Karnataka set to implement 7th Pay Commission iin November 2023

The Karnataka state government is set to implement the recommendations of the 7th Pay Commission for state employees starting in November 2023. This announcement comes after the commission, constituted in November 2022, is expected to submit its recommendations next month.

Karnataka Home Minister G Parameshwara confirmed this development in a statement to the media, emphasizing that Chief Minister Siddaramaiah has assured that a decision on the implementation of the pay commission report will be made.

Pay Panel to Submit Report in November

Parameshwara also mentioned that the 7th Pay Commission has been instructed to submit its recommendations by November, signaling the government's commitment to addressing the concerns of state employees. He assured, "Government employees need not worry. It will be implemented."

Meanwhile, the Karnataka state government employees' association, led by President C. S Shadakshari, has urged the minister to expedite the implementation of the 7th Pay Commission's recommendations. They have also called for an increase in the dearness allowance by 23 percent.

Promise to Replace NPS with OPS

The Home Minister reiterated the state's commitment to scrapping the new pension scheme (NPS) and replacing it with the old pension scheme (OPS). To fulfill this promise, a committee has been constituted, and the government will base its decision on the committee's report.

Karnataka Arogya Sanjeevini Scheme

Addressing the state's healthcare concerns, Parameshwara announced the upcoming launch of the "Karnataka Arogya Sanjeevini" scheme. This initiative aims to provide free medical treatment for state government employees and their families, further enhancing their welfare.

Government Jobs Expansion

In a significant employment boost, the Home Minister pledged to fill 2.5 lakh vacant government positions in the state over the next five years. This initiative could help reduce unemployment and provide opportunities for many job seekers.

DA Hiked by 4% for Central Government Employees

In related news, on October 18, 2023, the Central government announced a 4 percent increase in the dearness allowance (DA) for its employees. The DA will now stand at 46 percent of the basic salary, with an additional bonus of 78 days' salary for non-gazetted railway staff.

Union Minister Anurag Thakur stated that this increase in dearness allowance and dearness relief (DR) will benefit 48.67 lakh central government employees and 67.95 lakh pensioners. The additional installment of DA and DR will be applicable from July 1, 2023.

Importance of DA and DR

DA and DR are provided bi-annually to compensate employees and pensioners for the rising cost of living. The combined financial impact on the government's exchequer, stemming from both DA and DR, is estimated at Rs 12,857 crore per annum.

This increase in DA and DR follows a similar pattern observed in March earlier this year and September last year when a 4 percent increase was implemented. The hikes are applied retroactively from January 1 and July 1, respectively.

The Karnataka government's commitment to implementing the 7th Pay Commission's recommendations and the Central government's decision to increase DA for its employees indicate significant steps taken to improve the financial well-being of government employees. These measures are likely to have a positive impact on the livelihoods of state and central government workers across the country.