OBC creamy layer cap raised to Rs. 8 lakh per annum

KalingaTV News Network

Arun JaitleyNew Delhi: In a major decision, the Union Government on Wednesday increased the income ceiling for the creamy layer of Other Backward Classes (OBC) category to Rs. 8 lakh per annum from the existing Rs.6 lakh in respect of reservation in educational institutions and government jobs.

Addressing a media conference in the national capital yesterday, Union Finance Minister Arun Jaitley said that OBC families earning up to Rs. 8 lakh per annum will not be includedred in the creamy layer.

There had been three revisions of the creamy layer bar in OBC. It was fixed at Rs one lakh in 1993 and hiked to Rs 2.5 lakh in 2004 and Rs 4.5 lakh in 2008. The current ceiling of Rs 6 lakh came into effect in 2013.

In another development, the Union Cabinet chaired by Prime Minister Narendra Modi approved a proposal to set up a Commission to examine the issue of sub-categorization of OBCs.

The Commission will work out the mechanism, criteria, norms and parameters, in a scientific approach, for sub-categorization within OBC. It will submit its report within 12 weeks from the date of appointment of the Chairperson of the Commission.

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