Ahead of UTs, Centre’s bonanza for 4.5 lakh Govt employees

All left out Allowances under 7th CPC approved
Move to cost Rs 4800 cr annually

Sanjeev Pargal
JAMMU, Oct 22: Few days ahead of declaration of Jammu and Kashmir and Ladakh as Union Territories, the Central Government today announced major bonanza for 4.5 lakh State Government employees by approving all allowances under 7th Central Pay Commission to them from October 31, the day the UTs will come into effect, costing Rs 4800 crore annual financial implications.
“The allowances which have been extended to the State Government employees included Children Education Allowance, Hostel Allowance, Transport Allowance, Leave Travel Concession, Fixed Medical Allowance etc,” an official statement issued by the Union Ministry of Home Affairs (MHA), said.

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Though the Seventh Pay Commission was implemented in Jammu and Kashmir by the previous PDP-BJP Government in April, 2018, some of the Allowances to which the Central Government employees were entitled to, had been left out. All these Allowances have been approved in favour of Government employees of Jammu and Kashmir and Ladakh Union Territories with effect from October 31 when the State will be bifurcated and new UTs will come into effect.
The MHA statement said the grant of new Allowances to the employees of Jammu and Kashmir and Ladakh Union Territories, whose numbers is estimated around 4.5 lakh, will cost the Central Government an additional burden of Rs 4800 crore annually.
Of Rs 4800 crore, Hostel Allowance will cost Rs 1823 crore to the Government, Transport Allowance, Rs 1200 crore, Leave Travel Concession Rs 1000 crore, Children Education Allowance Rs 607 crore, Fixed Medical Allowance Rs 108 crore and Other Allowances Rs 62 crore.
“The Allowances will substantially benefit the Government employees of both Jammu and Kashmir and Ladakh Union Territories,” official sources said, adding that the Central Government employees were already getting these benefits but the State Government officers/officials had been deprived of them by the successive State Governments.
The MHA statement said Union Home Minister Amit Shah today approved the proposal for payment of all 7th Central Pay Commission Allowances to the Government employees of Union Territories of Jammu and Kashmir and Ladakh, which will come into existence from October 31 this year.
It said the decision will benefit 4.5 lakh Government employees who are working in the existing State of Jammu and Kashmir and will become employees of the two Union Territories.
The statement recalled that after the Parliament approved Jammu and Kashmir Reorganization Bill, 2019, Prime Minister Narendra Modi had addressed the nation on August 8 and announced that all financial facilities being given to the employees of other Union Territories as per the recommendations of Seventh Central Pay Commission, would soon be extended to the employees of Union Territories of Jammu and Kashmir and Ladakh.
The State Government employees had been asking for the Allowances, which were extended to them by the Centre today, for years together and had even resorted to agitations. However, the successive State Governments didn’t concede their demands. Even the previous PDP-BJP Government implemented the Seventh Pay Commission in April last year but without these Allowances.
The Central Government had on August 5 scrapped special Constitutional provisions of Jammu and Kashmir and bifurcated the State into two Union Territories of Jammu and Kashmir and Ladakh, which will come into effect from October 31.