7th Pay Commission | Rs.24,325-crore impact on railways

The Cabinet´s nod to the recommendations of the Seventh Pay Commission would create an impact of Rs.24,325 crore on the Indian Railways (IR) in the current financial year. The amount constitutes 45 per cent of the railways´ total wage bill of Rs.53,000 crore for the year. Based on the recommendations, total recurring burden on the government works out to Rs.72,800 crore, Finance Minister Arun Jaitley said. ´After including the arrears of Rs.12,000 crore for Jan-March 2015 period, this burden goes up to Rs.84,933 crore for 2016-17. This includes an impact of Rs.24,325 crore on the Railway Budget and Rs.60,000 crore on the general Budget,Jaitley said. IR´s net ordinary working expenses for the current year are Rs.1,23,560 crore. This includes an expenditure of Rs.6,622 crore on staff welfare and amenities.