7th Pay Commission: Why government not to implement higher allowances?

7th Pay Commission: Why government not to implement higher allowances?

New Delhi: Despite all that has been said about the higher allowances under the 7th Pay Commission recommendations, an important issue for central government employees has now been strangely absent from the government agenda.

First, the Finance Minister Arun Jaitley had claimed it must implement after four months of the basic pay hike but it failed to come true.

More than 14 to 15 months have passed since the 7th pay commission report was submitted and seven months have elapsed since the union cabinet approved the 7th Pay Commission recommendations for salary hike of central government employees, but the they are still awaiting the higher allowances.

The government has given higher basic pay in August 2016 with arrears, effective from January 1, 2016 to its employees on the recommendations of the 7th pay commission but the hike in allowances other than dearness allowance referred to the ‘Committee on Allowances’ headed by the Finance Secretary Ashok Lavasa for examination as the pay commission had recommended of abolishing 51 allowances and subsuming 37 others out of 196 allowances.

Accordingly, existing allowances are now paid to the central government employees according to the 6th Pay Commission recommendations until issuing of higher allowances notification.

Finance Secretary Ashok Lavasa said in October 2016, “We are ready to submit our report, when the Finance Minister Arun Jaitley calls up.”

But the government gave extension to the committee up to February 22, 2017 on the pretext of demonetisation and the government said that the cash crunch was the reason behind the delay in announcing higher allowances.

The announcement of assembly elections in five states has given an excuse for the government as it cannot announce pay hikes till the model code of conduct is in place up to March 8.

The government is using delaying tactics to save the government money to pay higher allowances without arrears from August 16.

The delay in implementation of the higher allowances has caused tremendous irritation and frustration among employees.

The Prime Minister Narendra Modi led BJP may have to face a backlash in the assembly elections in the five states, two of which is ruled by the party either directly or in alliance. Thus, not properly implementing of the 7th Pay Commission recommendations would amount to strike to blow to the BJP in polls.

TST

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Central government departments asked to inform the Cabinet Secretariat about agreements signed by them

Central government departments asked to inform the Cabinet Secretariat about agreements signed by them

New Delhi: All central government departments have been asked to inform the Cabinet Secretariat as soon as they sign any agreement and also get the nod from the Cabinet or its committee in a time-bound manner.

The directive came after it was noticed that certain ministries were informing the Cabinet Secretariat about accords signed with other stakeholders after the stipulated period of one month.

As per norms, any agreement related to culture and science and technology matters, not impacting the national security or India’s relations with other countries, which are duly approved by the Minister-in-Charge of the department concerned and the Minister of External Affairs, need to be circulated to the Cabinet for information.

Ministries/departments are requested to send an intimation to this secretariat as soon as such agreements are entered into along with a copy of the signed agreement.

Ministries/departments may also ensure that notes for information are forwarded to this secretariat well within the stipulated period of one month for timely consideration of such notes by the Cabinet/Cabinet Committee, the Cabinet Secretariat said in an order.

Referring to its previous directive, it said that all the departments need to take ex-post facto approval on any decision already approved by the Prime Minister and on Memoranda of Understanding signed by them within a month.

In another order, the Cabinet Secretariat has asked all the secretaries to hold inter-ministerial consultations only with departments concerned with the matter and that too within the prescribed time limit of two weeks.

PTI

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Central Armed Police Forces (Assistant Commandants) Examination, 2016 – Final Result declared

Central Armed Police Forces (Assistant Commandants) Examination, 2016 – Final Result declared

Based on the results of the Central Armed Police Forces (Assistant Commandants) Examination, 2016 held by UNION PUBLIC SERVICE COMMISSION on 26th June, 2016 and the interviews for Personality Test held from 9th January to 2nd February 2017, the following is the list, in order of merit, of candidates who have been recommended for appointment to the posts of Assistant Commandants (Group A) in the Central Armed Police Forces viz. Central Reserve Police Force (CRPF), Border Security Force (BSF), Indo-Tibetan Border Police (ITBP) and Sashastra Seema Bal (SSB).

A total number of 189 candidates have been recommended for appointment as per the following break-up:-

GENERAL OBC SC ST Total
89

(Incl. 03 Ex-S)

52

(Incl. 04 Ex-S)

34 14 189

Appointments to the various services shall be made by the Government according to the number of vacancies available and subject to the candidates fulfilling all the prescribed eligibility conditions/provisions contained in the Rules for the Examination and verifications, wherever due, being completed satisfactorily. Allotment to various services shall be made according to the merit obtained and preference of services given by candidates.

The number of vacancies reported by the Govt. to be filled are as under:

Total Number of Vacancies
General OBC SC ST Total
C.R.P.F. 49 26 15 07 97
B.S.F 15 07 04 02 28
I.T.B.P. 17 04 06 01 28
S.S.B. 30 15 09 04 58
TOTAL 111 52 34 14 211*

*incl. 10% of total vacancies reserved for Ex-Servicemen

The candidature of 22 recommended candidates with following Roll Nos. is provisional:

0012728 0027660 0049596 0078286 0175432 0196991
0013184 0032667 0051588 0082329 0176808 0211625
0013583 0034117 0053510 0109297 0186662
0021366 0041625 0055124 0172407 0194114

In accordance with Rule 16 (4) and (5) of the Central Armed Police Forces (Assistant Commandants) Examination, 2016, the Commission is maintaining a consolidated Reserve List of candidates ranking in order of merit below the last recommended candidate under respective categories which are as under:

GENERAL OBC SC ST TOTAL
22 20 02 00 44

Union Public Service Commission has a ‘Facilitation Counter’ near Examination Hall Building in its Campus. Candidates may obtain any information /clarification regarding their Examination/recruitments on working days between 10:00 hours to 1700 hours in person or over Telephone Nos. 011-23385271/ 23381125. The result will also be available on the U.P.S.C. Website i.e. www.upsc.gov.in. However, marks are likely to be available on the website within 15 days from the date of declaration of Result.

Click here for full list

Source: PIB News

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Reserve Bank: Limit on Cash Withdrawals from SB Accounts raised to Rs.50, 000 per week

Reserve Bank: Limit on Cash Withdrawals from SB Accounts raised to Rs.50, 000 per week

Reserve Bank today announced that the cash withdrawal limits on savings bank account to be raised to Rs 50,000 per week from the existing limit of Rs.24,000 from Feb 20.

And also the limits on cash withdrawals from savings bank account would be removed from March 13.

Removal of limits on withdrawal of cash from Saving Bank Accounts

RBI/2016-17/224
DCM (Plg) 3107/10.27.00/2016-17

February 08, 2017

All Banks
Dear Madam / Sir,

Removal of limits on withdrawal of cash from Saving Bank Accounts
Please refer to our circular DCM (Plg) 2905/10.27.00/2016-17 dated January 30, 2017 on the captioned subject.

