Launcher dosen't recognize java

[gallerdude]

Launcher Version: 3.1.1

Operating System: Windows 8

Java Version: Java 7

Antivirus Program:

Description of Problem:

According to the system:

'java' is not recognized as an internal or external command,

operable program or batch file.

Error Messages:

Error Log:

[Backplague]

Your PATH variable may not be set correctly. Google will tell how to add the Java bin to the PATH variable.

[Backplague]

AVG is knows to cause issues with the launcher. Try disabling it and trying again. If the problem persists, completely remove AVG, i have heard it can cause issues even though it is disabled.