Latest Development on 7th CPC recommendations

Latest Development on 7th CPC recommendations

NJCA
National Joint Council of Action
4, State Entry Road New Delhi-110055
Ph: 011-23365912, 23343493, Fax: 23363167
No.NJCA/2016

Dated May 27, 2016

All Constituent Organisations,
National Council (JCM)

Dear Comrades,

As there had been no response from the Government to our communication dated 2nd May, 2016, we decided to seek an appointment with the Cabinet Secretary. Accordingly a delegation consisting of the following members of the NJCA met Cabinet Secretary, Shrl P.K. Sinha on 26. May 2016.

Com. Shiva Gopal Misra Com.
Guman Singh
Corn. K.K.N. Rutty

From the discussions, it appears that, the Empowered Committee has made up their mind to recommend to the Government a slight increase in the Minimum Wage. No indication was however given as to the consequential revision of the Fitment Formula and Pay Matrix. There had also not been any hint about the need to restore the percentage of the HRA, which the 7th CPC has recommended for reduction. On Advances and Allowances, abolished, the Government might be advised to setup a committee to go into the matter and make suggestions. In the matter of the New Contributory Pension Scheme also, the Government might refer the demand to a committee.

On the question of pension benefit to the retired personnel, who are covered by the defined benefit pension scheme, the Cabinet secretary indicated that, both the Department of Pension and Defence Ministry were of the firm view that the first option recommended by the 7th CPC to bring about the parity with the past pensioners being infeasible and impracticable (due to the non-availability of the requisite records) might not be accepted and acted upon.

Surprised over this development, the delegation requested for an official formal meeting of the Standing Committee so that the considered views of the Staff Side could be presented. The delegation informed to the Cabinet Secretary that, non-acceptance of the recommendation of the 7th CPC in the case of pensioners will be extremely disappointing for them and will give rise to avoidable discontent. The Cabinet Secretary suggested to the Staff Side to reach out to the Department of Pension and Ministry of Defence in’ the matter. So far he is concerned; he is an open minded on this subject, provided it is workable.

The National JCA will meet on 3rd June 2016 at New Delhi to consider these developments and take appropriate decision.

No TDS on Disability Pension to Armed Forces Personnel

No TDS on Disability Pension to Armed Forces Personnel
By Prashant Thakur -February 3, 2016

The tax exemption of disability pension received by Armed Force Personnel are among those exemptions under Income Tax Act for which you may not get a direct reference in the Income Tax Act.

However , such tax exemption are allowed by the executive instruction issued by either Finance Ministry notification or under the delegated powers to CBDT . Armed Forces personnel get the disability pension which is basically aggregate of two components-disability pension and service pension. Previously , this website had posted earlier 3 Types of Pension to Armed Forces Completely Tax Free!

Disability Pension to Armed Forces : What is it ? Update :

The below portion is modified as the government, has issued new circular for minimum disability pension .

The circular is applicable to all Pre-2006 Armed Forces Disability/War Injury Pensioners who were/ are in receipt of Disability Pension/ Liberalized Disability Pension/ War Injury Pension as on 24th September 2012.

Download the Circular 542 dated 27/05/2015

As per the website of Principal Controller of Defence Accounts (Pension), where an Armed Forces Personnel is invalided out of service, which is accepted as attributable to or aggravated by military service, he shall be entitled to disability pension consisting of Service Element & Disability Element as follows:-

Service Element The amount of service element shall be determined as 50% of less emoluments drawn as given in para 6 of MOD letter dt- 12.11.2008 which is subject to minimum Rs 3500/- p.m.

Disability Element The rates of disability elements for 100% disability for various ranks shall be 30% of emolument last drawn subject to Rs. 3510/- per month. Disability lower than 100% shall be computed by reducing proportionately.

Disability Element on Invalidment Where an Armed Force personnel is invalided out of service under circumstances mentioned in para 4.1 of Govt. letter dt. 31.01.01, the extent of disability shall be determined as follows for the purpose of computing the DE :- Percentage as finally assessed by Competent AuthorityPercentage to be reckoned for computing DE Between 1 to 4950 Between 50 & 7575 Between 76 &100100 Disability Element on Retirement/Discharge Where an Armed Forces personnel is retained in service despite disability and subsequently retired/ discharged on completion of tenure or on attaining the age of retirement, he shall be entitled to Disability Entitlement at the rate prescribed for 100% disablement. For disablement less than 100% but not below 20%, the rates shall be reduced proportionately.
No disability element shall be payable for disability less than 20% .

Is Disability Pension to Armed Forces Tax Free ?

Yes, although there is nothing in section 10 of the Income Tax Act , which is a general exemption section under Income tax Act , the disability pension has been made tax free through Finance Ministry notification No 878-F (Income Tax) dated 21-3-1922 .

The following instruction from CBDT explains that the entire disability pension is exempt

INSTRUCTION NO 136F.NO. 34/3/68-IT(AI)GOVT OF INDIA CENTRAL BOARD OF DIRECT TAXES NEW DELHI, DATED THE 14TH JAN 1970
FROM :SHRI S N NAUTIALSECRETARY, CBDT

TO:ALL COMMISSIONERS OF INCOME TAX

SUBJECT : EXEMPTION – SERVICE AND DISABILITY ELEMENT OF DISABILITY PENSION GRANTED TO A DISABLED OFFICER OF THE INDIAN ARMY –

WHETHER EXEMPTED FROM INCOME TAX. REFERENCE IS INVITED TO THE BOARD’S LETTER F NO 42/9/59-IT(AI), DATED THE 5TH SEPT 1960 ON THE ABOVE SUBJECT WHEREIN IT WAS MENTIONED THAT IN THE CASES FALLING UNDER ITEM (29) OF FINANCE DEPTT NOTIFICATION NO 878-F (INCOME TAX) DATED 21-3-1922, THE‘DISABILITY ELEMENT’ OF THE DISABILITY PENSION RECEIVED BY AN OFFICER OF THE ARMY WILL ONLY BE EXEMPTED FROM TAX AND THAT THE ‘SERVICE ELEMENT’ WILL BE SUBJECTED TO TAX.