2. In the wake of withdrawal of Specified Bank Notes (SBNs) since November 09, 2016 Reserve Bank had placed certain limits on cash withdrawals from Savings / Current / Cash credit /Overdraft accounts and withdrawals through ATMs. On a review of the pace of remonetisation, Reserve Bank partially restored status quo ante by removing the restrictions on cash withdrawals from Current / Cash credit / Overdraft accounts and ATMs effective January 31, 2017 and February 01, 2017 respectively. However, the limits on cash withdrawal from Savings Bank accounts continued to be in place.

3. In line with the pace of remonetisation, it has now been decided to remove the restrictions on cash withdrawals from Saving Bank accounts (including accounts opened under PMJDY) in a two step process as under:

Effective February 20, 2017, the limits on cash withdrawals from the Savings Bank accounts will be enhanced to ? 50,000 per week (from the current limit of ? 24,000 per week); and

Effective March 13, 2017, there will be no limits on cash withdrawals from Savings Bank accounts.

4. Please acknowledge receipt.

Yours faithfully,
(P Vijaya Kumar)
Chief General Manager

Authority: www.rbi.org.in

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Upgradation of Employment Exchanges

Upgradation of Employment Exchanges

As per information received from the States, at present 978 employment exchanges are functioning in the country.

The Ministry is implementing the National Career Service (NCS) Project as a plan scheme for transformation of the National Employment Service to provide a variety of employment related services like job matching, career counselling, vocational guidance, information on skill development courses, etc. These services are available online on the National Career Service Portal (www.ncs.gov.in) and supported by Call Centre/Helpdesk. The services under NCS are accessible from multiple delivery channels like NCS Portal, Employment Exchanges (Career Centres), Common Service Centre etc.

The NCS Project envisages setting up of 100 Model Career Centres (MCCs) in collaboration with States and other institutions to deliver employment services during the 12th Five Year Plan. The Government provides financial assistance to these centres upto Rs 50 lakh per centre based on the proposals and scheme guidelines. These model centres can be replicated by the States from their own resources. In addition, the NCS project has a component of interlinking of employment exchanges and provides part funding of upto Rs 8 lakhs per exchange to States for their upgradation. Based on the scheme guidelines and proposals received from the States, approvals have been accorded for release of funds to Andhra Pradesh and Telangana.

This information was given by Shri Bandaru Dattatreya, the Minister of State (IC) for Labour and Employment, in written reply to a question in Rajya Sabha today.

Source: PIB

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Reserve Bank of India (RBI) is set to announce bi-monthly monetary policy review

Reserve Bank of India (RBI) is set to announce bi-monthly monetary policy review

The Reserve Bank of India (RBI) is set to announce bi-monthly monetary policy review on Wednesday.

A lot of predictions have been done by the analysts and experts on whether the central bank should maintain a status quo or cut the interest rates.

In the last monthly policy, held on December 7, the central bank had kept key rates unchanged amid the then on-going demonetisation exercise, which had led the whole country in cash crisis. That time, the analysts were expecting a rate cut, but the RBI Governor Urjit Patel gave ‘surprise’ buy not reducing the rates.

A Reuters poll last week, conducted before the government presented its annual budget, showed 28 of 46 participants expected the RBI on Wednesday to cut the repo rate by 25 basis points to 6.0%, its lowest since November 2010. Another two expected a 50 bps cut.

Here are the factors which will decide RBI’s decision

Inflation

Consumer Price Inflation fell to a two-year low of 3.41% in December, which is below the RBI’s end-March 2017 target of 5% and medium-term target of 4%.

The fall in inflation has given enough room for the RBI to cut the rates. Commenting on the expectation from the central bank, Rishi Mehra, Co-Founder and Director of Wishfin (earlier known as Deal4loans) said, “We are expecting a 25 basis points reduction in the key policy rate – the repo rate – to 6 % on February 8 when the Governor Urjit Patel will unveil his third policy review. Since the last RBI policy, the CPI inflation has been to the downside both in the month of November and December, giving possibilities of meeting the 5% March 2017 CPI target. Having said that, the RBI had made it quite clear that it will work towards the achievement of the consumer price index inflation.”

Having similar view, HSBC in its report said, “We hold on to our expectation of a 25 basis points rate cut in February, but caution that this would likely bring the easing cycle to an end, given the pressures in the horizon implementation of the goods and services tax (GST) bill, rising oil prices, implementation of government employees housing allowance, and the challenging 4% CPI target for the medium term.”

Moreover, Nomura in its report said, “On the monetary policy front, with the government sticking to fiscal consolidation and headline CPI likely to undershoot the RBI’s March 2017 target of 5%, we are pencilling in a final 25 bps repo rate cut to 6% on February 8.”

Raghu Kumar, Director, Upstox, said, “In our view, RBI is expected to cut repo rate by 0.25 per cent at its policy review on Wednesday. This rate cut would be supported by the modest CPI inflation, which is expected to undershoot the March 2017 target set by RBI and the continued fiscal consolidation attempted in the Union Budget for FY2018.”

Demonetisation

In the last policy meet, some experts were expecting RBI to look at the rate cut amid the demonetisation exercise to get a clear picture of the whole exercise.

Today, Bank of America Merill Lynch said to reverse the impact of the demonetisation drive to growth prospects, the Reserve Bank will cut rates tomorrow as well as in the April policy review.

“We continue to expect the RBI-MPC (monetary policy committee) to cut the rates by 0.25%t and in April with demonetisation hurting growth,” it said.

However, having the opposite view, Kavita Chacko, Senior Economist, said, “We do not expect a rate cut in this policy as the banks have already lowered interest rates following the inflow of deposits into the banking system following demonetisation.”

Fiscal Deficit

Finance Minister Arun Jaitley during his Union Budget 2017 speech stated that the fiscal deficit aim for the next fiscal would be 3.2% instead of 3.%. Analysts believe that disinvestment targets is key if the government has to achieve this fiscal deficit target.

“The better than feared deficit target and commitment to fiscal consolidation will keep hopes of a RBI rate cut alive,” the Citigroup report said adding “the Budget reinforces our view of another 25 bps cut in repo rate”.

In the very beginning of the year, the banks had slashed its marginal cost of funds based lending rate in the range of 90 basis points – 75 basis points across all maturities.

The banks’ decision came in after they were flooded with liquidity post demonetisation. According to a Bloomberg report, this behaviour of banks has made it clear that they respond to liquidity triggers far more quickly than policy rate triggers.

So, for tomorrow like the analysts say it will be a “close call” for RBI on whether to hold the rates or reduce them.

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CBDT issues Certificates of appreciation to nearly 3.74 lakh tax payers for their contribution towards Nation building

CBDT issues Certificates of appreciation to nearly 3.74 lakh tax payers for their contribution towards Nation building

Press Information Bureau
Government of India
Ministry of Finance

07-February-2017 20:26 IST

CBDT issues Certificates of appreciation to nearly 3.74 lakh tax payers for their contribution towards Nation building

In continuation of the initiative of the Government to acknowledge the contribution of tax payers by paying taxes towards nation building and promptness in filing of Income Tax Returns, CBDT has issued the third round of Certificates to nearly 3.74 Lakh tax payers. With this, the total number of certificates issued by CBDT now stands at approximately 23 Lakh.

