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Friday, September 30, 2016

EXPECTED DEARNESS ALLOWANCE FROM JANUARY 2017-AUGUST AICPIN

Consumer Price Index for Industrial Workers (CPI-IW) – August, 2016

No. 5/1/2016- CPI
GOVERNMENT OF INDIA
MINISTRY OF LABOUR & EMPLOYMENT
LABOUR BUREAU

`CLEREMONT’, SHIMLA-171004
DATED: 30th September, 2016

Press Release

Consumer Price Index for Industrial Workers (CPI-IW) – August, 2016

The All-India CPI-IW for August, 2016 decreased by 2 points and pegged at 278 (two hundred and seventy eight). On 1-month percentage change, it decreased by (-) 0.71 per cent between July, 2016 and August, 2016 when compared with the increase of (+) 0.38 per cent between the same two months a year ago.

The maximum downward pressure to the change in current index came from Food group contributing (-) 2.57 percentage points to the total change. At item level, Wheat, Arhar Dal, Moong Dal, Urd Dal, Eggs (Hen), Poultry (Chicken), Onion, Brinjal, Cabbage, Cauliflower, French Beans, Gourd, Gwar Phali, Green Coriander Leaves, Lady’s Finger, Methi, Palak, Peas, Radish, Tomato, Cucumber, Guava, Petrol, etc. are responsible for the decrease in index. However, this decrease was checked by Gram Dal, Mustard Oil, Milk, Banana, Mango, Sugar, Snack Saltish, Pan Finished, Cooking Gas, Soft Coke, Primary School Fee, Bus Fare, etc.

The year-on-year inflation measured by monthly CPI-IW stood at 5.30 per cent for August, 2016 as compared to 6.46 per cent for the previous month and 4.35 per cent during the corresponding month of the previous year. Similarly, the Food inflation stood at 6.16 per cent against 9.34 per cent of the previous month and 3.55 per cent during the corresponding month of the previous year.

At centre level, Vadodara and Madurai reported the maximum decrease of 10 points each followed by Pune and Warrangal (8 points each) and Indore and Rajkot (6 points each). Among others, 5 points decrease was observed in 6 centres, 4 points in 6 centres, 3 points in 9 centres, 2 points in 9 centres and 1 point in 6 centres. On the contrary, Tripura recorded a maximum increase of 8 points followed by Giridih (6 points) and Rourkela (5 points). Among others, 4 points increase was observed in 2 centres, 3 points in 3 centres, 2 points in 4 centres and 1 point in 8 centres. Rest of the 16 centres’ indices remained stationary.

The indices of 33 centres are above All-India Index and other 42 centres’ indices are below national average. The indices of Bengluru, Pune and Bhopal centres remained at par with All-India Index.

The next issue of CPI-IW for the month of September, 2016 will be released on Monday, 31st October, 2016. The same will also be available on the office website www.labourbureaunew.gov.in.

(SHYAM SINGH NEGI)
DEPUTY DIRECTOR GENERAL

Source:http://www.labourbureau.gov.in/Press_Note_CPI_IW_AUG_2016_EH.pdf

Payment of Productivity Linked Bonus to all eligible non-gazetted Railway employees for the financial year (2015-2016).

GOVERNMENT OF INDIA
MINISTRY OF RAILWAYS
(RAILWAY BOARD )

RBE No. 114 /2016.

No. E(P&A)II-2016/PLB-9

New Delhi, dated : 28.09.2016.

The General Managers/CAOs,

All Indian Railways & Production Units etc.

Subject : Payment of Productivity Linked Bonus to all eligible non-gazetted Railway employees for the financial year (2015-2016).

The President is pleased to sanction Productivity Linked Bonus (PLB) equivalent to 78 (Seventy Eight) days wages without any ceiling on wages for eligibility for the financial year 2015-16 to all eligible non-gazetted Railway employees (excluding all RPF/RPSF personnel). Where wages exceed 7000/- per month, Productivity Linked Bonus will be calculated as if `wages’ are 7000/- p.m.

2. ‘Wages’ for the purpose of calculating Productivity Linked Bonus shall include ‘Basic pay’ as defined in the Railway Services (Revised Pay) Rules, 2008 and dearness allowance drawn during the period from 01.04.2015 to 31.12.2015. ‘Wages’ during the period from 01.01.2016 to 31.03.2016 shall include ‘Basic pay’ as defined in the Railway Services (Revised Pay) Rules, 2016. Other conditions of eligibility, method of calculation of wages, etc., as prescribed in this Ministry’s instructions and clarifications issued from time to time, shall remain unchanged.

3. It has also been decided that in the case of eligible employees mentioned in Para 1 above who were not placed under suspension, or had not quit service/retired/expired during the financial year 2015-16 or were on leave where leave salary admissible is not less than that admissible on leave on average pay, may be paid an amount of 17,951/- towards Productivity Linked Bonus for the financial year 2015-16. In the case of employees other than those mentioned above, the amount of Productivity Linked Bonus may he calculated in accordance with the extant instructions on the subject.

4. Further, in relaxation to the provisions in Rules 905(2), 908 and 909 of State Railway Provident Fund Rules, as contained in Chapter 9 of R-1/1985 edition (2003 Reprint edition), such of the subscribers to the SRPF as are entitled to Productivity Linked Bonus may, if they so desire, deposit the whole or part of the amount admissible under the Scheme in their respective State Railway Provident Fund Accounts.

5. Disbursement of Productivity Linked Bonus for the financial year 2015-16 to all eligible non-gazetted Railway employees mentioned in Para 1 above should be made on priority in the same mode as payment of salary before the ensuing Puja/Dussehra holidays.

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

(Salim Md. Ahmed)
Dy. Director / Estt. (P&A)II
Railway Board.

Source:BONUS ORDER

Ex-Service men pay fixation – intervention requested-Confederation



Ref: CONF/GENL/Ex-service men/2016-19
Dated – 28.09.2016
To,
Dr. Jitendra Singh
Hon’ble Minister of State Ministry of Personnel, Public Grievances and Pension
102, North Block
New Delhi – 110001

Respected Sir,
Sub: – Ex-Service men pay fixation – intervention requested.

1. It is submitted that pay fixation of re-employed Ex-Service men who held rank below commissioned officer/Group A at the time of their retirement is not carried out in many departments (Eg; Postal department) as per Government orders issued from time due to misinterpretation/wrong classification by the administrative authorities. The re-employed Ex-Servicemen are being deprived of their due by the controlling authorities.

2. Department of Personnel & Training under Ministry of Personnel, Public Grievances and Pension is the nodal authority in the subject matter. Presently CCS (Fixation of Pay of re-employed Pensioners) orders 1986, amended from time to time, which act as the basic guideline, is required to be amended to bring clarity and parity for whole class of Ex-servicemen. The pay of the re-employed Ex-Commissioned officers/Group ‘A’ is fixed at a higher stage due to their past service benefit but in the case of re-employed Ex-Servicemen who held rank below commissioned officers, their pay is fixed at minimum of pay scale of re-employed post which is denial of natural justice and violation of fundamental rights, particularly right to equality, enshrined in our constitution, as discrimination arises out of such partial provisions. The provision contained in pay fixation basically are welfare measure to support the class of Ex-Servicemen as a whole. However, this discrimination in pay fixation had added to their woes.

3. Detailed statement of case for regularization/streamlining of pay fixation of re-employed Ex-Servicemen are enclosed herewith for your kind consideration and issue of necessary guidelines in favour of veteran Warries of our country who sacrificed their vital years for India and still engaged themselves in nation building.

STATEMENT OF CASE FOR REGULARISATION OF PAY FIXATION OF RE-EMPLOYED EX-SERVICEMEN (PERSONNEL BELOW OFFICER RANK) IN CENTRAL GOVERNMENT DEPARTMENTS/ MINISTRIES

INTRODUCTION

Government of India provides reemployment opportunities to Ex-Servicemen Officers/Other Ranks of Indian Armed Forces in various Departments/Ministries, Public Sector Organizations & Autonomous Bodies as a rehabilitation measure due to their compulsory retirement at early age to keep the forces young. According to CCS (Fixation of Pay of reemployed Pensioners) Orders 1986 amended from time to time by DOP&T the Reemployed Officers are allowed to draw a higher stage of initial pay in consideration with their pre-retirement pay on reemployment in such Government organizations. In case of other ranks/PBOR (Jawans/NCOs/JCOs) the Government departments and Ministries have allowed to draw only minimum/entry pay of re-employed post as applicable to fresh recruit. Public Sector organizations viz., Nationalised Banks, LIC, NIC and other PSUs have allowed to draw the higher stage of initial pay (at the stage of pre-retirement pay) to reemployed ex-servicemen (Jawans/JCOs/NCOs) as mentioned above.

DETAILED JUSTIFICATION OF THE CASE

Department of Posts and some other departments has not agreed to allow the higher initial pay on re-employment in consideration with pre-retirement pay to re-employed ex-servicemen belonging to below officer rank of the Armed Forces. Most of the Ex-servicemen belong to PBOR category retired (discharged) from service at the age of 35 – 40 years to keep the forces young. To ensure the minimum survival support earning, Government of India introduced a higher stage of pay in several manners to the reemployed ex-servicemen from time to time. According to Dept of P&T OM No 3/1/86-Estt (P-II) dated 31 July 1986 the earlier orders relating to fixation of pay of reemployed pensioners was scattered in a number of OM issued by Ministry of finance from time to time. Dept. of P&T consolidated all these orders and issued fresh guidelines in a single order viz., CCS (Fixation of pay of re-employed pensioners) Order 1986. The pay fixation procedure mentioned in such earlier

OMs (Prior to 1986) issued by Ministry of Finance as under: –

1) According to Ministry of Finance, Dept of Expenditure OM No 8(34) Estt-III/57 dated 25 Nov 1958 pay of the re-employed pensioners will be fixed at the minimum of pay scale of the re-employed post. In cases where it is felt that fixation of pay of re-employed officers at the minimum of pay scale will cause undue hardship the pay may be fixed at a higher stage by allowing one increment for each year of service the officer has rendered before retirement in a post not lower than that he reemployed. In other words, if the amount of pay plus pension is less than the last pay drawn before retirement from previous service, it will be treated as undue hardship.

