Himachal Pradesh Government Revises Pay Scales for About 14,000 Employees

The Himachal Pradesh government has announced changes to its civil services pay structure, a decision that will impact about 14,000 employees across 89 categories. The notification, issued on Saturday, introduces amendments to the HP Civil Services (Revised Pay) Second Amendment Rules 2025, which are set to reduce monthly salaries for many staff members.

Impact Of Omitting Section 7A

The latest change centres on the removal of Section 7A, which had been added on 3 January 2022. By removing this clause, the pay scales of affected employees will be re-fixed retrospectively from 1 January 2016. 

The adjustment is expected to result in a monthly reduction ranging between ₹5,000 and ₹15,000, hitting workers in the lower and middle salary brackets the hardest. The official notification clarified that pay will be recalculated “as if Section 7A was never inserted” and emphasised that “no recovery shall be made of any overpayment detected in the re-fixation of the pay.”

Employee Concerns And Reactions

As per news reports, the development has drawn strong reactions from employee bodies. Sanjeev Sharma of the Federation of Secretarial Employees Union said: “We discussed the issue in detail with other employees' outfits and decided to meet the chief minister, chief secretary and Principal Secretary (Finance) on Monday and plead for withdrawing the notification regarding the amended Rules.” 

He warned that a salary cut would destabilise many workers, noting: “Employees adjust their expenses, including school fees of children, loan instalments and other regular expenses as per the salary, and the drop in salary would shake the employee.”

Technical Implications of the Amendment

Under the earlier Section 7A, staff whose Pay Band or Grade Pay had not been re-revised after the 2009 Revised Pay Rules would have had their pay calculated by multiplying the basic pay as of 31 December 2015 by factor 2.59. With Section 7A removed, the factor applied will now be 2.25, a difference of 0.34, leading to proportionately lower basic pay after re-fixation. Importantly, this notification will not apply to employees of the central government or those covered by revised UGC pay scales.

Read More: 2% Hike in Karnataka’s Property Registration Fee: Impact on Bengaluru Homebuyers!

Conclusion

The revised pay rules mark a significant setback for thousands of Himachal Pradesh government employees, particularly in lower-income groups. While the government has ruled out any recovery of past overpayments, the reduction in current salaries has raised concerns about financial strain. Employee unions are now pressing for reconsideration of the amendment as they prepare to take up the issue with top state authorities.

Disclaimer: This blog has been written exclusively for educational purposes. The securities or companies mentioned are only examples and not recommendations. This does not constitute a personal recommendation or investment advice. It does not aim to influence any individual or entity to make investment decisions. Recipients should conduct their own research and assessments to form an independent opinion about investment decisions.

Investments in securities are subject to market risks. Read all related documents carefully before investing.