What is Fitment Factor and buzz around its revision to 3.68

What is Fitment Factor?

Fitment factor is a methodology recommended by the pay commission for calculating revised pay after any revision from pre-revised. The revision of basic salary (basic Pay) by the specific multiplying factor is the Fitment Factor.

The Fitment Factor benefit is common for all groups of employees and pensioners in Central Government Services. It also helps in knowing the revised basic for CPSU employees. The 6th Pay Commission had recommended 1.86 as a fitment factor and the 7th pay commission is recommended 2.57.

How Fitment Factor was calculated for recommending revised pay by 7th CPC?

basic Pay as on 31.12.2015 (Last basic drawn Before Pay revision)            1.00

Dearness Allowance as on 31.12.2015 (125%)     1.25

Total (basic Pay + DA)    2.25

7th CPC recommended increasing 14.29 per cent on above Total (basic Pay + DA)    0.32

Fitment Factor  2.57

The minimum pay based on 6th CPC in PB-1 was Rs. Rs. 5200 + GP 1800=7000. After 7th cpc implementation minimum basic has become 7000*2.57= Approx Rs. 18000 using the fitment factor of 2.57

This fitment factor of 2.57 is was proposed to be applied uniformly for all employees.

Buzz around revised fitment factor to 3.68

Though central government employees are demanding to hike fitment factor to 3.68 based on current DA rates, there is no plan of government to hike fitment factor right now.

If the fitment factor gets raised from 2.57 times to 3.68 times. The minimum basic would be 26000 instead of Rs 18000.

7000*3.68= Approx Rs. 26000

But again all these are rumours as of now, Government would not like to have this extra burden as economy is still recovering from covid effects.

 

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