7th Pay Commition So there are two possibilities for calculating Fitment Formula

1. As per the Finance Minister Statment the increase will be 15 %

2. All the Fedrartion demanded for 40 to 60 % hike, but minimum 30 % increase is expected.

Accordingly The Fitment formula for the above two estimates are worked out below

Present DA = 119%
Expected DA from from January 2016 =6%
Total Da =125 %

DA has to be neutralised to arrive Revised Pay from 1.1.2016, if so Multiplication factor will be 2.25

If 30% increase is recommended-

The Fitment formula = 2.25 + (2.25×30/100)  = 2.92
Minimum Basic will be Rs.7000 x 2.92             =      Rs.20440

If 15% increase is recommended-

The Fitment formula = 2.25 + (2.25×15/100)   = 2.58
Minimum Basic will be Rs.7000 X 2.58            = Rs.18060

Minimum Pay to be recommended according to the above estimates by 7th Pay commission will be either Rs.20000 or Rs.18000

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