7th Pay Commission Pay Matrix Table for Central Govt Employees, Pensioners, Defence Personnel

Government employees directly coming under the purview of the 7th Pay Commission have placed their demands, varying from the common treatment of similar cadres or groups, a standard pay for entry-level employees, enhancement in the frequency of Career Progression, transparency in pay structure and the current grade pay and so on.

Latest Update on 7th Pay Commission

1. In a move that will benefit over 1.1 crore central government employees and pensioners, the Centre has hiked the Dearness Allowance by 3 per cent to 12 per cent. The previous DA hike was in August last year when the government had increased it to 9 per cent from 7 per cent.
2. Since the hike comes into effect retrospectively from January 1, the employees will also get arrear for the month of January. Now, the central government employees and pensioner will get Dearness Allowances at the rate of 12 per cent.
3. In a decision that will benefit thousands of academicians, Bihar CM Nitish Kumar has announced to give 7th pay commission salaries to madrassa teachers of the state.
4. The Ministry of Railways has also decided to constitute a Committee for the inclusion of fresh categories within the ambit of Risk and Hardship Allowance. The main function of the committee will be ‘To holistically examine the inclusion of fresh categories within the ambit of Risk and Hardship Allowance introduced by 7th CPC’.
5. To bring the uniformity in the retirement age, the ministry will be increasing the retirement age for the constable to commandant (senior superintendent of police) to 60 years from the present 57 years.
6. The 7th Pay Commission pay scale will increase by 16% for currently serving employees, while pensioners will witness a 23.63% rise in their income. The biggest rise, in particular, is the allowances, which will rise by approximately 63%. The 7th Pay Commission pay matrix is a simple table, easy to understand while being predictable and transparent in manner.

7th Pay Commission Pay Matrix

Central government employees received a hike on their pay scale from 6th to 7th CPC. The Government designed a pay matrix table to make the new pay scale accessible and understandable for the employees. This table containing the revised salary structure is known as the 7th pay commission matrix.
This new pay matrix is designed in a simplified manner so employees can easily comprehend the figures.

What is the 7th pay matrix?

Changes in the salary structure of central government employees are represented in a chart called 7th pay matrix. It denotes the minimum pay according to the 15th ILC norms. This single fitment table with 760 cells applies to more than 30 lakh central government employees. This two-dimensional table features a horizontal range numbered from 1 to 18. 
However, the vertical range represents 3.00% financial progression per year within each level. It also implies the “pay progression” within a particular level. The 19 columns in this table show the pay levels. However, the 40 rows represent every salary increments that an employee receives throughout the career up to 40 years.

What are the features and benefits of 7^th pay matrix?

Take a look at the advantages and features of the 7^th pay matrix:

• The 7^th pay commission played a crucial role in minimizing the differences between various pay bands.
• With this pay matrix fixation, revised pay has been simplified without any further need for calculation.
• It helps in merging pay bands and grade pay to a composite level.
• Issues with the differential entry pay have been resolved by 7^th CPC pay matrix.
• It helps avoid complications with regular promotion, annual progression, span of service, etc. 
• 7^th pay commission pay matrix helped in solving the PB-3 and PB-4 issues.
• It is more transparent compared to the existing system
• This pay matrix rectifies the challenges of pay progression and appears to be a powerful tool in bringing financial management reforms.
• It helps provide a clear and error-free view of the pay system of the Indian Government.
• It made the administration process streamlined.

What is the minimum pay according to the pay matrix?

Every Central Government employee is eligible for a minimum pay of Rs.18,000 per month. The cabinet has approved the recommendations to raise the minimum pay. The Central Government employees experienced a significant hike in their payouts.

What does the fitment factor represent?

The number multiplied equally by the matrix's basics in every row is called the fitment factor. The basic pay is calculated by the sum of grade pay and pay scale. In case of this 7^th Central Pay Commission (CPC), Central Government employees' current basic pay will get multiplied by new fitment factor. 

Resultantly, every Central Government retiree and employee's basic salary will be multiplied by a fitment factor of 2.57 for this pay commission. So, both pensioners and employees will get a pay hike of 2.57%.

What is the 7^th pay commission for pensioners?

As the minimum pay scale of Central Government employees has witnessed a substantial hike, the minimum pension will also increase. According to the Central Pay Commission, an employee's minimum wage increased from Rs.7000 per month to Rs.18,000 per month. As a result, the pension amount also increased by 2.57 times. So, a central government employee’s minimum pension increased from Rs.3,500 to Rs.9,000.

7th Pay Matrix Table

All of the above demands have been incorporated into the new 7th pay commission pay matrix. The grade pay has been taken into consideration and the levels are now rationalised. Government employees can now look up their current pay level and evaluate their current status as well as their growth potential over the years of their career. Procedures have also been made simple for the calculation of pension. Highlights of 7th Pay Commission

Highlights of 7th Pay Commission

• Minimum pay will begin at ₹18,000 
• Maximum recommended pay will be fixed at ₹2,25,000
• Apex positions such as cabinet secretary and others in the same level: Pay begins at ₹2,50,000
• The new system of Pay Matrix will replace the present system of Grade Pay and pay band.
• A factor of 2.57 will be applied uniformly to the existing pay of all the employees to arrive at the new pay scales.
• Annual increment rate will remain constant at 3%, as in the 6th Pay Commission

Insurance Coverage

Pension

• Revised pension for Civil and Defence Personnel including CAPF to bring about parity
• Method of computing the revised pension is also recommended
• A slab based system for disability element, for computing disability pension
• In case of death on duty, the rate amount of compensation to kins is to undergo revision
• Recommendations have been made for revision of NPS for the establishment of a redressal mechanism 

Gratuity

• Maximum Gratuity has been enhanced to ₹20 lakhs
• If Dearness Allowance raises by 50%, maximum gratuity shall be increased by 25%

Pay scale for Defence Personnel

According to the recommendations made in the 7th Pay Commission, the pay scale for Defence Personnel will be based upon the officer’s rank, area of posting, branch, and designation. The below table shows the detail pay structure:

Pay Scale for Central Government Employees

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