7th Pay Commission: After final meeting, Committee on Allowances to submit report this week

Central government employees may soon get a good news regarding the 7th Pay Commission recommendations as the Committee on Allowances is likely to submit its report to the Finance Ministry this week. The Committee on Allowances, formed to look into the provision of higher allowances as the 7th Pay Commission, held a final meeting on Thursday. Though there is no clarity whether consensus were reached, but the Committee on Allowances is expected to submit its report to Finance Minister Arun Jaitley this week.

If media reports are to be believed, the Committee on Allowances, headed by Finance Secretary Ashik Lavasa, will submit its report to Finance Minister Arun Jaitley this week. A Finance Ministry official also confirmed the report, speaking to Bloomberg Quint. Once the Lavasa panel submits its report on higher allowances under the 7th Pay Commission, a cabinet note will be moved in this regard and the government is expected to approve it. Central Government employees have been eagerly awaiting the hike in allowances as per the 7th Pay Commission since last year. Also Read – 7th Pay Commission: As central government employees wait for HRA and higher allowances, RBI worried about inflation

In Thursday’s meeting, the Committee on Allowances was apprised of 14 existing allowances given by Department of Posts, Ministries of Railways and Defence. The panel had sought more information as these allowances were left out by the 7th Pay Commission. According to sources, the committee has taken a final view on these 14 existing allowances.

The 7th Pay Commission had recommended abolition of 51 allowances and subsuming 37 others out of 196 allowances, which triggered resentment among central government employees. To resolve the issue, the government has formed the Committee on Allowances in July last year to look into the provision of higher allowances other than dearness allowance under the 7th Pay Commission. The Committee on Allowances was initially given four months to submit its report. Later, this deadline was extended to February 22, 2017. The Lavasa panel is yet to submit its report to the Finance Ministry.