In an obvious pre-poll sop, the government has constituted the 7th Pay Commission to go into the salaries, allowances and pensions of about 80 lakh employees and pensioners. Its report is likely to be implemented w.e.f. January 1, 2016.
The Commission, whose recommendations will benefit about 50 lakh central government employees, including those in defence and railways, and about 30 lakh pensioners, comes just before the assembly elections in 5 states in November and the 2014 general elections next year. The government constitutes a Pay Commission almost every 10 years to revise the pay scales and most often, these are followed by the states too after some modification.
The names of the chairperson and members of the 7th Pay Commission and its terms of reference will be finalized shortly after consultation with major stakeholders.