Individual tax payers may take note that such certificates of appreciation are only sent by e-mail in various categories on the basis of the taxes paid by them for the Assessment Year 2016-17, where taxes have been paid in full, tax payers have no outstanding tax liabilities, the return is e-filed within the prescribed due date and verified through Digital Signature or Electronic Verification Code (EVC) or submission of signed ITR-V to CPC Bangalore. The categories for individual taxpayers are:

i. Platinum – Taxpayers who have contributed Rs 1 Crore and above as tax
ii. Gold – Taxpayers who have contributed between Rs 50 Lakh and Rs 1 Crore as tax
iii. Silver – Taxpayers who have contributed between Rs 10Lakh and Rs 50 Lakh as tax
iv. Bronze – Taxpayers who have contributed between Rs 1Lakh and Rs 10 Lakh as tax

Taxpayers are advised to verify and update their email address and mobile number on the e-filing website to receive electronic communication. It may be noted that taxpayers can provide upto two email and two mobile numbers in their profile. Therefore, it is strongly advised that taxpayers should provide their personal and regularly used Email and Mobile number as their primary email.

The CBDT urges taxpayers to e-file their returns in time and verify their return by submitting the Electronic Verification Code online or sending their ITR-V within the 120 day period so that they can be also acknowledged for their contribution.

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Revision of rates of stipend to apprentices and trainees on Railways

Revision of rates of stipend to apprentices and trainees on Railways

GOVERNMENT OF INDIA
MINISTRY OF RAILWAYS
(Railway Board)

S.No.PC-VII/14

No. PC-V/2016/PS/1(Stipend)

RBE No. 08/2017

New Delhi, dated 02-02-2017.

The General Managers
All Indian Railways and PUs
(As per mailing list)

Sub: Revision of rates of stipend to apprentices and trainees on Railways.

Ref: Railway Board’s letter No. PC-V/2008/PS/1 (Stipend) dated 15-12-2008

Consequent upon the promulgation of Railway Services (Revised Pay) Rules, 2016 on the basis of the recommendations of the Seventh Central Pay Commission, the issue of revision in the rates of stipend to apprentices and trainees (non-gazetted) on Railways was under consideration. Now, the President is pleased to revise the rates of stipend to the apprentices and trainees as per the schedule attached herein.

2. It is likely that some of the existing categories of apprentices on certain Railways may not have designations identical to what appears in the enclosed Schedule. In such cases, the Railway administration, in consultation with FA & CAO, should identify the designation/category of the apprentice concerned with similar case appearing in the Schedule and determine the rate of stipend applicable thereto. Wherever such identification is not possible, specific cases may be reported to the Board with verbatim comments of the FA & CAO.

3. In case, the period of training as indicated in these orders is at variance with the actual practice in respect of one or more categories, the matter should be referred to the Railway Board for decision.

4. The apprentices and trainees will draw the revised rates of Dearness Allowance appropriate to the revised rates of stipend.

5. The revised rates of stipend will take effect from 01.08.2016.

6. This issues with the concurrence of the Finance Directorate of the Ministry of Railways.

7. Hindi version is enclosed.

sd/
(N.P. Singh)
Dy. Director/Pay Commission-V
Railway Board

Source: NFIR

S.No. Category Training period Grade Pay in VI CPC Pay structure (?) Corresponding Revised Pay level in the 7th
CPC Pay Matrix
Revised rates of stipend in the corresponding Pay
level (2)
S & T Department
1. Telephone Operator Less than one year 1900 2 19900
2. Signal Maintainer One year 1900 2 19900
3. Signal Maintainer Eighteen months 2400 4 21700 (22400 in the second year)
4. Telecommunication Maintainer Grade III One year 1900 2 19900
5. Wireless Maintainer Grade III One year 1900 2 19900
6 Jr. Engineer (Signal) (Diploma holder) 12 months (52 weeks) 4200 6 35400
7. Sr. Section Engineer (Signal) (Degree holder) One year 4600 7 44900
8. Jr. Engineer (Telecom) (Diploma holder) 12 months (52 weeks) 4200 6 35400
9. Sr. Section Engineer (Telecom) (Degree holder) 12 months (52 weeks) 4600 7 44900
10. Jr. Engineer (Workshop) (Diploma holder) 12 months (52 weeks) 4200 6 35400
11. Sr. Section Engineer (Workshop) One year 4600 7 44900
Civil Engineering Department
12. Jr. Engineer (Works) (Diploma holder) One year 4200 6 35400
13. Sr. Section Engineer (Works) (Degree holder) Upto one year 4600 7 44900
14. Jr. Engineer (Permanent Way) (Diploma holder) One year 4200 6 35400
15. Sr. Section Engineer (Permanent Way) (Degree holder) Upto one year 4600 7 44900
16. Jr. Engineer (Bridge) Two years 4200 6 29200 (30100 in the second year)
17. Sr. Section Engineer (Bridge) (Degree holder) One year 4600 7 44900
18. Jr. Engineer (Engg. WS)/ JE (TM/TT) One year 4200 6 35400
19. Sr. Section Engineer (Eng WS)/SSE (TM/TT) One year 4600 7 44900
S.No. Category Training period Grade Pay in VI CPC Pay structure (?) Corresponding Revised Pay level in the 7th
CPC Pay Matrix
Revised rates of stipend in the corresponding Pay
level (2)
20. Design Assistant (Degree holder) Upto one year 4200 6 35400
Mechanical & Electrical Departments
21. Jr. Engg. (W.S) One year 4200 6 35400
22. Sr. Section Engineer (W.S) One year 4600 7 44900
23. Sr. Section Engineer (Electrical) One year 4600 7 44900
24. Jr. Engineer (Electrical) 12 months (52 weeks) 4200 6 35400
25. Sr. Section Engineer (Degree holder) One year 4600 7 44900
26. Jr. Engineer (Diploma holder) 12 months (52 weeks) 4200 6 35400
27. Motorman One year 4200 6 35400
28. Assistant Loco Pilot (Elec.) 17 weeks 1900 2 19900
29. Assistant Loco Pilot (Diesel) 17 weeks 1900 2 19900
Drawing Office
30. Jr. Engineer (Drawing/Design) (Mech. Elect. and S

& T Deptt.) (Diploma holder)

52 weeks 4200 6 35400
31. Jr. Engineer (Drawing / Design) (Civil Engg. Deptt.)

(Diploma holder)

52 weeks 4200 6 35400
32. Sr. Section Engineer (Drawing/Design) (Degree

holder)

One year 4600 7 44900
C.M.T (Mechanical Department)
33. Chemical & Metallurgical Assistant One year 4200 6 35400
Artisans
34. Technicial Gr. III (with Metric qualification) Three years 1900 2 18000 (18500 in 2nd year and 19100 in 3rd

year

35. Technician Gr. III (with ITI qualification or

Apprenticeship qualification in non-Railway Estt.)

