Tuesday, June 23, 2015

Kerala pay commission likely to boost salary 13%

The Kerala Pay Revision Commission is likely to recommend Rs 16,000 as the minimum salary and Rs 1 lakh as the maximum for state government employees. Salaries will go up 13 per cent when the dearness allowance of 80 per cent is merged into it. There was a 12 per cent increase in the previous pay revision.
The previous pay commission had recommended a minimum salary of Rs 8,500 and a maximum of Rs 59,840.

The 10th pay commission, headed by Justice N. Ramachandran Nair, is also likely to include measures to increase efficiency in proportion to the pay rise. The commission may submit its report before June 30, when its term ends.
The commission will base its recommendations on the increase in everyday essential commodities and the Consumer Price Index in the last five years. The pay rise, however, will be limited by the budgetary allocation of Rs 6,000 crore. The state government budget was strained by Rs 3,000 crore with the previous pay revision.
The report is also expected to have a recommendation for providing medical insurance for government employees in association with public sector insurance companies, in place of the current system where the government is paying the bill.
The commission’s recommendations would affect employees of the state government and local self-government bodies, teachers in government and government-aided schools and colleges and university employees.
Kerala government is spending about 75 per cent of its revenue on salaries and pensions, on an average.

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