8th pay commission: Discussions have intensified about the preparation of the formation of 8th Central Pay Commission. There has been no major update at the official level in recent weeks, but it is believed that the government may soon announce the Commission. Meanwhile, it is necessary that we understand which employees of the last i.e. 7th Pay Commission (7th CPC) had abolished the staff facilities. In particular, those interest-free loans, which gave relief to millions of government employees at a time.
What used to be Interest-Free Advances?
Interest-Free Advance means the amount that the Central Government used to give for some special needs- for some special needs- for buying, treatment, festival, transfer, etc. without any interest. This system was going on till the 6th Pay Commission. But the 7th Pay Commission completely discontinued a total of 12 such advance schemes.
12 interest-free advance abolished by 7th Pay Commission
| Name | Money | Details |
| Cycle advance | ₹ 4500 |
Grade pay ≤ 2800; Recovery in maximum 30 installments |
| Hot clothes advance | ₹ 4500 |
For Group C personnel stationed at the hill station; Recovery in 12 installments |
|
Salary Advance on Transfer |
1 to 2 months salary |
On transfer in public interest; Recovery in 3 installments |
| Travel allowance (TA) Advance | as required |
Adjustment on traveling |
| TA advance to the family of late worker | 4 parts of estimated expenditure |
Rules like transfer/retirement |
| Ltc advance | Up to 90% of rent |
Eligible central employees |
| Holiday pay advance | 30 -day holiday pure salary |
Monthly pay adjustment |
| Advance of treatment | From ₹ 10,000 to ₹ 36,000 |
Cancer, TB etc. for serious diseases |
| Advance for festival | ₹ 4500 |
Grade pay 4800; Recovery in 10 installments |
| Advance on natural disaster | ₹ 7500 |
For non-gazetted employees; Recovery in 12 installments |
| Advance for hindi training | ₹ 450 |
For workers taking Hindi training from correspondence |
| Advance for court trial | ₹ 500 |
Recovery in maximum 24 installments |
What was the logic of the 7th Pay Commission?
Employees’ organizations had demanded that the amount of these interest-free loans be increased three times, but the Commission recommended to end it by terming it irrelevant. The report said, “Due to the ever increasing salary package, now these loans are no longer there. It is also administratively expensive to continue them, so they should be abolished.
Which advance is still going on?
The 7th Pay Commission recommended to continue only two advances. But these are given with interest, House Building Advance (HBA) and Advance for Personal Computer. For example, it is evident from the name that house building advance (HBA) is available to build or buy houses. At the same time, advance can be taken only once to buy personal computers.
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