Prime Minister Dr. Manmohan Singh today approved the
constitution of the 7th Pay Commission, which is likely to impact at least 85
lakh central government employees and pensioners.
"Its (7th Pay Commission's) recommendations are
likely to be implemented with effect from January 1, 2016," Finance
Minister P. Chidambaram said in a statement.
The setting up of the Commission comes ahead of the
Assembly elections in five states this year and the general elections next
year.
The government constitutes Pay Commission every 10 years
to revise the pay scales of its employees and often these are adopted by states
after some modification.
The names of the chairperson and members, as well as the
terms of reference, of the Pay Commission will be finalised and announced
shortly, the Finance Minister added.
The recommendations of the sixth Pay Commission were
implemented from January 1, 2006; fifth from January 1, 1996, and fourth from
January 1, 1986.
There are at present around 50 lakh central government
employees and 35 lakh pensioners, who stand to benefit from the recommendations
from the Pay Commission.
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