Posts Tagged ‘7th CPC Report’

Clarification regarding pay fixation under 7th CPC for the post of Trainee appointed on compassionate grounds

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Clarification regarding pay fixation under 7th CPC for the post of ‘Trainee’ appointed on compassionate grounds

7th-CPC-Trainee-appointed-compassionate-grounds

CGDA, Ulan Batar Road, Palam, DelhiCantt-110010
No.AN/XIV/14164/7th CPC/corrsp/Vol-II

Dated: 11/10/2017

To
All PCsDA/CsDA/PCof A(Fys) Kolkata

Subject: Clarification regarding pay fixation under 7th CPC for the post of ‘Trainee’ appointed on compassionate grounds.

Reference: This HQrs Circular of even no dated 01/02/2016.

With reference to the above cited circular, Ministry of Finance Dept. of Expenditure to whom the matter was referred has since clarified as under:

“Level -1 of the Pay Matrix introduced on implementation of the 7th CPC Report be the replacement for the pre-revised -IS scale. The pay of those governed by the IS scale may be revised by using the fitment factor of 2.57 for placement in Level -1 in conformity with the Rule 7 of the CCS(RP)Rules 2016. All pre-revised pay stages lower than pre-revised pay of Rs 7000 in the pre-revised -IS scale shall not be considered for determining the benefit of bunching, on the same lines as has been clarified by MoF(DoE)’s OM dated 3.08.2017 on application of the benefit on account of bunching”.

2.This is for your information and necessary action please. All pay fixation cases may be regulated accordingly.

S/d,
(Kavita Garg)
Sr.Dy.CGDA(AN)

Source: CGDA

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Fixation of the pay of the pre-revised pay scale of 1S scale granted to candidates appointed as trainees on compassionate grounds in the Seventh Central Pay Commission (7th CPC)

Fixation of the pay of the pre-revised pay scale of 1S scale granted to candidates appointed as trainees on compassionate grounds in the Seventh Central Pay Commission (7th CPC)

7TH-CPC-COMPASSIONATE-GROUND

No. 14014/2/2009-Estt,D
Government of India
Ministry of Personnel, Public Grievances and Pensions
(Department of Personnel & Training)

North Block, New Delhi
Dated the 09th October, 2017

OFFICE MEMORANDUM

Sub : Fixation of the pay of the pre-revised pay scale of 1S scale granted to candidates appointed as trainees on compassionate grounds in the Seventh Central Pay Commission (7th CPC) – reg.

The undersigned is directed to invite attention to this Department’s 0.M.No.14014/02/2012-Estt(D) dated 16.01.2013 containing consolidated instructions on the subject of compassionate appointments. With regard to appointment of candidates not immediately meeting the educational standards as trainees these instructions provide as under:-

“In exceptional circumstances Government may consider recruiting persons not immediately meeting the minimum educational standards. Government may engage them as trainees who will be given the regular pay bands and grade pay only on acquiring the minimum qualification prescribed under the recruitment rules. The emoluments of these trainees, during the period of their training and before they are absorbed in the Government as employees, will be governed by the minimum of the – 1S pay band Rs.4440-7440 without any grade pay. In addition, they will be granted all applicable Allowance, like Dearness Allowances, House Rent Allowance and Transport Allowance at the admissible rates. The same shall be calculated on the minimum -IS pay band without any grade pay. The period spent in the -1S pay band by the future recruits will not be counted as service for any purpose as their regular service will start only after they are placed in the pay band PB-1 or Rs.5200-20200 along with grade pay of Rs.1800.”

2. The 7th CPC has not provided any replacement scale for 1S pay, band of Rs.4440- 7440 without any grade pay which is granted to trainees appointed under the scheme for compassionate appointment. The matter was taken up with the Department of Expenditure and it has now been decided by the Government that Level-1 of the Pay Matrix introduced on implementation of the 7th CPC Report be the replacement for the pre-revised- 1S scale. The pay of those governed by the 1S scale may be revised by using the Fitment Factor of 2.57 for placement in Level-1 in conformity with the Rule, 7 of the CCS (RP) Rules, 2016. All pre – revised pay stages lower than pre-revised pay of Rs.7,000 in the pre-revised 1S scale shall not be considered for determining the benefit of bunching, on the same lines as has been clarified by this Department’s 0.M dated 03.08.2017 on application of the benefit on account of bunching.

3. This will be effective from 01.01.2016.

(G.Jayanthi)
Joint Secretary (E-I)

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Recompute 7th CPC Minimum Pay & Multiplication Factor – Anomaly in computation of Minimum Wage: Agenda Item for NAC Meeting

Recompute 7th CPC Minimum Pay & Multiplication Factor – Anomaly in computation of Minimum Wage: Agenda Item for NAC Meeting

Item No 1

Anomaly in computation of Minimum Wage

In Para 1.29 of Chapter 1 of the 7th CPC report, the larned Chairman of the Commission Justice Shri AK Mathur has approvingly quoted the following observation their Lordship in the Supreme Court in the case of Bhupendranath Hazarika and Another Vs. State of Assam (SC 2013 (2) Sec.516)

“…….. It should always be borne in mind that legitimate aspirations of the employees are not guillotined and a situation is not created where hopes end in despair. Hope for everyone is gloriously precious and that a model employer should not convert it to be deceitful and treacherous by playing a game of chess with their seniority. A sense of calm sensibility and concerned sincerity should be reflected in every step. An atmosphere of trust has to prevail and when the employees are absolutely sure that their trust shall not be betrayed and they shall be treated with dignified fairness then only the concept of good governance can be concretized. We say no more.”

Naturally the recommendations of the 7th CPC ought to have been in consonance with the spirit of the observations made in Para 1.29, While determining the Minimum Pay (Chapter 4.2). The Commission is on record to state that it shall abide by the formula of Dr WR Aykroyd as amended by Supreme Court in the case of Workmen represented by Secretary Vs. Management of Reptakos Brett and Co. Ltd and Anr. on 31st October, 1991 (Equivalent citations: 1992 AIR 504, 1991 SCR Supl. (2) 129). In its submissions made to the Govt, the Staff Side had pointed out the errors and omissions crept in the computation of Minimum wage and its consequential impact. The Commission’s recommendations in this regard was clearly in violation of what has been stated in para 1.29 (quoted above). We annex for ready reference the extracts from our own submissions pertaining to this issue.

Our submission to Cabinet Secretary on 7th CPC:

“We are not in agreement with the methodology adopted by the 7th CPC in computing the minimum WAGE. We give hereunder briefly the reasons thereof.

The retail prices of the commodities quoted by the Labour bureau is irrational, imaginary and even absurd in respect of certain articles at certain places. The Staff Side had objected to the adoption of those rates in its meeting with the Commission on 9th June, 2015.

The adoption of 12 monthly average of the retail prices is contrary to Dr. Aykroyd formula. Same is the case with the reduction effected by the Commission on housing and social obligation factors. The house rent allowance is not a full compensation of the expenditure incurred by an employee for obtaining an accommodation. Therefore, no reduction on that count in arriving at the minimum wage is permissible. We may cite the minimum wage computation made by the 3rd CPC in this regard. The employees were in receipt of HRA even at that time. But still the 3rd CPC, and rightly so, adopted the 7.5% as the factor for housing. In respect of the addition to be made for children education and social obligation as per the Supreme Court judgement, (25%) the Commission has reduced the percentage to 15% on the specious plea that the employees are separately given children education allowance. The Children education allowance is not a full reimbursement of the expenses one has to incur. After the liberalization of the Education Sector where private parties were allowed to set up universities and colleges, the expenses for education had increased heavily. No concession or allowance is granted to the employees for educating the children beyond the higher secondary levels. The earlier Pay Commission has only tried to compensate a little in the increasing cost of education and that too at the primary level, since even the Governmental institutions had started charging abnormal tuition and other fees.

The website maintained for the Agriculture Ministry depicts the retail prices of commodities which go into the basket of minimum wage computation. Even though the rates quoted by them vary from the real retail prices in the market, it provides a different picture. If one is to take the rates quoted by them for different cities and make an all India average of the prices as on 1.7.2015, it will work out to Rs. 10810. It will result in the computation of the minimum wage of Rs. 19880. Adding 25% for arriving at the MTS scale, it will rise to Rs. 24850. To convert the same as on 1.1.2016, 3% will be added as suggested by the 7th CPC. The final computation will be Rs. 25,596, when rounded off shall be Rs. 26000.

The Andhra Pradesh State Pay Commission in its report has taken the commodity prices at Rs. 9830,- as on 1.7.2013 which works out to a minimum wage of Rs. 18080. The wage of MTS will then be Rs. 22600 as on 1.7.2013. The Corresponding figure for 1.1.2016 shall be Rs. 26758, rounded off to Rs. 27000.

The Staff side had computed the minimum wage as on 1.1.2014 at Rs. 26,000, taking the commodity price at Rs. 11344. The rates were taken on the basis of the actual retail prices in the market as on 1.1.2014 (average prices of 8 Cities in the country) substantiated by the documentary evidence of Cash bill obtained from the concerned vendors. As on 1.12016, the minimum wage work out to Rs. 29339, rounded off to Rs. 30,000.

The 5th CPC adopted the rate of growth in the economy (as reflected in the increase in the per capita net national produce at factor cost) over a period of ten years to arrive at the increase required to be made to arrive at the minimum wage. The per capita NNP at factor cost registered an increase of 65.28% over a period of ten years in 2013-14. If we apply the same percentage to the emoluments (Pay +DA) as on 1.1.2016 (assuming that DA will be 125% as on that date), the minimum wage as on 1.1.2016 for an MTS will have to be Rs. 26030, rounded off to Rs. 27000.

In para 4.2.9 of the report, the Commission has given a table depicting the percentage increase provided by the successive Pay Commissions, according to which the 2nd CPC had made a paltry increase of 14.2%. The 3rd CPC gave a rise of 20.6, 4th 27.6, 5th 31.0 and 6th CPC 54%. While the per centage increase had been in ascending order all along, the 7th CPC has sought to reverse that trend ostensibly for reasons unknown. It was the meager increase of 14% provided for by the 2nd CPC that triggered the volatile situation in the civil service and led to all India strike encompassing all employees which lasted for 5 days in 1960.

In the case of Bank, Insurance and many other Public Sector Undertakings wage revision takes place once in 5 years. In the recently concluded agreement, Bank employees were provided more than 15% increase.

After the implementation of the Pay Commission Report the AP State Employees have been given a wage structure based on a minimum wage for above the level of Central Government employees. In their case also wage revision does take place once in 5 years.

It could be seen from the above that the computation of minimum wage by the 7 CPC is prima facie wrong and computed on untenable premises and incorrect data. The minimum wage therefore requires re-computation and revision. Once the minimum wage gets revised, the fitment formula, the multiplication factor applied for determining the pay levels and the pay matrix itself will have to be consequently revised.”

It could be seen from the above extract that the Minimum Wage as on 1.1.2016 could not have been computed at less than Rs 26000/- and consequently the multiplication factor ought to have been at 3.714. It is, therefore, demanded that the Minimum Wage and multiplication factor may be recomputed and Pay Level and Pay matrix changed in accordance with the revised minimum wage.

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Availability of option for fixation of pay on promotion from the Date of Next Increment (DNI) in the lower post and method of fixation of pay from DNI, if opted for, in context of CCS (RP) Rules, 2016

7th CPC Promotion : Fixation of Pay on Promotion from the Date of Next Increment Option – Dopt Orders with Illustration

Availability of option for fixation of pay on promotion from the Date of Next Increment (DNI) in the lower post and method of fixation of pay from DNI, if opted for, in context of CCS (RP) Rules, 2016-regarding.

No.13/02/2017-Estt.(Pay-I)
Government of India
Ministry of Personnel, Public Grievances and Pensions
Department of Personnel & Training

North Block, New Delhi Dated 27th July, 2017

OFFICE MEMORANDUM

Subject: Availability of option for fixation of pay on promotion from the Date of Next Increment (DNI) in the lower post and method of fixation of pay from DNI, if opted for, in context of CCS (RP) Rules, 2016-regarding.

