Revised HRA Allowances Recommended To Be Approved By The Cabinet – 7th CPC

Expected Hike HRA Allowances Recommended To Be Approved By The Cabinet – 7th CPC

Much awaited event for central government employees seems to scour. It is assumed that the central government employees can’t be left to feel disappointed with the final report of revised allowances recommended by the 7th Central Pay Commission that is going to be approved by the cabinet very soon.

Empowered Committee of Secretaries (E-CoS) is now to Scan 7th CPC recommendations report submitted by Lavasa Committee, placing before the Cabinet Approval.

7th-cpc-revised-hra-allowance-expected-hike-by-cabinet

Now moving to the most important point: One should know what exactly is the increment in his Salary and revised allowances, if government approves the revised/enhanced. Although it may differ due to effective date of revised allowance from 01.01.2016 or 01.08.2016 or the month after the approval of report of allowances committee, but at the same time the paramnews.com team has analyzed report of revised allowances recommended by the 7th Central Pay Commission alongwith demand of employees union and effective date of revised allowance.

The following bar graphs Table to show the allowances form a sizeable amount of the salary drawn by a government employee. The details of allowances recommended by 7th CPC, and as union’s demand and the difference between them.

The allowances form a sizeable amount of the salary drawn by a government employee as recommended by 7th CPC.

Pay Grade 7th  Minimum  Maximum  Recommended by 7th CPC
Band Pay CPC Pay Pay X Class City Y  Class City Z Class City
    Pay     24% 24% 16% 16% 9% 9%
    Matrix     Minimum  Maximum  Minimum  Maximum  Minimum  Maximum 
          HRA HRA HRA HRA HRA HRA
PB-1  1800 1 18000 56900 4320 13656 2880 9104 1620 5121
5200- 1900 2 19900 63200 4776 15168 3184 10112 1791 5688
20200 2000 3 21700 69100 5208 16584 3472 11056 1953 6219
2400 4 25500 81100 6120 19464 4080 12976 2295 7299
2800 5 29200 92300 7008 22152 4672 14768 2628 8307
PB-2  4200 6 35400 112400 8496 26976 5664 17984 3186 10116
9300- 4600 7 44900 142400 10776 34176 7184 22784 4041 12816
34800 4800 8 47600 151100 11424 36264 7616 24176 4284 13599
5400 9 53100 167800 12744 40272 8496 26848 4779 15102
PB-3  5400 10 56100 177500 13464 42600 8976 28400 5049 15975
15600- 6600 11 67700 208700 16248 50088 10832 33392 6093 18783
39100 7600 12 78800 209200 18912 50208 12608 33472 7092 18828
PB-4  8700 13 118500 214100 28440 51384 18960 34256 10665 19269
37400- 8900 13A 131100 216600 31464 51984 20976 34656 11799 19494
66700 10000 14 144200 218200 34608 52368 23072 34912 12978 19638
67000-79000 15 182200 224100 43728 53784 29152 35856 16398 20169
67000-79000 16 205400 224400 49296 53856 32864 35904 18486 20196
80000 17 225000 225000 54000 54000 36000 36000 20250 20250
90000 18 250000 250000 60000 60000 40000 40000 22500 22500

The allowances form a sizeable amount of the salary drawn by a government employee as union’s demand.

Pay Grade 7th  Minimum  Maximum  Union’s Demand
Band Pay CPC Pay Pay X Class City Y  Class City Z Class City
    Pay     30% 30% 20% 20% 10% 10%
    Matrix     Minimum  Maximum  Minimum  Maximum  Minimum  Maximum 
          HRA HRA HRA HRA HRA HRA
PB-1  1800 1 18000 56900 5400 17070 3600 11380 1800 5690
5200- 1900 2 19900 63200 5970 18960 3980 12640 1990 6320
20200 2000 3 21700 69100 6510 20730 4340 13820 2170 6910
2400 4 25500 81100 7650 24330 5100 16220 2550 8110
2800 5 29200 92300 8760 27690 5840 18460 2920 9230
PB-2  4200 6 35400 112400 10620 33720 7080 22480 3540 11240
9300- 4600 7 44900 142400 13470 42720 8980 28480 4490 14240
34800 4800 8 47600 151100 14280 45330 9520 30220 4760 15110
5400 9 53100 167800 15930 50340 10620 33560 5310 16780
PB-3  5400 10 56100 177500 16830 53250 11220 35500 5610 17750
15600- 6600 11 67700 208700 20310 62610 13540 41740 6770 20870
39100 7600 12 78800 209200 23640 62760 15760 41840 7880 20920
PB-4  8700 13 118500 214100 35550 64230 23700 42820 11850 21410
37400- 8900 13A 131100 216600 39330 64980 26220 43320 13110 21660
66700 10000 14 144200 218200 43260 65460 28840 43640 14420 21820
67000-79000 15 182200 224100 54660 67230 36440 44820 18220 22410
67000-79000 16 205400 224400 61620 67320 41080 44880 20540 22440
80000 17 225000 225000 67500 67500 45000 45000 22500 22500
90000 18 250000 250000 75000 75000 50000 50000 25000 25000

