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6th Central Pay Commission salary calculator sixth pay commission revised salary calculator new joining ... pay calculator based on revised sixth pay commission scales · 6th pay commission calculator ...

http://www.scribd.com/doc/1856665/6th-Central-Pay-Commission-salary-calculator

Businessworld Government salaries already form 6 per cent of India’s GDP, and will rise further with the implementation of the 6th Pay Commission recommendations. The total increase for all states, the central government, the military, etc. could be nearly Rs 17,798 crore. This will certainly widen India’s fiscal deficit, which is already burdened with high oil subsidies and the Rs 71,600-crore farm loan waiver. Interest rates could face further pressure as the government looks to scrape together enough resources for the payout. Another area that could be hit is expenses on national infrastructure such as roads or ports, power grids. The additional strain comes at a time when payments towards farm loan waivers, fertiliser subsidies and revenue losses from inflation-fighting measures — a total of about Rs 70,000 crore — also strain the exchequer. On top of this, the burden of the oil and fertiliser bonds could create some destabilising pressures on bond yields. However it must be admitted that if the income per head of the Indian people is growing at something like 6 per cent a year, some increase in civil servants’ income beyond inflation is defensible. Without it, their incomes would fall behind the rest of the people. So we have the ritual of periodic pay commissions which, after long deliberations, make detailed recommendations stratified by the various caste distinctions within the government. The last pay commission submitted its report on 24 March. After deliberating on it for five months, the government announced its decision on the eve of Independence Day. The central government is just the first amongst equals; below it are 29 governments of states and union territories. State government finances are generally in a pitiable state. But the economic boom of the past five years, together with the fall in interest rates, had bolstered their revenue and repaired their budgets; they seemed to be on the way to financial prudence. Those dreams of fiscal soundness must be forgotten now. On the other hand Government employees do with salaries far below those in the private sector. In some cases, private-sector counterparts of top bureaucrats draw salaries up to 10 times higher. These inequalities make it difficult to retain good talent. The additional income for government employees will lead to higher consumer spends. In the long run, this will raise domestic demand, pumping money back into a weakened economy. In fact this is exactly what happened with the 5th Pay Commission way back in 1997. The government employees, who form a substantial proportion of the Indian middle-class, received the increased salaries with retrospective effect in lump sums. While this certainly damaged the fiscal balance of both the central and state governments, the government employees' money led to increased consumer spending, which helped boost the economy in the same year when first the Gowda government and later the Gujral government had fallen and the main sectors of the economy had not performed so well. So it needs to be seen what the government employees will do with their windfall; spend, save, or invest; and what impact will that have on the economy?

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