2) In case of reemployed pensioner who retired before attaining the age of 55 years, Rs 125/- was ignored from the pension for the purpose of pay fixation vide Ministry of finance OM No F.4(3)E-III/82 dated 13 December 1978.

3) According to Ministry of Finance OM No F.4(3)-E.III/82 dated 13 Dec 1983 the entire pension of the reemployed pensioners who held below Group A post/ Commissioned officer rank and retired before attaining the age of 55 years will be ignored for the purpose of pay fixation. In this regard Para 4(d) (i) of CCS (Fixation of pay or reemployed pensioners) order 1986, amended from time to time may be referred.

Hence in the cases where pay plus Non Ignorable Portion of Pension is less than last pay drawn (LPD) before retirement, it will be treated as undue hardship. In case of Ex – Personnel below Commissioned officer /Group ‘A’ Officer Rank, the non-ignorable part of pension is zero. So it may be described such a manner that, if the pay of re-employed post is less than last pay drawn in such cases advance increments will be granted as instructions given in Ministry of Finance OM dated 25 November 1958. Hence the pay of re-employed ex-servicemen (Jawans/JCOs) will be fixed at higher stage.

4) Now the provisions of CCS (Fixation of pay of reemployed pensioners) Order 1986, and its application is as under: –

(i) In case of Reemployed officers who held Group A/Commissioned Officer Rank before retirement: – According to Para 4(d)(ii) such re-employed officer who retired before attaining the age of 55 Years, first Rs 4000/- of his pension only will be ignored for the purpose of pay fixation. According to Para 4(b) (ii) Pay of such re-employed officers will be fixed at the same stage as last pay drawn before retirement as a part of pension is only ignored for the purpose of pay fixation and remaining part of pension will be deducted from pay so fixed at the last pay drawn. As a result, pay of such officer is fixed at much higher than the minimum pay of re-employed post.

Illustration as mentioned below: –

Colonel A Retired at the age of 54 Years and re-employed as Section Officer [Gp A Gazetted post in the pay scale of (Rs 15600 (BP) + Rs 5400 (Grade Pay)] His other details are as under: –

Initial pay of reemployed post = Rs 15600 + Rs 5400 = Rs 21000

Last pay drawn in previous service = Rs 54000 (BP) + Rs 8700 (GP) + Rs 6000 (MSP)
Total pay last drawn = Rs 68700/-
Pensioned sanctioned = Rs 34350/- pm

Pay fixation on his re-employment: –

Step – I – Determination of last pay drawn = Rs 68700
Step – II – Determination of non-ignorable = Rs 34350 – Rs 4000 = Rs 30350 part of his pension
Step – III – Deduction of non-ignorable = Rs 68700 – Rs 30350 = Rs 38350 Part of pension from
Last Pay Drawn
Step – IV – Fixation of Initial pay = Rs 38350

(In addition to pay so fixed above, he shall be permitted to draw, separately any pension sanctioned to him and to retain any other form of retirement benefit. As explained in para 4(C) of CCS (RP) rules, 2008 vide OM 3/19/2009 dated 5th April 2010.)

From above it is notable that the minimum pay of the re-employed post is Rs 21,000/- and the pay fixed at Rs 38350/- hence the pay has been fixed at the higher stage due to consideration of his pre-retirement pay. It is justified as the pay of an experienced person can never be equal to a fresh recruit, but the same justification should be considered for reemployed Ex Non-Commissioned officer cadre (JCOs/Jawans) also.

In case of Reemployed Ex-servicemen who held rank below Group A/Commissioned Officer Rank before retirement and retired before attaining the age of 55 years: – According to Para 4(d) (i) such re-employed ex-servicemen who retired before attaining the age of 55 Years his entire pension will be ignored for the purpose of pay fixation.

According to Para 4(b) (i) Pay of such re-employed ex-servicemen will be fixed at the minimum of pay scale of reemployed post. Pre-retirement pay will not be considered for his pay fixation. Treatment of undue hardship caused due to fixation of minimum pay is neglected here.

Illustration as mentioned below: –

Sepoy ABC (MACP-I) Retired at the age of 36 Years and reemployed as Social Security Assistant in the pay scale of Rs 5830 (BP) + Rs 2400 (GP) Initial pay of reemployed post = Rs 5830 + Rs 2400 = Rs 8230

His other details are as under: –
Last pay drawn = Rs 9550 (BP) + Rs 2400 (GP) + Rs 2000 (MSP) + Rs 300 (Class pay)
Total pay last drawn = Rs 14250/-
Pension sanctioned = Rs 7125/- pm

Pay fixation on his re-employment: –

Step-I Determination of Initial pay of re-employed post = Rs 8230
Step-II Fixation of Initial pay on re-employment = Rs 8230

From above it is notable that the re-employed ex-servicemen is allowed to draw only minimum pay of reemployed post which is Rs 8200/- much less than his last pay drawn Rs14250/- before retirement, hence the undue hardship arises as his pre-retirement pay has been neglected. The gap will widen in case we take example of Nb Subedar of Army or a Sergeant of Air force who gets X-pay additionally.

From the illustration (i) and (ii) it is revealed that the CCS (Fixation of pay of reemployed pensioners) Order 1986 is not a consolidation of provisions of OM issued by Ministry of finance rather it is an order issued by Government of India which intended to give benefit to Ex Commissioned officers and deprive the Ex-servicemen (PBOR). This Order was formulated to serve the interests of Ex Group ‘A’ Officers/Commissioned Officer category only and discriminated against the PBOR/Other Ranks in terms of Right to equality enshrined in our Constitution of India. The service conditions were equally harsher to whole class of ex-servicemen including all ranks of Armed Forces; in fact more harsh if service privileges and promotions are to be considered separately.

5. In addition to above, according to Para 2 of DOPT OM No 3/13/2008/Estt/Pay II dated 11 Nov 2008 it is clear that the pay of re-employed ex-servicemen will be fixed according to rule 7 of CCS RP Rules 2008 with adherence to CCS (Fixation of pay of reemployed pensioners) Rules 1986 amended from time to time. The term minimum pay refers here the pay last drawn by the reemployed ex-servicemen before retirement (substantive pay) and the pay should be fixed in the pay structure of re-employed post i.e. the grade pay of re-employed post only admissible in such case. Total pay should be equal to the last pay drawn by the pensioner. In this regard your attention is also invited to para 3(v) of DOPT OM No 3/19/2009-Estt (Pay II) dated 05 April 2010 where it is clearly instructed that the pay of re-employed personnel/officers will be fixed at the same stage as last pay drawn. In this regard Verdict of Honourable Supreme Court dt 08.11.1996 in the case of Director General of India Posts Vs B Ravindran may be referred.

6. Pay of Re-Employed Officers is fixed at higher stage due to formula applied as prescribed in the CCS (Fixation of pay of re-employed pensioners) Order 1986. Whereas the interest of personnel below officer rank was totally neglected and their pay is fixed at the minimum of pay scale only which is contrary to natural injustice and violation of Right to equality enshrined in the Constitution of India as discrimination arises.

7. Public Sector Banks, LIC, NIC and PSUs are still allowed the higher stage of initial pay to Ex PBOR with reference to the Government orders (DOP&T OM dated 05.04.2010). Circular of Indian Banks Association in this regard may be referred to. Due to misinterpretation/ambiguous language of Government orders issued on the subject matter, Central Government departments does not agree to re-fix the pay of re-employed ex-servicemen (PBOR) category as mentioned in para 4 above. The re-employed Ex-serviceman belonging to PBOR category, are allowed to get their pay fixed only at the minimum/entry pay of re-employed post which is illogical and unlawful decision in terms of violation of constitutional provisions of fundamental rights. As a result, a large number of ex-servicemen are suffering from financial hardship besides moral depression.

8. Quoting the same authority /Govt. orders issued by DOP&T the PSU organizations and Nationalised Banks (Govt. Undertakings) have facilitated the pay fixation to the ex-servicemen (PBOR) to fix the pay at the same stage as last pay drawn before retirement but Central Government departments still not agreed to provide the entitlements to the re-employed ex-soldiers due to ambiguous provisions. They cite different reasons that PSUs are following different pay system etc. forgetting that PSUs derive the authority from the same Central government, So, how can there be two sets of rules for same category by same employer (Central Government).

REMEDIAL ACTION REQUIRED TO BE TAKEN

9. In view of the above it is requested that, your good office should weed out the actual disparity arising out of incomplete and discriminatory orders issued by the DOP&T vide CCS (Fixation of pay of reemployed pensioners) Order 1986 (amended from time to time) and issue necessary amendment/fresh order in favour of the Ex Servicemen (PBOR) category as mentioned below: –

For: – Para 4(b)(i)

Where the pension is fully ignored, the initial pay on re-employment shall be fixed as per entry pay in the revised pay structure of the re-employed post applicable in the case of direct recruits appointed on or after 1.1.2006 as notified vide Section II, Part A of First Schedule to CCS (RP) Rules, 2008.

It should be read as under (DRAFT PROPOSAL): – Para 4(b)(i) where the pension is fully ignored, the initial pay on re-employment shall be fixed as per entry pay in the revised pay structure of the re-employed post applicable in the case of direct recruits appointed on or after 1.1.2006 as notified vide Section II, Part A of First Schedule to CCS (RP) Rules, 2008. In cases of reemployed ex-servicemen where pension is fully ignored and pay fixed at minimum/entry
pay of reemployed post which is less than his pay last drawn in the Armed forces will be treated as undue hardship and his pay required to be fixed at a higher stage by allowing advance increments until his pay reaches at the same stage as last pay drawn before retirement to prevent undue hardship. In addition, he will be permitted to draw, separately any pension sanctioned to him and to retain any other form of retirement benefit.