Prior to implementation of 6th CPC Report, the pay fixation on promotion was governed by provisions of FR 22(I)(a)(1). In 6th CPC context, the first part of FR 22(I)(a)(1) was replaced by Rule 13 of CCS (RP) Rules, 2008. Similarly, consequent upon implementation of CCS (RP) Rules, 2016 in 7th CPC context, the pay fixation on promotion is regulated by the provisions of Rule 13 of CCS (RP) Rules, 2016. This rule regulates pay fixation on promotion if the same is opted by the employee from the date of promotion itself. The issue of relevancy of provisions of FR 22(I)(a)(1) as well as the methodology of fixation of pay on promotion to a post carrying duties and responsibilities of greater importance, of a Government Servant in case he opts for pay fixation from the Date of Next Increment (DNI) has been considered in this Department.

2. In this context, proviso under FR 22(I)(a)(1) inter-alia provides that the Government Servant (other than those appointed on deputation basis to ex-cadre post or on ad-hoc basis or on direct recruitment basis) shall have the option, to be exercised within one month from the date of promotion, to have the pay fixed under this rule from the date of such promotion or to have the pay fixed from the date of accrual of next increment in the scale of the pay in lower grade.

3. After due consideration in this matter, the President is pleased to decide as follows:

(i) FR 22(I)(a)(1) holds good with regard to availability of option clause for pay fixation, to a Government Servant holding a post, other than a tenure post, in a substantive or temporary or officiating capacity, who is promoted or appointed in a substantive, temporary or officiating capacity, as the case may be, subject to the fulfilment of the eligibility conditions as prescribed in the relevant Recruitment Rules,to another post carrying duties or responsibilities of greater importance than those attaching to the post held by him/her. Such Government Servant may opt to have his/her pay fixed from the Date of his/her Next Increment (either 1st July or 1st January, as the case may be) accruing in the Level of the post from which he/she is promoted, except in cases of appointment on deputation basis to an ex-cadre post or on direct recruitment basis or appointment/promotion on ad-hoc basis.

(ii) In case, consequent upon his/her promotion, the Government Servant opts to his/her pay fixed from the date of his/her next increment (either 1st July or 1st January, as the case may be) in the Level of the post from which Government Servant is promoted, then, from the date of promotion till his/her DNI, the Government Servant shall be placed at the next higher cell in the level of the post to which he/she is promoted.

promotion-chart

(iii) Subsequently, on DNI in the level of the post to which Government Servant is promoted, his//her Pay will be re-fixed and two increments (one accrued on accoun tof annual increment and the second accrued on account of promotion) may be granted in the Level from which the Government Servant is promoted and he/she shall be placed, at a Cell equal to the figure so arrived, in the Level of the post to which he/she is promoted; and if no such Cell is available in the Level to which he/she is promoted, he/she shall be placed at the next higher Cell in that Level.promotion-chart

(iv) In such cases where Government Servant opts to have his/her pay fixed from the date of his/her next increment in the Level of the post from which he/she is promoted, the next increment as well as Date of Next Increment (DNI) will be regulated accordingly.

4. It is further reiterated that in order to enable the officials to exercise the option within the time limit prescribed, the option clause for pay fixation on promotion with effect from date of promotion/DNI shall invariably be incorporated in the promotion/appointment order so that there are no cases of delay in exercising the options due to administrative lapse.

5. In so far as their application to the employees belonging to the Indian Audit and Accounts Department is concerned, these orders issue in consultation with the Comptroller &Auditor General of India.

sd/-

(Pushpender Kumar)

Under Secretary to the Government of India

Authority: www.dopt.gov.in

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Implementation of 7th Pay Commission Report : PIB

Implementation of Seventh Pay Commission Report

Based on the recommendations of 7th Central Pay Commission and due consultation and examination by the Empowered Committee of Secretaries and consideration by the Government, the following notifications have been issued and published on the website of Department of Defence:

  • Issue of Armed Forces Pay Rules / Regulations, 2017 (for both Officers & JCOs / ORs) dated 3rd May 2017 and amendments thereto dated 6th July 2017 and 14th July 2017 respectively.
  • Issue of Non-Combatant (Enrolled) of Air Force Pay Rules, 2017 dated 30th June 2017.
  • Issue of Military Nursing Service Pay Rules, 2017 dated 14th July 2017.

Orders for revision of pension / family pension with a multiplication factor of 2.57 to existing pension of pre-2016 retirees Defence Pensioners have been issued and all Pension Disbursing Agencies have implemented the order and released the arrears to pre-2016 Defence pensioners / family pensioners. This information was given by Minister of State for Defence Dr. Subhash Bhamre in a written reply to Shri Arvind Sawant and Shrimati Rekha Verma in Lok Sabha today.

PIB

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7th CPC Pay Matrix – Anomaly in Increment Rate & Loss in increment

Agenda item No. 1 for the meeting of the National Anomaly committee sent to NC JCM by Confederation vide No. Ref: Confdn/JCM NC/Anomaly/2016-19 Dated – 03.07.2017

Item – I – ANOMALY IN INCREMENT RATE

As per clause(C) of the terms of reference of the National Anomaly Committee – where the official side and the staff side are of the opinion that any recommendations is in contravention of the principle or the policy enunciated by the Seventh Central Pay Commission itself without the commission assigning any reason – it constitutes an anomaly.

Regarding annual increment the recommendations of seventh CPC are as follows:

(i) 7th CPC Report – Highlights of Recommendations -

SL – 7 – Annual Increment – The rate of annual increment is being retained at 3 percent.

(ii) 7th CPC Report – Forword

Para 1.19 – The prevailing rate of increment is considered quite satisfactory and has been retained.

(iii) 7th CPC Report – Chapter 4.1 -Principles of Pay determination

Para- 4.1.17 – The various stages within a pay level moves upwards at the rate of 3 percent per annum.

(iv) 7th CPC Report – Chapter 5.1 – Pay Structure (Civilian Employees)

Para 5.1.38 – Annual Increment

“The rate of annual increment is being retained at 3 percent”

Para 5.1.21 – The Vertical range of each level denotes pay progress within that level. That indicates steps of annual financial progression of 3 percentage within each level.

Contrary to the above principle laid down by the 7th CPC, the actual increment rate in the Pay levels of the Pay matrix are less than 3% as illustrated in the Table below: –

ILLUSTRATION-I – LOSS IN INCREMENT

Pay Level Sl. No. in the Pay Level (Cell) Basic Pay in the Revised Pay scale Next above Basic Pay after adding 3% increment Next above Basic Pay fixed as per pay matrix Amount of loss to the employee Actual increment rate % age
1 12 24900 25647 25600 47 2.81
1 26 37600 38728 38700 28 2.92
3 9 27600 28428 28400 28 2.89
3 16 34000 35020 35000 20 2.94
4 11 34300 35329 35300 29 2.91
4 22 47500 48925 48900 25 2.94
5 10 38100 39243 39200 43 2.88
5 20 51100 52633 52600 33 2.93
6 6 41100 42333 42300 33 2.91
6 9 44900 46247 46200 47 2.89

ILLUSTRATION – 2

In Level – 2, Cell – 2, the pay is shown as 20500. After giving one increment of 3% it should be 21115/- but the next cell is only 21000 (Level-2, Cell-3). Next stage should be 21115+633=21748 but the next cell is only 21700 (Level-2 Cell-4).

In Level – 6, Cell 14 should be 50500 + 1515 = 52015 whereas it is given only 52000.

From the above it can be safely concluded that

(i) Recommendation of the Pay Commission regarding increment rate is in contravention of the principle or policy enunciated by the 7th Pay Commission, Hence it constitutes an anomaly.

(ii) In many stages, eventhough the increment is shown as 3%, it is rounded off to the next below amount causing financial loss to the employees.

(iii) In the sixth CPC, while calculating increment, if the last digit is (one) or above, it used to be rounded off to next 10 (Ten). So in this Pay Matrix also if the amount is 10 (Ten) and above, it should be rounded off to the next above 100 (hundred).

(iv) Even if the difference may look small (in percentage) it will also have long term impact on the employees promotion inviting heavy financial loss. The following illustration will reveal it.

Illustration

1. Pay Level – 6

2. Cell (Stage) in the Pay Level – 8

3. Basic Pay in the Revised Scale – 44900

4. Actual Pay after adding 3% annual increment – 46247

5. Basic Pay fixed as per the Pay Matrix – 46200

6. Loss of amount to the employee in the increment – 47

7. Pay on promotion to next Level if fixed as per serial 4 above – 49000

8. Pay on promotion to the next level, if fixed as per serial – 5 above – 47600

9. Loss per month on promotion – 1400

Thus, for a loss of Rs.47/- only in the Annual increment, the employee will suffer a recurring loss of Rs.1400/- per month during his/her promotion to the next level and this loss will have cumulative effect on rest of the period of the service career with financial loss on Dearness Allowance (DA) and further promotions and also Pensionery benefits.

The above anomalies are to be rectified.

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Grievances of the Central Government Employees : NC JCM

Grievances of the Central Government Employees : NC JCM

NC JCM writes to the Cabinet Secretary to settle various issues, including revision of HRA

Grievances of the Central Government Employees – Secy./Staff Side writes to Cabinet Secretary

Shiva Gopal Mishra
Secretary

Ph: 23382286
National Council (Staff Side)
Joint Consultative Machinery
for Central Government Employees
13-C, Ferozshah Road, New Delhi – 110001
E-Mail : nc.jcm.np@gmail.com

No.NC/JCM/2017

Dated: March 29, 2017

The Cabinet Secretary,
Government of India,
Cabinet Secretariat,
Rashtrapati Bhawan,
New Delhi

Dear Sir,
Sub: Grievances of the Central Government Employees

Owing to serious discontentment on various retrograde recommendations of the VII CPC, there had been countrywide resentment among the Central Government Employees, and the Staff Side(JCM), under the aegis of the NJCA, had decided for an “Indefinite Countrywide Strike”, commencing from 6th July, 2016, which was deferred after negotiations with the GoMs, comprising of Hon’ble Minister for Home Affairs, Finance Minister, Railway Minister and State Minister for Railways, held on 30.06.2016, wherein it was assured that, demands of the Central Government Employees, viz. improvement in Minimum Wage and Fitment Formula, Rates of Allowances, Guaranteed Pension/Family Pension in lieu of NPS etc. would be resolved within a fixed time frame of four months, for which committees were constituted by the Government of India.

While substantial delay took place in setting-up of various committees itself, however, it is a matter of deep concern that, the committees have not yet finalized their reports despite lapse of more than eight months time.

The Staff Side had, at the very outset, opposed setting-up of Committee on Allowances, demanding upward revision and restoration of certain allowances which were recommended to be abolished by the 7th CPC, nevertheless, the government on the contrary constituted the said committee.

It may be recalled that, it has been an established convention in the past also that, payment of the revised rates of the allowances is done w.e.f. the date of implementation of the report of the Central Pay Commission, but this time, unlike previous occasion, the Central Government Employees are still being paid House Rent Allowance, Transport Allowance etc. on the pre-revised rates.

It was being expected that, Committee on Allowances would complete its proceedings within the fixed timeframe and the CGEs would be paid allowances on the revised rates w.e.f. the date of implementation of the 7th CPC report, but unfortunately, it is being delayed inordinately, owing to which there is serious resentment brewing among the CGEs.

While Committee on Allowances also met on the previous day, i.e. 28.03.2017, and we were expected that it would finalize its recommendations in the said meeting, but on enquiring we have been made to understand that, the issue of revision of rates of HRA was even not discussed in the said meeting.

We, therefore, take this opportunity to apprise you that, unjustified and inordinate delay in finalizing the reports of the committees is not only breach of the assurance given to the Staff Side by the GoMs, but also creating an uncongenial atmosphere among the CGEs.

It would, therefore, be quite appropriate that, the issue may be considered with all seriousness as per assurance given to the Staff Side, and revision of the rates of the allowances, NPS, Minimum Wage and Fitment Formula and Pension/Family Pension, along with restoration of certain allowances abolished by the 7th CPC, be finalized without further loss of time in the larger interest of industrial harmony in the country.

With Kind Regards!

Yours faithfully,
sd/-
(Shiva Gopal Mishra)
Secretary

Source: www.ncjcmstaffside.com

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Meeting with the Staff Side (JCM) on the recommendations of the 7th CPC and their implementation

Meeting with the Staff Side (JCM) on the recommendations of the 7th CPC and their implementation.

Shiva Gopal Mishra
Secretary

No.NC/JCM/2016

Ph.: 23382286

National Council (Staff Side),
13-C, Ferozshah Road, New Delhi – 110001
E Mail : ncjcm.np@gmail.com

Dated: December 29, 2016

The Addl. Secretary(Exp.),
Department of Expenditure,
Ministry of Finance,
North Block,
New Delhi

Dear Sir,

Sub: Meeting with the Staff Side (JCM) on the recommendations of the 7th CPC and their implementation.