2. ON RECONSIDERATION OF THE MATTER, IN CONSULTATION WITH THE MINISTRY OF LAW, THE BOARD ARE ADVISED THAT ITEM 29 OF THE NOTIFICATION DOES NOT DIFFERENTIATE BETWEEN TYPES OF PENSIONS. ACCORDINGLY IN THE CASES FALLING UNDER ITEM 29 OF THE ABOVE NOTIFICATION, ENTIRE DISABILITY PENSION WILL BE EXEMPTED FROM INCOME-TAX.

3.THE ABOVE INSTRUCTIONS MAY BE BROUGHT TO THE NOTICE OF ALL ASSESSING OFFICERS IN YOUR CHARGE. YOURS FAITHFULLY,

SD/- (S N NAUTIAL) SECRETARY ,CBDT

Confusion on Exemption Disability Pension & Service Element As the disability pension is aggregate of two elements- disability element and service element- a confusion was created in filed formation of tax authorities , whether the disability element only is tax free and not the service element. CBDT , therefore , in order to wipe out any confusion , issued another instruction

F. No. 200/51/00-ITA-1 dt. 02.7.2001 to stress that both element of disability pension is tax exempt.
Read the instruction below :

[F. NO. 200/51/00-ITA-1 DT. 02.7.2001 FROM MINISTRY OF FINANCE DEPTT. OF REVENUE CENTRAL BOARD OF DIRECT TAXES, NEW DELHI.]

SUBJECT: EXEMPTION FROM INCOME TAX TO DISABILITY PENSION, I.E. ” DISABILITY ELEMENT” AND “SERVICE ELEMENT” OF A DISABLED OFFICER OF THE INDIAN ARMED FORCES- INSTRUCTIONS REGARDING.

REFERENCE HAVE BEEN RECEIVED IN THE BOARD REGARDING EXEMPTION FROM INCOME TAX TO DISABILITY PENSION, I.E. “DISABILITY ELEMENT” AND “SERVICE ELEMENT” OF A DISABLED OFFICER OF THE INDIAN ARMED FORCES.

2. IT APPEARS THAT FIELD FORMATIONS IN CERTAIN CASES ARE NOT UNIFORMLY ALLOWING DISABILITY, PENSION IN SPITE OF BOARD’S INSTRUCTION NO.136 DATED 14TH JANUARY, 970 (F.NO.34/3/68-IT(A.1)).

3. THE MATTER HAS BEEN RE-EXAMINED IN THE BOARD AND IT HAS BEEN DECIDED TO REITERATE THAT THE ENTIRE DISABILITY PENSION, I.E. ” DISABILITY ELEMENT” AND “SERVICE ELEMENT” OF A DISABLED OFFICER OF THE INDIAN ARMED FORCES CONTINUES TO BE EXEMPT FROM INCOME TAX.

4. THIS MAY BE BOUGHT TO THE NOTICE OF ALL THE OFFICERS WORKING UNDER YOU.
SD/- B.L. SAHU OFFICER ON SPECIAL DUTY (ITA .1)

No TDS on Disability Pension to Army Personnel
As it happens in India, everyone becomes the super authorities against the common man. The government received complaint that certain banks are deducting the tax on the disability pension .

So , government issued a press release that no TDS is required on the said disability pension paid to Armed Forces personnel.
Read below the excerpt. PRESS RELEASE, DATED 20-12-2007

IT HAS BEEN REPORTED IN THE PRESS THAT SOME BANKS WERE DEDUCTING TAX FROM PENSION OF DISABLED EX-SERVICEMEN IN VIOLATION OF GOVERNMENT INSTRUCTIONS.

RBI WAS REQUESTED TO HAVE THE MATTER INVESTIGATED AND REMEDIAL ACTION TAKEN. AFTER EXAMINATION, RBI DISCOVERED THAT IN ONE SPECIFIC INSTANCE, DUE TO OVERSIGHT, THE PENSIONER’S DISABILITY PENSION WAS WRONGLY TAKEN INTO ACCOUNT WHILE CALCULATING INCOME-TAX.

RBI HAS ISSUED INSTRUCTIONS TO ALL AGENCY BANKS TO STRICTLY ADHERE TO THE PROVISIONS OF PARA 88.3 OF DEFENCE PENSION PAYMENT INSTRUCTIONS, 2005, REGARDING EXEMPTION OF INCOME-TAX OF THE DISABILITY PENSION OF THE PENSIONERS OF ARMED FORCES.

BANKS HAVE BEEN ADVISED TO ISSUE SUITABLE INSTRUCTIONS TO ALL THEIR PENSION DISBURSING BRANCHES THAT INCOME-TAX SHOULD NOT BE DEDUCTED FROM THE DISABILITY PENSION PAID TO THE PENSIONERS OF THE ARMED FORCES.

Conclusion

The disability pension given to Armed Forces Personnel are having two components-disability element & service element. Both are tax free vide Ministry of Finance notification read with clarification from CBDT and also there can not eb any TDS as the amount is fully tax free.

Claims regarding payment of Travelling Allowance to the staff promoted under cadre restructuring w.e.f 01/11/2013 - case of North Western Railway

Claims regarding payment of Travelling Allowance to the staff promoted under cadre restructuring w.e.f 01/11/2013 - case of North Western Railway

NFIR
National Federation of Indian Railwaymen

No. I/5(F)

Dated: 2310512016

The Secretary (E),
Railway Board,
New Delhi

Dear Sir,
Sub: Claims regarding payment of Travelling Allowance to the Staff promoted under cadre restructuring w.e.f. 0l/11/2013- case of North Western Railway-reg.

