Punjab govt. notified the allowances of employees.

The Punjab government today notified that the allowances the employees would get with revised salaries following the implementation of the Fifth Pay Commission.

The Prinicipal Secretary, Finance, Karn Avtar Singh said that the revised salaries, with new allowances, will be effective from August 1 and the new salaries will be paid to employees by the end of this month.

The Fifth Pay Commission report regarding new pay scales was notified. But notification for the allowances was pending.
The government has decided to retain the old classification of cities, followed from 2003, for the payment of the house rent allowance. The revised HRA will be paid according to the old classification.

For employees residing in cities with a population of 50 lakh and above, the HRA will be 30 per cent of the basic pay, while for cities within the 5 lakh and 50 lakh range, it will be paid 20 per cent of the basic pay. For employees posted in Patiala and Bathinda, the HRA is 15 per cent. For those posted in cities with more than 50,000, but less than 5 lakh population, the HRA will be 12.5 per cent, and those in cities or towns less than 50,000 people, including villages, will get 10 per cent of pay as HRA.

The Principal Secretary further added that the notification on revised pension is expected to be issued tomorrow and effective from August 1 and the revised salaries as well as allowances will create an extra burden of Rs.250 crore per month for the government. The government is taking steps to meet this expenditure, said by him.

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