Illustration: Sergeant/Havildar (any non commissioned rank) ABC Retired before the age of 55 Years and reemployed in the pay scale of Rs 5830 (BP) + Rs 2400 (GP)
Initial pay of reemployed post = Rs 5830 + Rs 2400 = Rs 8230
Last pay drawn by him = Rs 12000 (BP) + Rs 2800 (GP) + Rs 2000 (MSP) + Rs 300 (Class pay) + GCB 240 + X-pay 1400
Total pay last drawn = Rs 18740/-
Pension sanctioned = Rs 9370/-
Pay fixation on his reemployment: –
Step – I Determination of minimum pay = Rs 5830 + Rs 2400 = 8230 (minimum pay of reemployed post)
Step – II Fixation of total pay = Rs 18740/- (Last pay drawn) by allowing advance increment).
Step – III Manner of Re-fixation of pay = Rs 16840 (Band Pay) + 2400 (Grade Pay of re-employed post)

(This order should be applicable to all re-employed ex-servicemen irrespective of their date of retirement and date of re-employment)

CONCLUSION

10. In the light of the above, it is requested that the fresh orders/amendments be issued free from any scope of misinterpretation/ ambiguity, clearly mentioning the feasibility of fixation of pay of the re-employed ex-servicemen belonging to below officer ranks, at the same stage as the last pay drawn before retirement, ignoring entire portion of pension since the pension is miniscule and not even enough to live on rent in a city. In addition, they shall be permitted to draw, separately any pension sanctioned to them and to retain any other form of retirement benefit. Thousands of re-employed soldiers suffering from acute financial hardship due to very low earning even after re-employed. They would get relief with the right approach and initiative if taken at your end at the earliest. This will also save the Government’s expenditure and precious time of officers on litigations that are either pending or may be initiated in various courts.

Yours faithfully,
sd/-
(M. Krishnan)
Secretary General
Mob: 09447068125
E-mail: mkrishnan6854@gmail.com

Source: confederation

Minimum wage and fitment formula for Central Government Employees


Comrade,
The 7th CPC while calculating the minimum wage of Central Government Employees has arrived at Rs 18,000/- the 7th CPC has erred in prescribing provision to cover education, recreation, ceremonies, festivals and medical expenses has been moderated to 15 percent against the provision of 25% . Supreme Court’s ruling in the Raptakos Brett Vs Workmen case of 1991 , the Hon’ble Supreme Court delivered a historic judgement and directed that children’s education, medical requirement, minimum recreation including festivals/ceremonies, provision for old age, marriage etc. should further constitute 25% of the minimum wage and be used as a guide in fixation of minimum wage.

The Hon’ble Minister of Labour & Employment Shri Bandaru Dattatreyaji in his press statement on 24-September-2016 has stated in Understanding Minimum Wages and Bonus article as follows.
“The norms recommended by the Indian Labour Conference, in 1957, fox fixing the minimum wages are: (a) consumption units for one wage earner; (b) minimum food requirements of 2700 calories per average Indian adult; (c) clothing requirements of 72 yards per annum per family; (d) rent corresponding to the minimum area provided for under Government’s Industrial Housing Scheme; and (e) fuel, lighting and other miscellaneous items of expenditure to constitute 20% of the total minimum wage.

In 1991, the Hon’ble Supreme Court delivered a historic judgement and directed that children’s education, medical requirement, minimum recreation including festivals/ceremonies, provision for old age, marriage etc. should further constitute 25% of the minimum wage and be used as a guide in fixation of minimum wage.”

If this provision is alone adopted should have been adopted by the 7th CPC, the minimum wage would have increased by more than 10% and worked out to Rs 20,000/-. The fitment formula will work out to 2.86. If the entire minimum wage is recalculated based on actual retail prices as on July 2015 without applying average of 12 months and correct methodology the minimum wage would be Rs 26,000/ and fitment formula would be around 3.5 .
The minister statement should be applied by the Government in true spirits and the minimum wage and fitment formula should be enhanced accordingly.

Comradely yours
(P.S.Prasad)
General Secretary

Source: http://karnatakacoc.blogspot.in/

Clarification regarding bunching of stages in the revised pay structure under RS(RP) Rules, 2016

GOVERNMENT OF INDIA (BHARAT SARKAR)
Ministry of Railways (Rail Mantralaya)
(Railway Board)
S. No. 6/PC-VII
RBE No.: 113/2016
File No. PC-VII/2016/RSRP/3
New Delhi, dated: 26.09.2016
The General Manager/CAOs(R),
All India Railways & Production Units,
(As per mailing list)

Sub:- Clarification regarding bunching of stages in the revised pay structure under RS(RP) Rules, 2016.

The recommendations of 7th CPC w.r.t. bunching of stages has been examined by Ministry of Finance and it has been decided that in. cases where in revision of pay, the pay of Government servants drawing pay at two or more stages in pre-revised Pay Band and Grade Pay or scale, as the case may be, get fixed at same Cell in the applicable Level in the new Pay Matrix, one additional increment shall be given for every two stages bunched and the pay of Government servant drawing higher pay in pre-revised structure shall be fixed in the next vertical Cell in the applicable Level.

2. For this purpose, pay drawn by two Government servants in a given Pay Band and Grade pay or scale where the higher pay is at least 3% more than the lower pay shall constitute two stages. Officers drawing pay where the difference is less than 3% shall not be entitled for this benefit.

3. As per illustration given in para 5.1.37 of the Report of the 7th Central Pay Commission, if two persons drawing pay of Rs.53,000 and Rs. 54,590 in the GP Rs.10,000 are to be fitted in the new Pay Matrix, the person drawing pay of Rs.53,000 on multiplication by a factor of 2.57 will expect a pay corresponding to Rs.1,36,210 and the person drawing pay of Rs.54,590 on multiplication by a factor of 2.57 will expect a pay corresponding to Rs.1,40,296. Revised pay of both should ideally by fixed in the first cell of Level 14 in the pay of Rs.1,44,200 but to avoid bunching the person drawing pay of Rs.54,590 will get fixed in second cell of Level 14 in the pay of Rs.1,48,500.

sd/-
(Jaya Kumar G)
Deputy Director, Pay Commission-VII
Railway Board

Source: http://www.indianrailways.gov.in/railwayboard/uploads/directorate/pay_comm/PC7/RSRP%203%20RBE%20No_%20113.pdf

Fixation of pay and grant of increment in the revised pay structure – clarifications – regarding.

No.1-6/2016-IC(Pt.)
Government of India
Department of Expenditure
Implementation Cell
Room No.214, The Ashok, New Delhi
Dated the 29th September, 2016
OFFICE MEMORANDUM

Subject: Fixation of pay and grant of increment in the revised pay structure – clarifications – regarding.

Following the notification of Central Civil Services (Revised Pay) Rules, 2015, this Depertment has received references seeking clarifications regarding various aspects of fixation of pay in the revised pay structure as also pay fixation and grant of increment in future under revised pay structure. The matter has been considered in this Department and the points of doubts are clarified as under:
SI.NO
Point of doubt
Clarification
1.
As per the provisions of FR 22 (l) (a) the Government servants (other than those appointed on deputation to ex-cadre post or ad hoc basis or on direct recruitment basis) 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/ appointment or from the date of next increment,
Some of the employees. promoted between 01.01
.2016 and the date of notification 0f CCS (RP) Rules. 2016 had opted for their pay fixation on promotion/financial up-gradation under MACPS from the date of their next increment in the lower grade. Consequent upon notification of CCS CRP) Rules, 2016 i.e 25th July, 2016. the option submitted by such employees has now turned out to be disadvantageous.
Whether such employee may be allowed to revise
their option under FR 22 (I)(a)(1) at this stage.
Under the changed circumstances after notification of CCS (RP) Rules. 2016. the employee may be allowed to exercise revised option for fixation of pay under FR 22(I)(a)(I). Such revised option shall be exercised within one month of issue of this OM Option so revised, shall be final
2.
Whether employees appointed/promoted/ granted financial up-gradation during
02.01.2015 and 01.07.2015 will be entitled to grant of one increment on
01.01.2016.
Since the provisions of CCS (RP) Rules, 2016 are effective from 01.01.2016,
no increment shall be allowed on 01.01.2016 at the time of fixation of pay in
the revised pay structure.
sd/-
(R.K.Chaturvedi)
Joint Secretary to the Govt. of India

Source:http://finmin.nic.in/7cpc/7thCPC_PayFixation_revisedpaystructure.pdf



Filed Under: ,

Exemption of Road Toll Tax to Defence Civilians


REF: BPMS / MoD / 90th SCM (4/1/M)
Dated: 26.09.2016
To,
The Dy Secretary (CP)
Govt of India, Min of Defence,
‘B’ Wing, Sena Bhawan,
New Delhi – 110011

Subject: Exemption of Road Toll Tax to Defence Civilians

Respected Sir,
With due regards, your attention is invited to the Agenda Point No. 65 raised by this federation BPMS in the Steering Committee meeting for the 90th Departmental Council (JCM) (MoD) held on 27.09.2013 {Refer MoD F.No. 5(2)/2013/D(JCM), Dated 24.09.2013}. This federation BPMS submitted that Ministry of Shipping, Road Transport and Highways have issued a notification vide Notice No. NH-11065/12/2003-P&M, dated 15.09.2004 to Secretary, PWD of all States/Union Territories and National Highways Authority of India clarifying that the provisions of Indian Tolls (Army and Air Force) Act, 1901 is applicable to all States and National Highways whereby Army personnel are exempted from paying tolls on roads and highways in the States/Union Territories for their private vehicles irrespective of whether they are on duty or not.

This Federation has firm belief that the defence civilians are also integral part of Defence Forces and they perform their duties in almost similar conditions of uniform personnel without any extra financial benefits. Hence, they (Defence civilians) also deserve to be granted the benefits to some extent on par with uniform personnel.

In this regard, D(Mov) offered its comments (copy enclosed for ready reference) that the subject matter was not being dealt with by D(Mov).

Therefore, you are requested to take appropriate action so that Defence Civilians may also be exempted from paying tolls on roads and highways in the States/Union Territories for their private vehicles.

Thanking you.

Sincerely yours

(MUKESH SINGH)
Secretary/BPMS &
Member, JCM-II Level Council (MOD)

Source:http://bpms.org.in/documents/toll-tax-14ef.pdf

Wednesday, September 28, 2016

Cabinet decides to pay 78 days' productivity linked bonus to railway employees

The Union Cabinet on Wednesday decided to pay 78 days' productivity linked bonus for 2015-16 to eligible Group 'C' and 'D' railway employees.

The approval entails a financial implication of approximately Rs.2090.96 crore.

Union Human Resource and Development Minister Prakash Javadekar made this announcement in a press conference.

The bonus is believed to motivate the employees to improve the financial position of the railways.

Payment of PLB would result in motivating a large number of railway employees to improve the performance of the Railways and enhance the productivity levels further besides maintaining industrial peace.

