The Gujarat government on Friday, March 2, announced that all government employees and pensioners will receive arrears from the 7th Central Pay Commission this month onward.

The payment will be made in three monthly installments – alternate months — said Gujarat Deputy Chief Minister and Finance Minister Nitin Patel in the assembly. This will benefit about 4.65 lakh Gujarat government employees and over 4.12 lakh pensioners, setting the exchequer back by about Rs Rs 3,279 crore.

“As the seventh pay commission was implemented with retrospective effect, employees and pensioners are eligible for arrears. The arrears will be paid from March onward and in three installments every alternate months. Employees will get arrears for seven months and pensioners for nine. These benefits will go to 4.65 lakh employees and 4.12 lakh pensioners of the Gujarat government,” the Times of India quoted Patel as saying.

On Friday, the Odisha government also said that the recommendations of the 7th Central Pay Commission would be implemented in regards to employees and pensioners of public sector undertakings in the state.

Chief Minister Naveen Patnaik asked the department to revise salaries as per the recommendations of the seventh pay commission and this will come into effect from January 1, 2016, reported the Press Trust of India.

The state government had implemented the recommendations for government employees on August 29, 2017, but PSU employees were still waiting for the order.

The Central government had approved the recommendations of the Seventh Pay Commission in June 2016. The minimum pay was raised to Rs 18,000 a month from Rs 7,000. The employees had demanded a raise in minimum salary to Rs 26,000 and it was also said that the figures could be raised to Rs 21,000 per month. However, nothing was confirmed.

Source: IBT

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Bhubaneswar: The Odisha government Saturday (30-4-2016) hiked Dearness Allowance (DA) by 6 per cent, benefiting over 7 lakh state government employees and pensioners, which would cost the exchequer an additional Rs 676.90 crore annually.

The DA, which will benefit over four lakh Odisha government employees and three lakh pensioners, will go up from the existing 119 per cent to 125 per cent, which would come into force with retrospective effect from January 1, 2016

Dearness allowance is paid as a portion of basic pay of employees to neutralise the impact of inflation. Pensioners get dearness relief.

The state government revises DA twice in a year on the basis of one year average of retail inflation for industrial workers as per a pre-determined formula.

The DA was increased following approval by Chief Minister Naveen Patnaik, Odisha Finance Minister Pradip Amat said.

While total annual implication on enhancement of DA and DR comes to Rs 676.90 crore, the additional requirement of fund during 2016-17 towards the hike with effect from January 1, this year, including arrears, comes to Rs 789.72 crore, he said.

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