We had our last meeting on 24th October, 2016, wherein, while concluding, it was assured that, you would consult the Secretary (Expenditure) and would hold next meeting shortly. It is quite unfortunate that, so far much time have passed and nothing has been heard from your end.

Inordinate delay in Revision of Minimum Wage and Fitment Formula is creating lots of problems, and the Central Government Employees are agitated because this issue had been agitating their minds since implementation of 7th CPC Report

You are, therefore, requested to call a meeting with the Staff Side(JCM) to discuss and resolve these issues at the earliest.

With Kind Regards!
Sincerely yours,
(Shiva Gopal Mishra)

Source : ncjcmstaffside

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7th CPC Report : Revision of Minimum Wage and Multiplying Factor etc., Assurance given by Senior Ministers

7th CPC Report : Revision of Minimum Wage and Multiplying Factor etc., Assurance given by Senior Ministers

No.IVA {JCA (Ny2014/Part III)}

Dated: 27.12.2016

Shri Narendra Modiji,
Hon’ble Prime Minister of India.
South Block,
Raisina Hill,
New Delhi-110001

Respected Sir,
Sub: 7th CPC Report – Revision of Minimum Wage and Multiplying Factor etc., Assurance given by Senior Ministers-reg.

NFIR brings to your kind notice that the National Joint Council of Action (NJCA) – consisting JCM constituent organizations of Central Government employeesthhave deferred the Indefinite Strike action on the assurance of Senior Cabinet Ministers on 30th June 2016 that a High Level Committee will be constituted to consider the demands of JCM (Staff Side) within four months for improving the minimum wage and applying revised multiplier factor for pay fixation in 7ft CPC Pay Matrices to the Central Governmentimployees wtrictr include over 1.3 million Railway employees.

Pursuant to the assurance of Group of Ministers as mentioned above, the decision to go on indefinite strike by Railway employees has been deferred, hoping that there shall be a negotiated settlement on the Charter of demands already submitted to the Cabinet Secretary by the JCM (Staff Side).

NFIR however expresses its deep sense of disappointment over breach of commitment as more than five months passed from the date of assurance given to the Leaders of JCM (Staff Side) by the Group of Ministers (Hon’ble Finance Minister, Home Minister, Railway Minister and Minister of State for Railways). The Railways specific issues on which agreement was reached between the Railway Board and the Federations have also not been implemented till date.

The Railway employees of all categories are greatly disappointed over non-fulfillment of assurances, consequently, there has been a feeling among Rail workforce that the Government is not sensitive towards resolving their genuine grievances and equally not sincere to honour its commitments.

NFIR also beings to your kind notice that even though the successive Railway Ministers have sent proposals to Finance Minister that Railways should be exempted from National Pension System (NPS) in view of complexities, unique nature of working of Railway employees and their arduous working conditions, the Government has not given its approval till now, resultantly, the Railway employees who had joined from 01/01/2004 are extremely agitated as there is no social security to them and their families in the form of guaranteed pension at par with those appointed prior to 0110112004. The unique nature of duties are comparable with Defence Forces Personnel. The death rate of Railway employees in the course of performing duties is 700 per aturum and the average number of staff injured on duty is about 3000 per annum as reported by the High Level Safety Review Committee headed by Dr. Anil Kakodkar.

NFIR further brings to your kind notice that the Indian Railways has the track record of dedicated working on account of unquestionable loyalty, dedication and devotion of Railway employees to Indian Railways. Most of them perform duties at remote places, jungle areas where minimum living facilities are not available. It needs to be appreciated that not a single man day was lost on employees’ account during the past four decades.

NFIR, therefore, requests your kind intervention in ensuring that the Government implements its commitments on revision of minimum wage and multiplier factor for the Central Governrirent employees which include rail workforce. Federation also requests that other issues which are pending before various Committees constituted by the Government may be got finalized on the basis of submissions made by JCM (Staff Side) before those Committees and also before the Cabinet Secretary. NFIR at the same time requests to kindly arrange to issue appropriate directive for solving Railways’ specific issues through negotiated settlement very soon. Also kind attention of Hon’ble Prime Minister is invited to NFIR’s communication vide letter of even number dated 0111112016 and subsequent reference by the PMO to the Secretary, Department of Expenditure (Ministry of Finance) vide PMO ID No. PMOPG//D1201610326695 dated04lIl12016, endorsing copy to the Federation, in this regard.

With regards,

(Dr. M. Raghavaiah)
General Secretary

Copy to Shri Rajnath Singh, Union Home Minister, Government of India, Room No. 104, North Block, Central Secretariat, New Delhi-110001 for necessary action please.

Copy to Shri Arun Jaitley, Hon’ble Finance Minister, Government of lndia, North Block New Delhi- 1 I 000 I for necessary action please.

Copy to Shri Suresh Prabhu, Hon’ble Minister for Railways, Government of India, Rail Bhavan, New Delhi for necessary action please.

Copy to Shri Manoj Sinha, Hon’ble Minister of State for Railways, Government of India, Rail Bhavan, New Delhi for necessary action please.

Source: NFIR

Be the first to comment - What do you think?  Posted by admin - December 30, 2016 at 10:12 am

Categories: 7CPC   Tags: , , , , ,

Memorandum to Committee of Secretaries Regarding Allowances as per 7th CPC Report – IRTSA

INDIAN RAILWAYS TECHNICAL SUPERVISORS ASSOCIATION
(Estd. 1965, Regd. No.1329, Website http://www.irtsa.net )

M. Shanmugam,
Central President, IRTSA
# 4, Sixth Street, TVS Nagar, Padi, Chennai  600050.
Email: cpirtsa@yahoo.com
Mob: 09443140817

Harchandan Singh,
General Secretary, IRTSA,
C.Hq. 32, Phase 6, Mohali, Chandigarh-160055.
Email-gsirtsa@yahoo.com
(Ph:0172-2228306, 9316131598)

No: IRTSA/CHQ/Memo/CPC-All-2016-15

Date: 12-09-2016

1. Finance Secretary & Secretary (Expenditure), North Block, New Delhi- 110001. Email: secy-exp@nic.in

2. Secretaries of Home Affairs, North Block, New Delhi – 110001 Email: hshso@nic.in

3. Secretary Defence, 101 South Block, New Delhi – 110001 Email: defsecy@nic.in

4. Secretary Post, Deptt. of Post, Sanchar Bhawan, Sansad Marg, New Delhi 110001 Email: secy-posts@nic.in

5. Secretary Health & Family Welfare, Nirman Bhawan, New Delhi – 110001 Email: secyhfw@gmail.com

6. Secretary Personnel & Training, North Block, New Delhi – 110001 Email: secy_mop@nic.in

7. Chairman, Railway Board, Rail Bhawan, New Delhi – 110001. Email: crb@rb.rail.net.gov.in

For kind consideration of the Committee of Secretaries on Allowances

Respected Sir,

Subject: 7th CPC Report – Reg. Allowances

Reference: Para 7 of Resolution of MOF GOI Notification No. 1-2/2016-IC Dated 25-7-2016

We have to submit as under for the kind consideration of the Committee on Allowances:

1. Seventh CPC in its report has categorized 196 allowances under 15 categories. Common allowances viz., Dearness Allowance, House Rent Allowance, Transport Allowance, Tour Travelling Allowance and Children Education Allowance, which fall under 3 categories i.e. Common Allowances, Department Specific Allowances and Category Specific Allowances.

Allowances are administered in broadly four ways

i. Indexed fully DA

ii. Indexed partially DA

iii. No DA indexation

iv. Percentage of Basic Pay

2. UNJUST AND ARBITRARY RECOMMENDATIONS:

a) It is regretted that none of the Allowances were dealt in detail and the Commission had recommended for abolition of 52 allowances without even going into the merit or justification of either of them.

b) Recommendations made by 7th CPC on allowances were not based on a just approach and there is need to review & revise the recommendations of 7th CPC on all allowances.

3. None of the previous Pay Commissions had ever dealt with the issue in such a ruthless, arbitrary and unjust manner, without even applying its mind to such a vital issue which affected lakhs of employees. All these Allowances had been granted as per statutory provisions of law and specific justifications and on the recommendations of the previous Pay Commissions or High Powered Committees on the specific issues.

As such, no allowances should be abolished and it should be left to the respective departments for the continuance of allowances as per nature of duties & job requirements.

4. CLASSIFICATION OF EXISTING ALLOWANCES:

As mentioned by the Pay Commission, the existing Allowances can be broadly classified as under:

SlNo. Category Number of Allowances
1 Allowances payable for Additional/Extra Duty 14
2 Allowances related to Knowledge Updates 3
3 Allowances related to Deputation 3
4 Allowances related to Working on Holidays 3
5 Allowances related to Housing 7
6 Allowances related to Good Service 4
7 Qualification Allowances 15
8 Allowances related to Risk and Hardship 51
9 Allowances for Running Staff of Indian Railways 13
10 Allowances related to Sports 2
11 Sumptuary Allowances 5
12 Allowances related to Training 2
13 Allowances related to Travel 13
14 Allowances related to Uniform 9
15 Other Allowances 52
Total 196

5. UNJUST FACTOR OF 2 ADOPTED BY 7TH CPC TO CALCULATE ALLOWANCES IN 7TH CPC SCALE (Para 4 of Chapter 8.2.5)

a. 7th CPC has used unjust factors to arrive at quantum of allowances in new pay.

b. Multiple Factor (of 2.57 recommended by 7th CPC – as may be revised by the Govt.) for revision of pay by 7th CPC be used for revision of allowances paid in fixed amount.

c. Factor of 80% of MF be used for allowances that are indexed partially with DA.

d. Factor of 40% of MF be used for allowances that are indexed fully with DA.

e. Factor of 1 be used for allowances that are paid on percentage of Basic Pay.

SN Nature of Allowance Factor recommended by 7th   CPC Factor proposed   *
1 Allowances that are paid in fixed amount not indexed with DA 2.25 2.57
2 Allowances that are paid in fixed amount indexed partially with DA 1.5 2
3 Allowances that are paid in fixed amount indexed fully with DA No change 1.4
4 Allowances that are paid in percentage of Basic Pay 0.8 1

* Multiple factor recommended by 7th CPC (or) as may be revised by the Govt.

6. ALLOWANCES APPLICABLE TO RAILWAYS

1. Sub: PCO ALLOWANCE (para 8.17.101) – Reduction recommended by 7th CPC is unjust and should not be implemented:

a. Incentive system followed in Indian Railways is unique for its system & within Railway Budget. The system is cost effective since it improved the productivity by better utilization of men, machine & infrastructure. By introducing incentive system in the Production Units & Workshops, Indian Railways improved its efficiency.

b. Technicians, Junior Engineers, Senior Section Engineers & helpers working in shop / section are included in the incentive system. Direct Incentive (at piece rate) is being paid to Technicians working in four grades. Average incentive based on the performance of individual shop / section is being paid to helpers & Junior Engineers. Technicians, helpers and Junior Engineers are paid at hourly rates as per RBE No.194/2009. Senior Section Engineers working in shop floor are paid 15% of their basic pay as incentive.

c. Junior Engineers & Technicians who are posted in production control organization on tenure basis in the same grade are eligible for PCO allowance in lieu of incentive at the rate of 15% of their basic pay. Likewise Senior Section Engineers who are posted in production control organization on tenure basis are eligible for PCO allowance in lieu of incentive at the rate of 7.5% of their basic pay.

d. Revision of incentive rates along with productivity improvement by reducing allowed time is being done in Railways after the implementation of every Pay Commission recommendations in a holistic manner.

e. In the year 1999 while revising the incentive rates 12.5% fatigue & contingency allowances were reduced from the allowed time. In the year 2009 while revising the incentive rates 5% allowed time had been reduced across the board. Effectively 17.5% of additional man power and corresponding additional infrastructure were made available to improve the productivity.

f. Incentive rates & PCO allowance are integral part of Incentive system being followed in Railways. Revision of incentive rates & PCO allowance have to done at same time by taking all factors including productivity improvement into consideration.

g. Hence 7th CPC’s recommendations on PCO Allowance may please be ignored and the same be continued to be paid at the existing rates of 15% & 7.5% of new basic pay respectively.

