Karnataka 6th Pay Commission: 30% Hike Recommended

When the elections are upcoming, the governments often leave no stone un-turned to gain support.
Same appears to be the case with Karnataka, where the pay hike recommendation by the Karnataka 6th Pay Commission has been on the higher side.
As per the available  news, the state pay commission of Karnataka has recommended a steep 30% increase in the salaries of all state government employees as well as the pensioners.

Karnataka 6th Pay Commission Recommends 30% Salary Hike

The move is expected to benefit around 5.2 lakh Karnataka state government employees and another 5.73 lakh pensioners of Karnataka. Additionally, another large group of 73,000 associates who are working in various government-aided educational institutions and local establishments, along with several staff members who constitute the non-teaching staff of colleges and universities of the state, are also expected to reap the benefits of the recommended salary hike.

If accepted, the recommendations will upgrade the minimum pay which will then start from Rs. 17,000 and will go all the way up to Rs. 1,50,600 plus allowances as the maximum pay limit.

Similarly, the pensions are also expected to go upwards. The new minimum pension will be starting at Rs. 8,500, while the maximum pension fixed at Rs. 75,300 per month plus the usual dearness allowance. Family pension are expected to be at a maximum of Rs. 45,180 per month along with the dearness allowance which will be over and above the amount.

Headed by former IAS officer Mr. M.R. Srinivas Murthy, the commission arrived on the revised proposals for salaries and pensions by hiking the basic salary of each beneficiary employee by 30% on 1 July 2017, and bumping up the dearness allowance by a figure of 45.25%.

Pay Hike effective retrospectively from 1 July 2017

The pay hike recommendations suggest that changes be effected from July 1, 2017, which will mean that employees and pensioners can expected payment of arrears from the effective date.

While the recommendations of the pay commission will cost around Rs. 10,500 Crores worth of excess financial burden on the state exchequer each year, it will bring smiles to the all state employees who are on the beneficiary list.

Recommendations for the retirement age has been retained at 60 years, while the service period for VRS is recommended to be brought down to 10 years from the existing 15 years. The maximum payout in cases of death-cum-retirement gratuity is recommended to be increased from existing Rs. 10 Lakh to Rs. 20 Lakh.

With the state elections expected in April-May 2018, the state is gearing up for a great battle.