The committee formed to examine allowances for central Govt. employees may submit it's report to Finance Ministry on Monday, the 20th February 2017.
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"A year after implementation of the new pay- and pension-related recommendations of the Seventh Central Pay Commission (CPC), the government is likely to approve the revised allowances proposed by it for central government staff after the ongoing state elections are over, by March 15. The reworked allowances are likely to be effective from April 1 and at least in the case of the employees in metro cities, the house rent allowances (HRA) could be a little more generous than the CPC’s award, sources told FE.
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Report on allowances likely to be submitted on Monday
According to media report as published in Financial Express,"A year after implementation of the new pay- and pension-related recommendations of the Seventh Central Pay Commission (CPC), the government is likely to approve the revised allowances proposed by it for central government staff after the ongoing state elections are over, by March 15. The reworked allowances are likely to be effective from April 1 and at least in the case of the employees in metro cities, the house rent allowances (HRA) could be a little more generous than the CPC’s award, sources told FE.
Taking note of employees’ representations, a finance secretary-led panel is looking at HRA of 30% of basic pay for those in cities with a population of over 5 million, against 24% recommended by CPC, the sources said. In the Sixth CPC award period (2006-2015), HRA was 30% for these cities. A draft Cabinet note for implementation of the revised allowances would be circulated soon, the sources said. HRA accounts for about 60% of the total allowances bill."
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