Six months 1900 2 19900

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Grievance Redressal Mechanism for the Jawans

Grievance Redressal Mechanism for the Jawans

Government of India has implemented a web based Centralized Public Grievance Redress and Monitoring System (CPGRAMS) in all its Ministries / Departments including the Ministry of Defence. This system provides online access to all citizens including the jawans and other Armed Forces personnel to lodge their grievances with the Ministry of Defence. The CPGRAMS system allows the Ministry to monitor the grievances and ensure their time bound redressal by the organisations / institutions concerned of the Ministry.

The Armed Forces also have systems in place for the redressal of grievances of their personnel. The procedures for dealing with statutory and non-statutory complaints and representations have been laid down under various sections of The Army Act, 1950; The Navy Act, 1957; The Air Force Act, 1950 and the regulations and orders issued on the subject. There are also informal mechanisms in place for redressal of grievances in the Armed Forces like the sainik sammelans, personal interviews, suggestion boxes, informal meetings, etc.

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Raising Retirement Age of Doctors in the Armed Forces

Raising Retirement Age of Doctors in the Armed Forces

The retirement age of medical officers in the Armed Forces Medical Service (AFMS) is based on their rank, which ranges from 56 years in the rank of Lieutenant Colonel (& equivalent) to 60 years in case of Major General (& equivalent). In certain cases, Director General of AFMS in the rank of Lieutenant General and other Lieutenant Generals (& equivalent) may retire respectively at the age of 61 & 62 years.
There is no proposal to equate the retirement age of medical officers of AFMS to those doctors working in the civil sector as the terms and conditions of service for the two categories of doctors are totally different.
The present total authorised strength of AFMS is 7073 out of which 843 posts are vacant. Recruitment drives are conducted from time to time to fill up the vacancies.
This information was given by Minister of State for Defence Dr. Subhash Bhamre in a written reply to Shri Shrimati Chhaya Verma and Shri Vishambhar Prasad Nishad in Rajya Sabha today.

PIB

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Complaints Against Company Supplying ECHS Smart Cards

Complaints Against Company Supplying ECHS Smart Cards

A complaint against Score Information Technology Limited (SITL), nominated for supplying smart card / software, was received from the Director (Operations & Coordination) of Central Organisation Ex Servicemen Contributory Health Scheme (ECHS) in September 2011 regarding an attempt to bribe him for obtaining a favourable feedback on the performance of the Company.

A show Cause Notice was issued to the Company in October 2011. This issue was examined and was brought to the notice of Adjutant General and Vice Chief of Army Staff by the Managing Director, ECHS. The Contract of SITL has been terminated on 31st May 2015 and it is no longer associated with ECHS. An enquiry was conducted by Central Bureau of Investigation (CBI) also regarding various complaints, including regarding cost of card of ECHS. As per the CBI report, no irregularity could be attributed to the ECHS officials. This information was given by Minister of State for Defence Dr. Subhash Bhamre in a written reply to ShrimatiViplove Thakurin Rajya Sabha today.

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E-Payments in Government Offices

E-Payments in Government Offices

GOVERNMENT OF INDIA
MINISTRY OF FINANCE
LOK SABHA

UNSTARRED QUESTION NO: 324
ANSWERED ON: 03.02.2017

E-Payments in Government Offices
K. GOPAL
A. ARUNMOZHITHEVAN
VIJAYSINH MOHITE PATIL

Will the Minister of FINANCE be pleased to state:-

(a). Whether the Government has asked its departments/offices of public sector firms and autonomous bodies to encourage their employees to use e-payments/debit cards for personal transactions to boost digital payment economy and if so, the details thereof;

(b)Whether the Government has instructed its departments/offices to stop cash payments to vendors and contractors for amounts above Rs.5000 and if so, the details thereof;

(c) Whether the Government has asked banks to promote digital banking in mission mode to boost digital economy and if so, the details thereof; and

(d). The steps taken/being taken by Government to promote e-payment in this regard?
ANSWER

THE MINISTER OF STATE IN THE MINISTRY OF FINANCE (SHRI ARJUN RAM MEGHWAL)

(a). Yes, the Department of Expenditure has issued an advisory to all Ministries/Departments to encourage its employees to make use of Debit Cards for personal transactions instead of cash vide OM No. 25 (30)/E.Coord/2016 dated 1st December 2016. Given the progress made in banking technology, it is assumed that each employee would be in possession of a Debit/ATM card linked to his/her bank account. Ensuring and encouraging government employees to maximise the usage of Debit cards for personal related transactions instead of cash would go a long way serving with the employees serving as ‘ambassadors’ for the digital push and also motivate, encourage the general public in taking up the cause. All Ministries/Departments have been requested to encourage their employees to make use of Debit Cards for personal related transactions instead of cash. Ministries/Departments should liaise with their accredited banks and set up special camps to facilitate obtaining of and ensure that all its employees are in possession of Debit Cards. Ministries/Departments may also issue similar advisories to their attached/subordinate offices, PSUs, Autonomous Bodies etc.

(b). Yes, the Controller General of Accounts, Department of Expenditure has issued instructions to all Ministries/Departments vide OM. No. 3 (2) (1)/2016/ R&P Rules/Amendments/649 dated 5th December 2016. Rs. 10, 000/- was the earlier threshold limit beyond which all payments to suppliers, contractors etc.were made through e-payment mode. In order to attain the goal of complete digitization of Government payments the existing limit of Rs. 10, 000/- has been lowered to Rs. 5,000/- beyond which all Ministries/Departments shall make payment to suppliers, contractors etc. through e-payment mode only.

(c) & (d): The steps initiated by the Government to encourage digital banking in mission mode and the other measures taken to promote e-payment is provided in Annexure – I.
ANNEXURE – I

Incentives to promote digital transactions:

To further accelerate the process of cashless transaction, the Central Government has decided on a package of incentives and measures for promotion of digital and cashless economy in the country. These include:

(A) Petroleum:
Nearly 4.5 crore customers buy petrol or diesel at such petrol pumps per day. It is estimated that petrol/diesel worth Rs.1800 crore is sold per day to the customers, out of which nearly 20% was being paid through digital means. In the month of November 2016 it has increased to 40% and the cash transaction of Rs. 360 crore per day have got shifted to cashless transaction methods.

Incentive on digital payment:

  •  The Central Government petroleum PSUs shall give incentive by offering a discount rate of 0.75% of the sale price to consumers on purchase of petrol/diesel, if payment is made through digital means.
  • The incentive scheme has the potential of shifting at least 30% more customer to digital means which will further reduce the cash requirement of nearly Rs. 2 Lakh crore per year at the petrol pumps.

(B). Expand digital payment infrastructure in rural areas:

i. To expand digital payment infrastructure in rural areas, the Central Government through NABARD will extend financial support to eligible banks for deployment of 2 POS devices each in 1 Lakh villages with population of less than 10,000. These POS machines are intended to be deployed at primary cooperative societies/milk societies/agricultural input dealers to facilitate agri-related transactions through digital means. This will benefit farmers of 1 Lakh villages covering a total population of nearly 75 crore who will have facility to transact cashlessly in their village for their agri needs.

ii. The Central Government through NABARD will also support Rural regional Banks and Cooperative Banks to issue ‘RuPay Kisan Cards’ to 4.32 crore Kisan Card holders to enable them to make digital transactions at POS machines/Micro ATMs/ATMs.

