Salaries In Government Jobs – Who Says Government Jobs Don’t Pay Well?


One of the most debated subjects with respect to government and private sector jobs is the pay scale. During the IT Boom, freshers were offered start up salaries equivalent to some senior posts in the government sector. This created a huge buzz among the freshers about the ‘low payscale’ offered in a Government Jobs For MSC. However, with the 6th pay commission, the whole approach towards the salary system for govt jobs in India has changed, making the government sector a preferred, more secure choice.

What is the Pay Commission?

The Pay Commission is an administrative mechanism set up by the Central Government to determine the wages of government employees. The first ever commission was set up in the year 1946. The primary objective of this commission is to provide employees with “living wages”. This was done to ensure that even the lowest rung of employees receive minimum wages.

The next pay commission came about in 1956. This commission questioned the overall recruitment and functioning of the government system. The plan was to restructure the payscale and to provide employment to those who have minimum qualification.  The third pay commission, constituted in 1970, was set up with the purpose of going beyond the living wage. This commission reported that the pay scale must be restructured in such a way that the post offered must be viewed as an attractive offer. The idea was to ensure that employees are satisfied with what they are being paid.

The fourth commission was set up in 1986. It was the fifth pay commission set up in 1996 that was actually a milestone in the government pay scale system. With the implementation of this pay commission, 3.3 million employees were given salary and allowance hikes. Besides the monetary changes, this commission also recommended a reduction in the number of pay scales and vacant posts. It was after this commission was implemented that the wage bill of the central government shot up to Rs. 435.68 billion at a 99 percent increase.

The Current Pay scale

The Sixth Pay Commission set up in the year 2006 is responsible for the current salary system. The comparison between the public and private sector was an important part of this report. It is because of the implementation of this report in 2009 that the salary of government jobshave not only matched but even surpassed the private sector.  The following are a few examples of the current salaries offered to fresh graduates:

  • NTPC:The annual salary of approximately 6 lacs
  • SAIL:The annual package offered here is 5 lacs
  • ISRO:The annual package offered if 4.5 lacs

These are just the figures for fresh graduates. The pay scale for employees of different cadres is higher than that offered by the private sector. So the next time someone says govt jobs  pays less, you can ask them to wait for the 7th pay commission which is currently under progress. This pay commission promises more opportunities and a much better pay scale for those aspiring to serve the government of India.