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7th Pay Commission Allowances: Govt likely to hike HRA

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New Delhi: The Union Cabinet may take up proposals on 7th pay commission allowances (including HRA) next week, Shiv Gopal Mishra, the convenor of National Joint Council of Action (NJCA), told NDTV.

Nearly 50 lakh central government employees could get revised allowances under 7th pay commission award, including HRA or house rent allowance, from July. The report, citing sources, also said that the Cabinet may decide on 7th pay commission allowances this month. The report also said that the government may approve higher HRA than recommended by the seventh pay commission.

The Ashok Lavasa committee, which examined the pay commission’s recommendations on allowances, submitted its report to the finance minister on April 27. An Empowered Committee of Secretaries was set up to screen the report and firm up proposals for the Cabinet.

The Reserve Bank has however flagged upside risks to inflation from disbursement of revised 7th pay commission allowances. ”

The government had last year accepted the recommendation of Justice AK Mathur-headed Seventh Pay Commission in respect of the hike in basic pay and pension. The Commission’s recommendations relating to allowances were referred to the Ashok Lavasa committee.

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