NFIR demonsrates ₹32500/- pm as minimum pay as per Aykroyd formula. Demands pay revision

The National Federation of Indian Railwaymen (NFIR) has addressed Prime Minister Narendra Modi with a request for a reevaluation of the salary structure for central government employees. They emphasized that the recommendations of the 7th Central Pay Commission (CPC) were put into effect on January 1, 2016, setting the minimum wage at Rs 18,000 per month.

In a letter written by NFIR General Secretary M. Raghavaiah, it was pointed out that nearly eight years have transpired since the implementation of the revised pay structure. Yet, the Government of India has not taken any steps towards revising wages or establishing the 8th Central Pay Commission.

The NFIR drew attention to one of the 7th CPC's recommendations that suggested periodic reviews of the matrix, rather than waiting for a prolonged 10-year interval. They proposed utilizing the Aykroyd formula, which considers changes in the prices of essential goods in a common man's basket, as the basis for such revisions. The Labour Bureau in Shimla conducts periodic reviews in line with this formula.

The federation argued that there has been a significant increase in the prices of essential commodities, including food items, compared to 2016. This necessitates an upward adjustment of the minimum wage and a revised pay structure for all categories of central government employees.

As per the Dr. Aykroyd formula, taking into account the prices of various commodities, the minimum pay for central government employees as of July 1, 2023, should not be less than Rs 32,500 per month. Currently, even after factoring in a Dearness Allowance at 46% of the pay, the minimum wage of Rs 18,000 per month falls significantly short.

The NFIR earnestly requests the honorable Prime Minister of India to intervene and take action to revise the wage structure for central government employees, including an upward adjustment of the minimum pay, based on the specific recommendations of the 7th Central Pay Commission.