Mumbai, February 1: The Union Budget 2023 presented by Finance Minister Nirmala Sitharaman, which was expected to bring some good news for Central government employees under 7th pay commission failed to meet their expectations. Central government employees were expecting decisions regarding DA hike, release of DA arrears, Fitment Factor among others. However, Sitharaman made no announcement regarding the same.

A report by Money Control had said that 7th pay commission would be replaced by a new commission, however, Sitharaman made no announcements on the 8th pay commission. Since a long time, Central government employees have been demanding release of 18-month DA arrears and had high hopes on the Budget 2023. But, the government failed to give any update. 8th Pay Commission To Replace 7th Pay Commission? Finance Minister Nirmala Sitharaman Likely To Announce Decision in Union Budget 2023.

Besides, there were also reports stating that the Centre could take decision on the next DA hike. Central government employees under 7th CPC received a 4 percent DA hike in September 2022. Before that, they were receiving 34 percent DA hike which was raised by by 3 percent in March 2023. Unfortunately, the Narendra Modi government did not reveal any details on the same.

Meanwhile, a decision about Fitment Factor raise was also expected but reports state that the Centre could take a decision regarding the same after Budget 2023. The demand to raise fitment factor gained momentum after the DA was hiked to 38 percent. Central government employees want the Fitment Factor to be raised to 3.7 times from current 2.6 times. 7th Pay Commission Latest News Today: Centre Likely To Announce DA Hike After Release of AICPI Index Tomorrow, 3% Raise Expected.

In her budget speech, Nirmala Sitharaman said that there will no tax slab for people who have an annual income of up to Rs 7 lakh under the new tax regime. However, the finance minister said that there were no changes for those who continue with the old tax regime which provides tax exemptions and deductions on investments and expenses including HRA.

(The above story first appeared on LatestLY on Feb 01, 2023 03:20 PM IST. For more news and updates on politics, world, sports, entertainment and lifestyle, log on to our website latestly.com).