The difference of allowances between 7th CPC recommendations and union’s demand

Pay Grade 7th  Minimum  Maximum  Difference 
Band Pay CPC Pay Pay X Class City Y  Class City Z Class City
    Pay     30% 30% 20% 20% 10% 10%
    Matrix     Minimum  Maximum  Minimum  Maximum  Minimum  Maximum 
          HRA HRA HRA HRA HRA HRA
PB-1  1800 1 18000 56900 1080 3414 720 2276 180 569
5200- 1900 2 19900 63200 1194 3792 796 2528 199 632
20200 2000 3 21700 69100 1302 4146 868 2764 217 691
2400 4 25500 81100 1530 4866 1020 3244 255 811
2800 5 29200 92300 1752 5538 1168 3692 292 923
PB-2  4200 6 35400 112400 2124 6744 1416 4496 354 1124
9300- 4600 7 44900 142400 2694 8544 1796 5696 449 1424
34800 4800 8 47600 151100 2856 9066 1904 6044 476 1511
5400 9 53100 167800 3186 10068 2124 6712 531 1678
PB-3  5400 10 56100 177500 3366 10650 2244 7100 561 1775
15600- 6600 11 67700 208700 4062 12522 2708 8348 677 2087
39100 7600 12 78800 209200 4728 12552 3152 8368 788 2092
PB-4 8700 13 118500 214100 7110 12846 4740 8564 1185 2141
37400- 8900 13A 131100 216600 7866 12996 5244 8664 1311 2166
66700 10000 14 144200 218200 8652 13092 5768 8728 1442 2182
67000- 15 182200 224100 10932 13446 7288 8964 1822 2241
79000
75000- 16 205400 224400 12324 13464 8216 8976 2054 2244
79000
80000 17 225000 225000 13500 13500 9000 9000 2250 2250
90000 18 250000 250000 15000 15000 10000 10000 2500 2500

The committee on allowances headed by Finance Secretary Ashok Lavasa that was set up to review the recommendations of the Seventh Pay Commission is understood to have finalised its report. Now after review of empowered committee the report will be placed before the cabinet.

The 7th Pay Commission had earlier proposed the rate of House Rent Allowance (HRA) at 24 percent, 16 percent and 8 percent of the Basic Pay for Class X, Y and Z cities respectively.

The Commission had also recommended that the rate of HRA will be revised to 27 percent, 18 percent and 9 percent when DA crosses 50 percent, and further revised to 30 percent, 20 percent and 10 percent when DA crosses 100 percent.

The existing rates of HRA for Class X, Y and Z cities and towns are 30 percent, 20 percent and 10 percent of Basic pay (pay in the pay band plus grade pay).

Assumingly, if the Committee accepts the bare recommendations of A K Mathur-led 7th Pay Commission then the HRA component of central government employees will increase ranging between 106 percent and 122 percent.

Take, for instance, a central government employee at the very bottom of the pay scale, where the basic pay (pay of pay band + grade pay) is now Rs 7,000, would currently be entitled to an HRA of Rs 2,100 in a Class X city. As per 7th Pay Commission, the new entry level pay at this level is Rs 18,000 per month against which the new HRA for a Class X city would be Rs 4,320 per month, that is 106 percent more than the existing level.

Similarly, at the highest level of the pay scale, the Cabinet Secretary and officers of the same rank have a basic pay of Rs 90,000, which means they are entitled to current HRA of Rs 27,000 in Class X towns. After the revised pay scale, the new basic pay is Rs 2.5 lakh, for which the HRA would be Rs 60,000, meaning a hike of 122 percent.

At present, there are as many as 43 lakh central government employees and 53 lakh pensioners who are covered for perks and bonuses under the recommendations of 6th Pay Commission that will soon be replaced by 7th Pay Commission.

Source : Param News

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