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History: Union Cabinet of India Central Government
History: Union Cabinet of India Central Government
employees. It was set up by the Central Government in 1965 and as an administrative committee to determine the salaries of central government employees. Six pay commissions have been set up till date.[1]
History
Since India's Independence, six pay commissions have been set up on a regular basis to review and make recommendations on the work and pay structure of all civil and military divisions of the Government of India.
The third pay commission set up in April 1970 gave its report in March 1973 i.e. it took almost 3 years to submit the report, and created proposals that cost the government Rs. 1.44 billion. The chairman was Raghubir Dayal. The third pay commission added three very important concepts of inclusiveness, comprehensibility, and adequacy for pay structure to be sound in nature.The third pay commission went beyond the idea of minimum subsistence that was adopted by the first pay commission.the commission report say that the true test which the government should adopt is to know weather the services are attractive and it retains the people it needs and if these persons are satisfied by that they are getting paid.
The World Bank criticized the Fifth Pay commission, stating that the Fifth Pay Commission as the 'single largest adverse shock' to the public finance of the nation. It also said that the number of employees of the government was 'not unduly' large, but there was a 'pronounced imbalance' in the skills. It noted that about 93% of the employees were of 3rd or 4th grade.
Controversy
Several government services, most notably the armed forces have complained bitterly of downgradation due to pay commissions exceeding their brief, and introducing anomalies in the relative scales of pay of government services. At present, the armed forces have represented to the government for the removal of anomalies which it is felt that the civil servants on the commission have deliberately introduced to upgrade themselves vis-a-vis service officers in the defence forces.
setting up a committee "forthwith appoint a committee of one or more persons to look into the matter" relating the salary of officers in the lower judiciary.[4]