Central government employees should not be allowed to earn annual increments if they fail to meet performance criteria.
The pay hike has been made effective from January 1, 2016.
The MSP was introduced to the services recognising their unique service conditions and hardships.
The judges' committee recommended a pay hike of Rs 2.8 lakh for SC judges, Rs 2.5 lakh for HC judges.
The setting up of the Commission, whose recommendations will benefit about 50 lakh (5 million) central government employees, including those in defence and railways, and about 30 lakh (3 million) pensioners, comes ahead of the Assembly elections in 5 states in November and the general elections next year.
The salary hike for government employees is likely to put an additional burden of Rs 24,000 crore on the state excheque.
Top carmakers, including Maruti Suzuki India, Hyundai and Honda, are expecting a spike in their sales following the implementation of 7th Pay Commission recommendations.
The government is likely to present a "run-of-the-mill" budget with an fiscal slippage to 3.7 per cent of the GDP in the next fiscal from an earlier target of 3.5 per cent, a Nomura report says.
The total salary and pension bill of the central government, which will also include Railway employees, will go up from estimated Rs 4.33 lakh crore to Rs 5.35 lakh crore during 2016-17
Room for rise of up to 2 percentage points, move to help meet higher expenditure need in FY17
The country's GDP grew at the fastest pace in seven quarters at 7.7 per cent in the January-March period, retaining the fastest growing major economy tag on robust performance by manufacturing and service sectors as well as good farm output.
With cash -- the primary medium of exchange -- all but disappearing, it is now unlikely that the expected fillip to demand on account of a good monsoon and proceeds from the Seventh Pay Commission payout will materialise.
India's GDP growth quickened to 7.4 per cent in the September.
Union Minister Arun Jaitley while releasing the document said BJP's manifesto is particularly aimed at improving the social infrastructure in Punjab, even as he slammed Congress for its policies which he alleged paved way for militancy in Punjab in 1980s and termed its 2002-2007 tenure in power as "most dishonest and corrupt".
India Inc on said the Seventh Pay Commission set up today for central government employees is likely to lead to additional burden on the exchequer and increase inflation by pushing demand.
Private consumption is looking up and will get better as the full effect of the good monsoon is felt on rural income, and the effect of the payout from the Seventh Pay Commission is felt on urban income, say Anis Chakravarty & Rishi Shah.
Punjab has over 400,000 employees and pensioners and about 125,000 staff members in its corporations and boards.
The agency said the move on liquidity will lead to an ease in the situation.
Government employees enjoy a pay revision every five years, unlike once in every 10 years for central government employees, and draw relatively higher salary.
'What is bank recapitalisation? When the rich take loans and do not return and the government returns that money to the banks.' 'What is restructuring 5:25 scheme? The government says don't return now, just tell us you will return after five years.' 'Why don't we apply these schemes to farmers?' 'I want to increase the power of farmers to blackmail the government as everyone in the country has the power to blackmail.'
According to the report, financial assets of the Indian households are predominantly in the form of bank deposits, followed by life insurance - a pattern that got disrupted after note ban
Parekh says drafting new I-T law is hindered by the lack of experience.
Rajasthan's teachers plan to teach Vasundhara Raje a lesson.
The state is now under pressure to revise the salaries of its 800,000 employees, which would add to the strain of an already debt-laden state exchequer.
The law was amended to bring parity between public and private sector employees (including PSUs) after the gratuity limit was raised for central government on similar lines
He cautioned people against forces inside and outside India which are working against the country by targeting it and its constitutional values.
Experts prefer domestic consumption-driven plays and defensives such as information technology and pharmaceuticals
The Covid pandemic has left a question mark on how the central government manages its staff.
Shah said a BJP government would protect and promote the cultural heritage and values of tribals.
Analysts expect the central bank to remain watchful of inflation.
The new pay scale will come into effect from January 1.
Strong festive demand in October helped carmakers register a seven-per cent volume growth in the domestic market, even as the largest player, Maruti Suzuki, reported low single-digit growth.
The recommendations will benefit 47 lakh central government employees and 52 lakh pensioners.
Lavasa will replace Rajan Watal, who retires on Saturday, even as the budgetary process is yet to be finally completed.
'Whatever happens in any part of the world affects us.'
Will the government now push to move away from what Mr Rajan has been doing in the last few years?
'He consulted widely, both formally and informally and acted quickly on pragmatic suggestions.' 'To his credit, Parrikar took the initiative to reduce excessive litigation against armed forces veterans and widow over small sums of pensionary and disability benefits,' points out says Brigadier Gurmeet Kanwal (retd).
''Even without major reforms, with a business as usual scenario, and with current inflation trends, we should be clocking around 11 to 12 per cent nominal growth.' 'That is not happening and is a source of worry,' Rathin Roy tells Arup Roychoudhury.
Suresh Prabhu is trapped in the 'rhetoric of his own government'.
Railway Minister Suresh Prabhu said Budget-making was guided by the Prime Minister's words of the government being there to protect the interests of the common man.
© 2026 Rediff.com - Investor Information - Advertise with us - Disclaimer - Privacy Policy - Sitemap - Feedback - About us - Terms of use - Grievances