how long Central Government employees have to wait to get minimum HRA hike

Date :11.5.2017.

7th Pay Commission Allowance news: For how long Central Government employees have to wait to get minimum HRA hike of Rs 4,320 per month?

The Finance Ministry in its statement had said, "After consideration by the E-CoS, the proposal for implementation of 7th CPC recommendations on higher allowances will be placed before the Cabinet for approval".

New Delhi, May 11: In next 15 days the Empowered Committee of Secretaries (E-CoS) is likely to submit its final proposal for approval to the Cabinet. Due to this Central Government employees have to wait at least for one more month for minimum HRA hike of Rs 4,320 per month. For last 18 months around 47 lakh central government employees are eagerly waiting for the arrears on allowances under 7th Pay Commission.

On April 27, a committee on allowance headed by Finance Secretary Ashok Lavasa had submitted its report to Finance Minister Arun Jaitley. After which the report is currently being examined by the Department of Expenditure.

After the report is completely examined, it will be placed before the Empowered Committee of Secretaries (E-CoS) set up to screen the 7th CPC recommendations and to firm up the proposal for approval of the Cabinet. Some reports suggest that in next two weeks the Empowered Committee is likely to firm up the proposal to the Cabinet.

The Finance Ministry in its statement had said, "After consideration by the E-CoS, the proposal for implementation of 7th CPC recommendations on higher allowances will be placed before the Cabinet for approval". 

On the other side, Lavasa Committee has suggested some modifications in some allowances after examining the 7th Pay Commission recommendations.

The Ashok Lavasa committee has reportedly given its view in favour of AK Mathur-led 7th Pay Commission recommendation, regarding a decrease in house rent allowance (HRA) by 2-6 per cent depending on type of cities.

Under the 7th Pay Commission, the rate of HRA proposed by AK Mathur is at 24 per cent, 16 per cent and 8 per cent of the Basic Pay for Class X, Y and Z cities. The AK Mathur committee had also recommended the rate of HRA to be revised at 27 per cent, 18 per cent and 9 per cent when Dearness Allowance crosses 50 per cent, and further revised to 30 per cent, 20 per cent and 10 per cent when DA crosses 100 per cent.

The existing rates of HRA for Class X, Y and Z cities including towns are 30 per cent, 20 per cent and 10 per cent of Basic Pay.