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Cabinet Reviews Seventh Pay Commission; No Decision on Pay Hike Yet

Cm Siddaramaiah

Bengaluru: Chief Minister Siddaramaiah and his ministers deliberated on the Seventh Pay Commission’s recommendations on Thursday but refrained from deciding on their implementation.

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The commission, led by former chief secretary K Sudhakar Rao, submitted its report to Siddaramaiah on March 16, shortly before the announcement of the Lok Sabha elections. It recommended a 27.5% salary increase for government employees, which would add an estimated Rs 12,000 crore annually to the state’s expenditure. However, the report was not on the agenda of this second Cabinet meeting following the lifting of the Model Code of Conduct for the state elections.

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Sources indicate that the additional Rs 12,000 crore burden is a significant concern for the government, already spending nearly Rs 60,000 crore annually on five guarantee schemes. Some ministers opposed implementing the pay hike recommendation during the meeting.

A senior official pointed out that the tenure of the Sixth Pay Commission ended in July 2022, and the state government has yet to act on the new commission’s report submitted two years ago. “Our salaries are not on par with those of Union government employees, creating pressure from state employees and their unions,” the official said.

 

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