8th Pay Commission: The Union Cabinet on Thursday authorized setting up of the 8th Pay Commission to update pensioner benefits and salaries of central government employees.
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According to Union Minister Ashwini Vashno, Prime Minister Narendra Modi chaired a Cabinet meeting and decided to set up the eighth Pay Commission.
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Member of the 8th Remuneration Committee
The minister announced that two committee members and a chairperson will be appointed shortly.
The minister also said talks would be held with the federal government, state governments and other relevant parties.
What does the Central Pay Commission do?
The central government appoints a pay committee every ten years to update employee pay scales.
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Each remuneration committee reviews and updates the remuneration structure and has specific areas of focus, called terms of reference (ToR). They also determine pension payments.
The central government has over 4.9 million employees and nearly 6.5 million pensioners. The seventh remuneration committee was established in 2016 and will end its term in 2026.
Which central government employees receive salary commission?
According to the Seventh Pay Commission, all central government civil servants receiving salary from the Consolidated Fund of India (Government Revenue Account) are considered as central government employees.
Who does not fall under the jurisdiction of this committee?
Employees of autonomous bodies and public sector undertakings (PSUs) and gramin dak sevaks do not fall under the purview of the Seventh Pay Commission.
Compensation for PSU employees varies based on the projects they work on.
The 7th Remuneration Committee Salary Increase
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When it came to the pay revision of the 7th Pay Commission, the unions wanted to adopt a fitting coefficient of 3.68, but the government ultimately opted for a fitting value of 2.57. The renovation factor is a multiplier used to calculate wages and pensions.
As a result, the minimum basic salary was increased from Rs 7,000 per month under sixth wage commission to Rs 18,000 per month.
Additionally, the minimum pension was increased from Rs 3,500 to Rs 9,000.
The maximum pension has been increased to Rs 1,25,000 and the maximum salary to Rs 2,50,000.
Also read: 8th Pay Commission News: What are the expected salaries in central government? employee?
Source: https://dinhtienhoang.edu.vn
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