The payment of this Bonus to eligible Railway Employees will be made before Dussehra/Puja holidays.

Besides this, the cabinet also approved India's position on International Civil Aviation Organisation (ICAO) Draft Global Market-based Measures Scheme, registered emission norms for it.

"The cabinet approval will enable finalization of the negotiation strategy in the 39th Assembly of the ICAO. This will help India to bargain for the possible flexibility out of the proposed Global Market Based Measures Scheme of the ICAO," said Javadekar.

The United Nations-led talks run from Sept. 27 to Oct. 7 at the ICAO in Montreal.

Aviation accounts for two percent of global greenhouse emissions but air travel is expected to double by 2030.

Read at  http://www.business-standard.com/article/news-ani/cabinet-decides-to-pay-78-days-productivity-linked-bonus-to-railway-employees-116092800602_1.html
Filed Under: ,

7th Pay Commission: ‘Achhe Din’ for government employees, Centre likely to hike Dearness Allowance by 2 per cent before Dussehra

Union Finance Minister Arun Jaitley will move the proposal of hike in DA on the basis of accepted formula for calculation under the 7th Pay Commission recommendation.

New Delhi, Sep 28: In a good news for 10 million central government employees, Narendra Modi government is likely to hike dearness allowance (DA) by 2 per cent ahead of the Dusshera festival. Union Finance Minister Arun Jaitley will move the proposal of hike in DA on the basis of accepted formula for calculation under the 7th Pay Commission recommendation, while the Union Cabinet is expected to clear the proposal of hike in DA in the next meeting. The 7th Pay Commission recommended the merging of 125 percent dearness allowance into the basic pay.

The Central government is likely to hike dearness allowance (DA) by 2 per cent, based on the data of the Consumer Price Index- Industrial Workers ( CPI-IW). “Average rate of Consumer Price Index-Industrial Labour from July 2015 to June, 2016 was 2.90 per cent. Thus, the Centre will increase dearness allowance by two as per accepted formula for calculation,” a Finance Ministry official working on the implementation of the 7th Pay Commission recommendations was quoted as saying by the Sen Times.

Unlike the 6th Pay commission, which had recommended the basic pay based on the Consumer Price Index 115.76 in January 2006, 7th Pay commission recommended new pay matrix, based on the Consumer Price Index 261.42. The government will use the data of CPI-IW from July 1, 2015 to June 30, 2016. The CPI (IW) of the months July, August, September, October, November, December, January, February, March, April, May and June were 263, 264, 266, 269, 270, 269, 269, 267, 268, 271, 275 and 277 respectively.

The Centre revised DA twice in a year on the basis of one year average of retail inflation for industrial workers as per the accepted formula. Last times, the government had increased DA by 6 percentage points from 119 to 125. The new rate of DA will be implemented from July 1, 2016. The cabinet approved the 7th Pay Commission’s recommendations for central government employees on July 29, which will impact some 47 lakh central government employees and 53 lakh pensioners.

The 7th Pay Commission notification confirmed that central government employees will get 14.27 per cent hike in basic pay at junior levels, which is the lowest in 70 years. The Cabinet also approved the increase in minimum pay Rs 18,000 from existing Rs 7,000. The 7th pay commission had recommended abolition of 51 allowances and subsuming 37 others out of 196 allowances. However no final decision has been taken on the allowances by the government. The allowances had been a major bone of contention amongst majority of the central government employees.

Read at http://www.india.com/news/india/7th-pay-commission-achhe-din-for-government-employees-centre-likely-to-hike-dearness-allowance-by-2-per-cent-before-dussehra-1520285/

7th Pay Commission Resolution for the Supreme Court Employees & Officers

The Gazette of India
EXTRAORDINARY
Part I – Section 1
Published by Authority

No.302
New Delhi, Friday, September 23, 2016/Asvina 1,1938

Supreme Court of India
Resolution
New Delhi,the 23rd September, 2016

No. F.6/2016-SCA(I).—The Seventh Central Pay Commission (Commission) was set up by the Government of India vide Resolution No. 1/1/2013-E.III (A), dated the 28th February, 2014. The Terms of Reference of the Commission also includes the Officers and Employees of the Supreme Court. The period for submission of report by the Commission was extended upto 31st December, 2015 vide Resolution No. 1/1/2013-E.III(A), dated the 8th September, 2015. The Commission, on 19th November, 2015, submitted its Report on the matters covered in its Terms of Reference as specified in the aforesaid Resolution dated the 28th February, 2014.

2.The Chief Justice of India, after consideration, has decided to accept the recommendations of the Commission in respect of the Officers and Employees of the Supreme Court in the manner as specified hereinafter.

3.The Chief Justice of India has accepted the Commission’s recommendations on Minimum Pay, Fitment Factor, Index of Rationalisation, Pay Matrix and general recommendations on pay without any material alteration in respect of Officers and Employees of the Supreme Court.

4. (1) The Pay Matrix, in replacement of the Pay Bands and Grade Pays as in force immediately prior to the notification of this Resolution, shall be as specified in Annexure I in respect of Officers and Employees of the
Supreme Court.

(2) With regard to fixation of pay of the Officers and Employees of the Supreme Court in the new Pay Matrix as on 1st day of January, 2016, the existing pay (Pay in Pay Band plus Grade Pay) in the pre-revised structure as on 31st day of December, 2015 shall be multiplied by a factor of 2.57. The figure so arrived at is to be located in the Level corresponding to employee’s Pay Band and Grade Pay or Pay Scale in the new Pay Matrix. If a Cell identical with the figure so arrived at is available in the appropriate Level, that Cell shall be the revised pay; otherwise the next higher cell in that Level shall be the revised pay of the employee.

(3) After fixation of pay in the appropriate Level as specified in sub-paragraph (2) above, the subsequent increments in the Level shall be at the immediate next Cell in the Level.

5.There shall be two dates for grant of increment namely, 1st January and 1st July of every year, instead of existing date of 1st July; provided that an employee shall be entitled to only one annual increment on either one of these two dates depending on the date of appointment, promotion or grant of financial upgradation.

6. The Commission’s recommendations and Chief Justice of India’s decision thereon with regard to revised pay structure for Officers and Employees of the Supreme Court as specified at Annexure I and the consequent pay fixation therein as specified at Annexure II shall be effective from the 1st day of January, 2016. The arrears on this account shall be paid during the financial year 2016-2017.

7. The recommendations on Allowances (except Dearness Allowance) having been referred by the Government to a Committee which will submit its report within a period of four months, till a final decision on Allowances is taken based on the recommendations of the said Committee, all Allowances will continue to be paid to Supreme Court Officers and Employees at existing rates in existing pay structure, as if the pay had not been revised with effect from 1st day of January, 2016.

8. The recommendations of the Commission relating to interest bearing Advances as well as interest free Advances have been accepted with the exception that interest free Advances for Medical Treatment, Travelling Allowance for family of deceased, Travelling Allowance on tour or transfer and Leave Travel Concession shall be retained.

9. The recommendations of the Commission for increase in rates of monthly contribution towards Central Government Employees Group Insurance Scheme (CGEGIS) for various categories of employees having not been accepted, the existing rates of monthly contribution shall continue.

10. As requisite sanction for upgradation has been received and upgraded scale have already been implemented, the list of cases of upgradation of pay scales of posts recommended by Seventh Central Pay Commission in which no action is required is specified at Annexure-III.

11. The Chief Justice of India has approved for setting up of an Anomalies Committee by the Registry to examine individual, post-specific and cadre-specific anomalies arising out of implementation of the recommendations of the Commission.

12. The Chief Justice of India wishes to place on record their appreciation of the work done by the Commission.

By Order and under the authority of Chief Justice of India.

M.V. RAMESH, Registrar(Admn.I)

Source:  http://egazette.nic.in/WriteReadData/2016/171860.pdf

Filed Under: ,

Understanding Minimum Wages and Bonus

Press Information Bureau
Government of India
Ministry of Labour & Employment
24-September-2016 10:35 IST

A minimum wage is the lowest remuneration that employers may legally pay to workers or it is the price floor below which workers may not sell their labour.

The concept of minimum wages first evolved with reference to remuneration of workers in those industries where the level of wages was substantially low as compared to the wages for similar types of labour in other industries. As far back as 1928, the International Labour Conference of International Labour Organization, at Geneva, adopted a draft convention on minimum wages requiring the member countries to create and maintain a machinery whereby minimum rates of wages can be fixed for workers employed in industries in which no arrangements exist for the effective regulation of wages and where wages are exceptionally low. Also, at the Preparatory Asian Regional Labour Conference of International Labour Organisation held at New Delhi in 1947 and then at the 3rd session of the Asian Regional Labour Conference, it was approved that every effort should be made to improve wage standards in industries and occupations in Asian Countries, where they are still low. Thus, the need of a legislation for fixation of minimum wages in India received an impetus after World War II, on account of the necessity of protecting the interest of demobilized personnel seeking employment in industries.

The justification for statutory fixation of minimum wage is obvious. Such provisions which exist in more advanced countries are even necessary in India, where workers’ organizations are yet poorly developed and the workers’ bargaining power is consequently poor.

To provide for machinery for fixing and revision of minimum wages a draft Bill was prepared and discussed at the 7th session of the Indian Labour Conference in November, 1945. Thereupon the Minimum Wages Bill was introduced in the Central Legislative Assembly. The Minimum Wages Bill having been passed by the Legislature received the assent on 15th March, 1948. It came on the Statute Book as the Minimum Wages Act, 1948.

The Act provides for fixation by the appropriate Governments of minimum wages for employments covered by Schedule to the Act.  The Central Government is the appropriate Government in respect of 45 scheduled employments in the Central Sphere. The minimum wages fixed for Central sphere are applicable to the scheduled employments in the establishments under the authority of Central Government, railway administrations, mines, oil-fields, major ports or any corporation established by a Central Act. Employments other than the scheduled employment for Central Sphere come under the purview of the State Government and accordingly State Government wages are applicable in such employments.  The minimum wages for Central Sphere are revised from time to time based on the increase in Consumer Price Index effective from April and October.

According to Section 3(1)(b) of the Minimum Wages Act, 1948, “the appropriate government shall review at such intervals, as it may think fit, such intervals not exceeding five years, the minimum rates of wages so fixed and revise the minimum rates if necessary.

