Effect of 7 pay commission announcement

Though all the trade unions and its federations started adopting resolution on demanding the central government to constitute 7th pay commission in its annual conferences, the federations have no faith on central government would take up this demand seriously. As speculated by news media, there might be some political reasons involved in this decision. But the central government has to fulfill the commitment made by the Finance Minister on 25/9/2013 on the issue of setting up of 7th pay commission. Through this announcement the central government made all the 50 lakh central government employees and 30 lakh pensioners happy. But this is a win-win situation for both, the central government and its employees. Apart from the financial constraint, by announcing 7th pay commission the central government almost settled three core issues of trade unions indirectly. Settled in the term, it has been made that this demand would not be raised again.

1. Merger of 50 % Dearness Allowance with Basic Pay.

After the central government’s approval for setting up of seventh pay commission, this demand would be considered loses its merits. So it is feared that this demand may not be taken up by the government for consideration.

2. The long pending anomalies discussed in the National Anomaly Committee to be settled.

The National Anomaly Committee meeting may not take place anymore, as all the anomalies pending with national anomaly committee would be forwarded to 7th Pay Commission.

3. Strike Ballot on Demands declared by Railway and Defence Federations

After this announcement, the proposed strike ballot may be withdrawn and strike action if any called by federations will be considered as against the interest of central government employees and the nation.