New Delhi, June 28
The Cabinet on Wednesday gave in-principle approval for Air India stake divestment, Finance Minister Arun Jaitley said here.
It also approved 7th Pay Commission recommendations on allowances of government employees with modifications.
“In-principle approval for Air India divestment has been given. The Civil Aviation Ministry's proposal for formation of a group under the chairmanship of the Finance Minister to decide the modalities of divestment process has also been accepted,” he said.
The Cabinet approved recommendations of 7th CPC on allowances with 34 modifications. The revised rates will be effective from July 1, 2017. It will benefit 34 lakh civilian employees and 14 lakh Defence forces personnel.
The CPC examined 197 allowances, recommending abolition of 53 allowances and subsuming 37 in others.
It recommended revised rates commensurate with Dearness Allowance. The CPC has projected additional financial implication at Rs 29,300 crore per annum. Modifications will have additional implication of Rs 1,448.23 crore.
Combined additional financial implication estimated at Rs 30,748.23 crore per annum. — Agencies
