A committee is currently examining the 7th CPC recommendations on allowances and it will submit its report soon: Finance Secretary

Finance Secretary Ashok Lavasa

The committee on allowances, which is looking into allowances, which was recommended by 7th Pay Commission, will soon submit its report, Union finance secretary Ashok Lavasa said during an interview.

“A committee headed by me is currently examining the Pay Commission’s recommendations on allowances and it will submit its report soon,” Lavasa said in the exclusive interview with The Economic Times.

The government constituted the committee in June, comprising finance secretary as Chairman and secretaries of Home Affairs, Defence, Health and Family Welfare, Personnel and Training, Posts and Chairman, Railway Board as Members to examine the 7th Pay Commission recommendations on allowances, other than dearness allowance.

• The committee has been asked to submit its report within four months but it’s ready to submit its report even two months in advance.
• Once the report is submitted, Finance Minister Arun Jaitley will take a call on hike in allowances, the sources in finance ministry said.
• Last year, the pay commission headed by Justice A K Mathur had recommended abolition of 51 allowances and subsuming 37 others after examining 196 allowances.

The representatives of the employees unions had earlier conveyed to the government that they did not want it to approve the 7th Pay Commission recommendations on allowances without examining them further. So, the Union Cabinet directed to set up committee on allowances.