Arun Jaitley Announces New Commission For Sub-categorization Within OBC Reservation Category

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Updated on 26 Aug, 2017 at 6:09 pm


Arun Jaitley, on Wednesday, declared setting up of a new commission that will evaluate further sub-categorization within the OBC with a purpose of distribution of reservation benefits more equitably. The commission set up under the Article 340 of the Constitution of India will submit its report within 12 weeks from the date when the appointment of its chairperson is made.

While addressing the media on the decisions taken by the cabinet of ministers, Finance Minister Arun Jaitley said that those in the OBC category earning up to Rs. 8 lakh can now avail the benefits of reservation. This means that the income limit defining the creamy layer has been raised by Rs. 2 lakh.

Fin Min Arun Jaitley announces setting up of a new commission for re-categorization of OBCs for reservation TheIndianExpress


The Times of India quotes the Finance Minister saying,

The proposal is that there will be sub-categorization within the OBC list for the purposes of central government employment. In this connection, the National Commission for Backward Classes had given its recommendation in 2011. With this, those in the broad category of OBCs who were till now devoid of benefits of reservation, will get the benefits. There will be more equitable distribution.


Jaitley said that 11 states of India have already implemented sub-categorization of OBCs. According to the press release by the government, the panel will analyze the extent of “inequitable distribution of benefits of reservation among the castes and communities included in the broad category of OBCs, with reference to the OBCs included in the Central list”.

The commission set up by the government will identify the respective castes/communities/ sub-castes in the central list of OBCs and divide them into their corresponding sub-categories.

The proposal of classifying OBC families that earn more than Rs. 8 lakh as “creamy layer”, the ceiling which prohibits the members of OBC category from availing reservations in government jobs had come from the ministry of social justice and empowerment. The government in its announcement ruled out amendments in the present system of reservations.