2. BREAKDOWN ALLOWANCE (para 8.10.8 & 8.10.80) Recommended for abolition needs to be continued:

a. 7th CPC has recommended for abolition of Breakdown allowance stating that it is part of Government employees’ duty to respond to emergencies.

b. Breakdown Allowance is being paid to the employees who constitute breakdown squad. Work down during breakdown is not of routine nature and it requires special skill to restore railway operation in case of emergency.

c. It also fixes responsibility to breakdown squad to respond immediately to any emergencies as per laid down procedures.

d. It is therefore requested to continue Breakdown allowance atleast equal to one day basic pay rounded off to next hundreds as per the table given below.

Proposed Rates of Break Down Allowance:

S.No. Category Revised Pay Structure Amount of Break down Allowance/month Proposed
BD Allowance
Pay
Band
Grade
Pay
1 Helper & Gr ‘D’ staff PB-1 1800 Rs.80 p.m. Rs.600
2. Technician Gr.III PB-1 1900 Rs.120 p.m. Rs.700
3 Technician Gr.II Technician Gr.I PB-1

PB-1

2400 & 2800 Rs.160 p.m. Rs.900
4. Sr. Technicians  Junior Engineers and Senior Section Engineers PB-2 4200 & 4600 Rs.200 p.m. Rs.1200

3. NATIONAL HOLIDAY ALLOWANCE (para 8.6.11):

a. National Holiday Allowance (NHA) is paid to the Group ‘C’ Staff – when they are required to work on National Holiday. Rate of NHA is already very marginal, 7th CPC has further reduced it in terms of percentage to entry basic pay.

b. It is requested that

i. National Holiday Allowance be paid at least equal to one day wage including DA (or)

ii. Percentage to entry basic pay applied in 6th CPC shall be applied for 7th CPC basic pay as given in the table. It should be paid for working on holidays including Sundays if the employees are not given compensatory rest, and NDA may please be raised further by 25% each time DA increases by 50%.

Desg

6th CPC 7th CPC

Proposed

Entry BP NH % to BP Pay Level Entry  BP NH
Recommended
by 7th CPC
%to BP Applying 6th CPC% One Day
Pay 7th CPC
BP+DA
Helper 7000 256 3.7 L1 18000 384 2.1 658 600+DA
TechGr
-III
7730 256 3.3 L2 19900 384 1.9 659 663+DA
TechGr
-II
9910 318 3.2 L4 25500 477 1.9 818 850+DA
TechGr
-I
11360 420 3.7 L5 26200 477 1.8 969 873+DA
Sr.Tech 13500 420 3.1 L6 35400 630 1.8 1101 1180+DA
JE 13500 420 3.1 L6 35400 630 1.8 1101 1180+DA
SSE 17140 420 2.5 L7 44900 630 1.4 1100 1497+DA

4. TEACHING ALLOWANCE – be paid 30% of Basic pay (para 8.14.8 & 8.14.9):

a. Given to all non-permanent faculty members joining training institutions on deputation.

b. In 1986 when this allowance was introduced 30% of total emoluments were granted. Fourth CPC reduced it to 30% of basic pay. In the year 1991-92 due to the resource crunch, the allowance was reduced to 15 % of basic pay.

c. Training allowance is granted to non-faculty members, to attract more intelligent and knowledgeable persons to the training institutes. Due the availability of incentive schemes and other benefits the present rate of Training allowance does not motivate intelligent and knowledgeable persons to join Training institutions.

d. Even though Sixth Pay Commission had not recommended for any change in % of basic pay paid as Training Allowance, Railways / Government have made principle decision to increase the Training Allowance from 15% to 30% keeping in view the necessity to attract more talent & expertise faculty to the Training Institutions, but still the decision has not been implemented.

e. But, 7th CPC has proposed to reduce the teaching allowance for existing 15% to 12% for non permanent training faculties’ working in various training institutes for non Gazteed staff.

f. In the present fast technological improvement scenario to attract intelligent and knowledgeable persons to the training institutions, the Training allowance should be restored to 30 % of basic pay and Eligibility for maximum period of five years recommended by 7th CPC should be ignored since many of Railway training institutes are having eight year tenure for teaching faculties.

5. RISK & HARDSHIP ALLOWANCE (para 8.10.64):

Recommendations on Risk Allowance by previous Pay Commission a narration

Second

CPC

Recommended Rs.3 to unskilled staff working in Defense and Railways whose work was exceptionally heavy or whose normal duty involved special risks such as those of chemical process or those who handled explosives. Also extended to sweepers working in underground sewers.
Third CPC Recommended Rs.10. Included semi skilled workers worked in boiler plants and cold storage plants.
Committee on Risk allowance Classified   the   beneficiaries   into   four   categories,   namely,   Semi-skilled,   skilled, supervisors and Certain gazetted and non-gazetted officers. The rate ranged from Rs.15 to Rs.100 per month.
Fourth CPC Recommended 100% increase in the existing rates.
Fifth CPC a)   Contingent Risk Relate to one-time events where the event is uncertain.

b)   Continuous  Risk  Situation  where  the  risk  is  inherent  and  continuous  in  the occupational itself with adverse effects on health.

c)   Fifth  CPC  recommended  Risk  allowance  for  those  categories  which  fall  under sl.no.2.

d)   It also de-notified some of categories.

e)   Recommended Risk allowance ranged from Rs.40 to Rs.300.

Sixth CPC 6th  CPC opinioned that risk factors in any job should be removed instead of making  allowance for them and all other conditions of work should be taken care in the pay scale itself.
But Sixth CPC didn’t followed its own recommendations and granted common pay scales for all non technical, technical and staff who works in open to sky areas.

a. On the Railways, especially in open line depots and yards, exposure to hot sun, heavy rain, cold climate and unhygienic open to sky work areas particularly, presence of human excreta are having continues inherent health risks as part of their occupation itself, that cannot be eliminated.

b. There are other areas which are having continuous inherent risk in their occupation – for example:

i. In Welding shops, Paint shops, Forge & Smith shop, Electroplating shops in Workshops and Production Units of Indian Railways having adverse effects of health.

ii. In Diesel Shed exposure to high noise to the decibel level of 180, working temperature around 50 degree centigrade and air pollution beyond permissible levels.

iii. In Track maintenance exposure to hot sun, heavy rain, cold climate and unhygienic open to sky working, presence of human excreta and other non-biodegradable wastes having inherent health risks.

iv. C&M Staff exposed to radiations like X-ray and many Chemicals.

c. It is therefore requested to extend Risk & hardship allowance to sheds & depots and open line Technical staff &Technical Supervisors as per medium & low risk factors of Risk & hardship Matrix recommended by 7th CPC.

6. Internet Allowance, Mobile Phone Allowance (para 8.17.61):

a. 7th CPC left it to individual departments / ministries to deal with internet, mobile & newspaper allowance. Indian Most Railways employees are using their individual mobile and / or internet to perform the official duty.

b. It is therefore requested that all the non-supervisory employees may please be granted with Rs.500 and Technical Supervisors may please be granted Rs.1000 as communication allowance. Or all supervisors may please be provided with CUG connections with free talk time of Rs.1000 per month.

7. Night Duty Allowance (para 8.17.77):

a. 7th CPC recommended for continuing the present formulation of weightage of 10 minutes for every hour of duty performed between the hours of 22.00 and 06.00. Hourly rate of equal to (BP+DA)/200 also continued.

b. It is requested that Formulation of weightage of 10 minutes for every hour of duty performed between 22.00 and 6.00 hours may please be changed to 20 minutes for every hour of duty performed between 18.00 and 6.00 hours in view of hazards of work during Night Shift.

7. GENERAL ALLOWANCES APPLICABLE TO ALL CENTRAL GOVERNMENT EMPLOYEES

1. DEARNESS ALLOWANCE (para 8.17.37)

a. The existing formula for DA is weighed heavily against the employees in view of following reasons:

b. All India Consumer Price Index (Industrial Workers) on which the presently based, is itself defective in so far as the weightage give to various items is arbitrary and not based on present day requirement.

c. By changing the base year to 2016 whatever advantage that had emerge out of the 7th Pay commission will be neutralized. for example the DA as on 1-7-2016 works out to be 7% on previous base year which would have been Rs.490 on the old Basic Pay of Rs. 7000 but it would now be only Rs. 360 i.e. 2% of new Basic Pay of Rs.18000.

d. Most importantly, the fraction of %age rise is totally ignored while declaring the revised DA. This considerably erodes the real wage every time the DA is revised. (For example the %age rise of Price Index from 1-1-2016 works out to be 2.92 but the DA as per existing system would be only 2% thus resulting in 0.92% erosion of Pay & Pension in the very first year of 7th CPC)

e. This is against the Law of Averages which lays down the principle that for rounding off the fraction below half may be ignored and the fraction more than half should be rounded off to the next higher point.

f. In any case, the fraction ignored in previous half year should be added in the next half year (for example the Average Price Index was 125.83 at the end of December, 2016. But the fraction of 0.83 was ignored and Pay rise was given only on 125%. The balance of 0.83% should be added to 2.92 for calculation the DA from July, 2016 thus DA @ 3% instead of 2% fro 1-7-2016).

It is, therefore, requested as under)

a) Weight-age given to various items in the All India Consumer Price Index, may please be modified as per present day requirements.

2. HOUSE RENT ALLOWANCE (para 8.7.3 to 8.7.16)

House rent allowance recommended by 7th CPC is inadequate

Sl.No. Classof
City
Existing
Population criteria
Existing rates as percentage of BP Proposed
Population criteria
Proposed
Ratesof H.R.A.
a “x” Class 50 Lakhs & above 30% “A1” 25 Lakhs &
above
40%ofPay
+D.A.
b ‘y” Class 50 -5 Lakhs 20% “A” 5 to 25 Lakhs 30%ofPay+
D.A.
c “Z”

Class

Below 5 lakhs 10% “C” & Unclassified

Below 5 Lakhs

20%ofPay
+D.A.

3. TRANSPORT ALLOWANCE (8.15.44 to 8.15.54)

10% of Pay + DA be granted as Transport Allowance uniformly for all cities in India since the cost of fuel is almost equal in all cities and other areas.

Transport Allowance may please be revised as under:

Pay Level Higher TPTA Cities Other Places Proposed Rate  of Transport
Allowance per month
9 and above 7200 + DA 3600 + DA 10%ofPay+DA
3 to 8 3600 + DA 1800 + DA
1 and 2 1350 + DA 900 + DA

4. CHILDREN EDUCATION ALLOWANCE SCHEME & HOSTEL SUBSIDY (para 8.17.11 to 8.17.17)

Grant of Children Education Assistance and Reimbursement of actual Tuition Fee or 2.57 times of existing rates & Extension of the scheme.

a. Under the Scheme of Children Education Allowance reimbursement is granted to Government Servants upto a maximum of two children and for children from classes nursery to twelve, including classes eleventh and twelfth held by junior colleges or schools affiliated to Universities or Boards of Education. Annual ceiling of Rs.12,000 per child has been increased to Rs.18,000 per child when the DA crossed 100% in 6th CPC scale.

b. Limiting the scheme only upto 12th standard is also graciously inadequate, since expenses for higher education & professional education are (even in Government institutions) very high and getting out of reach of salaried people.

c. It therefore requested that

i. Actual expenses incurred towards Children Education shall be reimbursed or the existing CEA Rs.18000 shall be indexed by 2.57 to Rs.46,260.

ii. The scheme may please be extended to college education also.

iii. Children Education Allowance & Hostel Subsidy shall be allowed to avail concurrently.

5. Fixed Medical Allowance (para 8.17.52):

Considering the high cost of medical treatment in old age FMA should be raised from the present level of Rs.500 to Rs.2000 and it should be paid to all the retired employees without any restriction.

6. Family Planning Allowance (para 8.17.50 ) Recommended for abolition needs to be continued

a. Family planning allowance initially granted the amount equal to one increment of the pay scale the employee belongs, but subsequently it has been reduced considerably and the rate granted after Sixth Pay Commission is very meagre as given below,

b. It requested to grant Family Planning Allowance at least equal to one increment in the revised scale, or it should be indexed by the factor of 2.57 and rounded off to next hundred as given in table below.

