8th Pay Commission: Lakhs of central employees and pensioners are eagerly waiting for the notification of the Eighth Pay Commission. Every Pay Commission not only changes the basic salary, but also reviews the allowances and improves them on a large scale. This is the reason why this time the question is most discussed among the employees, whether the existing allowances will be abolished, and how much the salary will increase.
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What was learned from the Seventh Pay Commission
According to a report by Financial Express, about 196 types of allowances were reviewed in the Seventh Pay Commission. Many of these allowances were similar, or their use was very limited. The commission had recommended the complete abolition of 52 allowances, while 36 allowances were merged with other allowances. After this, the government removed many allowances and implemented some with new rules and names. This process made it clear that the government’s goal was to simplify the allowances and make the salary structure more logical.
What will be the focus of the Eighth Pay Commission?
Experts say that in the Eighth Pay Commission, too, the government can focus on reducing the number of allowances. This time, the commission’s trend can be towards fewer allowances and more transparency. Due to digitalization and the modern administrative system, many old allowances have now lost their relevance. In such a situation, the government can abolish them and make the salary structure simple and easy to understand by combining allowances with a similar purpose.
Which allowances can be cut?
It is believed that small-level regional allowance, typing/clerical allowance, some departmental allowances, special duty allowance, and travel allowance can be abolished. However, no official announcement has been made in this regard yet. Experts believe that this time too, the government will try to keep the salary structure logical and balanced.
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Impact on employees and pensioners
Even if some allowances are reduced, it will not mean that the earnings of the employees will decrease. Usually, the government makes such a balance that the basic pay and dearness allowance i.e., DA, are increased. This not only keeps the income of the employees stable, but also has a positive impact on the pension because the pension is calculated on the basis of basic pay and DA, and not on the basis of different allowances.