 Ref: (i) GM(P)AJ.W. Rly's letterNo.600E/Bills/HQ/NWREU/7/2015 dated 25/01/2016.
(ii) NFIR's letter No. I/5(F) dated 01/03/2016.

(iii) Railway Board's letter No. F(E)I/2016/AL-28/17 dated 22/04/2016.


On going through the reply sent by the Board vide letter dated 22/04/2016, Federation is disappointed to note that the issue raised by NFIR vide its letter dated 01/03/2016, has not been gone into thoroughly with reference to the rules on the subject lPara1202 of IREM Vol. I and Para 1602 (2) of IREC Vol. II] and the stipulations mentioned in the footnote where following provision has been made in case of late authorization/drawal of increments by the employees from retrospective effect.

"Note: In the case of late authorization/drawal of increments with retrospective effect, other than where increments were withheld or where the increments take an officer above the stage ' of efficiency bar, there is no objection to the supplementary claims relating to Travelling Allowance, if any being admitted, on the basis of the enhanced pay including the increments."

These stipulations however have not been taken into account by the Board while sending negative reply to the Federation.



Incidentally, Federation desires to mention that the issue was raised by the General Secretary, NFIR in the PNM meeting held on 19th/20th May 2016 outside the agenda. It is also worth-mentioning that the benefit of cadre restructuring to be given effect from 0l/1112013 was actually granted after lot of delay due to various administrative reasons, therefore claims of staff for payment of Travelling Allowance at the enhanced rates effective from 01/11/2013 need to be considered as provided under the rules.

NFIR, therefore, requests the Railway Board to kindly review and issue suitable instructions to all Zones etc., on the subject. A copy of instructions issued may be endorsed to the Federation.

Yours faithfully,

(Dr. M. Raghavaiah)
General Secretary

Copy to the General Secretaries of affiliated Unions of NFIR.
Media Centre/NFIR.

NFIR

Retention of names on offer for Central Deputation under the Central Staffing Scheme for the year 2016

Retention of names on offer for Central Deputation under the Central Staffing Scheme for the year 2016- reg.

IMMEDIATE

No. 32/2016-E0 (MM.II)
Government of India
Ministry of Personnel, Public Grievances & Pensions
Department of Personnel & Training

North Block, New Delhi
Dated the 25th May, 2016

To
1. The Chief Secretaries of the State Governments
(As per list enclosed)
2. All Cadre Controlling Authorities of Group ‘A’ Services
(As per list enclosed)

Sub: Retention of names on offer for Central Deputation under the Central Staffing Scheme for the year 2016- reg.

Sir/Madam,
Please refer to this Department’s D.O. letters of even number and No. 33/2016-EO (MM.II) both dated 17th December, 2015 regarding sponsoring of the names of eligible officers for appointment in the Government of India under the Central Staffing Scheme for the year 2016.

2. As per directions of the ACC, the names of officers, for being placed on offer are to be obtained from the State Governments/Cadre Controlling Authorities in two Branches.

3. It is, therefore, requested to kindly sponsor the names of officers to this office, for retention under the Central Staffing Scheme for the 2 nd tranche. Kindly give this circular wide publicity amongst the eligible officers under your administrative control. As far as possible the application may be forwarded by 31st July, 2016.

4. The applications of willing officers (including those pending from 1st tranche of 2016) may be forwarded to this Department after due scrutiny at the earliest. A copy of the D.O. letter dated 17th December, 2015 is enclosed with this letter.

Yours faithfully,

(Jagannath Srinivasan)
Deputy Secretary(MM)

DoPT Circular

7th Pay Commission report to be put up before Cabinet in June

Government is exploring options for meeting the additional payout over and above what was recommended by the 7th pay panel. It is is exploring options for meeting the additional payout over and above what was recommended by the 7th pay panel

7th Pay Commission report to be put up before Cabinet in June – 7th CPC implementation Notification to come at the earliest

Central government employees can expect to get some good news trickling in from government sources towards the end of June.

As per reports, the Finance Ministry is likely to table the 7th Pay Commission report to the Cabinet for approval in the last week of June.

The 7th pay panel headed by AK Mathur had recommended the minimum salary for central government employees at Rs 18,000 and maximum salary at Rs 2,50,000. As employees protested against the wage hike calling it the “lowest ever” raise, the government set up the Empowered Committee of Secretaries group to review the AK Mathur-panel’s recommendations.

The Empowered Committee of Secretaries on the Seventh Central Pay Commission is expected to soon wrap up its report on the remuneration of government employees.

Sources added that even the Prime Minister’s Office is keen on a favourable pay hike for the central government employees, so the panel is likely to recommend a minimum salary at Rs 24,000 and the highest salary at Rs 2,70,000.

Sources added that the government is exploring options for meeting the additional payout over and above what was recommended by the 7th pay panel. The payout could be substantial with salary hike and arrears adding up to a Rs 1.02 lakh crore burden on government finances.

Report add that once the report moves from the table of the empowered group of committee to the cabinet, there is no reason why the cabinet would inordinately delay it.

The Finance Ministry is keen that higher salaries reach government employees just before the festive season starting mid-August, as spurt in consumption during the festive period will have a domino effect on the economy.

Source: Zee News

Impact of 7th Pay Commission only 25K crore and not 100K crore – Confederation

Impact of 7th Pay Commission only 25K crore and not 100K crore – Confederation

Central Government Employees of Karnataka State has expressed its views that Government of India has to spend an additional Rs.25,000/- crores and not Rs.1,00,000/- crores as a result of implementation of 7th Pay Commission contrary to media reports. This will amount to 0.4 per cent of GDP.