(C). Railways:

i. Seasonal or Monthly Tickets: Nearly 80 Lakh passengers use seasonal or monthly ticket on suburban railways, largely in cash spending nearly Rs. 2,000 crore per year. As more and more passengers shift to digital means, the cash requirement may get reduced by Rs.1, 000 crore per year in near future.
Incentive on digital payment:

Railways through its suburban railway network shall provide incentive by way of discount upto 0.5% to customers for monthly or seasonal tickets from January 2017, if payment is made through digital means.

ii. Free Accidental Insurance: Nearly 14 Lakh railway passengers are buying tickets everyday, out of which 58% tickets are bought online through digital means. It is expected that another 20% passengers may shift to digital payment methods of buying railway tickets.

Incentive on digital payment:

All railway passengers buying online ticket shall be given free accidental insurance cover upto Rs. 10 Lakh. Nearly 11 Lakh passengers per day will be covered under the accidental insurance scheme.

iii. Paid Services: For paid services e.g. catering, accommodation, retiring rooms etc. being offered by railways through its affiliated entities/corporations to passengers, it will provide a discount of 5% for payment of these services through digital means. All the passengers travelling on railways availing these services may avail the benefit.

(D). General Insurance Policies:

Incentive on digital payment:
Public Sector Insurance Companies will provide incentive by way of discount or credit upto 10% of the premium in general insurance policies and 8% in new life policies of Life Insurance Corporation sold through the customer portals, in case payment is made through digital means.

(E). MDR Charges
The Central Government Departments and Central Public Sector Undertakings will ensure that transaction fee/MDR charges associated with payment through digital means shall not be passed on to the consumers and all such expenses shall be borne by them. State Governments are being advised that the State Governments and its organizations should also consider to absorb the transaction fee/MDR charges related to digital payment to them and consumer should not be asked to bear it.

(F). Ceiling on monthly rental for POS
i. Public Sector banks are being advised that merchant should not be required to pay more than Rs. 100 per month as monthly rental for POS terminals/Micro ATMs/mobile POS from the merchants to bring small merchants on board the digital payment ecosystem.
ii. Neary 6.5 Lakh machines by Public Sector banks have been issued to merchants who will be benefitted by the lower rentals and promote digital transactions. With lower rentals, more merchants will install such machines and promote digital transactions.

(G). Waiver of Service Tax
No Service Tax will be charged on digital transaction charges/MDR for transactions upto Rs. 2000 per transaction.

(H). Digital Payment Incentives for Toll payments
For the payment of toll at Toll Plazas on National Highways using RFID card/Fast Tags, a discount of 10% will be available to users in year 2016-17.

Major initiatives taken for promoting digital/cashless payments so far include the following:

(A). Rationalizing MDR/Transaction Fees:
i. To encourage digital payments by citizens, Government departments have been advised to absorb transaction fees/MDR associated with such transactions to ensure that no extra burden is put on those choosing to make payments by cashless means.

ii. For purchase of fuel and petroleum products, consumers are not required to pay any transaction charge/fee for payment using Debit Card/digital means at CPSU fuel stations.

iii. Discoms and State Governments have been persuaded to facilitate payment of electricity charges by consumers through digital means without any convenience fee/charge to consumers.

iv. Merchant Discount Rate on Debit Card has been waived till 31/12/2016 in public interest. This is expected to encourage small merchants to deploy infrastructure (POS terminals) to accept digital payments.

v. Customers are not required to pay Service Charges on purchase of railway tickets through cards at railway ticketing counters for a limited period.

(B). Strengthening Acceptance Infrastructure:

i. Digital payments being accepted by over 70 Central Government departments through various electronic modes viz., netbanking, debit/credit cards, prepaid cards, Interbank Mobile Payment Service (IMPS) recording more than 1.4 crore transactions worth Rs. 3250 crores.

ii. Mobile Banking through interoperable ATMs has been launched; 81,000 ATMs of 12 Banks are already live and another 15,000 machines are expected to go live shortly.

iii. All major 45 archaeological sites having maximum footfalls/tourists have started accepting digital payments covering more than 80% of the visitors.

iv. To popularise digital payments, the acceptance infrastructure is substantially expanded by increasing deployment of POS/mobile POS machines from 14 Lakh to 25 Lakh by March 2017. A separate Task Force is closely monitoring the progress in this regard.

v. To expedite card less and pin less banking RBI has notified mandatory Aadhar Enablement of all new Point of Sale terminals.
vi. 5.5 Lakh Fair Price Shops are being equipped with micro-ATMs/POS for undertaking digital payment transactions.

vii. Electronic Toll collection system has been implemented in all Toll Plazas along with the facility to pay by credit/debit/prepaid cards. It shall be expanded to cover more lanes and wider network for distribution of Tags.

viii. For the benefit of commuters, standardized interoperable National Common Mobility card is being developed.
ix. 1000 ATMs installed in Post Offices have been permitted to be interoperable with the banks.

x. State Mission Directors of 33 identified smart cities have been issued advisories to provide for adequate deployment of digital payment infrastructure while designing smart cities.

(C). Digital Payments in Govt Departments:

i. To enable all Central Government Departments to accept digital payments without passing associated charges to citizens a separate head of expenditure has been approved.

ii. A Non-Tax Receipt Portal (bharatkosh.gov.in) has been created to enable users/citizens to make non-tax payments for as many as 237 categories of payments such as spectrum charges, RTI application fee, purchase of forms and magazines etc. online without going to banks or Government Offices.

iii. All Government organizations, Public Sector Undertakings, Authorities have been advised to review rules and regulations to support digital payments, adopt cashless payment solutions and activate payment facility through the pay.gov platform if they do not have such facility.

iv. Salary disbursal in all Central Government departments is being done through PFMS and the platform is also used for disbursal of other funds/payments.

(D). Rationalization of USSD charges

To enable mobile banking on feature phones, USSD charges have been rationalized and reduced from Rs. 1.50 per SMS to Rs. 0.50; an application for mobile phone payments (*99#) in four languages has been developed and the service providers have completely waived the charges for limited time.

(E). Rolling out of UPI

To facilitate mobile banking on smart phones, NPCI has rolled out Unified Payment Interface (UPI) application and 27 banks have already released the application to their customers.

(F). Strengthening Business Correspondents Network

i. More than 1,10,000 Business Correspondents (BCs) have been engaged by the Banks and Corporates in the country. These BCs are providing services at the door steps of the people in rural as well as in remote areas.

ii. In a major fillip to rural banking 1,25,000 Gramin Dak Sewaks of Post Offices to work as Business Correspondents of Banks.

iii. All geographical areas across the country have been mapped with Banks/Bank Mitras and dark/grey spots identified. Possibility of providing connectivity through VSAT and other means is being explored on priority.

iv. For ease of Direct Benefit Transfer (DBT), long pending issue of incentive compatible payments to Business Correspondents settled.

Besides above, the Hon’ble Prime Minister has also announced certain incentives on 31st December 2016. The proposals have also been announced in the Union Budget by the Hon’ble Finance Minister.

