Thursday, April 13, 2017


Report on allowance hike delayed by one more week, likely to be submitted by April 18
 In a major disappointment to more than 47 lack central government employees, the final report of the Ashok Lavasa committee will be announced only after another week of delay. The report, that is meant to revise the current allowances paid to all central government employees, will now be released only after 4-5 days.

Commissioned in June 2o16, the Ashok Lavasa committee was meant to come out with its recommendations by this week. The report will look into the abolition of 53 allowances along with the possibility of subsuming 36 further allowances, out of the 196 allowances under the seventh pay commission.

The committee is also looking at revising the rates of the existing allowances such as the House Rent Allowance. It has suggested that, depending on the city of residence, the HRA be paid at a rate of 24 per cent, 16 per cent and 8 per cent of the current basic pay.
One of the key reasons for the delay is thought to be the Reserve Bank of India’s warning that a hike in the allowances at this time would have a negative impact on the current state of inflation. During the latest bi-monthly monetary policy review, the Governor of the Reserve Bank of India, Urjit Patel had broached the subject and said, “In case the increase in house rent allowance as recommended by the 7th CPC is awarded, it will push up the baseline trajectory by an estimated 100-150 basis points over a period of 12-18 months, with this initial statistical impact on the CPI followed up by second-order effects.”


S.Lakshman Rao said...

When the sixth pay commission was with Revised HRA and Revised CCA,we have not found any adverse comments from the RBI.The reason now on enhancement pointed out by RBI has very little strength,at this point of time.

ganapathy ramesh said...

feel ashamed

Anil Srivastava said...

The allowances will never be paid. Government will come with all kind of excuses. A 30 thousand crore infusion raises inflation by 100 basis points in a 2 trillion economy. ? Whom you are trying to fool Mr Patel.

S.Lakshman Rao said...

Central Government is paying the monthly earnings through consolidated fund of India.Hence the commitment has got nothing to do with the conditions available with Negotiable Instrument Act.In addition,the matter relating to allowances is a lengthy list, and the applicable list has to be revised item wise, which is taking reasonable time...In the sense, RBI has got nothing to do with the topic posted, since the banking industry is less familiar withe term !!! Survival Point!!!...

Anonymous said...

All these are conspiracies and just to delay the enhancement of HRA.Govt is saving crores by not paying the enhanced hra.

Anonymous said...

Government is cheating central government employees. They have no excuses for rising the salary of MP and ministers irrespective of their education qualification.

Anonymous said...

I never believe Shiv Gopal Misra. He was earlier claiming that report will be submitted by that week.
Misra k paas koi authentic news nahi hoti.

Unknown said...

committee wale or govt officer milker skaramchariyo ko bevkuf to nahi bana rahe

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