The 7th Central Pay Commission: Notes for UPSC

The 7th Pay Commission was formed by the UPA government on 28 February 2014. It was chaired by Justice Ashok Kumar Mathur and given a time period of 18 months to submit its report.

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Background of the 7th Pay Commission

The 7th Central Pay Commission (7 CPC), constituted in February 2014 to review the principles and structure of emoluments of all central government civilian employees including defence forces in India, submitted its report on 19 November 2015. CPC’s recommendations would affect the organization, rank structure, pay, allowances and pension, of 13,86,171 armed forces personnel.

Following the submission of the 7CPC report, the Chiefs of Staff of the Armed Forces in a submission to the Government stated that the recommendations of 7th CPC are anomalous, discriminatory, and at variance with historical parities. The anomalies identified by the armed forces are about the use of different principles, policy, and formula by the 7CPC for determining armed forces pay, allowances, level, rank equivalence, pension, and status in comparison with the civil services, including defence civilians, police and intelligence services. These anomalies they have argued affect morale, command and control, and cohesion.

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What is the pay matrix of the 7th Pay Commission?

The 7th Pay Commission pay matrix is a tabular representation of various pay levels in one single chart. The table enables government employees to view their current pay level and assess their current status and growth potential over the years of their careers.

What is the 7th CPC allowance?

The allowance varies across responsibilities. However, as per the 7th CPC allowance structure, the central government employees and pensioners will get dearness allowance at the rate of 21 per cent of basic pay from the earlier 17 percent of the basic pay with effect from January 1, 2020.

Does the 7th Pay Commission apply to pensioners?

The pension of an individual who retired prior to 1 January 2016 will be a part of the 7th Pay Commission matrix.

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