Government Implements 7th Pay Commission, Over 1 Crore Central Government Employees And Pensioners To Benefit

This step of government will bring a burden on GDP by 0.7%. High cash flow will raise demand of consumer goods like TV, Fridge, AC, Washing Machines

The date of implementation for the recommendations is January 1, 2016

‘7th Pay Commission will bring a "historic rise" in the salaries of government employees and pensioners’, he said. Salary and pension allowances will rise to 23.55% with this decision. Basic salary has been increased by 14.27%.

Jaitley said that 7th pay panel will bring historic salary rise. If your salary is Rs 7,000 then 125% dearness allowance(DA) will be added to this amount and we get a total 15,750. Now, this salary Rs15,750 would be revised to Rs18,000. So, Rs18,000 would be the minimum salary of employee working in any government sector

"Among the beneficiaries include 47 lakh government employees and 53 lakh pensioners. Out of this there will be 14 lakh serving defence personnel and 18 lakh pensioners among the defence personnel," Jaitley said

The recommendations will impact some 47 lakh employees in the central government and 52 lakh pensioners

Finance Minister Arun Jaitley also said that by and large the government has decided to accept the recommendations of the pay panel.

The decision was taken at a cabinet meeting chaired by Prime Minister Narendra Modi

7th Pay Commission will benefit over one crore central government employees and pensioners