No merger of D.A. but seventh pay commission likely this year.According
to our sources in New Delhi, there is no chance of any merger of Dearness
Allowance with basic pay as demanded by the associations. But the Government is
considering the formation of seventh pay commission.The seventh CPC is
scheduled to be effective from 1.1.2016 and if it is formed this year, there
will be ample time to finalize it’s recommendations. Moreover, if it is not
effective from an earlier date, the Govt. will be free from any burden of
paying arrears, which may adversely effect the fiscal situation. Most
significantly, in the eve of general election, the Govt. may spread a “feel
good” situation among the employees without having to pay an extra penny from
the exchequer. In the other hand merging D.A. with basic pay will lead to a
considerable expense and as there is definite negative recommendation of sixth
CPC in this respect, Govt. can easily deny this demand. After formation of
seventh CPC, if the ruling party fails to come back in the corridors of power,
the entire liability will have to be borne by the new Govt. So, it’s a win win
situation of the ruling party and most likely, it will be announced in the
later half of the year.
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