NDA Government has discontinued seven interest free advances, including
those for purchase of bicycle and warm clothing, in pursuance of
recommendations of the 7th Pay Commission.
Finance Ministry said bicycle advance, festival advance and natural calamity advance have been abolished.
Also, advance of pay on transfer, advance of leave salary, advance for
law suits as well as for training in Hindi through correspondence course
have been discontinued.
All interest free advances stand discontinued with the exception of
interest free advance for medical treatment, travelling allowance for
family of deceased, travelling allowance on tour or transfer and leave
travel concession (LTC), according to an office memorandum.
“The interest bearing advances relating to motor car advance and
motorcycle/scooter/moped advance will stand discontinued,” the
Expenditure Department said.
However, government staffers will be entitled for advance to buy personal computer for up to Rs. 50,000. This advance can be availed five times during the entire service period.
The government has implemented a 2.57-time hike in basic salary for 1
crore government employees and pensioners as per the 7th Pay Commission
recommendations. The pay hike has been made effective January 1, 2016.
The Pay Commission had recommended abolition of all interest free
advances, except four - advances for medical treatment, travel allowance
on tour/transfer, travel for family of deceased employees and LTC.
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