Govt plan to 7 the pay commission recommend stions

Govt sets up panel on 7th Pay Commission’s recommendations

Government today decided to set up a high-powered panel headed by Cabinet Secretary P K Sinha to process the recommendations of the 7th Pay Commission which will have bearing on the remuneration of 47 lakh central government employees and 52 lakh pensioners.

The Cabinet has approved the setting up of Empowered Committee of Secretaries to process the recommendations of 7th Pay Commission in an overall perspective, Parliamentary Affairs Minister M Venkaiah Naidu told reporters here.

The implementation of the new pay scales is estimated to put an additional burden of Rs. 1.02 lakh crore on the exchequer in 2016-17. Subject to acceptance by the government, they will take effect from January 1, 2016.

The Empowered Committee of Secretaries will function as a Screening Committee to process the recommendations with regard to all relevant factors of the Commission in an expeditious detailed and holistic fashion, an official statement said.

Finance Minister Arun Jaitley had said earlier that he was not worried about fiscal deficit and government would be able to meet its target despite additional outgo on account of higher pay.

He had admitted however that the impact of implementing the recommendations, which will result in an additional annual burden of Rs. 1.02 lakh crore on exchequer, would last for two to three years.

Source : The Hindu Business Line

Who is a Central Government Employee?

Who is a Central Government Employee? - Definition given by 7th Central Pay Commission

Defining a Central Government Employee : The III CPC had attempted to define who is a Central Government employee. It stated that “All persons in the civil services of the Central Government or holding civil posts under that government and paid out of the Consolidated Fund of India.”

The Commission is in broad agreement with what has been stated in the III CPC Report.

For the purposes of its work, the Commission defines Central Government employees as all persons in the civil services of the Central Government or holding civil posts under that government and paid Salaries out of the Consolidated Fund of India. This however, does not include such persons appointed to serve Parliament or the Union Judiciary.

The Commission has obtained data regarding 33.02 lakh Central Government civil personnel, in Civil Ministries/Departments, Defence (Civilians), Posts and Railways5. The analysis includes 0.77 lakh personnel of Delhi Police, who are paid salaries from the Police grant of the Ministry of Home Affairs.

Views of Important Stakeholders on Central Government Personnel

The Commission has received representations/memoranda on issues that broadly involve the strength, deployment and expenditure on Central Government personnel.

Joint Consultative Machinery-Staff Side: On the size and nature of government, the JCM-Staff Side has made the following submissions to the Commission:

i. Majority of Central Government employees (88 percent) are either industrial or operational staff and therefore the contention that wage bill of the Central Government is for administrative purpose is ill conceived.

ii. Existence of a large array of personnel employed by the government through contract, pushing a major segment of government functions into informal sector.

iii. Expenditure on pay and allowances over the years as a percentage of revenue receipts and revenue expenditure has been falling.