The norms recommended by the Indian Labour Conference, in 1957, fox fixing the minimum wages are: (a) consumption units for one wage earner; (b) minimum food requirements of 2700 calories per average Indian adult; (c) clothing requirements of 72 yards per annum per family; (d) rent corresponding to the minimum area provided for under Government’s Industrial Housing Scheme; and (e) fuel, lighting and other miscellaneous items of expenditure to constitute 20% of the total minimum wage.

In 1991, the Hon’ble Supreme Court delivered a historic judgement and directed that children’s education, medical requirement, minimum recreation including festivals/ceremonies, provision for old age, marriage etc. should further constitute 25% of the minimum wage and be used as a guide in fixation of minimum wage.

The Act envisages appointment of an Advisory Board, by the appropriate Government, for the purpose of advising the appropriate Government in the matter of fixing and revising minimum rates of wages.

The Central Government revises the wages in the scheduled employments from time to time in accordance with the provisions of the Minimum Wages Act, 1948. Draft Notifications for all the Scheduled Employments in the Central Sphere were issued on 1st September, 2016 simultaneously, in fact for the first time. The basic rate of minimum wages for an unskilled worker in the scheduled employment other than agriculture has been proposed at Rs.350 in Area ‘C’ from the current minimum wage (basic wage + variable dearness allowance) of Rs.246 resulting in an increase of about 42%. The basic rate of minimum wages for an unskilled worker in the scheduled employment “agriculture” has been proposed at Rs.300 in Area ‘C’ from the current minimum wage (basic wage + variable dearness allowance) of Rs.211 resulting in an increase of about 42%.

The proposed revision in the rates of basic minimum wages would indeed provide much needed solace to the labour fraternity.

Bonus

Bonus payment is an extra payment   given for doing one's job well also known as  performance-related pay or pay for performance.

The practice of paying bonus in India appears to have originated during First World War when certain textile mills granted 10% of wages as war bonus to their workers in 1917.  In certain cases of industrial disputes demand for payment of bonus was also included.  In 1950, the Full Bench of the Labour Appellate Tribunal evolved a formula for determination of bonus.  A plea was made to raise that formula in 1959.  At the second and third meetings of the eighteenth Session of Standing Labour Committee (G.O.I) held in New Delhi in March/ April 1960, it was agreed that a Commission be appointed to go into the question of bonus and evolve suitable norms.  A Tripartite Commission was set up by the Government of India to consider in a comprehensive manner, the question of payment of bonus based on profits to employees employed in establishments and to make recommendations to the Government.  The Government of India accepted the recommendations of the Commission subject to certain modifications.  To implement these recommendations the Payment of Bonus Act, 1965 was enacted, which came into force on 25-9-1965.

The objective of the Payment of Bonus Act, 1965 is to provide for the payment of bonus to the persons employed in certain establishments on the basis of profits or on the basis of production or productivity and for matter connected therewith.

It applies to (i) Every Factory; and (ii) Every other establishment in which 20 or more persons are employed on any day during an accounting year subject to the exemptions under section 32. Every employee shall be entitled to be paid by his employer in an accounting year, bonus, in accordance with the provisions of this Act, provided he has worked in the establishment for not less than thirty working days in that year. While the minimum bonus is 8.33% of the salary or wage earned by the employee during the accounting year, the maximum bonus is 20% of such salary or wage.

Two ceilings are available under the said Act generally known as eligibility limit and calculation ceiling respectively. Clause 13 of Section 2 of Payment of Bonus Act, 1965 defines an employee based on salary or wage per mensem. This is usually taken as the “eligibility limit” for computation of bonus. Similarly, Section 12 of the Payment of Bonus Act, 1965 provides for calculation of bonus of an employee based on salary or wage per mensem. This is known as “calculation ceiling”.

The two ceilings are revised from time to time to keep pace with the price rise and increase in the salary structure. At present, the calculation ceiling has been enhanced to Rs.7000 or the minimum wage for the scheduled employment, as fixed by the appropriate Government, whichever is higher and the eligibility limit has been enhanced to Rs.21,000/-.

Due to this revision, additional 55 lakh workers would be benefited.  This would indeed, be a good gesture on the part of the Government towards the labour fraternity.

*Author is Minister of State (Independent Charge) Labour and Employment, Government of India

Read at http://pib.nic.in/newsite/printrelease.aspx?relid=151081

Filed Under: ,

Government Notification of 7th Central Pay Commission Recommendations Fixation of pay/arrears.

OFFICE OF THE PRINCIPAL CONTROLLER OF ACCOUNTS (FYS)
PAY TECH SECTION
10-A, S.K. BOSE ROAD, KOLKATA-700001

No. Pay/Tech-01/7thCPC I
Dated: 21/09/2016

(All Cs FA)
Subject: Government Notification of 7th Central Pay  Commission Recommendations Fixation of pay/arrears.

Ref: (i) This office circular of even No. dated 11 Aug, 2016.

Please refer to this office Part I office order No. AT/02 circulated vide No. Pay/Tech 01 /7th CPC I dated 11.08.2016 through which a copy of CGDA New Delhi No. AT/II/2701/0rders dated 10 Aug, 2016 has been forwarded for necessary action.

2. It has been stated therein to ensure completion of post audit of fixation of pay/arrear claims within 3 months and the work relating to post audit should be monitored at PCsDA/CsDA level by instituting suitable reporting system for watching the progress of work. A Monthly Report in this regard in a format prescribed therein is required to be furnished to Headquarters office so as to reach by 15th of every month. The first report showing the position as on 31.08.2016 was due to reach HQrs office by 15th Sep, 2016. Kindly confirm its timely submission to HQrs office. Also please forward a copy of the said report to this office for our record & reference.

3. Please ensure submission of the report for the subsequent months within scheduled date with a copy endorsed to this office.

4. Please acknowledge receipt.

Sd/-
Astt. Controller of Accounts (Fys)

Source : http://pcafys.gov.in/files/scan0305.pdf
Filed Under: ,

Casual Labourers with temporary Status – Clarification regarding contribution to GPF and Pension under the Old Pension Scheme.

No.01-07/2016-SPB-I
Government Of India
Ministry Of Communications & IT
Department of Posts

Dak Bhawan, Sansad Marg,
New Delhi – 110 001.

Dated: 12th September, 2016

Subject: Casual Labourers with temporary Status – Clarification regarding contribution to GPF and Pension under the Old Pension Scheme.

Sir,

I am directed to refer to this Department’s letter no.01-07/2016-SPB-I dated 22.07.2016 on the above cited subject and say that following clarifications are hereby issued in respect of Casual Labourers in the Postal Department in line with DOP&T OM No.49014/2/2014-Estt(c) dated 28.07.2016:

(a) The Department’s letter No.01-07/2016-SPB-I dated 22.07.2016 restores the provisions of the scheme as it existed prior to this Department’s letter No.45-6/2005-SPB-I dated 02.09.2005. The benefit of GPF and Old Pension Scheme is applicable to all those Casual Labourers who are covered under the Casual Labourers (Grant of Temporary Status and Regularization) Scheme issued vide letter No.45-95/87-SPB-I dated 12.04.1991 even if they have been regularized on or after 01-01-2004.

(b) As the benefit of Old Pension Scheme and GPF is applicable to only those casual workers who are covered under the above stated scheme of 1991, all the circles may strictly ensure that it does not lead to demand by regularly recruited fresh employees appointed on or after 01.01.2004 for similar benefit in place of NPS.

Yours faithfully,

(Abhay Kumar)
Assistant Director General (SPN)

Source: http://utilities.cept.gov.in/dop/pdfbind.ashx?id=2104

Military men will have their say on 7th Pay Commission

On Wednesday, the Punjab & Haryana HC issued notice to the Central govt, directs the Anomalies Committee to take the views of defence personnel.

All central government employees have the right to represent and air grievances against the awards of the 7th Central Pay Commission (7th CPC) to an “Anomalies Committee” set up for this purpose — all except the military, which ironically constitutes the bulk of central government employees and pensioners.

Now servicemen, in uniform and retired, will have their say too. On Wednesday, the Punjab & Haryana High Court issued notice to the Central government, directed the Anomalies Committee to take into account views of defence personnel.

Ruling on a petition by a serving officer, Colonel Preetpal Singh Grewal, the High Court notice could go some way in easing the vitiated civil-military relationship, and the trust deficit between civil servants and the military.

The 7th CPC recommendations, which were handed over to the government in last November, aroused bitter resentment within the military. On March 11, the three service chiefs made a presentation to the “Empowered Committee of Secretaries”, a 13-member panel headed by the cabinet secretary, which was looking into the recommendations. After that brought no changes, the chiefs held the implementation of the 7th CPC in abeyance, forcing the defence minister to order them last month to implement the award.

In his petition, Grewal pointed out that the Anomalies Committee granting hearings to civil employees, their associations and the civil establishment but not to defence personnel or even the military establishment. He pointed out that the defence services were not even informed about the institution of the Committee and only discovered through press reports that several meetings had been held with civil government employees.

The petition admits that military employees cannot be allowed to form associations. However, there was a need for sensitivity within the system toward defence personnel, and the opportunity to present their views and demands.

Denying this would violate the principles of natural justice, the petition pleaded. It also pointed out that the Supreme Court has already held that defence personnel should not be treated in a ‘shabby manner’ or denuded of rights that are available to other citizens.

Besides pleading for the opportunity for serving and retired military personnel to be heard, the petition asked for an alternative participative mechanism that would compensate for the statutory bar on forming associations.

The petition pointed out that the defence ministry’s Standing Committee on Welfare of Ex-Servicemen, which Defence Minister Manohar Parrikar had himself ordered to hold meetings every three months, has not yet held a single meeting. The petition argued that this amounted to lower officials undermining political authority.

The petition suggested that differences be resolved in a conciliatory manner, instead of implementing ham-handed measures that created a gap between various services. It stated that the standoffishness of high government authority created a trust deficit that could be exploited by anti-national elements, which might spread discontentment through the social media.

The 7th CPC has raised baseline military salaries by about 15 per cent, taking the pay of a lieutenant (the entry grade for officers) to Rs 56,100 per month; and that of a sepoy (the entry grade for ratings) to Rs 21,700 per month. This was significantly lower than the 40 per cent hikes handed out by the Fifth and Sixth Pay Commissions. But the greatest resentment has taken place through the relative dilution of status, with the Indian Administrative Service, Indian Foreign Service, Indian Police Service and Indian Forest Service having been granted allowances that the military believes places them on a higher level.