Source: Loksabha.nic.in

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Updation of AADHAR Number in PRAN of Subscribers

Updation of AADHAR Number in PRAN of Subscribers

National Pension System (NPS) Service Fortnight (February 1 – February 15, 2017) : Updation of AADHAR no. in PRAN of Subscribers.

PENSION FUND REGULATORY ADN DEVELOPMENT AUTHORITY
B-14A, Chhatarpati Shivaji Bhavan, Qutab Institutional Area,
katwaria Sarai, New Delhi-110016

File No.PFRDA/19/CG/1/43

31st January. 2017

To,
PrAOs, PAOs, CDDOs & other CG Nodal offices;
DTAs, DT0s, & other SG Nodal offices,
Autonomous Bodies under CG & SG.

Dear Sir/Madam,

National Pension System (NPS) Service Fortnight (February 1 – February 15, 2017) : Updation of AADHAR no. in PRAN of Subscribers.

In continuation of our earlier communication dated 07.01.2016, we have decided to include ‘updation of Aadhar number’ also as one of the activities for NPS service fortnight. Therefore, Nodal offices of Central State Governments are advised to guide and encourage the subscribers for updation of their AADHAR no., in addition to mobile app download and other activities during the fortnight.
2. In this regard, subscribers may be advised for login in the CRA website www.cra-nsdl.com through their login id & password and further update AADHAR no. under the ‘update details’ tab. The request for updating AADHAR no. will have to be authorized by the associated nodal office. PFRDA has already advised NSDL/CRA for providing all necessary assistance to the Nodal Offices and subscribers. Based on numbers of such updation, PFRDA will recognize various State governments and Central Ministries in the same way it has announced for Mobile App download.

3. In case of any assistance/clarificatlon required, nodal offices may contact Shri Sachin Joneja, Manager, PFRDA at sachin.joneja@pfrda.org.in or Sh. Bibhas Outta, NSDL at 022-24994558 / bibhasd@nsdl. co.in or Abhishek Dhuri, NSDL at 022-24004266/abhishekd@nsdl.co.in.

 

Yours Sincerely
(Ashish Kumar)
General Manaker

Authority: www.pfrda.org.in

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Revision of provisional pension sanctioned under Rule 69 of the CCS(Pension) Rules, 1972

Revision of provisional pension sanctioned under Rule 69 of the CCS(Pension) Rules, 1972

No.250141/06/2016.AIS.II
Government of India
Ministry of Personnel, Public Grievances and Pensions
Department of Personnel & Training

North Block, New Delhi 110001
Dated the 4th January, 2017

The Chief Secretaries of all the
State Governments and UTs.

Subject: Revision of provisional pension sanctioned under Rule 69 of the CCS(Pension) Rules, 1972.

Sir,
I am directed to refer to the Department of Pension and Pensioner Welfare’s .OM No.38/49/2016.P&PW(A) dated 30th November, 2016 (copy enclosed) regarding “Revision of provisional pension”.

2. The applicability of the provisions of the aforesaid OM regarding grant of Provisional Pension sanctioned under Rule 69 of the CCS(Pension) Rules, 1972 has been considered by this Department and it has been decided to make the provisions of the aforesaid Office Memorandum of Department of Pension and Pensioner Welfare regarding “Revision of provisional pension’ applicable, mutatis-mutandis, to the All India Service Pensioners to whom provisional pension as sanctioned under Rule 6 of All India Service(Death-Cum-Retirement-Benefits), Rules, 1958.

Yours faithfully,
(Rajesh Kumar Yadav)
Under Secretary to Government of India

Authority: http://dopt.gov.in/

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MODI GOVERNMENT SURGICAL STRIKE ON RAILWAYS AND DEFENCE EMPLOYEES

MODI GOVT’S SURGICAL STRIKE ON RAILWAYS AND DEFENCE EMPLOYEES

The BJP- led NDA Government has intensified it’s policy attack on Railways and Defence establishments and employees.

ATTACK ON RAILWAYS.

After the Narendra Modi Government coming to power 100% Foreign Direct Investment (FDI) is allowed in Railways. A committee headed by Sri Bibek Deb Roy , Member , NITI Ayog (National Institute for Transformation of India Ayog) was appointed for restructuring of Railways. The committee recommended complete privatisation of Railways. AIRF in its resolution adopted in the 92nd Annual Conference held at Allahabad from 8th to 10th December 2016, stated as follows:

NDA Government assumed power on 26th May 2016. The General Body meeting of AIRF held on 3rd and 4th July 2016 at Chennai, decided to defer the strike decision to provide time to the new Government to settle and resolve grievances. But the same Government by a notification dated 22nd August 2014, decided to induct 100% FDI in Indian Railways, Defence establishments etc. The Government appointed a high level Railway Restructuring Committee, on 22nd September 2014, headed by Sri Bibek Deb Roy, for restructuring Railways. The same committee had drawn a road map for privatisation and went ahead gradually, despite all out protest by AIRF.

The merger of the Railway Budget with the General Budget was one of the key recommendations on Bibek Deb Roy committee, as an important step towards privatisation of Railways. Government has implemented the decision from this year onwards, on top priority basis. It is also reported in the media that Government has decided to privatise heritage and tourist Railways like Kalka – Shimla, Siliguri – Darjeeling and Nilgiri (Ootty) railways. BIBEK DEB ROY COMMITTEE RECOMMENDATIONS ARE THE BEGIN ING OF THE END OF THE GOVT OWNED INDIAN RAILWAYS.

To add insult to injury, the Railway Board has issued orders curtailing the basic trade union rights of Railway employees. AIRF circular issued on 2nd February 2017 reads as follows:
“In continuation of our earlier letter of even no. dated 1st February 2017, you are advised to observe “Black Day” on 6th February 2017 wearing black badges/ribbons, right from branch to zonal levels, at all important offices of your Railway administrations, DEMANDING WITHDRAWAL OF RAILWAY BOARD’S LETTER DATED 31.01.2017, WHEREIN THE BOARD HAVE DECIDED TO DEBAR SUPERVISORS (IN ERSTWHILE GRADE PAY OF 4200) WORKING IN SAFETY CATEGORIES FROM TRADE UNION“.

AIRF statement also said that the order is in violation of 87th ILO Convention and Indian Trade Union Act.

Railway order says that those supervisors working in safety categories cannot become office bearers of unions/Associations/Federations, but can only remain as members with effect from 01.04.2017.

The above is the present situation in Indian Railways and all the Railway unions/Associations/Federations are conducting various protest programmes (other than strike as dominant organisations are yet to take such a decision) against the policy offensives of the NDA Govt. Recently on 1st & 2nd February 2017, Dakshin Railway Employees Union (DREU) , All India Loco Running Staff Association (AILRSA), All India Station Masters Association (AISMA) , All India Guard Council , Indian Railway Technical Supervisors Association etc. (other than AIRF and NFIR) had organised a massive National Convention and also Parliament March at New Delhi , demanding no privatisation and modifications in the 7th CPC recommendations.

