8th Pay Commission: How much will the salary increase due to increase in family unit?
These days, curiosity about the 8th Pay Commission is at its peak among the central government employees across the country. Although the fitment factor remains the most discussed topic among the employees, but in the meantime a new twist has emerged. Now various employee organizations and economic experts say that merely increasing the fitment factor will not meet the real needs of the employees. He strongly believes that the ‘family unit’ used to determine the minimum salary of government employees should also be reviewed afresh. By doing this, the current family responsibilities and expenses can be properly included in the determination of salary.
What was the basis for determining salary in the 7th Pay Commission?
If we talk about the previous i.e. 7th Pay Commission, it had made 3.0 family unit its main basis for calculating the minimum salary. Under this old formula, the government employee himself was considered as 1.0 units, his spouse as 0.8 units, the first child as 0.6 units and the second child as 0.6 units. Thus, by adding all these, the total family unit number was fixed at 3.0 and the basic salary structure was prepared accordingly.
However, a major flaw in this old calculation was that it completely excluded the employee’s dependent parents and they were not given any units. In today’s modern and changing times, a large number of government employees single-handedly shoulder the responsibility of the entire financial and medical needs of their elderly parents, which cannot be ignored.
Big demand raised to increase family unit from 4.6 to 5.0
Citing the current social and economic conditions, many employee organizations have argued before the government that the time has come to change this system. Their demand is that the family unit should be increased from 3.0 to at least 4.6 to 5.0. Employees say that if this happens, the minimum wage will be determined on a very realistic and practical basis. Also, this will enable better and accurate assessment of the actual family needs of the employees. This change is being considered extremely necessary, especially keeping in mind the care of elderly and dependent parents, ever-increasing inflation, huge expenditure on health and medicines and the increasing budget on children’s higher education.
If the demand is met, what will be its impact on the salaries of the employees?
Now the question arises that if the 8th Pay Commission accepts the recommendation to increase this family unit in the future, what will be the result? According to experts, this will have a direct and major impact on the entire calculation of minimum wage. Apart from the fitment factor, the very basis of determining the basic salary will completely change, the bumper benefits of which can directly accrue to lakhs of central employees as well as the pensioners of the country.
However, employees should also keep in mind that till now no official announcement, confirmation or recommendation has been made by the Central Government or the 8th Pay Commission regarding increasing the family unit. At present, this is a strong demand raised entirely by employee organizations and market experts. It is hoped that in the coming time, when the commission will be formally constituted and work on its recommendations will begin, then this important topic can be seriously considered.
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