Read at:http://www.business-standard.com/article/current-affairs/military-men-will-have-their-say-on-7th-pay-commission-116092101060_1.html

The military battles for retaining status

Harsha Kakar
The seventh pay commission as announced was unacceptable to the military and left them simmering due to lowering of their status as compared to their counterparts from other central services. The absurdity of the pay commission chief, to justify his actions by aiming to create equality in all cadres joining through a common exam (civil services exam), indicated his personal enmity against the military. I wonder if the learned judge was aware, that the military inducts its officer cadre at a much younger age, where the competition is equally severe. Further, he would neither have been briefed (as there was no military representative), that selection to the military is far more stringent than other services. The four- day interview has been known to be a rejection criterion rather than a selection one. It only approves those select few, with qualities of patriotism and leadership. There are no quotas allocated to the selection boards. Hence, it is this specially selected lot, which has sacrificed its life for the nation, countless times.

I wonder which other service can boast of such intense national pride and sacrifice. Yet, since independence the military has been systematically downgraded, which it accepted without a murmur. Even its pensions, which were initially 70% were brought down in the third pay commission (1973) to 50%, with a promise of OROP, which remained ignored for decades. This was an intentional action, as it occurred post India’s biggest victory over Pakistan and the commission for the first time, had no military representative. The final release of OROP was below promised levels, however, the formation of the Reddy commission to look into the anomalies, has presently quelled fires.

While dissent is acceptable in a democracy, the same may not be said for the military. Civilian employees agitated against the pay commission award, to which the government immediately responded positively. A threat of strike by them, makes the government rush to accept demands. However, military discipline and ethos does not permit itto resort to such action. In every case, where it has felt downgraded or affected, it has voiced its concerns and left the decision makers, which comprise the polity and bureaucracy to resolve the issue. Thus over the years, anomalies and disagreements have piled up, with no end in sight. Knowing that a disciplined force would never resort to any undemocratic means, they are heard and subsequently ignored.

Further, the pay commission came immediately after the OROP agitation, which was followedon social media by members of the military, after all every soldier of today is a potential veteran of tomorrow. 93% of the military, retires between the ages of 35 to 45,after having sacrificed their youth for the country and then are ignored and dumped. The agitation was aimed at protecting future retirees. The subsequent anomalies and downgrading the status of the military in the pay commission further impacted the organization. Disgruntlement only increased and became more visible. The committee of secretaries ordered by the government to resolve the differences, had no military member, hence its decision was the final nail in the coffin.

The battle for status involves more than just salary. In fact, salary has never been the issue. The status impact comes to the fore when the military functions with different Government agencies in matters concerning national security and calamities. Its lowered status makes working with bureaucrats and civil police officials more complicated, as it alters the rank structure,hence affects coordination and cooperation. The nation works on status;therefore, a higher status officer would never cooperate or be willing to work jointly with a junior from another service. Simultaneously, within the military are civilian members of other central services. A change in status affects its organization and working structure.

The glaring anomalies left behind over years of down gradation have made members of the military, feel like second class citizens serving the nation. While the head of the pay commission, had clearly shown his anger and hatred for the military, by degrading them, the Government and its so-called mature senior bureaucratic leadership did no better. The words of the Prime Minister praising the military, his spending Diwali with troops and senior lady ministers tying Rakhi to soldiers in remote areas, in reality appear to be actions of publicity, rather than genuine concern.

Never in the history of the country had the service chiefs been compelled, to openly refuse to accept the recommendations of the pay commission, but the writing on the wall of dissent across the rank and file was clear. They realized, that they need to serve whom they command, rather than their political leaders. Had theyrelented, they would have been accused of a sell-out, which would remain a blotch, on their otherwise spectacular career. Hence, such an action was resorted to. It had to indicate to the political leadership, in clear terms,that enough damage had been done and it was time to rectify the same.Taking the silent military for granted and treating them as second class citizens, had to stop. It also conveyed that concerns are genuine and unless immediate action is taken, there would be lack of coordination, when operations are launched jointly. The present is also a challenging time, as the military battles increased terrorism and supports the police in restoring normalcy in the Valley even as it faces severe loss of life as in the recent Uri encounter.

However, a disciplined force always remains one. The message has been conveyed and Government action awaited. The words of service chiefs are gospel down the line (unlike any other Government service), hence though there would remain murmurs, however trust and faith in the system would be restored. The soldier has to look up the organization tree for satisfaction and they cannot let him down. It is now upto the defence and Prime Ministers to prove their genuine concern for the military and restore its rightful status. If they fail to do so, all their actions so far, would be viewed by the nation as a publicity stunts and their promises hollow. The nation is proud of its military and knows it would never be let down. Therefore, in the ultimate analysis, it is for the people of India to observe government action in correcting the wrongs done on the silent and dependable military and decide whether the present political leadership can be trusted to keep their words. If they fail to keep their promise, then the nation can reconsider whom to vote for, in the coming elections.
(The author is retired Major  General in Indian Army)

Read at:http://www.dailyexcelsior.com/military-battles-retaining-status/
Filed Under: ,

Introduction of “Advisory fee” under Regulation 15 of PFRDA (Retirement Adviser) Regulations, 2016.

PENSION FUND REGULATORY AND DEVELOPMENT AUTHORITY
B-14/A, Chhatrapati Shivaji Bhawan,
Qutab Institutional Area,
Katwaria Sarai, New Delhi – 110 016.

PFRDA/36/R&S/RA/4
22nd September, 2016

To

All Stakeholders in the National Pension System

Subject: Introduction of “Advisory fee” under Regulation 15 of PFRDA (Retirement Adviser) Regulations, 2016.

1. This has reference to the Regulation no.15 of the PFRDA (Retirement Adviser) Regulations, 2016. Wherein the on-boarding fee of Rs.120/- and a fee of Rs.20/- per transaction or a maximum of Rs.100/- per annum, for subsequent services, have been stipulated.

2. Further to the abovementioned charges, it has been decided by the Authority that and advisory fee of 0.02% may also be charged from any existing subscriber, on their assets under management (AUM) of NPS or any other scheme regulated by PFRDA, on the date of advice, subject to a minimum of Rs.100/- and maximum Rs.1000/- per annum, for providing advice to the subscribers.

3. The scope of such advice being provided by the retirement advisers in any manner, either oral or in writing to the subscribers will be limited to asset allocation and choice of a Pension Fund Manager (PFM) for their financial assets under NPS or any other scheme regulated by PFRDA.

4. The advisory fee can be charged by Retirement Adviser (RA) only when subscriber has signed an agreement with the RA for providing advice, wherein the lower and upper limits of advisory fee, as specified by the Authority may be incorporated. No advisory fee shall be charged at the time of onboarding of the subscriber along with onboarding fee of Rs.120/-

5. The circular is being placed on PFRDA website at http://www.pfrda.org.in.

Sd/-
Ashish Kumar
General Manager

Source: www.pfrda.org.in

PLB to Railway staff will be disbursed before Pooja Festival

The Addl. Member Staff Railway Board, Shri Anand Mathur, has intimated today, i.e. 26.09.2016, AIRF leadership that, Railway Board’s orders for Restructuring of Technicians, to which an agreement was arrived at in Full Board Meeting held on 22.07.2016, will be issued in this week, and payment of 78-day PLB @ Rs.7000 p.m. will be made to all the Group `C’ and `D’ railwaymen well beforePooja Festival.

Source: http://www.airfindia.com/
Filed Under: ,

Tuesday, September 27, 2016

Central Government has a proposal to Pay 1% DA from July 2016 as an interim Measure

The Sources Close to the Ministry of finance informed that there is proposal to Pay 1% DA from July as an interim Measure.It is said that the Central Government has not yet decided about the DA rates in Revised Pay scale.

Sources close to Finance Ministry told that the initial installment of DA to central government employees on the revised pay structure w.e.f 1.7.2016 is under consideration. Mean time there is a proposal to pay the DA from July 2016 at the rate of 1% to all CG Staffs. It will be a shocking news for CG Staff, since they are already expecting 2 to 3% DA from July 2016.

PRU is asked to submit Financial Implication of 1% DA

But the fact is the Department of Expenditure has directed the PRU of the Finance Ministry to furnish the details of additional Financial Implications for 1% increase of DA with effect from 1.7.2016 on the revised Pay Structure.

Further the Pay Research Unit has been requested to furnish financial implications for the Period of July 2016 to February 2017 on account of granting 1% DA from July 2016 to all central government employees including Armed Forces and UT Employees.

According to the above information, it is believed that announcement of 1% DA for July installment may be made any time soon.

Source:http://govtstaffnews.in/proposal-to-pay-1-da-from-july-2016-as-an-interim-measure/






Introduction of Declaration Form (New Form No. 11) to replace existing Form No. - 11(New).

Employees Provident Fund Organisaition
(Ministry of Lobour & Employment, Govt. of India)
Head Office
Bhavishya Nidhi Bhawan, 14-Bhikaji Cama Place, New Delhi - 110066

No. Manual/Amendment/2011/16854
Date 23 SEP 2016

To
All ACC (Zones)
All Regional P.F. Commissioners
In-charge of Regional/Sub Regional Offices.

Sub: Introduction of Declaration Form (New Form No. 11) to replace existing Form No. - 11(New).

Sir/Madam,

In exercise of power conferred on the Central Provident Fund Commissioner under para 36(7) read alongwith the provisions of para 34 & 57 of EPF Scheme 1952 and para 24 of the Employees‘ Pension Scheme. I995 hereb orders replacement of erstwhile Form No. 11(New) with the Declaration Form (New Form No. 11) placed at Annexure-I. The copy of the order issued by the Central P.F. Commissioner, in this regard, is enclosed for kind information.

2. The Declaration Form New Form No. 11 will also replace Form No. 13 in all such cases where existing member to the Provident Fund makes a request for transfer of his fund availing the facility of UAN.

3. The members who have been allotted UAN and where KYC details have been digitally verified by the previous employer are not required to fill separate Form No. 13. Rest of the employees will continue to fill Form No. 13 alongwith New Form No. 11.