ATTACK ON DEFENCE SECTOR
The situation in Defence sector is also not different. All India Defence Employees Federation (AIDEF) in its circular dated 04.02.2017, has conveyed the following developments to its rank and file:

“The ordnance factories are under severe attack due to the policies being adopted by the BJP – led NDA Government. Instead of developing and strengthening the ordnance factories, the Govt. is disowning the same and is planning fully to proceed to weaken the ordnance factories. Licences are being given to private companies for defence manufacturing including for those products which are being manufactured in the ordnance factories.”

In a meeting of Senior Officers held on 5th January 2017, the Secretary, Ministry of Defence made the following comments
“You have to reduce the cost, otherwise you will not get workload in future, you have to compete with the private sector for getting workload. Two years is the period for ordnance factories.”

Recently Sri Manohar Parikar, Defence Minister , who visited AFK Pune , in the meeting held with unions has stated that ” Factories which are manufacturing clothing and leather items are not required in the Government. These items can easily be procured from private sector.”

The proposal of corporatisation (which is a step towards privatisation) is also under consideration with Prime Minister’s Office (PMO). Govt has constituted another committee to identify low technology/noncore items. It is seen from the press reports that a committee constituted by Defence Minister under the chairmanship of one retired IIM Professor has recommended for creation of a new independent organisation outside the Ministry of Defence to undertake defence procurement. It is understood that a new organisation tentatively called the “DEFENCE ACQUISITION AUTHORITY” will be fully responsible for the entire process of acquisition.

All these policy decisions of the Government will have serious impact on the existence of ordnance factories and on the job security of defence civilian employees. AIDEF has decided to convene a meeting of ordnance factory unions to take a serious stock of the situation and formulate an action plan to fight back.

THIS GOVT WILL UNDERSTAND THE LANGUAGE OF STRIKE ONLY. CONFEDERATION IS ON THE RIGHT PATH.
Confederation of Central Government Employees & Workers, representing about thirteen lakhs Central Government Employees, which always stood in the forefront of the struggle against neo-liberal reforms and anti-people, anti -worker policies of the Govt. and also which conducted series of agitational programmes including strikes against the policy offensives of the Government, extends full support and solidarity to the Railway and Defence employees in their struggle for existence.

Confederation calls upon the entire Central Govt. employees to make the 16th March 2016 one day strike a thundering success. Let us be ready for an indefinite strike, if situation warrants.

Source: http://confederationhq.blogspot.in/

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Grant of House Rent Allowances at Chandigarh rates to Central Government Employees Posted

No.2/2/2016-E.II(B)
Government of India
Ministry of Finance
Department of Expenditure

New Delhi, 3rd February, 2017

OFFICE MEMORANDUM

Subject: Regarding grant of House Rent Allowances at Chandigarh rates to Central Government Employees Posted at S.A.S. Nagar Mohali.

The undersigned is directed to refer to this Department’s O.M.No.2(37)/E.II(B)/93 dated 13.10.1993 regarding grant of House Rent Allowances (HRA) to the Central Government Employees posted within the limits of the Notified Areas of S.A.S.Nagar Mohali at par with Chandigarh.

2. References have been received from various Ministries/Departments regarding the rates of HRA admissible at S.A.S.Nagar Mohali. The matter has been considered and it has been decided with the approval of the competent authority that the special dispensation allowed to S.A.S.Nagar Mohali for grant of HRA at par with Chandigarh allowed vide the O.M. dated 13.10.1993, shall continue to be admissible further.

3. Hindi version is attached.

sd/-
(A.Bandyopadhyay)
Under Secretary to the Government of India

Authority: http://finmin.nic.in/

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NPS COMMITTEE – HOPES for younger generation of Central Government Employees Shattered

NPS COMMITTEE – HOPES for younger generation of Central Government Employees Shattered

NPS committee constituted by the Government to streamline the National Pension System has called the JCM Staff Side for second round of discussion on 10.02.2017. As per the notified agenda, the committee is proposing discussion on only cosmetic changes in NPS. Basic issues such as (1) scrapping of NPS (2) Guaranteed Minimum pension to NPS Pensioners ie; 50% of the last pay drawn should be guaranteed by Government as minimum pension even if the returns from annuity insurance scheme amount is less than the 50%. and (3) Exemption of Central Govt. Employees from the purview of NPS, are not included in the agenda of the meeting even though the Cabinet Secretary has assured JCM Staff Side Chairman and Secretary Shri. Raghavayya and Shri Shiv Gopal Misra on 19th January 2017 that  “so far as issue of NPS is concerned he has already directed the Committee to hold meeting with Staff Side”. From reading the agenda it can be seen that main demands of the Staff Side are avoided, thus betraying the cause of thousands of younger generation Central Government Employees who joined service after 01.01.2004. Their hopes are shattered and belied. NJCA should revive the deferred strike to protect the interest of younger generations. Let us make the 16th March 2017 Confederation Strike a grand success.

M. Krishnan
Secretary General
Confederation of Central Govt. Employees & Workers.
Mob & WhatApp: 09447068125.
Email: mkrishnan6854@gmail.com

Source: http://confederationhq.blogspot.in

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Defence Pensioners: Pension Disbursing Agencies have started releasing the 7th CPC arrears due to the pensioners

7th CPC arrears for Defence Pensioners – Pension Disbursing Agencies have started releasing the 7th CPC arrears due to the pensioners.

Press Information Bureau
Government of India
Ministry of Defence

03-February-2017 16:28 IST

Defence Pensioners

Details of State-wise assessed number of Defence Pensioners as on 01.04.2016 are enclosed as under: STATE WISE ASSESSED NUMBER OF DEFENCE PENSIONERS AS ON 01.04.2016

Sl. No. State No. of Pensioners
1 Andaman & Nicobar 1057
2 Andhra Pradesh 65047
3 Arunachal Pradesh 1851
4 Assam 62265
5 Bihar 112626
6 Chhattisgarh 5218
7 Chandigarh 23885
8 Goa 2715
9 Gujarat 18361
10 Haryana 271034
11 Himachal Pradesh 150306
12 Jammu & Kashmir 85059
13 Jharkhand 9890
14 Karnataka 109541
15 Kerala 169255
16 Madhya Pradesh 53504
17 Maharashtra 196559
18 Manipur 5947
19 Meghalaya 2809
20  Mizoram 2455
21 Nagaland 1125
22 New Delhi 98037
23 Odisha 21564
24 Pondicherry 1333
25 Punjab 277985
26 Rajasthan 140405
27 Sikkim 288
28 Tamilnadu 116981
29 Tripura 2852
30 Uttar Pradesh 224971
31 Uttarakhand 87576
32 West Bengal 70293
33 Indian Embassy Nepal 107837
Total 2500631

Pension Disbursing Agencies have started releasing the 7th CPC arrears due to the pensioners. Details regarding amount released and number of pensioners benefitted are being collected. This information was given by Minister of State for Defence Dr. Subhash Bhamre in a written reply to Shrimati Vasanthi M. in Lok Sabha today.

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Central government employees annoyed with Modi government about 7th Pay Commission pay hike

Central government employees annoyed with Modi government about 7th Pay Commission pay hike

 

New Delhi: With widespread resentment against the “meagre” pay hike implemented in the 7th Pay Commission and not get the the higher allowances, central government employees are annoyed with PM Modi government.

