Bhubaneswar: In good news for the state government employees, the Odisha Cabinet has given its nod to pay 50 percent of the outstanding arrear of 20 months in first installment. This means, the employees will get the calculative arrear of 10 months in addition with their hiked salaries in the month of November. Further, the government decided that the arrear of other 10 months will likely be paid to the employees in January or February, 2018.
The development came to fore after Chief Minister Naveen Patnaik on Tuesday announced the implementation of the 7th Pay Commission’s recommendations which would benefit over 4.5 lakh state government employees and 3.5 lakh pensioners.
The Chief Minister in an official statement said, my government has decided to implement the recommendations of the committee constituted for examination of 7th Central Pay Commission report and its adoption for State government employees. About 4.5 lakh serving State government employees and about 3.5 lakh retired State government employees will get enhanced emoluments and higher pension respectively.
The implementation would put an additional burden of Rs 4,500 crore on the state exchequer. If the State government follows the Central government pattern for implementing the hike, the overall salary will increase by 23 per cent.
Sources say that the government is working out on the arrears to be given to the employees and pensioners for 20 months. The period would be between January 2016 and August 2017. The arrears would come up to around Rs 7,000 crore.
The details of the revised pay matrix would be announced soon. The state is however contemplating implementing the same in line with the centre’s implementation of the 7th Pay Commission. This would mean that there would be a 14.5 per cent increase in the basic pay of each employee and the overall salary hike would be at 23 per cent.