4. The employees/employers can access fillable Declaration Form (New Form No. 11) on the member portal which will be pre-filled with all the relevant information already in our database.

Yours faithfully.
Encl: As above.

(M. Narayanappa)
ACC(F&A)

Employees Provident Fund Organisaition
(Ministry of Lobour & Employment, Govt. of India)
Head Office
Bhavishya Nidhi Bhawan, 14-Bhikaji Cama Place, New Delhi - 110066


No. Manual/Amendment/2011/16854
Date: 23 Sep 2016

ORDER

In the matter of Introduction of Declaration Form (New Form No.-11) to replace the existing Form No.-11 (New)

1. Employees‘ Provident F d Organisation has embarked upon its next phase of e-governance reforms with a view to make its services available to its stakeholders in an I efficient and transparent manner. EPFO has implemented the allotment of Universal Account Number (UAN) to its subscribers and to seed the UAN with Aadhar. PAN and Bank account details. The Online Transfer Claim Portal (OTCP) has also been made functional. It is now possible for subscribers. who have acivated UAN with KYC details. to submit claims directly to EPFO without the intervention of employers.

2. In exercise of powers conferred under para 36(7) of the Employees‘ Provident Funds Scheme, 1952 read with paras 34 and 57 of the Employees‘ Provident Funds Scheme, 1952 and para 24 of Employees‘ Pension Scheme, 1995, the introduction of Declaration Form [New Form No. 11] in place of the existing Form No.-11 (New) is ordered with immediate effect. This order is in supersession of order No. Manual/Amendrnent/2011/30992 dated 02.01.2015 issued in this regard.

3. The Declaration Form [New Form No.-11] will also replace Form No.-13 in all such cases where existing member of the Provident Fund makes a request for transfer of his fund availing the facility of Universal Account Number (UAN).

(Dr. V.P. Joy)
Central Provident Fund Commissioner

Encl: Delaration Form (New Form No.-11)

Source: http://www.epfindia.com/site_docs/PDFs/Circulars/Y2016-2017/Manual_DeclarationForm11_16854.pdf













Implementation of the recommendations of 7th CPC- Revision of Post-2016 pension cases.

Government of India
Ministry of Railways
(Railway Board)

RBA No. 67/2016
No. 2016/AC-11/21/8
New Delhi, dated 21.09.2016
FA&CAO
Zonal Railways/PUS

Sub: Implementation of the recommendations of 7th CPC- Revision of Post-2016 pension cases.
Ref: Railway Board’s letter No. 2016/F(E)/III/1/ (1)8 dated 12.08.2016.

The detailed instruction for revision of the settlement dues as well as pension/family pension of railway servants who retired/died in harness on or after 01.01.2016 has been issued vide above referred letter. Necessary modifications in ARPAN software has already been done and is ready for deployment. Similar modifications in IPAS software have also been processed by CRIS. The scheme
for revision of the cases whether settled through ARPAN/IPAS as mentioned below may be adopted uniformly across the railways for timely completion of the revision process.

A. Revision of Post-2016 cases already settled through ARPAN:

(a) Revision of settlement clues as well as revision of PPOs will be carried out in ARPAN- Revision Module.

B. Revision of Post-2016 cases already settled through IPAS:

(a) Payment of revised settlement dues will be made through IPAS- Settlement Module.

(b) Revised particulars (IPAS data) along with Pensioners Photograph (scanned image) and complete Family details will be uploaded to ARPAN data base.

(c) Revised PPOs based on updated IPAS details, will be issued from ARPAN.

e_PPO scheme for revised PPOs in ARPAN in also under development and testing. The Zonal railways/PUs will be intimated in due course for its implementation.

(BB. Verma)
Advisor (Accounts)
Railway Board

Source:http://www.indianrailways.gov.in/railwayboard/uploads/directorate/accounts/downloads/circular/2016/RBA%2067.pdf

Saturday, September 24, 2016

Casual Labourers with temporary Status – Clarification regarding contribution to GPF and Pension under the Old Pension Scheme.

No.01-07/2016-SPB-I
Government Of India
Ministry Of Communications & IT
Department of Posts

Dak Bhawan, Sansad Marg,
New Delhi – 110 001.

Dated: 12th September, 2016

Subject: Casual Labourers with temporary Status – Clarification regarding contribution to GPF and Pension under the Old Pension Scheme.

Sir,

I am directed to refer to this Department’s letter no.01-07/2016-SPB-I dated 22.07.2016 on the above cited subject and say that following clarifications are hereby issued in respect of Casual Labourers in the Postal Department in line with DOP&T OM No.49014/2/2014-Estt(c) dated 28.07.2016:

(a) The Department’s letter No.01-07/2016-SPB-I dated 22.07.2016 restores the provisions of the scheme as it existed prior to this Department’s letter No.45-6/2005-SPB-I dated 02.09.2005. The benefit of GPF and Old Pension Scheme is applicable to all those Casual Labourers who are covered under the Casual Labourers (Grant of Temporary Status and Regularization) Scheme issued vide letter No.45-95/87-SPB-I dated 12.04.1991 even if they have been regularized on or after 01-01-2004.

(b) As the benefit of Old Pension Scheme and GPF is applicable to only those casual workers who are covered under the above stated scheme of 1991, all the circles may strictly ensure that it does not lead to demand by regularly recruited fresh employees appointed on or after 01.01.2004 for similar benefit in place of NPS.

Yours faithfully,

(Abhay Kumar)
Assistant Director General (SPN)

Source: http://utilities.cept.gov.in/dop/pdfbind.ashx?id=2104

Friday, September 23, 2016

Implementation of recommendation of 7th CPC – Fixation of Pay and Payment of arrears in respect of (a) Autonomous organisations

 CONFEDERATION OF CENTRAL GOVERNMENT EMPLOYEES

Ref: Confdn/7th CPC/Autonomous/2016-19
Dated – 20.09.2016

To,

The Secretary (Expenditure)
Ministry of Finance (Govt. of India)
Department of Expenditure
North Block, New Delhi – 110001

Sir,

Sub: – Implementation of recommendation of 7th CPC – Fixation of Pay and Payment of arrears in respect of – (a) Autonomous organisations (b) Central Government Employees who are working in Autonomous bodies on deemed deputation.

1. Please refer to the Government of India, Department of Finance & Department of Expenditure Resolution No. 1-2/2016-IC dated 25.07.2016 bringing out the decisions of  the Government on the recommendations of 7th Central Pay Commission as well as consequent promulgation of the Central Civil Services (Revised Pay) Rules 2016, notified vide G. S. R. No. 721(E) dated 25th July 2016 regarding fixation of pay in the revised pay structure effective from 01.01.2016.

2. Every time, when Revise Pay Rules in respect of Central Government Employees are used, the Government used to issue separate orders regarding the extension of those benefits to the employees of Autonomous Organisations etc. whose pattern of emolument structure are identical to those of the Central government employees. Last time the Revised Pay Rules was issued on 30.08.2008 and orders extending the benefit to similarly placed employees of Autonomous bodies was issued on 30.09.2008. This time even though the Revised Pay Rules are issued on 25.07.2016, till this day i.e. even after a lapse of more than one month orders regarding Autonomous bodies is not issued.

3. Further it is reported that the employees of working at Central Food Laboratory, Kolkata (Health and Family Welfare Department, Government of India) who are on deemed deputation has not been paid the Revised salary for the month of August 2016 in terms of CCS (RP) Rules 2016 by the Director, Central Food Laboratory. Director, CFL has issued orders to draw the pay on the basis of pre-revised pay even in respect of those Central Government employees working at CFL who are on deemed deputation. He has equated employees of the Autonomous organizations with the employees on deemed deputation.

Above action of the Director, CFL, Kolkata appears to be not in conformity with the Para- 7 of OM No. 1-5/2016-IC dated 28.07.2016 in letter and spirit.

4. In view of the above, it is requested that clear instructions may be issued to all Ministries regarding applicability of CCS (RP) Rules 2016 in respect of

(a) Employees of Autonomous Bodies
(b) Central Government employees who are on deemed deputation to Autonomous bodies.

A line in reply from your end will be highly appreciated.

Yours faithfully,

(M. Krishnan)
Secretary General
Mob: – 09447068125
Source: Confederation

Revision of pension under ‘One Rank One Pension’.

OFFICE OF THE PR. CONTROLLER OF DEFENCE ACCOUNTS (PENSIONS)
DRAUPADI CHAT, ALLAHABAD- 211014

Circular No. 566
Dated: 16.09.2016

Subject :- Revision of pension under ‘One Rank One Pension’.

Ref :- This office Circular No. 555 dated 04.02.2016 & Circular No. 557 dated 17.03.2016.

Pension Disbursing Agencies (PDAS) are aware that as per this Office Circular NO. 555 dt. 04.02.2016, pension of Armed Forces Personnel iS to be revised w.e.f. 01.07.2014 by the PDAS as per tables attached with this Circular. PDAS have reported some difficulties on certain points while implementing the scheme Of ‘OROP’. Clarification in the matter is as under:-

(i) Revision of pension in respect of Post-2006 Havildars granted ACP-l who later on promoted to the Rank of Hony Nb Sub :- It is Clarified that pension of Post-2006 Havildars granted ACP-l, who got pensionary benefits of Nb-Sub rank but later on promoted to the rank of Hony. Nb-Sub for which Corr. PPOS were issued revising the rank as Hony. Nb-Sub. Pension in such cases Shall be revised to the rank of Nb-Sub.

(ii) Revision of pension under OROP in r/o Fly. Sergeant: - The rank of Fly. Sergeant has not been mentioned in the equivalence of ranks in Appendix - ‘Y’ of this Office above mentioned Circulars. It iS hereby Clarified that rank of Fly. Sergeant iS equivalent to JWO of the Air Force and Naib Subedar of the Army. Hence, pension of Fly. Sergeant Shall be revised from the Tables of Naib Subedar

2. All other terms and conditions in the matter shall remain unchanged.

3. This circular has been uploaded on this office website www.pcdapension.nic.in for dissemination
across the all concerned.

