7th cpc

There is a strong possibility that the government may refer the issue of One Rank One Pension (OROP) to the 7th Pay Commission, officials said even as deliberations between representatives of ex-servicemen and the government continued on Wednesday to sort out differences.

Economists discussion How the implementation of Seventh Pay commission for Government employees will boost the spending ability of Indian Middle class thereby boosting the economy. At the same time jump in compensation in one shot there is the fears of inflation rise and fiscal pressure for government.

The 7th Pay Commission is likely to raise the salaries of government employees by up to 40 per cent, said Neelkanth Mishra, India equity strategist of Credit Suisse. The Pay Commission will submit its recommendations in October and it will be implemented by next year.