HomeBUISNESS NEWS7th Pay Commission: Govt to decide on fitment factor this month? Salary...

7th Pay Commission: Govt to decide on fitment factor this month? Salary likely to increase by Rs 49,420, says reports | Personal Finance News


New Delhi: 7th Pay Commission — The Central government might take its decision upon revising the fitment factor that the employees union have been demanding, media reports have said. A long pressing demand of the central government employees unions has been to hike the fitment factor. The endless wait of central government employees who have been pressing for the demand raise the fitment factor from 2.57 times to 3.68 times.

7th Pay Commission: Here is the calculation after probable hike in fitment factor

As per reports in the media, the government can take a decision the fitment factor hike after next year’s Union Budget. If the government increases the fitment factor 3 times, then the salary of the employees excluding allowances will be 18,000 X 2.57 = Rs 46,260. At the same time, if the demands of the employees are accepted, then the salary will be 26000 X 3.68 = Rs 95,680. If the government accepts 3 times fitment factor, then the salary will be 21000 X 3 = Rs 63,000. (Also read: Invest Rs 200 per month to get Rs 36,000 pension yearly –Check calculation)

7th Pay Commission: Govt hikes DA by 4 percent to 38 percent

The Union Cabinet had on 28 September 2022, approved the release of additional instalment of Dearness Allowance and Dearness Relief @ 4 percent to Central Government employees and pensioners due from 01.07.2022 based on the percentage increase in 12 monthly average of All India Consumer Price Index for the period ending June, 2022.

The Central Government employees and pensioners will become entitled to higher amount of Dearness Allowance and Dearness Relief respectively, w.e.f. 01.07.2022.

The additional financial implications on account of this increase of Dearness Allowance to Central Government employees are estimated at Rs.6,591.36 crore per annum; and Rs.4,394.24 crore in the financial year 2022-23 (i.e. for a period of 8 months from July, 2022 to February, 2023).

The additional financial implications on account of this increase of Dearness Relief to pensioners are estimated at Rs.6,261.20 crore per annum; and Rs.4,174.12 crore in the financial year 2022-23 (i.e. for a period of 8 months from July, 2022 to February, 2023).

The combined impart on the exchequer on account of both Dearness Allowance and Dearness Relief would be of the order of Rs.12,852.56 crore per annum; and Rs.8,568.36 crore in the financial year 2022-23 (i.e. for a period of 8 months from July, 2022 to February, 2023).



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