They are annoyed at little pay hike without allowances.

The Prime Minister Narendra modi government has fixed the minimum pay at a meagre Rs 18,000 in the 7th Pay Commission. In the last Pay Commission, the basic pay was Rs 7,000. The government multiplied it by 2.57 (fitment formula) and came to Rs 18,000. The employees unions are demanding 3.68 fitment formula.

The major contention is on the minimum pay, which unions are demanding to be Rs 26,000.

The employees unions had a meeting with a group of ministers, including the Home Minister Rajnath Singh, Finance Minister Arun Jaitley and Railway Minister Suresh Prabhu on the evening of June 30, 2016. The ministers said it will be considered and would be referred to High Level Committee.

The ministers assured the employees unions of hiking minimum pay but the government now decided not to appoint High Level Committee to examine the 7th Pay Commission recommendations in respect of minimum pay.

“The government will not clear any proposal on hike in minimum Pay including others pay related matter under the 7th Pay Commission recommendations because the cabinet had already passed it. Hence cabinet only will take higher allowances which was not given nod by it”, the top Finance Ministry sources told The Sen Times.

The government had set up the committee on allowances headed by Finance Secretary to examine the recommendations of 7th Pay Commission on allowances other than dearness allowance for cabinet nod in July, 2016 as the pay commission had recommended abolition of 51 allowances and subsuming 37 others out of 196 allowances. The committee on allowances was given four months by the government to complete its task.

The government gave the extension of the term of the committee on allowances up to February 22, 2017 in November.

However, the committee on allowances head Finance Secretary Ashok Lavasa said in October, 2016, “We are ready to submit our report, when the Finance Minister Arun Jaitley calls up.”

The government gave the extension on the pretext of demonetisation for getting normalized the position of the cash crunch.

Now, the government said that the higher allowances may be announced in March after the completion of five states assemblies poll process as the model code of conduct has come into effect from January 4 and the implementation is to come in April after nine to ten months of getting basic pay hike of the central government employees.

The sources told us that the government had no plan to give allowances in arrears from August.

So, the 7th pay commission recommendations gave an agonizing pain for the central government employees.

TST

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Central Government Employees disappointed for Budget 2017 – Confederation

Budget 2017 – Central Government Employees disappointed – Confederation of Central Government Employees and Workers, Karnataka State reports

Not a single word about Central Government Employees uttered in Budget Speech of FM

Comrades ,

The budget for the year 2017-18 was presented by the Shri Arun Jaitleyji Hon’ble Minister of Finance on 1st Feb 2017 , the Central Government employees had lot of hopes of this budget especially on increasing the tax slabs and tax rates reduction , also on allowances and increasing our wages i.e. revision of the fitment formula . One more important issue of filling up of vacant post in the Central Government.

Shri Arun Jaitleyji Hon’ble Minister of Finance had not uttered a single word about Central Government employees in his budget speech of nearly two hours, even though the Central Government employees work with dedication and implement the programmes and policy of the Central Government either way of revenue collection, transportation, public service , working for the welfare of the people of the country etc . This has caused dissatisfaction amongst Central Government employees as many of the demands of the Central Government employees are not considered. The tax proposals provided only a small relief to the Central Government Employees, actually a big relief should have been provided. The Central Government employees are disappointed of the outcome of the budget.

Now let us focus main issues of the CG employees and the budget 2017-18 especially this budget is being presented after the demonetization. As stated earlier the financial position of the Central Government is very good even after demonetization. The budget 2017-18 has once again proved that the Central Government resources are very good the revenue expenditure has been pat 21.47 lakh crores. The fiscal deficit will be 3.2 % of GDP.

Now coming to the revenue growth of the Central Government in last four years we can observe from the financial year 2013-14 the Revenue Expenditure which was at is Rs 16.64 lakh crores the Revenue Expenditure the financial year 2017-18 which stands at 21.47 lakh crores . The fiscal deficit has also reduced from 4.8 % to 3.2 % of GDP in last four years . This shows that the financial status of the Central Government is very good. The growth rate of the revenue collection is about 15% annually. In fact the Shri Arun Jaitleyji Hon’ble Minister of Finance had stated the revenue collection is increasing to about 17 % annually. We should be proud that your country economy is in good shape. Indian economy is a stable economy can accommodate any additional financial expenditure to be made for the welfare of Central Government employees.

The revenue of the Central Government is increasing at about 15% annually, from last three years the revenue of the Central Government has increased by 45% the expenditure towards salary of Central Government employees including the defence employees has risen only by 14.5 % on wage hike due to 7th CPC and also Dearness Allowances expenditure. So total rise in pay hike is about 22% , even if allowances are released in next financial year additional expenditure is likely at just 3% as 70% of the employees don’t avail HRA which is the major allowances, . which is very much less than the 45% of the revenue collection of the Central Government. So the Central Government can afford to increase our wages considerably i.e revision of fitment formula and minimum wage . The allowances should be made effectively from 1st Jan 2016.

Next on the tax slabs the Shri Arun Jaitleyji Hon’ble Minister of Finance had made announcement of the tax proposals provided only a small relief to the Central Government Employees by reducing the taxes for the slab 2.5 lakhs to 5 lakhs from 10% to 5% . This is only a very small gestures on the part of Shri Arun Jaitleyji Hon’ble Minister of Finance , actually a big relief should have been provided by way of abolishing the taxes up to Rs 5 lakhs . The expenditure loss for reduction of taxes for the slab 2.5 lakhs to 5 lakhs(1.95 crore show income between Rs 2.5 to Rs 5 lakh) from 10% to 5% is just at Rs 15,500/- crores only , if the Hon’ble Minister of Finance had announced the abolishing the taxes up to Rs 5 lakhs it could have been additional expenditure of Rs 15,000 crores only which at just half percent of the total budget revenue collections , next Rs 5 to Rs10 lakhs slab (only 52 lakh show income between Rs 5 to Rs 10 lakhs ) here also there should have been reduction in taxes from 20% to 10% , the limit of Rs 1.5 lakh under Section 80C for investment should have been increased upto 2.5 lakh which would have encouraged savings , all these measures could have gone a long way benefiting the Central Government employees and the salaried class employees a lot.

Today hardly 3 % of the country population are paying the income tax, the rest 97% do not pay income tax .The Central Government Employees are honestly paying the taxes. A big tax relief is genuinely due for them.

One more important problem faced by the Central Government Employees is that the no filling up of the vacant post in the Central Government, nearly 4 lakhs post are vacant, even in Railway safety post of 1.41 lakh post are vacant and Income tax department post are vacant, more manpower is required for effectively collection of the taxes and implementation of the programmes and policy of the Central Government. This will also provide jobs for the youth of the country.

We sincerely hope the Hon’ble Minister of Finance would reconsider his decision and improve the taxation policy and consider the demands of the CG employees effectively in true spirit.

Comradely yours

(P.S.Prasad)
General Secretary

Source: Confederation Karnataka State

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