Multiplication Factor / Fitment Formula recommended by 7th Pay Commission
7th CPC recommended the Multiplication Factor proposed is 2.57
Fitment : The starting point for the first level of the matrix has been set at ?18,000. This corresponds to the starting pay of ?7,000, which is the beginning of PB-1 viz., ?5,200 + GP 1800, which prevailed on 01.01.2006, the date of implementation of the VI CPC recommendations.
Hence the starting point now proposed is 2.57 times of what was prevailing on 01.01.2006. This fitment factor of 2.57 is being proposed to be applied uniformly for all employees. It includes a factor of 2.25 on account of DA neutralisation, assuming that the rate of Dearness Allowance would be 125 percent at the time of implementation of the new pay. Accordingly, the actual raise/fitment being recommended is 14.29 percent.