Sl.
No.
NameofPay
Band/Scale
PayBands Grade
Pay
Existing rates of family planning allowance Proposed rate of family planning allowance
1 -1S 4440-7440 1300 210 600
2 -1S 4440-7440 1400
3 -1S 4440-7440 1600
4 -1S 4440-7440 1650
5 PB-1 5200-20200 1800
6 PB-1 5200-20200 1900
7 PB-1 5200-20200 2000
8 PB-1 5200-20200 2400
9 PB-1 5200-20200 2800 250 700
10 PB-2 9300-34800 4200 400 1100
11 PB-2 9300-34800 4200
12 PB-2 9300-34800 4200
13 PB-2 9300-34800 4200
14 PB-2 9300-34800 4200
15 PB-2 9300-34800 4600 450 1200
16 PB-2 9300-34800 4800 500 1300
17 PB-2 9300-34800 5400 550 1500
18 PB-3 15600-39100 5400
19 PB-3 15600-39100 5400
20 PB-3 15600-39100 5400
21 PB-3 15600-39100 6600 650 1700
22 PB-3 15600-39100 6600
23 PB-3 15600-39100 6600
24 PB-3 15600-39100 7600 750 2000
25 PB-3 15600-39100 7600
26 PB-3 15600-39100 7600
27 PB-4 37400-67000 8700 800 2100
28 PB-4 37400-67000 8700
29 PB-4 37400-67000 8900 900 2400
30 PB-4 37400-67000 8900
31 PB-4 37400-67000 10000 1000 2600
32 PB-4 37400-67000 10000

IV. ALLOWANCES WHICH ARE NOT CONSIDERED BY 7TH CPC.

1. Sub: Grant of PCO Allowance / Incentive Bonus to Technical Staff Supporting Shops / Sections (including  CMT / (C & M Lab), Drawing / Design, IT Power Supply & Stores etc)  in Railway Workshops & Production Units  Treating them as part of Inspection, Planning & Progress wings of PCO.

a. Technical Staff in Drawing / Design Office, CMT/ (M & C Lab), IT, Stores, Maintenance & Power Supply etc., in Railway Workshops & Production Units play important roles in improving the production & productivity through upkeep & maintenance of machinery, plants & equipments; improved Tools, Templates, Jigs & Fixtures & designing of components & prototypes of Rolling Stocks; ensuring uninterrupted supply of Power and requisite Stores; and effective quality control through intensive inspection & Testing (including 100% Testing in many areas of in house production) to ensure correct chemical composition & metallurgical qualities as per specifications etc.

b. But all these staffs are not paid either any Incentive Bonus or the PCO Allowance like the other Technical Supervisors & Staff in the PCO (Production Control Organisation). Thus they get less take home pay than the rest of the technical staff in the Workshops & Production Units, inspite of substantial contribution & technological inputs to the productivity. This is against the principle of “equal work equal pay” and discriminatory.

c. It is, therefore, requested that the Technical Staff in Supporting Shops / Sections (including CMT / (C & M Lab), Drawing / Design, IT, Maintenance, Power Supply & Stores etc) – in Workshops & Production Units be treated as part of Inspection Planning & Progress wings of PCO & paid either the PCO Allowance or Incentive Bonus as EIW Staff – at par with their counterparts working in PCO / Shop floor.

2. DESIGN ALLOWANCE

a. Fifth Pay Commission ( vide Para 50.19 ) had recommended for grant of Design Allowance of Rs.300 for Junior Engineers and Rs.600 for Assistant Engineers and the Recommendation was accepted by the Government and implemented in the CPWD ( vide their letter No. 15/4/98-DW(S&D)547-1000 dated 9.6.2000), but the same was not implemented by the Railways although the JEs & SSEs in the Drawing & Design Offices on the Railways do a lot of designing work as mentioned in details in annexure of this report. This is very unjust and discriminatory.

b. It is therefore requested to kindly recommend for grant of Design Allowance to the JEs & SSEs in the Drawing & Design Office on the Railways – at par with their counterparts in the CPWD.

3. GRANT OF SPECIAL PAY or IT ALLOWANCE

a. To get the maximum advantage from the latest Information Technology the Railways had to induct talented IT Engineers who are in possession of not only the domain knowledge of the functioning of the day to day working of the Zone, Division & workshop; but also additionally the skill and aptitude for and possessing I.T Skills for manning and administering the Computer Centres started in different Workshops and Divisions.

b. The different Zonal Railway Administrations have formed IT Centres by inducting good number of Technical Supervisors / Supervising Engineers and other Technical Personnel (in addition to staff from other categories) from the Workshops / Divisions – (preferably) possessing higher qualifications like B.E. / AMIE etc. Computer Aptitude Test and gave them specialized training in various computer aspects for efficient maintenance of EDP Centres as well as different M.I.S Application Packages. There is also element of Direct Recruit in the Grade Of Junior Engineer/IT & Senior Engineer/IT.

c. These IT Engineers have been performing the sophisticated jobs without any Special Pay which is in vogue for other categories of staff for performing special types of jobs like imparting training in the Training Organisation on Railways.

d. It is therefore requested that to grant Special Pay or IT Allowance to Junior Engineers/IT & Senior Engineer/IT to attract and retain talented personnel in this new horizon of Information Technology.

4. CCA – CITY COMPENSATORY ALLOWANCE

a. CCA – City Compensatory Allowance should be restored to meet the peculiar needs especially of the big cities and Metros, towards payment of Professional Taxes to the Local Governments/Local Authorities, Miscellaneous expenses, higher expenses of children for attending to distant schools and colleges, etc

b. CCA be linked to the Consumer Price Index or D.A. The rates of CCA be automatically increase by 25% whenever the Dearness Allowance goes up by 25%.

PROPOSED RATES OF C.C.A.

Sl.No. Class of City Proposed Rates of  C.C.A.
a “x” Class 15%ofPay+D.A
b “y” Class 10%ofPay+D.A
c “Z” Class 8%ofPay+D.A

Thanking You

Yours faithfully,

sd/-
Harchandan Singh,
General Secretary, IRTSA

Source : IRTSA

Be the first to comment - What do you think?  Posted by admin - September 15, 2016 at 11:27 am

Categories: 7CPC   Tags: , , ,

7th CPC Pension Calculation : Implementation of First Option after Committee Report

7th CPC Pension Calculation : Implementation of First Option after Committee Report

“Revision of pension using the second option based on fitment factor of 2.57 be implemented immediately. The first option may be made applicable if its implementation is found feasible after examination by the Committee”

Revision of Pension of pre 7tn CPC retirees : The Commission recommends the following pension formulation for civil employees including CAPF personnel who have retired before 01.01.2016

(i) All the Civilian personnel including CAPF who retired prior to 01.01.2016 (expected date of implementation of the Seventh CPC recommendations ) shall first be fixed in the Pay Matrix being recommended by this Commission, on the basis of the Pay Band and Grade Pay at which they retired, at the minimum of the corresponding level in the matrix. This amount shall be raised, to arrive at the notional pay of the retiree, by adding the number of increments he / she had earned in that level while in service, at the rate of three percent. Fifty percent of the total amount so arrived at shall be the revised pension.

(ii) The second calculation to be carried out is as follows. The pension, as had been fixed at the time of implementation of the VI CPC recommendations, shall be multiplied by 2.57 to arrive at an alternate value for the revised pension.

(iii) Pensioners may be given the option of choosing whichever formulation is beneficial to them. It is recognized that the fixation of pension as per formulation in (i) above may take a little time since the records of each pensioner will have to be checked to ascertain the number of increments earned in the retiring level. It is therefore recommended that in the first instance the revised pension may be calculated as at (ii) above and the same may, be paid as an interim measure. In the event calculation as per (i) above yields a higher amount the difference may be paid subsequently.(Para 10.1.67 and Para 10.1.68 of the Report)

Both the options recommended by the 7th Central Pay Commission as regards pension revision be accepted subject to feasibility of the implementation. Revision of pension using the second option based on fitment factor of 2.57 be implemented immediately. The first option may be made applicable if its implementation is found feasible after examination by the Committee comprising Secretary (Pension) as Chairman and Member (Staff). Railway Board, Member (Staff), Department of Posts, Additional Secretary & Financial Adviser, Ministry of Home Affairs and Controller General of Accounts as Members

Authority: http://www.pensionersportal.gov.in/

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7th CPC Report – Minimum wage and Multiplier Factor for CG Employees

Seventh CPC Report – Minimum wage and Multiplier Factor for Central Government Employees

 

No. IV/NFIR/7th CPC(Imp)/2016/MoF

Dated : 01/08/2016

Shri Arun Jaitley,
Hon’ble Finance Minister,
(Government of India),
North Block,
Raisina Hills,
NewDelhi- 110001

 

Dear Sir,

Sub: Seventh CPC Report – Minimum wage and Multiplier Factor for Central Government Employees – reg.

 

At the outset, NFIR conveys its sincere thanks to you for the statement issued by the Finance Ministry at 20:50 Hrs on 6th July 2016 that the issues relating to pay scales raised would be considered by a High Level Committee. NFIR is also thankful for your free and frank discussions with us on 30th June 2016 at the residence of Hon’ble Home Minister wherein Hon’ble Railway Minister Sh. Suresh Prabhu, Hon’ble Minister of, State for Railways Sh. Manoj Sinha, took part.

 

NFIR further mentions that the Finance Ministry has since issued notifications on the basis of Union Cabinet’s decisions dated.29th June 2016 for implementation of revised Pay Matrices and pay fixation etc. The Railway employees numbering over 1.3 million are anxiously awaiting for setting up of High Level Committee which would facilitate Employees’ Federations to explain the logic and merits for revision of minimum wage and the multiplier factor.

 

The NFIR, therefore, requests you to kindly take initiative for constituting High Level Committee at the earliest. It may also be appreciated that the “strike action” by the Central Government Employees which include Railway employees was deferred on the night of 6th July 2016, after the statement for setting up of the High Level Committee was released by the Finance Ministry. In view of this, it would be necessary to set up the High Level Committee without further delay.

 

With regards,

Yours faithfully,

sd/-
(Dr. M. Raghavaiah)
General Secretary

Source : NFIR

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7th CPC REPORT & NDA GOVERNMENT

7th CPC REPORT & NDA GOVERNMENT

M. Krishnan, Secretary General,

Confederation of C. G. Employees & Workers

Report of the 7th Central Pay Commission (CPC) headed by Retired Supreme Court Justice, Ashok Kumar Mathur was submitted to Government on 19th November 2015 after 21 months. The Union Cabinet announced its decision to implement the recommendations on 29th June 2016. Through the press release circulated to media and the statement of Finance Minister, the Government made a calculated move to create an impression among the public that the Modi Government is magnanimous enough to extend big bonanza to the Central Government employees. Eventhough, immediately after submission of the 7th CPC report, the Joint Council of Action of Central Government Employees (NJCA) representing Railways, Defence and Confederation including Postal had submitted a memorandum to Government demanding modifications of the retrograde recommendations of the 7th CPC, the Government while announcing its decision, rejected all the demands raised by the staff side.

The 7th CPC recommended only Rs.18000/- as minimum pay by arbitrarily modifying and manipulating Dr. Aykroyd’s Need based minimum wage formula on untenable premises and incorrect data. The main demand of the NJCA is to re-compute the minimum wage on the basis of actual commodity prices as on 01.07.2015 and factor Dr. Aykroyd formula stipulated percentage for housing, social obligations and children’s education etc. and to revise the fitment formula and all pay scales on the basis of the so determined minimum wage. The methodology adopted by 7th CPC is irrational, imaginary and even absurd.

The Government’s claim that big increase is given to the employees is totally false. In para 4.2.9 of the report, the 7th CPC has given a table depicting the percentage of increase provided by the successive pay commissions appointed after independence. According to the table, the 2nd CPC has made a paltry increase of 14.2.% (1960), the 3rd CPC gave a rise of 20.6% (1973), the 4th CPC 27.6% (1986), the 5th CPC 31% (1996) and 6th CPC 54% (2006) whereas the average increase granted by 7th CPC is only 14.29% (2016), while the percentage increase had been in ascending order all along, the 7th CPC has sought to reverse that trend. The megre increase recommended and accepted by the Government without any change is the worst ever any pay commission has recommended since 1960. In 1960 five days historic strike of entire Central Government employees took lace demanding modifications of 2nd CPC recommendations.

Another claim of the Government is that it has accepted the recommendations of the 7th CPC to increase the existing salary by 2.57 times !!!. This is a totally misleading propaganda. The existing basic pay of a lowest level employee of the Central Government called Multi-Tasking staff (MTS) is 7000 plus 125% Dearness Allowance as on 01.01.2016. Thus the total salary as on 1st January 2016 is 7000 + 8750 DA = 15750. The Minimum pay recommended by 7th CPC is 18000 i.e; the actual increase in salary is Rs. 2250/- only at the lowest level. The fitment factor of 2.57 is worked out excluding the 125% DA an employee is getting at present. As the next wage revision takes place only after ten years in 2026, the above increase of 2250/- in the salary is megre.

