Cabinet Approves Census 2027: Why This Matters for Central Govt Employees (Especially for Your HRA!)
The Union Cabinet has officially cleared the proposal to conduct Census 2027. While this is major news for the entire country, it holds specific, direct importance for Central Government Employees (CGEs).
Beyond the administrative duty that some of us might be drafted for, the Census data is the "trigger" for revising city classifications—which directly impacts your monthly salary through House Rent Allowance (HRA) and Transport Allowance (TPTA).
The News in Brief
- What: Census of India 2027 approved.
- Budget: ₹11,718.24 Crore.
- Timeline:
- Phase 1 (House Listing): April – September 2026.
- Phase 2 (Population Enumeration): February 2027.
- Key Change: This will be the first Digital Census, allowing self-enumeration via mobile apps.
Why Is This Important for You? (The HRA Connection)
As Central Government employees, our allowances are not static; they depend on where we are posted. The 7th Pay Commission (7th CPC) links the rate of HRA directly to the population of the city.
However, the government currently uses outdated population data (mostly from the 2011 Census) to classify cities. Many cities have grown explosively in the last 15 years but are still stuck in lower categories. Census 2027 will fix this.
1. How HRA Re-Classification Works
The Department of Expenditure (DoE) classifies cities into X, Y, and Z categories based on the Census population data.
| City Category | Population Criteria | Current HRA Rate (DA > 50%) |
|---|---|---|
| X Class | 50 Lakhs & above | 30% of Basic Pay |
| Y Class | 5 Lakhs to 50 Lakhs | 20% of Basic Pay |
| Z Class | Below 5 Lakhs | 10% of Basic Pay |
2. The "Upgrade" Scenario
Imagine you are posted in a city that had a population of 4.5 Lakhs in 2011. Currently, it is a 'Z' Class city, and you draw 10% HRA.
- The Change: By 2027, that city’s population has likely crossed the 5 Lakh mark.
- The Impact: Once Census 2027 data is published, the city will be upgraded to 'Y' Class.
- Your Benefit: Your HRA jumps from 10% to 20% instantly.
Enter your Basic Pay to see how much your salary will increase if your city is upgraded.
Current HRA Amount: -
New HRA After Upgrade: -
Total Monthly Salary Increase:
3. Real Life Example: Z vs Y Class Salary
To understand the real financial benefit, let’s look at a practical example for an employee on Pay Level 7 (Basic Pay ₹44,900).
| Component | Z Class City | Upgraded (Y Class) | Monthly Gain |
|---|---|---|---|
| Basic Pay | ₹44,900 | ₹44,900 | - |
| HRA Rate | 10% | 20% | +10% |
| HRA Amount | ₹4,490 | ₹8,980 | + ₹4,490 |
| Total Gain | ₹4,490 / month |
Other Key Takeaways for Employees
- Election/Census Duty & Honorarium: The PIB release mentions that 30 lakh field functionaries will be involved. These are generally government teachers and state government appointees, but Central Govt staff are often involved in coordination. The release confirms that suitable honorarium will be paid for this work.
- Digital & Easy: For the first time, you will have the option to self-enumerate electronically. This means less hassle when the enumerator comes to your door; you can file your data via a mobile app, similar to filing an ITR.
- Caste Enumeration: In a major policy shift, the Cabinet has also approved the electronic capture of Caste data during the second phase.
Conclusion
While the immediate news is about the administrative launch, the long-term impact for CGEs is financial. The last time Census data was updated, dozens of cities were upgraded, raising the salaries of employees posted there.
With the rapid urbanization of India between 2011 and 2027, we can expect a massive re-shuffling of city classifications once the final data is out.
Official Source
Read the full details in the official Press Information Bureau (PIB) Release:
Download / View Official PIB Release Link opens in a new tab on pib.gov.inAre you a Central Government Employee?
Don’t stay in the dark! Vital updates on Service Rules, Pension policies, and your career are happening right now.
Add as Preferred Source on Google
Follow us to ensure our latest exclusive reports appear first in your Google Search and Discover feed.
Comments
Post a Comment