7th Pay Commission

The Honourable Finance Minister made announcement to constitute 7th CPC for Central Government employees. But till date there is no further ...
The Honourable Finance Minister made announcement to constitute 7th CPC for Central Government employees. But till date there is no further action to constitute the committee for 7th CPC. At present the following questions and doubts are raising among the members of our Association.


1. Who will be as chairperson and members of the committee..?
2. Multiplication factor in 7th CPC ?
3. Will ‘Grade Pay’ structure be continued ?
4. Percentage of Increment ?
5. ACP or MACP or what will be next..?
6. Rectification of anomalies arising in implementation of 6th CPC.
7. Rates of HRA & other allowances?
8. Expectations more on the calculation of Dearness allowance with AICPIN.
9. Weightage for promotion.
10. Additional Pension scheme.
11. Removal of stagnation.
12. Removal of intra cadre disparity in pay scale/grade pay by awarding same pay scale/grade pay to similar placed employees of all departments.
13. Removal of intra cadre and intra cadre disparity in promotions.
14.Introduction of time bound promotional scheme or in situ scheme in place of ACP/ MACP. 

FEW SUGGESTIONS ON THE COMPOSITION OF THE 7th PAY COMMISSION:

i) Commission should be headed by a Retired or serving Judge of the Supreme Court;

ii) One of the Members of the Commission should be from Indian Revenue Service.

iii) Commission should have an expert on Job Evaluation as member;

iv) It should be assisted by a Consultative Body of AG, Indian Revenue, Ex-Defence and Railway Personnel to project the special conditions prevailing there in – being the largest employers.

Further the Sixth Pay Commission in paragraph 2.5.8 of its report recommended introduction of a new performance based pecuniary benefit, over and above the regular salary, for the Central Government employees. The Government of India accepted the recommendations and decided that the detailed guidelines will be issued by the nodal ministry. Performance-Related incentive will be payable taking into account the performance of the organisation and employee during the period under consideration. It is based on the principle of differential reward for differential performance. Then, it had also suggested the introduction of performance related incentive scheme (PRIS) in the government under which employees would be given pecuniary remuneration over and above the pay, replacing the ad hoc bonus scheme. The cabinet secretariat has developed result framework document. It is required to be confirmed by 7th CPC again.

2. SUGGESTIONS ON THE TERMS OF REFERENCE OF THE 7th PAY COMMISSION:

i) To consider and determine Pay structure, Allowances, facilities, avenues of promotion, service conditions, periodicity & Date of effect of Wage revision of Central Government employees – considering the situation prevailing in the Central Public Sector Undertakings and Private/Corporate Sectors in the country.

ii) To Modernise and harmonise the functioning of the Central Government Organisations to excel in their performance and to be in command over the country’s overall economy and growth.

iii) To make the Government a model employer, through appropriate Pay Package for its employees through job evaluation – duly considering all related Factors – including the relative Job requirements/Difficulties, Qualifications, Training, Working Conditions, Duties, Responsibilities and Accountabilities etc. of various categories, to enhance the efficiency, productivity and economy of the organisations of the Government.

iv) To make recommendations on productivity linked incentive scheme based on the performance of each Branch/ Department of various organisations – with suitable bench marks, productivity index and other related parameters.

v) To recommend a comprehensive formula to link Allowances with pay and inflation.

vi) To recommend a realistic formula to compensate for the inflation and price rise.

vii) To consider the necessity and recommend quantum of Interim Relief till the time the recommendations of the Commission are made and accepted by the Government.

viii) To consider the anomalies created after the implementation of Sixth Central Pay Commission Report.

ix) To consider the unimplemented recommendations of 5th & 6th Pay Commissions.

x) To formulate the structure of pension, death-cum-retirement gratuity, family pension and other terminal or recurring benefits to the present and former Central Government employees appointed before and after January 1, 2004.

xi) To remove stagnation.

xii) To remove intra cadre disparity in pay scale/grade pay by awarding same pay scale/grade pay to similar placed employees of all departments.

xiii). To remove intra cadre and intra cadre disparity in promotions.

Xiv) To Introduce a time bound promotional scheme or in situ scheme in place of ACP/MACP to award at least 5 promotions to an individual in his entire service period.



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Postal RADAR: 7th Pay Commission
7th Pay Commission
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