Pay Commissions are necessary to reduce the disparity between salaries of central and state govt employees and those working in private firms. A major part of the population would say that govt employees don't deserve a pay hike as they are corrupt and don't work. How then has the country developed to what it is today? It could have been better, I agree. But it would be incorrect to put everyone in the same bracket. A tremondous amount of good work has been done despite hinderancs and procedural impediments.
What needs to be addressed,therefore, are the delay-causing, corruption-breeding systems and procedures existing in govt offices and not whether govt employees deserve a pay hike or not. And to do that well qualified, motivated and competent persons are required, who would enroll for govt jobs only if the pay packet is satisfactory. How many such persons opt for govt jobs today, given their pay structures, which is in gross disparity with corporate salaries. Its quite simple, pay better, attract better talent, and you get all round improvement. The equation is quite simple and straightforward, really. Don't worry, the economy will be able to take it.