Getting closer to Diwali, government workers might get some good news with a pay scale recommendation put forth by the 8th Pay Commission. While there is no official word on this, it is being said that these changes might go in the favour of millions of government employees in India.
Increase in Basic Salary
The 8th Pay Commission is said to bring one of the biggest changes and that is the increase in the basic salary. It can go up to ₹ 20,000 which will be a great improvement in the earnings of the government employees. This raise could improve their standard of living, meaning that they can have more financial stability and comedown and improve the quality of life for them and their families.
Review of Allowances
Besides the increase in the basic salary, Pay Commission is also likely to review allowances in its entirety. This includes discussing an enhancement of Dearness Allowance (DA) in view of the growing rates of inflation. Other allowances could also be increased, and pension schemes for retired workers might be improved so that the overall package of benefits would be more attractive and less likely to change.
Structure of Pay Scale
The Commission wants to change the pay scale structure in order to make it more consistent with the job descriptions. This could result into a fair compensation system where remuneration is well connected with the duties that are done by the workers in the different positions and grades.
Anticipated HRA Hike
Besides the 8th Pay Commission recommendations, there is still another DA hiked on the way. The DA hike could be anything between 3% and 4%,” he added, expecting the new DA to be 54% from the existing 50%. This increase if approved will be effective from July 1 st and employees will receive their outstanding pay arrears hence improving their financial position.
Effects on the Employees’ Financial Life
A rise in the basic salary together with the adjustment in the allowances will surely boost the financial situation of the employees. The new changes outlined if put in place would improve the job satisfaction, living conditions of the employees and in the process make government jobs more attractive to new comers.
Pendings for the Official Announcements
It is crucial not to forget that all the changes introduced by the 8th Pay Commission are still pending review. The government has not made any official statement but it is expected to calculate the possible financial impact before giving any update.
Till now, employees all over India are having their fingers crossed for this Diwali gift that may open a new chapter in their financial life.
