7th Pay Commission latest news today: Union alleges this MASSIVE loss to government employees over allowance

7th Pay Commission latest news today: Allowance hikes, whenever government clears them, are very welcome as it means more money in government employees wallets, but in this case, when it is perceived as causing a massive loss, then there is a lot of disappointment. After the government cleared a house rent allowance (HRA) hike for employees that is based on 7th Pay Commission, the All Employees Union state general secretary Subhash Lamba has said that the allowance should have been implemented from 1st of January 2016 instead of 1st August 2019. The government's decision to implement 7th Pay Commission HRA from 1st of August 2019, would lead to a loss to the tune of around Rs 6808 cr, which was due in the form of 43-month arrears to the state government employees, it was averred.

Just a few days ago, the Haryana government announced it will provide house rent allowance (HRA) to its employees as per the recommendations of the 7th Pay Commission report from August 1, in order to extend relief to them. The latest Haryana government decision pleased around 3.5 lakh state employees who are to get increased HRA. The state government also stated that the decision would put an extra Rs 1,920 crore in the hands of the state employees.

However, Subhash Lamba's statement asking the state government to provide 7th Pay Commission HRA from 1st of January 2016 is likely to encourage the state employees to raise their demand on these lines. Since 43-month arrears to the state government employees would form a huge chunk of money, the employees would seek to get their HRA from the said date. 

According to Haryana Finance Minister Captain Abhimanyu, state government employees would get 8 per cent, 16 per cent and 24 per cent HRA of their basic salary, as per the population of the city and its category, and the same would be based on the 2011 census. Notably, the state government employees would get around Rs 1,900 to Rs 6,000 additional increment in their salary as per the latest decision of the state government following the 7th Pay Commission's recommendations. 

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Accordingly, Haryana cities with a population of 50 lakh and above are in X category, and the employees working in such cities would get 24 per cent HRA of their basic salary and minimum fixed HRA would be Rs 5,400. Similarly, cities with population between 5 lakh to 50 lakh have been put in Y category, therefore, the employees working there would get 16 per cent of their basic salary as HRA and their minimum fixed HRA is Rs 3,600. Notably, Tricity of Panchkula, Chandigarh and Mohali have been put in one unit and would come under Y zone category. The third category of Z would house the city with a population below 5 lakh where the employees would get 8 per cent HRA and the minimum amount fixed at Rs 1,800 per month.