure will examine the report of NAC on minimum pay. “The Finance Ministry will hike the pay with raising fitment factor 3.00 times from 2.57 times, will be paid from January next year and minimum pay is likely to get hiked to Rs 21,000 from Rs 18,000,” Finance Ministry sources had said.