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Govt staff may get a 25% pay hike says Economic Times

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February 29th, 2008 · No Comments

In its News the Economic Times writes “Assuming that the Pay Commis-sion report is implemented by August this year (once it is submitted in March), the government will have to account for arrears with effect from January 1, 2006.

The pay hikes could also trigger revisions in pay scales for other sec-tors like school teachers and universities. The changes in pay scales of these categories will, however, not reflect in the Budget outlays as it would be provided through grants.

Add to this state governments’ li-ability, which will be about Rs 21,285 crore, roughly one and a half times the size of central government’s liability. While state govern-ments are not liable to adopt the recommendations, pressure will be on them to factor in similar increases for their employees.”

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