New Delhi: The income limit defining 'creamy layer' for OBC reservation was raised by Rs 2 lakh per annum even as the Union cabinet on Wednesday approved setting up of a panel for sub-categorisation within the other backward classes for even distribution of reservation benefits. The government also ruled out having a relook at the present reservation system.
Finance Minister Arun Jaitley told reporters here that the Union Cabinet was on Wednesday formally apprised of the decision to hike the limit for central government jobs. He said Prime Minister Narendra Modi had hinted in Assam recently that the bar defining creamy layer would be raised and the procedure of formally informing the cabinet about the decision was completed on Wednesday.
The ministry of social justice and empowerment had proposed that OBC families which earn more than Rs 8 lakh per year should be classified as 'creamy layer' — the ceiling which bars members of the other backward classes from availing reservations in employment.