Gujarat announces 124% wage hike for fixed-pay employees from Feb 1

Over 118,000 staff to benefit; hike to cost state Rs 1,300 cr

Salary
Salary
BS Reporter Ahmedabad
Last Updated : Jan 18 2017 | 7:48 PM IST
The Gujarat government on Wednesday announced hike in salaries of its fixed-pay employees in the range of 63-124% under the Seventh Pay Commission. Effective February 1, the move will benefit over 118,000 employees of various cadre and cost the state exchequer Rs 1,300 crore annually.

Announcing the decision, deputy chief minister of Gujarat, Nitin Patel said, "The state government has decided to hike salaries of fixed-pay employees from February this year. There are 118,738 government employees working as fixed-pay employees in various departments of Gujarat."

While class-1 and 2 employees' salaries will increase by 124%, class-3 employees will see a 90% rise, while class-4 will see 63%. The pay for employees in Rs 10,500 scale will be effectively revised upwards to Rs 16,224 a month. Similarly, the salary of those in Rs 11,500 per month scale will be hiked to Rs 19,950, while those in the scale of Rs 16,500 and Rs 17,500 a monthly move up to Rs 31,340 and Rs 38,090, respectively.

Also, as against previous hikes that were applicable to employees with minimum five-year work record, the latest hike will embrace even recent inductees. Apart from the hike in basic pay, employees will get a 10% rise in medical allowances, conveyance and HRA benefits.
 
Earlier, the Supreme Court had criticised the Gujarat government for not paying salaries to the fixed-pay employees according to the rules.

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