Expenditure towards Salary of Central Government Employees on implementation of 7th Pay Commission will be around 25000 Cr and not Rs.1 lakh Crore as projected by media reports says Confederation

Confederation of Central Government Employees and Workers, Karnataka State has come up with a detailed report on actual expenditure involved out of 7th Pay Commission recommendations.

Comrades,
There are various reports in the media about the impact of the 7th Pay Commission recommendations on the common man and the government resources at large, the reports suggest that amount of Rs.one lakh crores of public money has been spent for implementation of the 7th Pay Commission recommendations for 35 lakhs central Government employees, Perhaps the strongest criticism of Pay Commission awards is that they play havoc with government finances and also state government demand support to implement the 7th Pay Commission recommendations. At the aggregate level, these concerns are somewhat exaggerated and which is totally wrong.

Let us examine the 7th Pay Commission report vide para no 3.65 and 3.66 and the website of Government of India Ministry of Finance Department of Expenditure Pay Research Unit for Brochure on Pay and Allowances of Central Government Civilian Employees visit website PayAllowance2013-14

The 7th Pay Commission report para number 3.65 and 3.66
3.65 The total expenditure on pay and allowances for civil personnel of Central Government in the recent years is brought out in Table 9.

Table 9: Expenditure on Pay and Allowances

Year	2007-08	2008-09	2009-10	2010-11	2011-12	2012-13
Amount (Rs.crore)	51,664	80,110	1,07,402	1,07,550	1,17,565	1,29,599
As a percent of GDP	1.04	1.42	1.66	1.38	1.33	1.30

The 7th Pay Commission report para number 3.65 and 3.66

3.65 The total expenditure on pay and allowances for civil personnel of Central Government in the recent years is brought out in Table 9.

Table 9: Expenditure on Pay and Allowances

3.66 The expenditure per capita on pay and allowances for Civil Central Government personnel for FY 2012-13 was Rs..3.92 lakh per annum i.e Rs..32666/- per month.

Add 35% DA for the period 1/4/2013 to 1/1/2016 average salary of Civil Central Government personnel as on 1/1/2016 at 125% DA which works around Rs.37500/- per month (Rs.4.50 lakhs per annum ) without 7th CPC recommendations . i.e., Rs..1.57,000 crores.

Add average 16% wage increase due to 7th Pay Commission which works out to Rs 43500/- per month (Rs.5.22 lakhs per annum) with 7th Pay Commission implementation .

Total Expenditure for 35 lakhs for Civil Central Government personnel for FY 2016-17 is around Rs..1,83,000 crores In respect of pensions expenditure for 55 lakhs pensioners amount is around Rs..81,000/ crores as on 1/1/2016. which is against the revenue receipts of Rs..19 lakh crores. The percentage of revenue receipt and wages is just around 13% of the total revenue is spent on the wages and pension for the Central Government personnel. In fact it is just at 1.3% of the GDP.

This clearly shows that that the increase in impact for the government of India finances is just additional Rs..25,000/- crores not additional Rs..1,00,000/- crores as per the media reports.

The 7th Pay Commission recommendations’ impact need not give jitters to the government because the rise in government wages will amount to only 0.4 per cent of GDP.

One more aspect is that technically, the recommendations of a Central Pay Commission are only for Central Government employees and States are not bound to follow suit. Indeed, up to the 1980s, States constituted their own Pay Commissions and prescribed their own pay scales, based upon their fiscal capacity.

Let us not be carried over by the media or press reports, hence we should educate each and every employee for struggle and so that a decent wage hike is achieved.

Comradely yours
(P.S.Prasad)
General Secretary

Click to view the report by Confederation of Central Government Employees and Workers, Karnataka

Central Government Staff stir over pay anomalies from June 9

Central Government Staff stir over pay anomalies from June 9

KKN Kutty, national president of the Confederation of Central Government Employees and Workers, today said the employees of the Central government would stage a demonstration from June 9 onwards in case the “shortcomings in the seventh pay commission recommendations” were not rectified.

Kutty, while talking to media persons on the sidelines of the All India Trade Union Education Camp 2016 in Dehradun, said the seventh pay commission had recommended Rs 18,000 per month as minimum wage whereas it should be Rs 26,000 per month. “Thirty five to 40 per cent positions are vacant in the Central government departments which must be filled at the earliest,” he said while criticizing the government for its outsourcing policy.

“Several issues are there which should be resolved. We have asked the Centre to hold talks with us before June 9, otherwise we will be forced to launch an agitation,” he said. He said it was wrong to link government employees with corruption. “It is in society and there should be a mechanism to check it,” he asserted.
Earlier, while addressing the All India Trade Union Education Camp 2016, Kutty called upon the Central government employees to work unitedly towards ensuring justice for them.

Another speaker, Venkatesh Ramakrishnan, said the liberalization policies followed by the rise of communalism in the country had adversely affected the working class. He said the Central government employees were facing challenging times as they were being neglected.

Source: Tribune India

Instructions for applicants applying for General Pool residential accommodation (GPRA) under Lady Officers Pool

Instructions for applicants applying for General Pool residential accommodation (GPRA) under Lady Officers’ Pool

`Married lady officer’ means a lady officer whose marriage is subsisting and who is not judicially separated from her husband. All other women employees fall in single lady officer category

As per the provisions of SR 317-B-8 of the Allotment of Government Residences (General Pool in Delhi) Rules, 1963, ‘Lady Officers Pool’ is maintained separately for allotment of GPRA to married lady officers and single lady officers in the ratio of 2:1

No.12035/10/84-Pol.II (Vol. II)
Government of India
Ministry of Urban Development
Directorate of Estates

Nirman Bhawan,
New Delhi-110 108.
Dated the 5th May, 2016

OFFICE MEMORANDUM

Subject: Instructions for applicants applying for General Pool residential accommodation (GPRA) under Lady Officers’ Pool.

