Last Update: February 26, 2023, 09:09 IST
7th Pay Commission: The Common Fitment Factor is currently 2.57 percent.
The minimum pay for central government employees is expected to increase from Rs 18,000 to Rs 26,000 after the increase in fitment factor
7th Pay Commission: Central government employees are soon expected to get a good news related to their salaries as the Center is likely to revise the fitment factor in March. After the increase in fitment factor, the minimum pay for central government employees is expected to increase from Rs 18,000 to Rs 26,000.
According to recent media reports, the government is expected to revise the fitment factor and dearness allowance (DA) in March, after Holi (8 March). The normal fitment factor currently stands at 2.57 per cent. This means that if one gets a basic pay of Rs 15,500 in, say, 4200 grade pay, then his total pay will be Rs 15,500×2.57 or Rs 39,835. The 6th CPC recommended a fitment ratio of 1.86.
According to reports, the employees are now demanding the government to increase the fitment factor to 3.68. The hike will increase the minimum wage from Rs 18,000 at present to Rs 26,000.
Earlier, media reports also suggested that central government employees are also likely to get a hike in their Dearness Allowance (DA) in March 2023 under the 7th Pay Commission, which will be effective from January 1, 2023. The government may also increase the Dearness Relief (DR). For pensioners. Apart from this, the employees are also likely to get DA arrears of 18 months.
Dearness Allowance (DA) and Dearness Relief (DR) are revised twice a year, with effect from 1 January and 1 July. The last hike in September 2022, which benefitted around 48 lakh central government employees and 68 lakh pensioners, raised DA by 4 per cent. percent to 38 percent. Earlier, the government had increased DA by three per cent to 34 per cent in March under the Seventh Pay Commission.
In January, the finance ministry updated the House Rent Allowance (HRA) rules for central government employees under the 7th Pay Commission and said they will not be entitled to HRA in cases where:
(i) he/she shares the Government accommodation allotted to any other Government servant; Or
(ii) He/she lives in a residence allotted to his/her parent/son/daughter by the Central Government, State Government, an Autonomous Public Sector Undertaking or a Semi-Government Organization such as Municipality, Port Trust, Nationalized Banks, Life Insurance Corporation. of India, etc.; Or
(iii) his/her spouse has been allotted accommodation at the same station by the Central Government/State Government/Autonomous Public Sector Undertaking/Semi-Government Organization like Municipality, Port Trust etc., whether he/she resides in that accommodation or Lives separately in rented accommodation.
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