How 7th Pay Commission is a big let-down for Government Employees and Armed Forces

How 7th Pay Commission is a big let-down for Government Employees and Armed Forces

The cabinet has given its approval to implement 7 CPC recommendations on 29th June, 2016.  It was expected that Government will improve and enhance the benefits recommended by the commission, especially in case of low paid employees.  The committee constituted by the government to look into the report and make their recommendations it appears that on the behest of political bosses did not recommended any improvement in the recommendations made by the pay commission.  In the history of CPC during last about 70 years this is the worst recommendations and needed major surgery to make it acceptable to the employees and meet their expectation up to some at some extend now the employees are dejected.

The Seventh Central Pay Commission miserably failed to improve financial condition of its employees who were expecting betterment in their pay structure and improvement in living standard but their dreams shattered and now they have been left with no option but to express their resent and seek justice.

The recommendations made by the 5th and 6th Pay Commissions for increase of 20% in pay of employees were enhanced by previous governments from 20% to 40%.  The present NDA Government has accepted the report in Toto (Hike of just 14.27 percent) without giving any respite to the employees.

In case of pensioners 7th Pay Commission has recommended complete parity of past pensioners with present retirees, which is beneficial for pre 2006 retirees but the government instead of accepting the recommendation has shelved it.  Similarly no decision has been taken about allowances and has been kept in abeyance by the government.

Since independence seven Pay Commissions have been constituted all by Congress or Congress led Governments.  NDA Government during the year 2003 was in power but refused to constitute 6th Pay Commission in spite of recommendation of 5th CPC to constitute 6th Pay Commission on 1st Jan, 2003 so that its recommendations could be implemented wef 1st Jan, 2006.  Now it was expected that present BJP led Government would grab the chance to better the working condition of the employees by improving the recommendations of the 7th CPC and will give at least 40% hike in the pay of its employee.

At present pay ratio between lowest and highest paid employee is 1:12 which will now be 1 to 13.8 widening the gap between lowest and highest paid employees.  Even fixation formulae of fitment factor of 2.57 is not same for all lower side it is same but for higher level it is between 2.62 to 2.81 thus more weightage has been given at higher level.

The government has accepted the recommendation to give uniform increment at the rate of 3% of the basic pay to all employees whereas at present it is between 3 to 4%.

In order to prune the strength of central government employees the cabinet has approved the recommendation to withhold annual increments of those employees who are not able to meet the benchmark either for MACP or regular promotion within first 20 years of service with option to leave service on similar terms and conditions as prescribed for voluntary retirement.   This is detrimental for the employees, the senior officers may get power to harass and intimidate their juniors compelling them to seek pre-mature voluntary retirement.

Some recommendations to discontinue with present benefits at the time of promotion and completion of certain years in particular cadre have been accepted by the government at the cost of affected employees.

In short Central Government Employees are frustrated and disappointed with the decision of the government not to make improvement in the recommendations which are worst in the history of Pay Commissions.  It is unfortunate that the employees, who were given 40% hike in their respective pay in past by previous governments has now been recommended only 14.27%.  This is unjust and humiliating for the beneficiaries.

Federation of Government Employees which includes Indian Railways, Civilian Employee of Ordnance Factories, Post and Telegraph etc has decided to go on strike wef 11th July , 2016 to express their resentment.  We support them and hope good sense will prevail and government of India will review the decision.


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