Cabinet approves setting up 15th Finance Commisison, wage policy for CPSEs
New Delhi: The Union Cabinet on Wednesday approved the Wage Policy for the 8th Round of Wage Negotiations for workmen in central public sector enterprises (CPSE) as well as setting up of the 15th Finance Commission.
Addressing the media after the cabinet meet in the capital, Finance Minister Arun Jaitley said “The Cabinet has approved Wage Policy for the 8th Round of Wage Negotiations for workmen in CPSEs.”
The management of the CPSEs would now be free to negotiate wage revision for workmen where the periodicity of wage settlement of five or ten years has expired on December 31, 2016, keeping in view the affordability and financial sustainability of the CPSEs concerned.
According to the policy, no budgetary support for wage increase shall be borne by the government. The entire implication will be borne by the respective CPSes from their internal resources.
The validity period of wage settlement would be for a minimum period of five years and ten years respectively for those who opted for either. These wages will come into effect from January 1.
The Finance minister also said that the Cabinet has approved the setting up of 15th Finance Commission. “The Terms of Reference for the Commission will be notified in due course of time,” he said.
Apart from this, the Cabinet has also revised the salaries, gratuity and pension, etc of the judges of the Supreme Court and the high courts upon the recommendations of the Seventh Pay Commission. “The proposed revision will increase the salary and allowances of 31 Supreme Court judges, 1079 high court judges and 2500 retired judges of the Supreme Court, high courts and Chief Justices. These salaries will come into effect from Janurary 1, 2016,” said Union Law Minister R S Prasad.
This approval will pave the way for necessary amendments in the two laws - Supreme Court Judges (Salaries and Conditions of Service) Act, 1958 and High Court Judges (Salaries and Conditions of Service) Act, 1954, which govern the salaries of the Chief Justice of India, judges of the Supreme Court and high courts.
