New Delhi, January 23: All eyes will be on February 1 when Union Finance Minister Nirmala Sitharaman will present the first full-fledged Budget of the Modi government 2.0. Central government employees, who have been demanding a raise in minimum pay recommended by the 7th Pay Commission or 7th CPC, will be keenly watched the Budget 2020. According to a report, the government may increase the minimum pay from current Rs 18,000, which was recommended by the 7th Pay Commission, and dearness allowance or DA. 7th Pay Commission: Gujarat Government Raises DA For Employees by 5% in Effect From July 2019, Six-Month Arrears to be Paid.

The Modi government may announce a hike of 4 percent in the DA of the central government employees, The Indian Express reported. If it happens, employees will see a raise between Rs 700 and Rs 10,000 in their salaries depending upon their paygrade. The report further stated that the minimum pay could be increased to Rs 26,000 from Rs 18,000 which was recommended by the 7th Pay Commission and implemented subsequently. Centre Considering 4% DA Hike For Government Employees, Announcement Likely in Budget 2020, Says Report.

The demand for minimum wage hike dates back to July 2016, when the Centre had implemented the 7th Pay Commission report submitted by Justice (retd) AK Mathur-led panel. The National Joint Council of Action (NJCA) - a conglomerate of major central trade unions - had led protests across the nation and even threatened an indefinite strike of all workforce including the Railways employees. The strike, however, was called off after the Centre assured to look into the grievances and anomalies related to allowances.

The Finance Ministry, while responding to a query in Lok Sabha in 2018, had said that it was not planning to revise the 7th Pay Commission recommendation. "No such proposal is under consideration of the government," then MoS, Finance, Pon Radhakrishnan had said.

(The above story first appeared on LatestLY on Jan 23, 2020 01:17 PM IST. For more news and updates on politics, world, sports, entertainment and lifestyle, log on to our website latestly.com).