7th Pay Commission: Allowances that do not exist anymore

The Finance Ministry has notified allowances revised by the 7th Central Pay Commission in the Gazette of India on July 6. The extensive list contains as many as 197 allowances that have been revised, abolished or subsumed in a larger category.

Here is the list of 6 unusual allowances that once existed as a separate entity, but now have been abolished or subsumed:

1. Toilet soap Allowance:

This allowance is granted to Group `B' and `C' combatised personnel of Assam Rifles at the rate of Rs 90 per month.  However, the Pay Commission recommended abolishing it as a separate allowance and included it in composite personal maintenance allowance. The government has accepted the recommendation.

2. Hutting Allowance:

In early days, when plague used to be a health calamity, the allowance was granted to railway employees living outside railway premises who, for the outbreak of plague in epidemic forms, were compelled to vacate their houses. They had to erect temporary huts on railway land or elsewhere. The rate of the allowance was Rs 100 per month. The pay panel recommended abolishing it, which the government accepted.

3. Clothing Allowance:

Under tax laws, an exemption has been granted for uniform allowance, which is granted to meet the expenditure incurred on purchase or maintenance of uniform for the performance of the duties of an office or employment of profit. However, this has been abolished as a separate allowance and subsumed in the newly proposed Dress Allowance.

Also Read: 7th Pay Commission: Employees to get up to 157% hike in HRA from July

4. Haircutting Allowance:

Sounds odd, but Central Industrial Security Force (CISF) personnel receive a haircutting allowance at the rate of Rs 5 per month, the lowest among 196 government allowances that prevail today. However, the panel recommended abolishing as a separate allowance and subsumed in Composite Personal Maintenance Allowance. The government has accepted the recommendation.

5. Caretaking Allowance:

Caretaking Allowance, at the rate of 10 per cent of Basic Pay, is paid to Group `C’ staff on the regular establishment in various ministries who are deployed for caretaking duties. However, the panel abolished as a separate allowance and subsumed under newly proposed “Extra Work Allowance”.

6. Acting Allowance:

An acting allowance shall be paid when a staff member is appointed to act in a higher position, and where this is recommended by the director of the unit (or the Deputy Executive Officer if the vacancy is in a director's post).  However, the panel abolished as a separate allowance and subsumed under newly proposed “Additional Post Allowance”.