‘Creamy layer’ cap for OBCs raised to ₹8 lakh

The Union cabinet increased on Wednesday the ‘creamy layer’ ceiling for the Other Backward Classes (OBC) category to ₹8 lakh per annum from the existing ₹6 lakh for central government jobs, finance minister Arun Jaitley said in New Delhi.

Briefing reporters on the decisions taken by the Union cabinet, he said those in the OBC category earning up to Rs 8 lakh per annum would now get the reservation benefits.

Responding to a question, Jaitley said a proposal to extend the decision to public sector undertakings was under “active consideration” of the government.

The government also approved the setting up of a commission to examine the sub-categorisation of backward communities in the central list to ensure that the benefits extended to OBCs reach all the communities, Jaitley said.

The minister said as many as 11 states, including Andhra Pradesh, Telangana, Jharkhand, West Bengal and the Jammu

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The Centre on Wednesday decided to take consolidation in the banking sector to the next level by setting up a ministerial panel led by finance minister Arun Jaitley to consider and oversee merger of 21 state-run banks.

Jaitley told reporters that merger proposals have to come from the board of banks and that decisions on them will be taken purely on commercial considerations. ››P17