Seventh Pay Commission If you are a central government employee, the central government may soon give you new good news. In fact, the salaries of central employees are paid under the recommendations of the Seventh Pay Commission, but a new formula for the salaries of central employees may be introduced soon. It is pertinent to note that former Finance Minister Arun Jaitley had said in July 2016 – “In order to increase the salaries of the employees, a new pay scale should come from the Pay Commission.” But according to sources, the finance ministry will no longer introduce a new pay commission for central employees but is working on a system under which employees’ salaries will be based on work performance. Salary will also be increased on the same basis as the employees have worked.

After the seventh pay commission, now it is difficult to get the eighth pay commission. The central government wants the salaries of 6.8 million central employees and 5.2 million pensioners to be automatically revised if the inflation allowance exceeds 50 per cent. The central government wants to set up an ‘automatic pay review system’. At the same time, the leaders of the employees’ union say that the rate of inflation is constantly increasing, in which case it will be very difficult for them to stick to the recommendations coming from the year 2016.

The then Finance Minister Arun Jaitley was in favor of raising the salaries of middle and lower class employees, but the new formula being considered by the central government suggests that the salaries of middle class employees should be significantly higher. There will be no increase. But the government’s move could be a boon for lower-class employees.