Usually, the central government announces the increase in DA for employees by Dussehra. Something similar is expected this time too. A DA increase of 3 percent is expected for the second half of the year.
7th pay commission: While the central employees are waiting for the Dearness Allowance (DA) for the second half of the year, on the other hand the Indian Railway Employees Federation (IREF) has demanded an increase in the Productivity Linked Bonus (PLB).
The federation has written a letter to the Railways requesting them to give revised bonus on the basis of the Seventh Pay Commission. IREF has argued that the Railways implemented the 7th Pay Commission recommendations on January 1, 2016, yet PLB is calculated and paid on the basis of the minimum wages prescribed by the 6th Pay Commission.
Who gets this bonus: Let us tell you that employees get this bonus every year before the festive season. Railways pays PLB, which is equivalent to 78 days’ pay, to all non-gazetted employees (Group C and Group D) as an incentive to increase productivity and ensure safety. PLB is calculated on the basis of minimum pay paid to employees in the lowest grade (Group D).
How much bonus do you get: In the 6th Pay Commission, the minimum salary for Group D employees was only Rs 7000, whereas in the 7th Pay Commission it was increased to Rs 18,000. According to the Railway Employees Federation, all Group C and Group D employees get only Rs 17,951 as bonus, which is calculated on the basis of minimum monthly salary of Rs 7000. Railway Employees Federation demands that as per the recommendations of the 7th Pay Commission, it should be increased to Rs 46,159 considering the minimum wage.
How many rupees spent: The financial impact of payment of 78 days’ bonus to railway employees is estimated to be Rs 1832.09 crore. The salary calculation limit prescribed for payment of PLB is Rs 7,000/- per month.
Waiting for Dearness Allowance: Let us tell you that the Central Government employees are waiting for the increase in Dearness Allowance i.e. DA. The central government can announce increase in DA till Dussehra. A DA increase of 3 percent is expected for the second half of the year. After this increase, employees will start getting 45 percent DA. Similarly, dearness relief or DR of pensioners is also expected to increase by 3 percent.
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