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Finance Ministry counters pay hike recommendation by Pay Commission (Economy)

Published on Oct 18 2008 // Main News

Thimphu, October 18: Finance Ministry Friday submitted a report to Prime Minister on revising the pay scale of the government employees, which is against the recommendation made by Pay Commission.

Pay commission had proposed a lofty increase for senior government officials and the member of the cabinet. However, the new proposal by the ministry has reverse provisions.

The pay commission had recommended for 40 percent hike for lowest ranking officials while the range reached as high as 140 percent for PM.

The ministry has divided government employees into 17 categories and recommended hike accordingly.

The pay hike is likely to increase the inflation by over 20 percent, which indirectly will hamper the commoner and private sector employees. As the consumption increase, trade balance with India will also face negation, directly hitting the nation’s rupee note reserve. Bhutan News Service

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