In the past, every time, either before or immediately after the appointment of pay commissions, the employees are granted DA merger, Last time, before appointment of 6th CPC, Government has granted merger of 50% DA in 2004 and the merged DA is treated as Pay for all purposes. This time no DA merger is granted. Suppose, as in the past, the Government has accepted the demand for merger of 50% DA as on 01.01.2011 when DA crossed 50%, the total salary of an employee at the lowest level as on 01.01.2016 will become Rs.18395/- (7000 + 50% DA 3500 = 10500 + remaining 75% DA as on 01.01.2016 Rs.7875 = 18395). Thus it can be seen that even if no pay commission is appointed by Government, simply by granting DA merger alone the lowest level salary will become more than 18000/- which is recommended by 7th CPC after 21 months study and spending crores of rupees for its functioning.

The Government’s press release further claim that the ratio between lowest and highest salary (compression ratio) is 1:3.12. The highest level employees are Cabinet Secretary and Secretaries of various departments. The recommended salary of the Cabinet Secretary is 2,50000. Government deliberately avoided comparison between salary of lowest employee and highest level employee, instead compared with middle level Class-I officer only. Actual ratio between the lowest and highest salary come to 1:14 (18000:2,50000). No other pay commission has recommended such a huge margin.

Other retrograde recommendations of the 7th CPC are as follows:

1. House Rent Allowance (HRA) rate reduced from 30%, 20% and 10% to 24%, 16% and 8%

2. 52 existing allowances are to be abolished.

3. All interest-free advances including Festival advance, are to be abolished. Only interest bearing advances to be retained.

4. Salary for the second year of Child care leave granted to women employees should be reduced to 80%.

5. For Three Time bound promotions (Assured Carreer Progression) passing examination and other conditions made mandatory.

6. New Pension Scheme (NPS) shall continue, recommended only some cosmetic changes.

7. Contractorisation and casual labour System shall be continued.

8. Outsourcing of Government functions to continue.

9. Employment of retired personnel to be legalized and panel of experienced retired personnel should be kept ready.

10. Filling up of vacancies – commission pointed out that there are six lakhs unfilled vacancies in Central Government services, but no recommendations for filling up the vacancies in a time bound manner by special recruitment.

11. Regularisation of Gramin Dak Sevaks of Postal department – rejected.

12. Increase in minimum pension percentage, Fixed medical Allowance to Pensioners and increment rate – rejected.

Inspite of several round of country wide agitational programmes conducted by NJCA including massive Parliament March, the NDA Government refused to negotiate the demands with the staff side, but declared unilateral implementation of the recommendations without any modifications. The resentment, anger and protest of the entire Central Government employees increased day-by-day and the NJCA decided to go ahead with indefinite strike from 11th July 2016 and preperations and campaigning for making the strike a thundering success went on in full swing. Modi Government understood that if it still refuse to discuss with the NJCA then from 11th July 6 AM onwards the entire Central Government establishments including Railways, Defence, Postal and other departments. will come to standstill marking the commencement of the biggest strike action of the Central Government employees.

It is in this background the Hon’ble Prime Minister directed three Cabinet Ministers including Home Minister Shri Rajnath Singh, Finance Minister Shri Arun Jaitly and Railway Minister Shri. Suresh Prabhu to hold discussion with the NJCA leaders on 30th January 2016. Major demands in the Charter of demands were discussed with particular reference to Improvement in Minimum wage and fitment formula. Issues relating to parity in pension was also discussed. Finally the Ministers assured that a high level committee will be appointed to consider the issues raised by the NJCA.

As no written minutes or communications is forthcoming from the Government regarding the 30th June discussion and assurances, the NJCA decided to go ahead with the strike. Country wide demonstrations were held daily in front of all offices and at all important centres. On 6th July 2016 when the NJCA meeting was in progress, Hon’ble Home Minister Shri Rajnath Singh again invited the NCA Leaers for discussion. The Minister reiterated the earlier assurances and told that Finance Minister will issue a press statement making the Government stand clear on the demands.

Accordingly, the Government issued a press statement on 6th July 2016 in which it is stated that – “The Ministers assured the Union leaders that the issues raised by them would be considered by a High Level Committee.”

Thus, the unite struggle of the entire Central Government Employees compelled the unwilling NDA Government to accept the reality that modification in the 7th CPC recommendations is a must and before arriving at a final conclusion the staff side should be given a fair chance to present and discuss the case with the Government. It was assured that the proposed High Level Committee to be appointed by the Government shall complete its task within a time frame.

Advancement in the wages and service conditions of Central Government Employees can be achieved only through the united struggle of all Central Government employees for which the unity built up under the banner of NJCA is to be maintained and strengthened. Further the neo-liberal policy offensives of the NDA Government in the Central Government Employees Sector including privatisation, outsourcing, downsizing, contractorisation, corporatization, winding up of departments, New Pension Scheme etc. can only be resisted and reverted by building up united movement of the entire employees. Eventhough the strike is deferred, the Central Government employees shall continue its united struggle against the anti-people and anti-labour policies of the NDA Government. We should self-critically analyze the strength and weakness of the NJCA and shall arrive at proper conclusion for taking corrective measures, if necessary, and also for further unity and advancement. The final outcome of the united struggle is, no doubt, one step forward.

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

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Charter of demands – Indefinite Strike from 11th July 2016-reg

NFIR

National Federation of Indian Railwaymen

3, CHELMSFORD ROAD, NEW DELHI – 110 055

Affiliated to :
Indian National Trade Union Congress (INTUC)
International Transport Workers’ Federation (lTF)
No. IV/NJCA (N)/2014/Part II

Dated: 1st July 2016

Brother,

Sub: Charter of demands – Indefinite Strike from 11th July 2016-reg

Ref: NFIR’s letter No. II/95/Parth IX dated 30/06/2016

In continuation of communication dated 30/06/2016, it is to inform that as a result of General Secretary NFIR’s discussion with Shri Suresh Prabhu, Hon’ble MR at 15:30 hrs., on 30/06/2016 on the Charter of Demands in general and major demands i.e. minimum wage’ multiplier factor in particular Hon’ble MR has assured to approach Hon’ble Prime Minister. Pursuant to the efforts of GS/NIFIR, the cRB telephoned Shri Raghavaiah at 18:45 hrs., on 30/06/2016 that the Federations have been invited to meet Hon,ble Finance Minister at the residence of Shri Rajnath Singh, Union Home Minister at 21:30 hrs’, on 30/06/2016. Accordingly the undersigned reached the residence of Union Home Minister and participated in the discussions. Besides Hon’ble Finance Minister Shri Arun Jaitely, Shri Suresh Prabhu Hon’ble MR and Shri Manoj sinha Hon’ble MoSR were present during discussions. union Home Minister

Shri Rajnath Singh also participated in the discussions After 90 minutes discussions, it has been emerged that the “Minimum Wage” issue will be referred to the Committee to examine and give report. In view of this development, the NJCA met this date (1st July 2016) and having taken stock of the situation has decided to meet again on 06th July 2016 for taking appropriate decision. In the meanwhile, efforts will be made for obtaining written  communication as a follow up to the meeting held at the residence of Union Home Minister Shri Rajnath Singh on 30th June 2016. A copv of letter dated 01st July 2016 issued by NJCA Convener is enclosed.

DA/As above

Yours fraternallY,
(Dr. M. Raghavaiah)

General Secretary

File No. II/95/Part IX.

NJCA
National Joint Council of Action
4, State Entry Road New Delhi – 110055

Dated: July 1 ,2016

Dear Comrades!

We are to inform you that the NJCA had a discussion with the Government of India yesterday, i.e. 30.06.2016 over certain demands contained in our Charter of Demands.

ln the meeting, following ministers were present:-

Shri Rajnath Singh, Hon’ble Home Minister
Shri Arun Jaitley, Hon’ble Finance Minister
Shri Suresh Prabhakar Prabhu, Hon’ble Railway Minister
Shri Manoj Sinha, Hon’ble MoSR 

on behalf of the NJCA, the following participated in the discussion:-

Shri Shiva Gopal Mishra, Convener NJCA
Shri M. Raghavaiah, Chairman NJCA
Shri K.K.N. Kutty, Member NJCA
Shri C. Srikumar, Member NJCA

The government has proposed to refer the issue of Minimum Wage and Fitment Formula to a Committee for reconsideration.

The NJCA will await communication in this regard from the government.

The NIJCA will again meet on 6th July at 11:00, hrs-, in JCM office. 13-c Ferozshah Road. Nqw Delhi, for taking appropriate decision

With Fraternal Greetings!

Comradely yours,
(Shiva Gopal Mishra)

Convener

NFIR India

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Cabinet clears pay hike for 1 crore central government employees, pensioners

Cabinet clears pay hike for 1 crore central government employees, pensioners

7th-pay-commission-cg-employees-finance-minister

Twitter : Arun Jaitley @arunjaitley Congratulations to central government officers, employees & pensioners on a historic rise in their salary & allowances through the 7th CPC. 

 

 New Delhi: In a bonanza for over 1 crore government employees and pensioners, the Cabinet today approved implementation of the 7th Pay Commission, which had recommended an overall hike of 23.5 per cent.

 

“Congratulations to central government officers, employees & pensioners on a historic rise in their salary & allowances through the 7th CPC (Central Pay Commission),” Finance Minister Arun Jaitley tweeted shortly after the meeting of the Cabinet headed by Prime Minister Narendra Modi.

 

It wasn’t however know immediately if the Cabinet had bettered the hike recommended in salary and allowances of nearly 50 lakh government employees and 58 lakh pensioners.

 

An official said the Cabinet has approved implementation of the recommendations from January 1, 2016.

The pay panel had in November last year recommended 14.27 per cent hike in basic pay at junior levels, the lowest in 70 years. The previous 6th Pay Commission had recommended a 20 per cent hike which the government doubled while implementing it in 2008.

 

After considering the increase proposed in allowances, the hike in remunerations comes to 23.55 per cent.

The 23.55 per cent overall hike in salaries, allowances and pension would entail an additional burden of Rs 1.02 lakh crore or nearly 0.7 per cent of the GDP, to the exchequer.

 

The entry level pay has been recommended to be raised to Rs 18,000 per month from current Rs 7,000 while the maximum pay, drawn by the Cabinet Secretary, has been fixed at Rs 2.5 lakh per month from current Rs 90,000.

 

The secretaries’ panel may have recommended raising minimum entry level pay at Rs 23,500 a month and maximum salary of Rs 3.25 lakh.

 

While the Budget for 2016-17 fiscal did not provide an explicit provision for implementation of the 7th Pay Commission, the government had said the once-in-a-decade pay hike for government employees has been built in as interim allocation for different ministries.

 

Around Rs 70,000 crore has been provisioned for it, the official said.

 

PTI

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7th Pay Commission Latest News – Two more Committee Meetings likely to happen soon

Even as 7th Pay Commission Empowered Committee is in the process of finalising its report, Staff Side Associations are relentlessly trying for Negotiations with Govt before final decision on increase in pay and allowances is taken by Cabinet 

7th Pay Commission Latest News – Two more Committee Meetings in the offing before final decision on 7th CPC implementation is taken by Government

Latest developments in the process of 7th Pay Commission report by Empowered Committee indicates that decision by the Committee would not be taken as quickly as it was expected earlier.

India.com, a news website from Zee News Group reports that Empowered Committee has called for more data from 7th Pay Commission implementation cell, the administrative wing appointed by govt to process 7th CPC report, after the meeting held last week.

To look into these data and to decide further increase in minimum pay and fitment factor over and above recommended by 7th Pay Commission, two more Empowered Committee Meetings may be held, India.com reports.

Consequently, final decision of Cabinet on implementation of 7th Pay Commission may not be taken this month. However, news sources close to finance ministry indicates that final decision on 7th Pay Commission report may not take much longer. If the Empowered Committee continues to process the report without any break which is the case now, its report would be submitted within a month, after which Cabinet will take its final call.

Earlier, many media reports suggested that Empowered Committee is likely to take a decision of increasing the minimum of Central Government Employees to Rs. 23,500 as against Rs. 18,0000 proposed by 7th Pay Commission.

