With Seventh Central Pay Commission implemented in full force, several state governments are following suit to give their employees a pay hike. Maharashtra government is the latest addition in the list of states to implement Seventh Pay Commission awards for respective state government employees.
The Devendra Fadnavis-led Maharashtra government is set to implement the legislation during the monsoon session of the State Assembly which begins from July 24, reports said. As announced before, benefits under the 7th Pay Commission report will be put into effect from January 1, 2016 in the state.
Around 6.5 lakh state government employees in Madhya Pradesh will also received a pay hike of 14 per cent after the state government decided to implement 7th Pay Commission awards from January 1, 2016. Arrears will be paid to state government employees in three installments, with the first one being paid during 2018-19.
Several other state governments have also decided to extend 7th Pay Commission awards to their staff on lines of the recommendations by the Justice Ak Mathur-led pay panel. Uttarakhandbecame the first state to implement the Seventh Pay Commission recommendations in December 2016 even the country was reeling under demonetisation. The Harish Rawat-led government also decided to increase dearness allowance by 2 per cent.
Uttar Pradesh was next to take up the recommendations of 7th Pay Commission. The Jammu and Kashmir government has decided to implement the pay panel recommendations from April 2018, awarding a pay hike of 23.5 per cent to its staff and pensioners.
Following it was Haryana state government which announced that contractual employees like Anganwadi workers and data entry operators will also be covered under the revised pay package scheme. It was also reportedly the first state to revise pension according to the 7th Pay Commission recommendations. Next in line were Madhya Pradesh and Maharashtra state governments.
Meanwhile, Rajasthan state government is still waiting for its Pay Commission to submit its recommendations. The pay panel has asked for more time to furnish its report.
The Union Cabinet approved the recommendations of 7th Pay Commission pertaining to allowances on June 28, hiking all allowances except House Rent Allowance. Even then, central government employees will receive a bigger paycheck owing to the hike in basic pay put into effect by the 7th central Pay Commission.
Coming under pressure from central government employees over drastic chnages in the allowance structure under 7th Pay Commission, the Cabinet formed a Committee on Allowances under Finance Secretary Ashok Lavasa last year in June. The Committee was tasked to appraise the extensive changes suggested by the 7th Pay Commission.
The Lavasa Committee handed over its review report to the Finance Minister in April after consulting representations from various government departments. The report, post approval, was forwarded to Empowered Committee of Secretaries (E-CoS) for their consideration and consolidation who then handed it over to Finance Minister Arun Jaitley. It was later approved in presence of Prime Minister Narendra Modi.