Finance Minister T.M. Thomas Isaac said here on 
Saturday that the new wage structure for more than 5.5 lakh-odd government 
employees including teachers in the State would come into effect from April 1, 
2011.
    Inaugurating a seminar on “Development of 
Kerala and economic structure of the State “ organized by the NGO Association in 
connection with its 36th State conference, Dr. Isaac said that the Pay Revision 
Commission would submit the wage recommendations to the government in the first 
week of December. 
   The Finance Department would complete all formalities for the 
implementation of the new salary by the second week of January. Subsequently the 
Accountant General would look into the feasibility of these recommendations, he 
said.
  The government would take a final decision on 
the recommendations and announce the new wage scale in the third week of 
February. 
   Already the Finance Department had held talks with various 
organizations in this regard. The pay structure of the Central government 
employees and other public sector units would be referred. 
   There would also be a 
Cabinet sub committee to look into the issue, Dr. Isaac said.
   The Minister said that the government would 
provide maximum benefit to the employees but within the economic constraints of 
the State. Nearly 65 per cent of the existing dearness allowance (DA) from July 
1, 2004 to July 1, 2009 will be merged with the basic pay of the pay revision.
   (As of now the employees get a DA of 78 per 
cent of the basic pay. A 17 per cent announced by the Centre is also due to 
them. The new DA of pay revision would be determined by the Finance Department 
later).
The employees would get the arrears of revised 
salary from July 1, 2009. This was because the existing wage scale came into 
effect from July 1, 2004 and the salary structure could be renewed once in five 
years, Dr. Isaac said.

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