7th Pay Commission had arrived at the additional burden of Govt on increase in Salary and pension at 23.55 % and 24 % respectively as Rs 73,650 crore for Central Government Employees, Defence Personnel & Pensioners and Rs 28,450 crore for Railway Employees and Pensioners.

Now, it is needless to say, additional increase over and above the pay and allowances recommended by 7th Pay Commission would require more allocation for Central salary than the Budget Estimates.

Source: India.com (Zee News Group)

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Paramilitary chiefs meet Rajnath, discuss 7th Pay Commission report

Paramilitary chiefs meet Rajnath, discuss 7th Pay Commission report

Archana-Ramasundaram

Archana Ramasundaram among the five paramilitary chiefs met Home Minister Rajnath Singh over 7th Pay Commission anamolies on Wednesday.

New Delhi: Concerned over increasing pay disparity between Paramilitary personnel and their defence and civilian counterparts, the five paramilitary chiefs on Wednesday met Union Home Minister Rajnath Singh and discussed issues related to “anamolies and shortcomings” in the Seventh Pay Commission report.

Five chiefs, including Krishna Chaudhary (ITBP), K Durga Prasad (CRPF), Archana Ramasundaram (SSB), Surender Singh (CISF) and O P Singh (NDRF), met the Singh at his office in South Block here and before discussion, they presented a memorandum to him.

The government in January had set up a 13-member Empowered Committee of Secretaries (CoS) headed by the Cabinet Secretary for processing the recommendations of the 7th Pay Commission, which has bearing on remuneration of 48 lakh central government employees and 52 lakh pensioners.

The Empowered Committee of Secretaries is functioning as a Screening Committee to process the recommendations with regard to all relevant factors of the Commission in an expeditious detailed and holistic fashion.

TST

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7th Pay Commission – Revision in 7th CPC report expected to be made by Empowered Committee

A summary of Expectations of Central Government Employees on changes required in 7th Pay Commission report which is being processed by Empowered Committee of Secretaries

7th Pay Commission review process by Empowered Committee of Secretaries – Changes / Revision expected by Central Government Employees in Minimum Pay, Fitment Formula, Annual Rate of Increment, MACP, House Rent Allowance, and Transport Allowance among others

Recommendations of Empowered Committee on 7th Pay Commission report can be expected from now onwards , as it is reported that the top bureaucrats appointed by govt for this purpose would wrap up their review process soon. It is still unclear whether staff side leaders would called for negotiations on the demands of NJCA for revising the 7th Pay Commission report in many areas.

NJCA, the joint body of major Staff Side Associations from Central Government Employees, Railway Employees, and Defence Civilian Employees met Empowered Committee four times recently and submitted Staff Side Demands such as revision of Minimum Pay, Fitment Formula, House Rent Allowance, Transport Allowance, Annual Rate of Increment, number of upgradations under MACP etc.

Based on these Staff Side Demands we have summarized here the Changes / Revision Expected by the Employees on the 7th Pay Commission Report, which have to be recommended by the Empowered Committee to Union Cabinet for its approval.

1. Minimum 7th Pay Commission Pay and Ratio between Minimum and Maximum Pay:

7th Pay Commission has proposed a basic pay of Rs. 18000 as minimum entry pay in Central Government Service (Pay of MTS). However, Staff Side JCM is of the view that as per approved methods such as Dr.Aykroyd Formula, minimum pay in Central Government Service should be Rs. 26,000.
2. Date of Effect and Fitment Formula:

Staff Side JCM had put forth before 7th Pay Commission that uniform fitment formula / multiplication factor of 3.7 to be applied while fixing the basic pay of existing employees.

With regard to Date of effect of 7th Pay Commission pay and allowances, members representing staff side submitted before 7th CPC that Central Government Employees are due for pay revision every ten years and that in order to rectify the delay in implementation of pay commission award in the past, the present pay commission award has to be given effect from 1st January 2014.

Contrary to Staff Side JCM’s suggestions, 7th Pay Commission has fixed the fitment formula / multiplication factor as 2.57. While mere merger of DA with existing pay in pay band and Grade pay would require a multiplication factor of 2.25, 7CPC proposed fitment formula / multiplication factor of 2.57 would result in increase in basic pay to an extent of 14.22% only.

Hence, convincing 7th CPC empowered committee for a higher multiplication factor / fitment formula would be the foremost concern of Staff Side JCM.

As far as date of effect of 7th Pay Commission award is concerned, the commission has not accepted the suggestion of Staff Side. It has observed that since the previous pay commission was given effect from 1st January 2006, the present pay commission award will have to be made effect only from 1st January 2016.

 

3. Annual Rate of Increment and Date of Increment:

Staff JCM in its memorandum before 7th Pay Commission suggested that since most of the PSUs including the banking industries provide the incremental rate at 5% and over a period of time it raised the salary level of the personnel, rate of annual increment for Central Government Employees will have to be fixed at 5%.

Further, uniform date of increment prescribed by the 6th CPC resulted in many anomalies, Staff Side JCM submitted that two specific dates as increment dates, Viz. 1st January and 1st July will have to be introduced. Those recruited/appointed/promoted during the period between 1st January and 30th June will have their increment date on 1st January and those recruited/appointed/promoted between 1st July and 31st December will have it on 1st July next year.

Also, staff side required that those who retire on 30th June or 31st December are granted one increment on the last day of their service, since they serve the entire one year of service required for an increment as on the date of retirement

Recommendation of 7th Pay Commission on the rate of increment:

In spite of valid argument of staff side for recommending annual increment rate of 5%, 7th Pay Commission has not made revision in annual increment and Promotional increment which have been recommended at the rate of 3% of basic pay.
4. Scrapping of NPS:

Staff Side JCM is of the view that New Pension system (NPS) has to be scrapped and all the employees who have joined in Govt Service on or after 01.01.2004, are to be brought to defined pension scheme.

However, 7th Pay Commission observed that the NPS will have to be continued; that Govt should frame necessary law / Policy for proper investment of NPS fund in Equity and that a strong grievance redressel will have to be formed to serve NPS employees.

 

5. Transport Allowance:

With regard to Transport Allowance, Staff Side JCM presented the demand that if at all Transport allowance is meant to defray transport charges then low paid employees ought to have been paid higher transport allowance then higher level officers as they only travel from long distances to reach office. Hence, it was suggested by Staff Side that uniform transport allowance be paid irrespective of level of the cadre

Pay Range X class cities other places
Up to Rs.75,000 Rs. 7500 plus DA Rs. 3750 plus DA

However, 7th Pay Commission has not modified the structure of Transport allowance on the basis of pay level. The existing DA on Transport Allowance has been proposed to be merged. The new rates of Transport Allowance suggested are as follows

Pay Level

Higher TPTA Cities
(Rs. pm)

Other Places
(Rs. pm)

9 and above 7200+DA 3600+DA

3 to 8

3600+DA 1800+DA

1 and 2

1350+DA 900+DA

6. MACP:

It has been demanded by Staff Side JCM that five hierarchical promotions to be granted under MACP. Presently only 3 financial upgradations either in the form of promotion or time bound financial upgradation to next grade pay are being ensured under MACP.

7th Pay Commission has not made any proposal for revising the number of upgradations under MACP which is three at present.

With regard to the benchmark for performance appraisal for MACP as well as for regular promotion, 7th Pay Commission has recommended that in the interest of improving performance level, the same has to be enhanced from ‘Good’ to ‘Very Good.’

7th Pay Commission has also noted that introduction of more stringent criteria such as clearing of departmental examinations or mandatory training before grant of MACP can also be considered by the government.

Withholding Annual Increments of Non-performers:

7th Pay Commission has proposed that employees who do not meet the laid down performance criterion should not be allowed to earn future annual increments.

The Commission has proposed for withholding of annual increments in the case of those employees who are not able to meet the benchmark either for MACP or a regular promotion within the first 20 years of their service.
7. House Building Advance:

Staff Side JCM had demanded for increasing the advance to 50 times of the Salary and fixing the rate of interest not more than 5%.

As per 7th Pay Commission’s recommendations, 34 times of Basic Pay OR Rs.25 lakh OR anticipated price of house, whichever is least can be availed as House Building Advance.

The requirement of minimum 10 years of continuous service to avail of HBA has been proposed to be reduced to 5 years.

If both spouses are government servants, 7CPC has proposed that HBA should be admissible to both separately. Existing employees who have already taken Home Loans from banks and other financial institutions would be allowed to migrate to this scheme, as recommended by 7CPC.
8. Children Education Allowance:

Suggestions of Staff Side:

Presently the allowance is admissible for two children, for studying in a recognised school up to XII standard. The maximum ceiling is stipulated at Rs.18000/- since this allowance had been hiked by 50% because of the DA component in salary having been crossed 100% on 1.1.2014. It is suggested that doubling of this allowance and increasing the same by 50 % whenever the DA crosses over by 50%

Further, it has been suggested that the CEA scheme may be extended to cover children studying for Graduate/Post Graduate and Professional courses.

7th Pay Commission’s recommendations on Children Education Allowance:

CEA (Rs. pm) 1500×1.5 = 2250 Whenever DA increases by 50%, CEA shall increase by 25%
Hostel Subsidy (Rs. pm) 4500 x 1.5 = 6750 (ceiling) Whenever DA increases by 50%, Hostel
Subsidy shall increase by 25%

7th Pay Commission has not accepted the Staff Side’s demand that CEA to be applicable for children beyond class 12.

9. HRA:

House Rent Allowance suggested by Staff Side JCM

X classified cities 60%
Y classified towns 40%
Z classified/unclassified  places  20%

House Rent Allowance recommended by 7th Pay Commission

Population of
Cities/Towns

Class of
Cities/Towns

HRA rates as % of Basic Pay
(including MSP and NPA)

50 lakh and above

X

24

50–5 lakh

Y

16

Below 5 lakh

Z

8

HRA when DA crosses 50%

Population of
Cities/Towns

Class of
Cities/Towns

HRA rates as % of Basic Pay
(including MSP and NPA)

50 lakh and above

X

27

50–5 lakh

Y

18

Below 5 lakh

Z

9

HRA when crosses 100%

Population of
Cities/Towns

Class of
Cities/Towns

HRA rates as % of Basic Pay
(including MSP and NPA)

50 lakh and above

X

30

50–5 lakh

Y

20

Below 5 lakh

Z

10

10. LTC:

Staff Side JCM demanded the following as far as Leave Travel Concession applicable to Central Government Employees is concerned

1. Permission for air journey for all categories of employees to and from NE Region.

2. Permission for personnel posted in NE Region for a journey within NE Region.

3. To increase the periodicity of the LTC once in two years.

4. Explore the possibility of allowing an employer to undertake tour outside India once in a service career in lieu of the LTC.

7th Pay Commission Report on LTC:

It could be found that suggestions of Staff Side JCM such as increasing the frequency of All India LTC, permission for air travel for all categories of employees in respect of NE Region etc., were not discussed in the report of 7th Pay Commission.

The proposal to split hometown LTC has been considered and it is recommended that splitting of hometown LTC should be allowed in case of employees posted in North East, Ladakh and Island territories of Andaman, Nicobar and Lakshadweep.

Also, it is observed by 7th Pay Commission that LTC to foreign countries is not in the ambit of this Commission.
11. Gratuity:

Suggestions of Staff Side JCM:

Staff Side JCM suggested that in respect of gratuity payable to employees ceiling of 16.5 times and the quantum limit of Rs. 10 lakhs should also be removed. It was pointed out that in the banking industry there is no such ceiling of 16.5 months  salary but the retiring bank employees are getting at the rate of ½ a month salary for every year of service even over and above 33 years of service. Hence, in respect of Central Government Employees also for a service span exceeding 33 years, the gratuity should be higher and the above ceiling be withdrawn.

7th Pay Commission’s recommendations on Gratuity:

It has been recommended by 7th Pay Commission that ceiling of gratuity is to be raised from the existing Rs.10 lakh to Rs.20 lakh from 01.01.2016. Further, as per Commission’s recommendations, Gratuity is to be partially indexed to Dearness Allowance. It is proposed that the ceiling on gratuity may increase by 25% whenever DA rises by 50 percent.

Source: gconnect

Be the first to comment - What do you think?  Posted by admin - June 15, 2016 at 6:03 pm

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7th Pay Commission Report – Areas which require Revision / Modification by Empowered Committee

7th Pay Commission having been tabled already, now it is left to Empowered Committee (appointed for examining the report of the Commission) to consider the demands of Staff Side.