As per the provisions of SR 317-B-8 of the Allotment of Government Residences (General Pool in Delhi) Rules, 1963, ‘Lady Officers Pool’ is maintained separately for allotment of GPRA to married lady officers and single lady officers in the ratio of 2:1.`Married lady officer’ means a lady officer whose marriage is subsisting and who is not judicially separated from her husband. All other women employees fall in single lady officer category.

2. But, it has been observed in many cases that at the time of applying in DE-II Form, a single lady officer apply under single lady category but after marriage of her, do not update her status in DE-II Form and gets accommodation in single lady officer category despite being married. This allotment violates the existing provisions of the Allotment of Government Residences (General Pool in Delhi) Rules, 1963.

3. Therefore, it is to inform that the following instructions should be followed strictly by the applicants applying under Lady Officers Pool and also by the Nodal Officer of the office of the applicant:-

a) The personal information furnished in DE-II Form by a woman employee has to be verified by the office of the applicant as to whether the employee is married or single at the time of submission of the Form as well as at the time of acceptance of allotment of GPRA.

b) A single lady officer should update her records in DE-II Form as soon as she gets married and she will be included in the waiting list of married Lady Officers for the eligible type of accommodation and will get allotment of GPRA from married Lady Officer quota only. In case, a Lady Officer is found to have suppressed information of her marriage and gets an allotment of GPRA from single Lady Officer quota, the allotment shall be cancelled and appropriate action shall be taken as per rules.

(Swarnali Banerjee)
Deputy Director of Estates (Policy)

Download Directorate of Estates OM No.12035/10/84-Pol.II (Vol. II) dated 05.05.2016

7th Pay Commission Recommendations may be revised upwards by Committee of Secretaries appointed by Government

It is expected that decision of Committee of Secretaries on 7th Pay Commission recommendations would be submitted in the month of June 2016

7th Pay Commission Recommendations may be revised upwards by Committee of Secretaries appointed by Government.

Cabinet Secretary P K Sinha who is heading the Empowered Committee or Secretaries group is likely to hand over a report on the revised pay structures of 7th pay commission recommendations to Finance Minister Arun Jaitley by the end of next month.

Finance Minister Arun Jaitley said government had requisite fund to implement 7th pay commission award. Cabinet Secretary Sinha will finally make his appearance before the the Empowered Committee or Secretaries group on June 11 to make a proposal on the recommendations of 7th Pay Commission before cabinet nod.

Committee’s decisions on 7th Pay Commission Recommendations is expected to be submitted by June .  The same will be placed before the Cabinet after the finance ministry’s review. We don’t think it will take more time for Finance Minister Arun Jaitley’s consideration and the new pay structures will be implemented from July after cabinet nod,” said a top official from the Finance Ministry who did not wish to be named.

The 7th Pay Commission headed by Justice A K Mathur submitted the report on November 19. It had proposed the highest salary at Rs 250,000 and the lowest at Rs 18,000. The commission also recommended 14.27 per cent increase in basic pay, 23.55% overall increase in salary, allowances and pensions.

The increase in allowances has been recommended to the extent of 63% while pension has  been proposed to be raised by 24%. Finance Minister Jaitley is likely to agree with the Secretaries group. “I think it should not be touched again,” the official said. Once the new structure is implemented, salaries of around 48 lakh central government employees and 52 lakh pensioners will rise by 30 percent. The Finance Minister already said the 7th pay commission award would not make the commodity prices to go up.

The central government employees and pensioners will also spend more money on a variety of goods after receiving the 7th Commission award with arrears from January 2016. “This means higher consumption similar to what happened in the past. But the previous two Pay Commission awards came with a lag of two years. So the arrears were large.

This time, it will not be so,” says Pronab Sen, former Chief Statistician, government of India and now Country Director, International Growth Centre, a think tank based at LSE, run in partnership with University of Oxford.

The official also agrees with Sen and said there was no possibility of any impact of the report on the market at this stage of implementation as there were no impacts when the Pay Commission had first submitted the report. The government formed a 13 member secretary-level Empowered Committee or Secretaries group headed by Sinha in January to review the report of the 7th Pay Commission before cabinet nod. The 7th pay commission was set up by the UPA government in February 2014. It submitted the report after around 22 months. After getting the 7th pay commission report, the finance minister Jaitley while introducing the Seventh Pay Commission report on November 19, already said that the final decisions on the Seventh Pay Commission report took five and a half months including the process of Secretaries group. Finance Minister also said, government had requisite fund to implement it.


The secretary group is likely to propose pay structure of minimum at Rs 21,000 and the maximum at Rs 2,70,000 Accordingly, the Secretaries group is likely to reach the conclusion to propose 30 percent basic pay raise instead of 14.27 per cent, which was recommended by 7th Pay Commission.

They are also mulling for doubling of existing rates of such allowances and advances, which has been recommended for abolition by the 7th Pay Commission, sources said.

Source: Indian Military Veterans

Penalty for urinating in open, spitting in Central Government Offices

Penalty for urinating in open, spitting in Central Government Offices

Urinating in open and spitting on the central government office premises will now attract a penalty as the Centre has issued a new Standard Operating Procedures (SOP) for ‘Swachh Bharat Mission’ to ensure a clean, hygienic and healthy work environment.

Also, littering and non-collection of construction and demolition waste by the contractor will also attract the penalty.

