New Delhi: The Cabinet today gave mandate to the 7th Pay Commission for revising salaries of over 50 lakh central government employees and remuneration of 30 lakh pensioners.
The move comes ahead of general elections due in April-May.
“The decision will result in the benefit of improved pay and allowances as well as rationalisation of the pay structure in case of Central Government employees and other employees included in the scope of the 7th Central Pay Commission (CPC),” an official statement said after the Cabinet meeting.
The Commission, it said, will make its recommendations within 18 months of the date of its constitution.
“It may consider, if necessary, sending interim reports on any of the matters as and when the recommendations are finalised,” said the release on CPC's term of reference.
Headed by former Supreme Court Judge Ashok Kumar Mathur, the CPC has been asked to “examine, review, evolve and recommend changes that are desirable and feasible” regarding the principles that should govern the emoluments structure including pay, allowances and other facilities or benefits.
The recommendations, as per the terms of reference, have to be made while keeping in view the economic conditions in the country, need for fiscal prudence and the need to ensure that adequate resources are available for developmental expenditures and welfare measures.