7th Pay Commission Report – Areas which require Revision / Modification by Empowered Committee as per Staff Side demands – Minimum Pay, Fitment Formula, Annual Rate of Increment, Date of Effect, Ratio between Minimum Pay and Maximum Pay, Fixation of Pay on Promotion etc.

After 7th Pay Commission formed in February 2014, staff side JCM consisting of members who are also office bearers of various staff organisations had submitted detailed memorandum to the Commission  and suggested the quantum of Minimum Pay, Fitment Formula, Annual Rate of Increment, Date of Effect, Ratio between Minimum Pay and Maximum Pay, Fixation of Pay on Promotion etc., for taking in consideration by 7th Pay Commission in its recommendations.

However, many of the demands of the staff side were not favourbly considered by the 7th Pay Commission in its recommendations.

Now, Staff Side have been impressing upon Empowered Committee, the need for rectification / modification / revision of many of retrograde recommendations of 7th Pay Commission

We provide here a brief of the areas with respect to which Staff Side members will have to demand for revision / modification of the recommendations of 7th Pay Commission.

1. Minimum 7th Pay Commission Pay and Ratio between Minimum and Maximum Pay:

7th Pay Commission has proposed a basic pay of Rs. 18000 as minimum entry pay in Central Government Service (Pay of MTS). However, Staff Side JCM is of the view that as per approved methods such as Dr.Aykroyd Formula, minimum pay in Central Government Service should be Rs. 26,000.

2. Date of Effect and Fitment Formula:

Staff Side JCM had put forth before 7th Pay Commission that uniform fitment formula / multiplication factor of 3.7 to be applied while fixing the basic pay of existing employees.

With regard to Date of effect of 7th Pay Commission pay and allowances, members representing staff side submitted before 7th CPC that Central Government Employees are due for pay revision every ten years and that in order to rectify the delay in implementation of pay commission award in the past, the present pay commission award has to be given effect from 1st January 2014.

Contrary to Staff Side JCM’s suggestions, 7th Pay Commission has fixed the fitment formula / multiplication factor as 2.57. While mere merger of DA with existing pay in pay band and Grade pay would require a multiplication factor of 2.25, 7CPC proposed fitment formula / multiplication factor of 2.57 would result in increase in basic pay to an extent of 14.22% only.

Hence, convincing 7th CPC empowered committee for a higher multiplication factor / fitment formula would be the foremost concern of Staff Side JCM.

As far as date of effect of 7th Pay Commission award is concerned, the commission has not accepted the suggestion of Staff Side. It has observed that since the previous pay commission was given effect from 1st January 2006, the present pay commission award will have to be made effect only from 1st January 2016.

3. Annual Rate of Increment and Date of Increment:

Staff JCM in its memorandum before 7th Pay Commission suggested that since most of the PSUs including the banking industries provide the incremental rate at 5% and over a period of time it raised the salary level of the personnel, rate of  annual increment for Central Government Employees will have to be fixed at 5%.

Further, uniform date of increment prescribed by the 6th CPC resulted in many anomalies, Staff Side JCM submitted that two specific dates as increment dates, Viz. 1st January and 1st July will have to be introduced.  Those recruited/appointed/promoted during the period between 1st January and 30th June will have their increment date on 1st January and those recruited/appointed/promoted between 1st  July and 31st  December will have it on 1st  July next year.

Also, staff side required that those who retire on 30th June or 31st December are granted one increment on the last day of their service, since they serve the entire one year of service required for an increment as on the date of retirement

Recommendation of 7th Pay Commission on the rate of increment:

In spite of valid argument of staff side for recommending annual increment rate of 5%, 7th Pay Commission has not made revision in annual increment and Promotional increment which have been recommended at the rate of 3% of basic pay.

4. Scrapping of NPS:

Staff Side JCM is of the view that New Pension system (NPS) has to be scrapped and all the employees who have joined in Govt Servic on or after 01.01.2004, are to be brought to defined pension scheme.

However, 7th Pay Commission observed that the NPS will have to be continued; that Govt should frame necessary law / Policy for proper investment of NPS fund in Equity and that a strong grievance redressel will have to be formed to serve NPS employees.

5. Transport Allowance:

With regard to Transport Allowance, Staff Side JCM presented the demand that if at all Transport allowance is meant to defray transport charges then low paid employees ought to have been paid higher transport allowance then higher level officers as they only travel from long distances to reach office. Hence, it was suggested by Staff Side that uniform transport allowance be paid irrespective of level of the cadre

Pay Range X class cities other places
Up to Rs.75,000 Rs. 7500 plus DA Rs. 3750 plus DA

However, 7th Pay Commission has not modified the structure of Transport allowance on the basis of pay level. The existing DA on Transport Allowance has been proposed to be merged. The new rates of Transport Allowance suggested are as follows:

Pay Level

Higher TPTA Cities

(Rs. pm)

Other Places

(Rs. pm)

9 and above 7200+DA 3600+DA

3 to 8

3600+DA 1800+DA

1 and 2

1350+DA 900+DA

6. MACP:

It has been demanded by Staff Side JCM that five hierarchical promotions to be granted under MACP. Presently only 3 financial upgradations either in the form of promotion or time bound financial upgradation to next grade pay are being ensured under MACP.

7th Pay Commission has not made any proposal for revising the number of upgradations under MACP which is three at present.

With regard to the benchmark for performance appraisal for MACP as well as for regular promotion, 7th Pay Commission has recommended that in the interest of improving performance level, the same has to be enhanced from ‘Good’ to ‘Very Good.’

7th Pay Commission has also noted that introduction of more stringent  criteria such as  clearing of departmental examinations or mandatory training before grant of MACP can also be considered by the government.

Withholding Annual Increments of Non-performers:

7th Pay Commission has proposed that employees who do not meet the laid down performance criterion should not be allowed to earn future annual increments.

The Commission has proposed for withholding of annual increments in the case of those employees who are not able to meet the benchmark either for MACP or a regular promotion within the first 20 years of their service.

7. House Building Advance:

Staff Side JCM had demanded for increasing the advance to 50 times of the Salary and fixing the rate of interest not more than 5%.

As per 7th Pay Commission’s recommendations, 34 times of Basic Pay OR Rs.25 lakh OR anticipated price of house, whichever is least can be availed as House Building Advance.

The requirement of minimum 10 years of continuous service to avail of HBA has been proposed to be reduced to 5 years.

If both spouses are government servants, 7CPC has proposed that HBA should be admissible to both separately. Existing employees who have already taken Home Loans from banks and other financial institutions would be allowed to migrate to this scheme, as recommended by 7CPC.

8. Children Education Allowance:

Suggestions of Staff Side:

Presently the allowance is admissible for two children, for studying in a recognised school up to XII standard. The maximum ceiling  is stipulated at Rs.18000/- since this allowance had been hiked by 50% because of the DA component in salary having been crossed 100% on 1.1.2014. It is suggested that doubling of this allowance and increasing the same by 50 % whenever the DA crosses over by 50%

Further, it has been suggested that the CEA scheme may be extended to cover children studying for Graduate/Post Graduate and Professional courses.

7th Pay Commission’s recommendations on Children Education Allowance:

CEA (Rs. pm) 1500×1.5 = 2250 Whenever DA increases by 50%, CEA shall increase by 25%
Hostel Subsidy (Rs. pm) 4500 x 1.5 = 6750 (ceiling) Whenever DA increases by 50%, Hostel

Subsidy shall increase by 25%

7th Pay Commission has not accepted the Staff Side’s demand that CEA to be applicable for children beyond class 12.

9. HRA:

House Rent Allowance suggested by Staff Side JCM

X classified cities 60%
Y classified towns 40%
Z classified/unclassified  places  20%

 

House Rent Allowance recommended by 7th Pay Commission

Population of

Cities/Towns

Class of

Cities/Towns

HRA rates as % of Basic Pay

(including MSP and NPA)

50 lakh and above

X

24

50–5 lakh

Y

16

Below 5 lakh

Z

8

 

HRA when DA crosses 50%

Population of

Cities/Towns

Class of

Cities/Towns

HRA rates as % of Basic Pay

(including MSP and NPA)

50 lakh and above

X

27

50–5 lakh

Y

18

Below 5 lakh

Z

9

 

HRA when crosses 100%

Population of

Cities/Towns

Class of

Cities/Towns

HRA rates as % of Basic Pay

(including MSP and NPA)

50 lakh and above

X

30

50–5 lakh

Y

20

Below 5 lakh

Z

10

10. LTC:

Staff Side JCM demanded the following as far as Leave Travel Concession applicable to Central Government Employees is concerned

1. Permission for air journey for all categories of employees to and from NE Region.

2. Permission for personnel posted in NE Region for a journey within NE Region.

3. To increase the periodicity of the LTC once in two years.

4. Explore the possibility of allowing an employer to undertake tour outside India once in a service career  in lieu of the LTC.

7th Pay Commission Report on LTC:

It could be found that suggestions of Staff Side JCM such as increasing the frequency of All India LTC, permission for air travel for all categories of employees in respect of NE Region etc., were not discussed in the report of 7th Pay Commission.

The proposal to split hometown LTC has been considered and it is recommended that splitting of hometown LTC should be allowed in case of employees posted in North East, Ladakh and Island territories of Andaman, Nicobar and Lakshadweep.

Also, it is obsered by 7th Pay Commission that LTC to foreign countries is not in the ambit of this Commission.

11. Gratuity:

Suggestions of Staff Side JCM:

Staff Side JCM suggested that in respect of gratuity payable to employees ceiling of 16.5 times and the quantum limit of Rs. 10 lakhs should also be removed. It was pointed out that in the banking industry there is no such ceiling of 16.5 months‟ salary but the retiring bank employees are getting at the rate of ½ a month salary for every year of service even over and above 33 years of service. Hence, in respect of Central Government Employees also for a service span exceeding 33 years, the gratuity should be higher and the above ceiling be withdrawn.

7th Pay Commission’s recommendations on Gratuity:

It has been recommended by 7th Pay Commission that ceiling of gratuity is to be raised from the existing Rs.10 lakh to Rs. 20 lakh from 01.01.2016. Further, as per Commission’s recommendations, Gratuity is to be partially indexed to Dearness Allowance. It is proposed that the ceiling on gratuity may increase by 25% whenever DA rises by 50 percent.

Via gconnect.in

Be the first to comment - What do you think?  Posted by admin - May 20, 2016 at 10:05 pm

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Civil Service officers present memorandum to Dr Jitendra Singh on 7th CPC report

Civil Service officers present memorandum to Dr Jitendra Singh on 7th CPC report

 

A delegation of Civil Service officers representing the “Confederation of Civil Service Associations” called on the Union Minister of State (Independent Charge) for Development of North Eastern Region (DoNER), MoS PMO, Personnel, Public Grievances, Pensions, Atomic Energy and Space, Dr Jitendra Singh here and sought his intervention for implementing the recommendations of the 7th Central Pay Commission (CPC) report, so as to address their long standing grievance of discrimination vis-a-vis certain other All-India Services.

 

In a memorandum presented to the Minister yesterday, members of the delegation acknowledged that the 7th CPC, while recommending the status-quo, had addressed their long pending demand for “parity” with other services. But, the memorandum alleged that the main cause of resentment among the non-IAS Civil Service Officers was that all the senior level posts covering majority of Departments, be it technical or administrative, are today manned by IAS Officers, which is the main cause of grievance among the non-IAS Civil Service Officers. The memorandum called for giving equitable treatment to all the Services so that the gap between the IAS and other Services does not widen and lead to, what they described as, chaotic situation.

 

The memorandum claimed that the majority view in the 7th CPC was in favour of changing the status-quo on the issue of pay disparity also. They said, at present, there is a clear edge enjoyed by the IAS and Indian Foreign Service over other Services in terms of additional increments.

 

The memorandum requested that disparity in Pay may kindly be removed altogether. In addition, it also requested that the new system of cadre restructuring be adopted and a comprehensive cadre review may be undertaken by all Services so that officers can get promoted in time.

 

The memorandum also requested that in the Committee of Secretaries, appointed by the Government to examine the report of the 7th CPC, such members should be appointed who represent all different sections of stakeholders and may function with neutrality.

 

Dr Jitendra Singh gave the delegation a patient hearing and said that he will forward their case to the Union Finance Ministry.

 

PIB

Be the first to comment - What do you think?  Posted by admin - April 3, 2016 at 6:45 pm

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