These SOPs have been shared with all central government ministries recently asking them to follow the new procedures to ensure complete sanitation in office premises, senior government officials said.

It mandates every department to form a sanitation committee under the chairmanship of relevant Joint Secretary looking after the charge of administration to monitor compliance to the SOP.

The SOP casts an obligation on authority concerned to “impose penalty on defaulters for littering, spitting and open urinating” besides conducting surprise inspections of the office premises to ensure a clean, hygienic and healthy work environment.

“If contractors have the obligation to collect the construction and demolition waste, it should be done immediately after all work is finished. Failure to do so will attract penalty,” says the SOPs, sent to secretaries of all central government ministries.

The central government departments have been asked to carry out self-assessment and ratings for the buildings on overall sanitation infrastructure by measuring their effort in removing paan and gutkha stains, providing dustbins and required number of urinals to meet the cleanliness needs.

Prime Minister Narendra Modi had in October 2014 launched the Swachh Bharat Mission with an aim to make the country absolutely clean by October 2, 2019.

All government departments have been asked to ensure collection of waste, rubbish and debris inside and outside the building and garden or open spaces and dispose as per set frequency, the SOP said.

An intensive cleaning of the entire office premises should be carried out at least once in two months which should also involve participation of all officials and staff (through Shramdaan) for disposal of redundant or unused hardware, furniture which can be added to inventory and re-allocated as per demand, it said.

“Weeding and recording of files should be resorted to at least once in six months. The records in the record room should be reviewed once a year and destroyed as per guidelines. This would ensure that constant space is created for keeping more recorded files. If necessary extra manpower for this purpose should be resorted to,” the SOP said.

The purpose of this SOP is to improve current cleanliness levels in the government of India offices. The primary way to achieve cleanliness is through inculcating good sanitation and hygiene practices in employees and visitors, it said.

PTI

Cabinet gives ex-post facto approval to the cadre review of Indian Postal Service (IPoS)

Cabinet gives ex-post facto approval to the cadre review of Indian Postal Service (IPoS)

The Union Cabinet chaired by the Prime Minister Shri Narendra Modi today granted ex-post facto approval to the proposal for undertaking cadre review of the Indian Postal Service.

The cadre review will enable the Department of Posts to meet the functional requirements and strengthening the cadre structure both in the headquarters and in the field on the basis of functional requirement, which will provide more avenues to earn review and respond effectively to the customer needs, reduce the existing stagnation and improve the career prospects of Indian Postal Service officers.

The proposal will be implemented through measures that include creation of a post of DG(Postal Operations) in the Apex scale, creation of post of Additional DG(Coordination) in the HAG+ scale, one post in HAG level, 5 posts in SAG level and 4 posts at the JAG level, and also increase of 84 posts at JTS level by down-grading from STS and overall decreasing STS posts by 96 for adjustment of new posts proposed to be created, without any overall change in the total number of posts in the cadre.

For undertaking the above exercise, necessary consultations on the CRC recommendations with Ministry of Finance and the Ministry of Personnel, Public Grievances & Pensions have been duly completed. The Department of Expenditure have conveyed their ‘no objection’ to the proposal.

PIB

Many unconfirmed sensational news about 7th Pay Commission – Exclusive Report

Many unconfirmed sensational news about 7th Pay Commission – Exclusive Report by GServants

The Empowered Committee is Expected to Meet on 11th June 2016

Some news on 7th pay commission are being posted in couple of websites -on a nearly daily basis.

All Central Government Employees are eagerly searching for latest news about 7th pay commission regularly.

But to attract these visitors, some websites keep posting some unconfirmed news on a regular basis.

When reading this, the CG Employees wanted to check the authenticity of the news with their Association Leaders. While asking them, they expect that the Leaders should tell, “Yes, it’s true”.

But the worst part of this story is the Federation Leaders couldn’t tell anything against their wish.

The top level Union leaders are flooded with queries about pay commission from Cg Staffs when they come to headquarters. Unfortunately they have no answers to this queries.

In addition to that, by posting this unconfirmed sensational news, these particular websites are adding fuel to fire.

In spite of this, News about Implementation dates and Minimum wages are keep changing and coming every day.

The latest news is, the Empowered Committee on 7th CPC is Expected to Meet on 11th June 2016. And the Minimum wage will be 24000/-

Let’s all Hope this is true and wait for the outcome of the Meeting

Source: gservants.com

Reminder: Highlights of Recommendations of 7th Central Pay Commission

Reminder: Highlights of Recommendations of 7th Central Pay Commission 

Minimum Pay: Based on the Aykroyd formula, the minimum pay in government is recommended to be set at Rs.18,000 per month.

Maximum Pay: Rs.2,25,000 per month for Apex Scale and Rs.2,50,000 per month for Cabinet Secretary and others presently at the same pay level.

Financial Implications:

The total financial impact in the FY 2016-17 is likely to be Rs.1,02,100 crore, over the expenditure as per the ‘Business As Usual’ scenario.  Of this, the increase in pay would be Rs.39,100 crore, increase in allowances would be Rs. 29,300 crore and increase in pension would be Rs.33,700 crore.

Out of the total financial impact of Rs.1,02,100 crore, Rs.73,650 crore will be borne by the General Budget and Rs.28,450 crore by the Railway Budget.

In percentage terms the overall increase in pay & allowances and pensions over the ‘Business As Usual’ scenario will be 23.55 percent. Within this, the increase in pay will be 16 percent, increase in allowances will be 63 percent, and increase in pension would be 24 percent.

The total impact of the Commission’s recommendations are expected to entail an increase of 0.65 percentage points in the ratio of expenditure on (Pay+Allowances+ Pension) to GDP compared to 0.77 percent in case of VI CPC.

