The Union cabinet chaired by Prime Minister Narendra Modi on Wednesday approved a pay hike, which will result in a 22%-28% in their salaries. The pay revision is based on the recommendations of the 7th Pay Commission.

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The approved pay scales would be applicable from January 1, 2016. The annual central financial liability on account of this measure would be about Rs 9,800 crore.

With the pay revision, an assistant professor’s entry pay would jump by Rs 10,396 with a grade pay of Rs 6,000 while that of an associate professor will rise by Rs 24,000.

“The implementation of this pay revision will enhance the teachers’ pay in the range of Rs 10,400 and Rs 49,800 as against the existing entry pay due to the implementation of the 6th Central Pay Commission for the pay of teachers,” a government statement said.

Human resource development minister Prakash Javadekar said: “We want education to improve, to attract good people to the profession... This is not a gift, this is justice for those who are already serving”.

The decision will benefit 7.58 lakh teachers and equivalent academic staff in the 106 universities/colleges, which are funded by the University Grants Commission (UGC) or ministry of human resource development, 329 universities which are funded by state governments, and 12,912 government and private-aided colleges affiliated to state public universities, a government release said. In addition, it will also cover teachers of 119 centrally funded technical institutions such as IITs, IISc, IIMs, IISERs, IIITs, NITIE, among others.

The government had last year constituted a pay review committee, headed by UGC member VS Chauhan, which had submitted its recommendations earlier this year. Following this, the HRD ministry formed a committee to review the recommendations.