7th CPC: Who else is going to benefit from central govt employees' pay hike?
Zee Media Bureau
New Delhi: Many other professionals, other than central government employees are going to rejoice the salary hikes that are likely to be approved by Cabinet on Wednesday.
Your next-door real estate agent, car dealer and consumer durables seller are also seen gaining from the pay commission hike. According to reports, almost 3.4 crore individuals (employees and pensioners) will witness increase in their incomes, resulting in income generation for many other professional categories.
Real estate agent: Realty sector is expected to eventually succeed in shaking off the sluggish demand and witness spurt in the sale of houses in tier 1 and tier 2 cities as more than 80 percent of Central government employees lives in these cities
As a result of the foreseen demand, the Reserve Bank of India expects sharp, quick and continuous spurt in the housing index.
Car dealer: With implementation of the 7th CPC, your next door car or two wheeler dealer may rejoice too. The industry expects double digit increase in automobile sales especially two-wheeler, the mini and the compact hatch back segment.
Consumer durables seller: The increase in disposable income will no doubt boost the disposable income leading to increased demand for consumer durables goods like refrigerators, TV etc
Banker: Of course, peaking demand for automobiles, real estate and consumer durable will create demand for consumer loans. The consumer loans section of banks and NBFCs will vie to get the larger share of the indirect gain from the 7th CPC salary hike.
The scenario of crores of potential customers and falling interest rate will announce a win win situation for the banks and consumers both.