New Delhi, Jan 25: The central government employees placed below the pay matrix level 5 will be provided "just and fair compensation" from April, a top Finance Ministry official was reported as saying.

The pay hike would replace the incumbent fitment formula used for salary calculation of lower-level employees, the official further claimed. "This will be put into the Gazette in next financial year and will be implemented from April, 2018," he was quoted as saying by The Sen Times.

What the 7th Pay Commission had recommended

- The pay panel report prepared by Justice (retd) A K Mathur had recommended a salary hike using the 2.57 fitment factor.

- The minimum salary, thereby, was increased from Rs 7,000 to Rs 18,000. The maximum pay jumped from Rs 90,000 to Rs 2.5 lakh.

- The ratio of maximum-minimum salary was raised to 1:14, as against the 1:12 maintained by the 6th Pay Commission.

Objections raised against 7th Pay Commission

- The National Joint Council of Action (NJCA), a joint body of central government unions, demanded revision of pay hike for lower-level employees using the fitment factor of 3.68.

- As per their demands, the minimum salary should be raised from Rs 18,000 to Rs 26,000.

- NJCA chief Shiv Gopal Mishra had threatened an all-India strike of central government employees in July, 2016. However, the strike was deferred indefinitely after the Centre formed a high-level committee under the chairmanship of Finance Secretary Ashok Lavasa to address their issues.

Negotiations are underway between the government and NJCA representatives seeking an upgrade of the minimum pay for grade D staff.

(The above story first appeared on LatestLY on Jan 25, 2018 07:11 PM IST. For more news and updates on politics, world, sports, entertainment and lifestyle, log on to our website latestly.com).