Karnataka Chief Minister D V Sadananda Gowda today announced acceptance of the recommendations on pay and allowances of a pay committee and said it would be given effect from April one benefiting about 5.5 lakh government employees.
Presenting the 2012-13 budget, he said the existing dearness allowances and installment due as on January one this year would be merged in the basic pay and pension along with 22.5 per cent increase, which would be inclusive of the interim relief sanctioned with effect from November one, 2011.
"The total additional outgo on account of pay and pension revision is estimated to be Rs 4,450 crore on a full year basis", Gowda said in the Legislative assembly.
According to official sources, the existing rates of increments have been doubled and minimum pay scale has been revised from Rs 4,800-Rs 7,275 to Rs 9,600-Rs 14,550 and that of maximum pay from Rs 28,275-Rs 39,900 to Rs 56,550-Rs 79,800.
For purposes of HRA, classification of cities/towns/other places have been reduced from six groups to four groups, and the minimum rate of HRA has been increased from six per cent to seven per cent.
The existing rates of CCA has been increase from Rs 80-Rs 300 to Rs 250-Rs 400 per month; the rate of medical allowance for group C ad D employees has been increased from Rs 50 per month to Rs 100 per month.
Minimum and maximum pension are to be Rs 4,800 per month and Rs 39,900 per month, respectively; minimum and maximum family pension are to be Rs 4,800 per month and Rs 23,940 per month, respectively.