7th Central Pay Commission Current Affairs - 2020

COVID-19: Maharashtra and Telangana Government announce major salary cuts

On March 31, 2020, the Maharashtra and Telangana State Governments announced major salary cuts.

Highlights

The Maharashtra Government had cut 60% of salary from the Chief Minister and other members of Legislative Assembly and Legislative Council and other representatives of the local governing bodies. The Class A and Class B employees of the government are to take 50% of cut. There will be no salary cuts for Class D employees that includes office assistants and peons. So far Maharashtra has reported 225 COVID-19 infected cases and 10 deaths.

Telangana

The state of Telangana had also announced such salary cuts. The Telangana Government is to cut 75% of salary from the Chief Minister, members of legislative assembly and state ministers.

7th Pay Commission

The Seventh Pay commission revised the salaries of State Government employees. It increased the pay of contractual employees by 10%. It is not necessary that all the state government employees will receive equal hikes under the revision being made by pay commission.

Ministry of Defence: One Day Salary to PM-CARES Fund; Rs 500 crore contribution

On March 29, 2020, Ministry of Defence approved the proposal to contribute one day salary of the employees to the PM-CARES fund. This will amount to Rs 500 crores.

Highlights

The salary will collectively include funds from Army, Air Force, Navy and other Defence PSUs. The contribution is voluntary and employees willing to opt out are to be exempted.

Legislation

The Army Act, 1950 allows to make such deductions from the salary of the army personnel. However, only authorized deductions are allowed. This is ruled under Section 25 of Army Act, 1950.

Currently, the defence Personnel are paid under the 7th Central Pay Commission.

Pay Commission

The Pay Commission is set up by the GoI. It recommends changes to the salary structure of Government Employees including Defence personnel. So far, 7 pay commissions have been set up in the Indian history since independence.

First Pay commission

The first pay commission was set up in 1947 under the leadership of Srinivasa Varadachariar. It was called the Post war pay committee. In 1947-48, the Indo-Pakistani war or the first Kashmir war was fought. The committee did not mention about pension benefits of the defence personnel. The pension of the defence forces were fixed by a separate committee called the “Armed Forces Pension Revision Committee” set up in 1949-50.