New Pay Structure: Considering the issues raised regarding the Grade Pay structure and with a view to bring in greater transparency, the present system of pay bands and grade pay has been dispensed with and a new pay matrix has been designed. Grade Pay has been subsumed in the pay matrix. The status of the employee, hitherto determined by grade pay, will now be determined by the level in the pay matrix.

Fitment: A fitment factor of 2.57 is being proposed to be applied uniformly for all employees.

Annual Increment: The rate of annual increment is being retained at 3 percent.

Modified Assured Career Progression (MACP): Performance benchmarks for MACP have been made more stringent from “Good” to “Very Good”.

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

No other changes in MACP recommended.

Military Service Pay (MSP): The Military Service Pay, which is a compensation for the various aspects of military service, will be admissible to the Defence forces personnel only. As before, Military Service Pay will be payable to all ranks up to and inclusive of Brigadiers and their equivalents. The current MSP per month and the revised rates recommended are as follows:

Short Service Commissioned Officers: Short Service Commissioned Officers will be allowed to exit the Armed Forces at any point in time between 7 and 10 years of service, with a terminal gratuity equivalent of 10.5 months of reckonable emoluments. They will further be entitled to a fully funded one year Executive Programme or a M.Tech. programme at a premier Institute.

Lateral Entry/Settlement: The Commission is recommending a revised formulation for lateral entry/resettlement of defence forces personnel which keeps in view the specific requirements of organization to which such personnel will be absorbed. For lateral entry into CAPFs an attractive severance package has been recommended.

Headquarters/Field Parity: Parity between field and headquarters staff recommended for similar functionaries e.g Assistants and Stenos.

Cadre Review: Systemic change in the process of Cadre Review for Group A officers recommended.

Allowances: The Commission has recommended abolishing 52 allowances altogether. Another 36 allowances have been abolished as separate identities, but subsumed either in an existing allowance or in newly proposed allowances. Allowances relating to Risk and Hardship will be governed by the proposed Risk and Hardship Matrix.

Risk and Hardship Allowance: Allowances relating to Risk and Hardship will be governed by the newly proposed nine-cell Risk and Hardship Matrix, with one extra cell at the top, viz., RH-Max to include Siachen Allowance.

The current Siachen Allowance per month and the revised rates recommended are as follows:

This would be the ceiling for risk/hardship allowances and there would be no individual RHA with an amount higher than this allowance.

House Rent Allowance: Since the Basic Pay has been revised upwards, the Commission recommends that  
HRA be paid at the rate of 24 percent, 16 percent and 8 percent of the new Basic Pay for Class X, Y and Z cities respectively. The Commission also recommends that the rate of HRA will be revised to 27 percent, 18 percent and 9 percent respectively when DA crosses 50 percent, and further revised to 30 percent, 20 percent and 10 percent when DA crosses 100 percent.

In the case of PBORs of Defence, CAPFs and Indian Coast Guard compensation for housing is presently limited to the authorised married establishment hence many users are being deprived. The HRA coverage has now been expanded to cover all.

Any allowance not mentioned in the report shall cease to exist.

Emphasis has been placed on simplifying the process of claiming allowances.

Advances: All non-interest bearing Advances have been abolished.

Regarding interest-bearing Advances, only Personal Computer Advance and House Building Advance (HBA) have been retained. HBA ceiling has been increased to Rs.25 lakhs from the present Rs.7.5 lakhs.

Central Government Employees Group Insurance Scheme (CGEGIS): The Rates of contribution as also the insurance coverage under the CGEGIS have remained unchanged for long. They have now been enhanced suitably. The following rates of CGEGIS are recommended:

Medical Facilities: Introduction of a Health Insurance Scheme for Central Government employees and pensioners has been recommended.

Meanwhile, for the benefit of pensioners residing outside the CGHS areas, CGHS should empanel those hospitals which are already empanelled under CS (MA)/ECHS for catering to the medical requirement of these pensioners on a cashless basis.

All postal pensioners should be covered under CGHS. All postal dispensaries should be merged with CGHS.

Pension: The Commission recommends a revised pension formulation for civil employees including CAPF personnel as well as for Defence personnel, who have retired before 01.01.2016. This formulation will bring about parity between past pensioners and current retirees for the same length of service in the pay scale at the time of retirement.

The past pensioners shall first be fixed in the Pay Matrix being recommended by the Commission on the basis of Pay Band and Grade Pay at which they retired, at the minimum of the corresponding level in the pay matrix.

This amount shall be raised to arrive at the notional pay of retirees, by adding number of increments he/she had earned in that level while in service at the rate of 3 percent.

In the case of defence forces personnel this amount will include Military Service Pay as admissible.

Fifty percent of the total amount so arrived at shall be the new pension.

An alternative calculation will be carried out, which will be a multiple of 2.57 times of the current basic pension.

The pensioner will get the higher of the two.

Gratuity: Enhancement in the ceiling of gratuity from the existing Rs.10 lakh to Rs.20 lakh. The ceiling on gratuity may be raised by 25 percent whenever DA rises by 50 percent.

Disability Pension for Armed Forces: The Commission is recommending reverting to a slab based system for disability element, instead of existing percentile based disability pension regime.

Ex-gratia Lump sum Compensation to Next of Kin: The Commission is recommending the revision of rates of lump sum compensation for next of kin (NOK) in case of death arising in various circumstances relating to performance of duties, to be applied uniformly for the defence forces personnel and civilians including CAPF personnel.

Martyr Status for CAPF Personnel: The Commission is of the view that in case of death in the line of duty, the force personnel of CAPFs should be accorded martyr status, at par with the defence forces personnel.

New Pension System: The Commission received many grievances relating to NPS. It has recommended a number of steps to improve the functioning of NPS. It has also recommended establishment of a strong grievance redressal mechanism.

