7th Pay Commission Allowances – Financial Implications to Govt

7th Pay Commission Allowances – Modifications approved today were finalised by the E-CoS based on the recommendations of the CoA.

7th Pay Commission Allowances  – Modifications approved today were finalised by the E-CoS based on the recommendations of the CoA – Cabinet is estimated at ₹30748.23 crore per annum.

Modifications approved by the Cabinet

The modifications approved today were finalised by the E-CoS based on the recommendations of the CoA. The CoA had undertaken extensive stakeholder consultations before finalising its recommendations. It had interacted with Joint Consultative Machinery (Staff side) and representatives from various staff associations. Most of the modifications are on account of continuing requirement of some of the existing arrangements, administrative exigencies and to further the rationalization of the allowances structure.

Financial Implications

The modifications approved by the Government in the recommendations of the 7th CPC on allowances will lead to a modest increase of ₹1448.23 crore per annum over the projections made by the 7th CPC. The 7th CPC, in its Report, had projected the additional financial implication on allowances at ₹29,300 crore per annum. The combined additional financial implication on account of the 7th CPC recommendations along with the modifications approved by the Cabinet is estimated at ₹30748.23 crore per annum.

Checkout following link for detailed Cabinet decision on 7th Pay Commission Allowances

7th Pay Commission allowances approved by Cabinet – Official press release of Govt