No. Gts/Tech/0167/XXIV
Dated: 16.09.2016
(C.B. Yadav)
DCDA (Pensions)

Source: http://pcdapension.nic.in/6cpc/Circular-566.pdf

Wednesday, September 21, 2016

7th pay commission news-NOTE ON ALLOWANCES-JCA

POSTAL JOINT COUNCIL OF ACTION
NATIONAL FEDERATION OF POSTAL EMPLOYEES
FEDERATION OF NATIONAL POSTAL ORGANISATIONS 

PF-No.PF-PJCA/20

Dated:16th September, 2016
To
The Secretary,
Department of Post,
Sansad Marg,
Dak Bhawan,
New Delhi-110 001

NOTE ON ALLOWANCES

1. The recommendation of the 7th CPC that Tough Location Allowance will not be admissible along wth Special Duty Allowance (SDA) should not be accepted by Government.

In para 8.10.62 of the 7th CPC the following recommendation is made –

Para 8.10.62 - There are some “Special Compensatory” Allowances that are based on geographical location and are meant to compensate for hardship faced by employees posted in such places. It is proposed to subsume these allowances under the umbrella of “Tough Location Allowance”.

In Para 8.10.63 the Commission made the following recommendations –
“The Tough Location Allowance will, however, not be admissible along with Special Duty Allowance”.

At present, special allowances are paid in the following places along with Special Duty Allowance.

(a) Assam and North Easter Region – Special Compensatory allowance paid alongwith Special Duty Allowance.
(b) Andaman & Nicobar Islands – Special Compensatory Allowance paid alongwith Island Special Duty Allowance.
(c) Tripura Special Compensatory Remote Locality Allowance paid along with Special Duty Allowance.

Demand of the staff side: In all the above cases “Tough Location Allowance” may be paid alongwith Special Duty Allowance. Withdrawal of any of the above allowances, will result in substantial financial loss to the employees. An existing benefit should not be withdrawn, under the pretext of 7th CPC’s unjustified recommendation.

2. Special Duty Allowance in N. E. Region should be uniform for all at 30%.

In Para 8.17.115 the 7th CPC made the following observation –
“Special Duty Allowance (SDA) is granted to attract civilian employees to seek posting in North Eastern and Ladhak Regions, in view of the risk and hardship prevailing in these areas. Currently the rate of SDA is 37.5% of Basic Pay for AIS officers and 12.5% of Basic Pay for other employees.

In para 8.17.118 the Commission made the following recommendation –
“Accordingly in line with our general approach of rationalizing the percentage based allowance by a factor of 0.8, SDA for AIS officers should be paid at the rate of 30% of Basic Pay and for other civilian employees at the rate of 10% of their basic pay.

Demand of the staff side: The discrimination between AIS officers and other civilian employees in payment of SDA should not be there and all may be paid at the same rate i.e. at the rate of 30% recommended by the pay commission for AIS officers.

3. Allowances which are not reported to 7thCPC by the concerned departments.

In para 8.2.5 of the report, the 7th CPC made the following recommendation.
“We have considered all allowances reported to us, in this chapter. Any allowances, not mentioned here (And hence not reported to the commission) shall cease to exist immediately. In case there is any demand or requirement for continuation of an existing allowance which has not been deliberated upon or covered in this report, it should be re-notified by the ministry concerned after obtaining due approval of Ministry of Finance and should be put in the public domain”.

Demand of the Staff Side: The above recommendation should not be accepted, as it amounts to penalizing employees for the fault of the departmental heads. The following allowance which are not reported to the commission should be retained and enhanced.

(a) PO & RMS Accountants’ Special allowance
Postal Assistants and Sorting Assistants of Postal department are posted as PO & RMS Accountant after passing a qualifying examination. Taking into consideration their work which require much skill, application of mind, and knowledge of all rulings, Special allowance is granted to them. This allowance may beretained and enhanced.

4. Savings Bank Allowance in Post offices:

In Department of Posts, Savings Bank Allowance is granted to Postal Assistant working in Post Office Savings Bank (POSB) for shouldering strenuous and complicated nature of Savings Bank work. Postal Assistants need to qualify an aptitude test to get this allowance. The current rates are Rs.300/- per month for fully engaged staff and Rs.150/- per month for partially engaged staff.

In para 8.10.80 of the report, the Commission recommended as follows:
“Savings Bank Allowance be abolished as the justification provided by the concerned ministry for the grant of this allowance is not sufficient for their continuance”.

Demand of staff side: Savings Bank Allowance should be retained and enhanced in view of the justification given above.

5. Special Compensatory (Hill area) Allowance

In para 8.10.50 of the report, the 7th CPC made the following recommendation – “There is hardly any hardship involved at altitude of 1000 meters (more than 3000 feets) above sea level. Hence, it is recommended that the allowance should be abolished.

Demand of the staff side: The above observation of the commission is not based on ground realities but based on presumption. Hence the above allowance should be retained and enhanced.

6. Family Planning Allowance

In para 8.17.50 of the report, the 7th CPC made the following recommendations – “The commission recognizes the fact that most of the benefit related to children viz. children Education Allowance, maternity Leave, LTC etc. are available for two children only. Moreover, the level of awareness regarding appropriate family size has also gone up among Government servants. Hence, a separate allowance aimed towards population control is not required. Accordingly, it is recommended that family planning allowance should be abolished.

Demand of the staff side: The above allowance may be retained. In any case, the Family Planning Allowance already granted should not be withdrawn.

7. Fixed Medical Allowance

In Para 8.17.51 of the report the 7th CPC observed as follows –

It is granted to pensioners for meeting expenditure on day to day medical expenses that do not require hospitalization, presently payable at the rate of Rs.500/- p.m. Demands have been received to increase the rate of this allowance to Rs.2000/-.

In para 8.17.52 the Commission made the following recommendation-
The Commission notes that the allowance was enhanced from Rs.300/- to Rs.500/- p.m from 19.11.2014. As such, further enhancement of this allowance is not recommended.


Demand of the staff side: in the memorandum submitted to 7th CPC, the staff side had elaborately explained the justification for enhancing the FMA to Rs.2000/-. As everybody knows, old age persons are suffering from many deceases and as the cost of medicines has increased manifold the expenditure on outdoor medical treatment has also gone up like anything. With Rs.500/- p.m no pensioner can meet the medical expenses. The commission has not conducted any scientific and realistic study, but simply rejected the demand stating that it is enhanced recently. It is once again requested that the FMA for pensioners may be enhanced to Rs.2000/- p.m as in the case of EPF pensioners.

8. Cash handling Allowance

In para 8.10.9 of the report, the 7th CPC observed as follows: -

It is paid to cashiers working in Central Government departments, for handling of cash. The current rates are –

Average amount of monthly cash disbursed
Rate per month
Below Rs. 50000
230
Over Rs. 50000 upto 200000
450
Over 200000 upto 500000
600
Over 500000 upto 1000000
750
Above 1000000
900


Again in Para 8.10.57 the commission observed as follows: -

Treasury Allowance – This allowance is granted in Department of Posts to Treasurers and Assistant Treasurers working in Head Post offices and large Sub Post offices for handling cash. The present rate is Rs.360/- p.m for handling cash upto Rs.2 lakhs and Rs.480/- p.m. for handling cash more than Rs.2 lakhs.

In para 8.10.80 the commission made the following recommendation
Assistant cashier Allowance, Cash handling allowance and Treasury Allowance –
With technological advances and growing emphasis on banking, these allowances have lost their relevance. Hence it is recommended that not only all salary be paid through banks, but Ministries/departments should work out plans to first minimize and then eliminate all sorts of cash transactions.

Demand of the staff Side: The recommendation of the Commission is not realistic. Till that time the cash transactions are eliminated the Cash handling allowance and Treasury allowance should be retained and enhanced.

9. Cycle Allowance

In para 8.15.10 of the report the 7th CPC made the following observation.
“It is paid where the duties attached to the post require extensive use of bicycle and the official concerned has to use and maintain his own cycle for official journeys. The existing rate is Rs.90 p.m.

In para 15.11 the commission made the following recommendation –
“The Commission is of the view that amount of this allowance is megre and the allowance itself is outdated. Hence it should be abolished.

Demand of the staff side: This allowance is at present given to more than 40000 Postmen staff and about 50000 GraminDakSevaks of the Postal Department. When the commission itself observed that an official using his own bicycle for official duties has to incur expenditure for maintenance of the cycle. When the maintenance work is done for performing official duties, the amount should be reimbursed to the official, whether the amount is megre or not – Hence this allowance should be retained and enhanced.

10. Overtime Allowance

In para 8.17.97 of the report the 7th CPC made the following recommendations -

Hence while this commission shares the sentiments of the predecessors that Government offices need to increase productivity and efficiency and recommended that OTA should be abolished (except for operational staff and industrial employees who are governed by statutory provisions) at the same time it is also recommended that in case the Government decides to continue with OTA for these categories of staff for which it is not statutory requirement, then the rate of OTA for such staff should be increased by 50% from their current levels.

Demand of the staff side: OTA rates are revised in the year 1987. For the last 30 years no revision has taken place. Eventhough an arbitration award for enhancement is given, the same is also pending implementation for the last 20 years. After 7th CPC revision, one hour wage of an MTS is Rs. 75/- where as rate for one hour OTA is Rs.15.85 only!!! Hence it is requested that overtime allowance wherever sanctioned must be based upon the actual basic pay of the entitled employee.

11. Dress Allowance

(a) Para 08.16.14 may be referred. The 7th CPC recommended four slabs of Dress allowance per year for various categories of employees. In the Department of Posts there are about 75000 Postmen and Multi-Tasking staff wearing uniform. Their name is not mentioned in the category of employees shown in the table. Even if it is included in the other categories of staff, then the Dress Allowance per year will be Rs.5000/- only. At present the Postmen/MTS staff of Postal department are getting more than Rs.5000/- for uniform plus washing allowance. Hence it should be made clear under which category the Postmen and MTS staff of Postal department are to be included, in the dress allowance table recommended by the 7th CPC. These official may be granted Rs.10000/- as dress allowance.

(b) It is further demanded that the Dress Allowance ceiling to be raised to Rs.32400 per annum.

(c) If cloth for dress is provided stitching charges should be revised reasonably.

(d) Washing allowance should be increased from Rs.90/- to 150/- Rupees per month.

Yours faithfully

Sd/-                          Sd/-
(D. Theagarajan) (R.N. Parashar)
Secretary General FNPO Secretary General

Source:- NFPE

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