These 3 big announcements will be made soon for central employees, two will be of tremendous benefit!
7th Pay Commission Latest News: The new year 2023 is going to be special for the Central Staff (7th Pay Commission). From the beginning of this year, from January 1, employees will get the benefit of increased dearness allowance. In the budget to be presented on February 1, the government can make two announcements for the Central Staff (7th Pay Commission). Before this, the AICPI Index will be released on January, it will be clear that how much the dearness allowance of the employees will be increased this time.
The second announcement may be heavy on the pocket
Apart from this, two announcements are expected for the employees in the budget. The first announcement is expected to provide relief to the employees. Meanwhile, the second announcement can be heavy on the pocket. Both the announcements are likely to be for central employees and pensioners. This time the salary revision of Central Staff (7th Pay Commission) will be done through the fitment factor in the next pay commission. The government believes that there is no need for the next pay commission after the seventh pay commission.
salary increase every year
The salary of government employees should be increased every year instead of 10 years. This will give the lower level employees an opportunity to get the same salary as the higher ranking officers. Less than a year is left for the formation of the new Pay Commission. According to sources, the government can first bring a new formula for the revision of the salaries of the employees and it can be included in the budget.
What will be the new formula for increment?
At present, the Pay Commission for Central Personnel is constituted every 10 years. The Seventh Pay Commission was constituted in 2014. It changed the pay of the employees by increasing the basic pay based on the fitment factor. This was only found to benefit increased staffing levels. Lower level employees did not benefit as expected. It is expected that the government may take note of the formula given by late former finance minister Arun Jaitley.
Second big announcement for employees in the budget
The second big announcement in the budget could be the House Building Allowance (HBA) for central employees. At present, the rate of interest on advances given by the government for construction or repair of houses is 7.1%. At present, employees can take advance up to Rs 25 lakh, now this amount is expected to increase to Rs 30 lakh. Also, the interest rate can be increased from 7.1% to 7.5%.
Dearness allowance is expected to increase in the cabinet meeting to be held in March after the budget. Dearness allowance is expected to be increased by 3 percent to 41 percent this year. However, this increase will be applicable from January 1.