Gandhinagar: The Gujarat government on Wednesday announced a hefty hike ranging from 63 to 124 per cent for its employees drawing fixed salaries, putting an additional burden of Rs 1,300 crore on the state exchequer.
The new pay-scales, which have been revised as per the 7th Pay Commission recommendations, come into effect from February 1 and apply to new recruits also.
"The decision will benefit 1.18 lakh employees," Deputy Chief Minister Nitin Patel told reporters here.
The decision will revise salaries of Class II, III and IV employees by 90 per cent, 63 per cent and 124 per cent, respectively.
Patel said tht though these employees are drawing fixed pay, they will also be entitled to 10 per cent House Rent Allowance and other seniority benefits available to confirmed government staff.
The hike, which comes ahead of December 2017 assembly elections, follows a case in the Supreme Court that demanded absorption of fixed-pay employees as full-time employees of the Gujarat government.
There has been widespread resentment against the Gujarat government among fixed-pay employees ever since Narendra Modi introduced the system as Chief Minister in 2006.
The opposition Congress made it an issue against the Vijay Rupani government in the wake of charges of exploitation of fixed-pay employees who were paid paltry salaries though they were performing work of full-timers.