Regulatory Bodies:  The Commission has recommended a consolidated pay package of Rs.4,50,000 and Rs.4,00,000 per month for Chairpersons and Members respectively of select Regulatory bodies. In case of retired government servants, their pension will not be deducted from their consolidated pay. The consolidated pay package will be raised by 25 percent as and when Dearness Allowance goes up by 50 percent. For Members of the remaining Regulatory bodies normal replacement pay has been recommended.

Performance Related Pay: The Commission has recommended introduction of the Performance Related Pay (PRP) for all categories of Central Government employees, based on quality Results Framework Documents, reformed Annual Performance Appraisal Reports and some other broad Guidelines. The Commission has also recommended that the PRP should subsume the existing Bonus schemes.

There are few recommendations of the Commission where there was no unanimity of view and these are as follows: 

The Edge: An edge is presently accordeded to the Indian Administrative Service (IAS) and the Indian Foreign Service (IFS) at three promotion stages from Senior Time Scale (STS), to the Junior Administrative Grade (JAG) and the NFSG.  is recommended by the Chairman, to be extended to the Indian Police Service (IPS) and Indian Forest Service (IFoS).

Shri Vivek Rae, Member is of the view that financial edge is justified only for the IAS and IFS. Dr. Rathin Roy, Member is of the view that the financial edge accorded to the IAS and IFS should be removed.

Empanelment: The Chairman and Dr. Rathin Roy, Member, recommend that All India Service officers and Central Services Group A officers who have completed 17 years of service should be eligible for empanelment under the Central Staffing Scheme and there should not be “two year edge”, vis-à-vis the IAS. Shri Vivek Rae, Member, has not agreed with this view and has recommended review of the Central Staffing Scheme guidelines.

Non Functional Upgradation for Organised Group ‘A’ Services: The Chairman is of the view that NFU availed by all the organised Group `A’ Services should be allowed to continue and be extended to all officers in the CAPFs, Indian Coast Guard and the Defence forces. NFU should henceforth be based on the respective residency periods in the preceding substantive grade. Shri Vivek Rae, Member and Dr. Rathin Roy, Member, have favoured abolition of NFU at SAG and HAG level.

Superannuation: Chairman and Dr. Rathin Roy, Member, recommend the age of superannuation for all CAPF personnel should be 60 years uniformly. Shri Vivek Rae, Member, has not agreed with this recommendation and has endorsed the stand of the Ministry of Home Affairs.

The full report is available in the website http://7cpc.india.gov.in.

Good news for Central Government Pensioners

Good news for Central Government Pensioners

Provide your Aadhaar number to your bank now and be at ease in November every year

SPECIAL AADHAAR SEEDING AND REGISTRATION CAMP

At your own bank branch

From 30th May to 10th June, 2016
Bring PPO, Bank Pass Book and Aadhaar Card

If you do not have an Aadhaar number also carry a photo ID

********

With the Aadhaar option you can submit
Digital Life Certificate in November
From

•  Home PC/Mobile Phone
• Nearest Branch of your Bank
• Nearest Common Service Centre
• Anywhere in the Country or the World

Issued in the interest of Central Government Pensioners by:

Government of India,

Department of Pension and Pensioners Welfare

7th Pay Commission: Euphoric Modi government to give final nod to Increment notification soon

7th Pay Commission: Euphoric Modi government to give final nod to 'Increment'; notification soon

As high voltage State Assembly polls have ended now, Government is all set to implement the recommendations of Seventh Pay Commission.

Reportedly, Modi Government which is euphoric after party's victory in Assam and its good show in Kerala, looks in full mood to handover increased payout to Government staff anytime soon.

It is being believed that as model code of conduct is no longer a barrier in the way of implementing salary increment, Government could issue notification in the first week of June. Sources say that all the formalities regarding the implementation process will be done after a Cabinet meet which will be chaired by Prime Minister Narendra Modi soon. Read more: 7th Pay Commission: PMO orders early implementation of 'increment', wants 'maximum payout' for staff A website quoting Finance Ministry sources writes, "the BJP led central government is now in a pleasant mood, accordingly it may announce better pay package that recommended by Pay Commission to central government employees". Reportedly, Modi Government will give 25-30 per cent increment to Central Government employees, Sources say that increment will be handed over in July while arrears from January till that date will be paid in August.

OneIndia News

7th Pay Commission: Government doctors threaten to go on strike want better salary, allowances

7th Pay Commission: Government doctors threaten to go on strike; want better salary, allowances

The Seventh Pay Commission be implemented anytime now but before that everyone wants their demands to be met in regards with the allowances and wages. If reports are to be believed then, the doctors working in government hospitals in Delhi may go on strike if the Modi government does not meet their demands in connection with the seventh pay commission.

Government is deciding our pay scale, and does not even bother to listen to our demands. They do not even give us appropriate representation in the committee. While no doctor likes to go on strike, we will do exactly so if the existing recommendations of the 7th Pay commission are given a go ahead," Dr Pankaj Solanki, President, Federation of resident doctors association (FORDA) was quoted as saying in a ZeeNews report.

The report further adds, "FORDA is a body of 15000 resident doctors in the capital, and have said that government doctors from other organisations and states have shown their inclination towards the strike opposing the recommendations of the seventh pay commission." Doctors have said that either their demands be met by the end of or they will go on an indefinite strike. Earlier, the central government employees had also said that they are planning to strike work on July 11 so that they get higher wages and allowances under the 7th Pay Commission.

The central government employees lead by the National Council (Staff Side) Joint Consultative Machinery have also said that they will not accept unilateral decision on salary hikes under the seventh Pay Commission and would like to have more say in the way their monthly salaries and allowances are shaped up by the Empowered Committee of Secretaries.

Via OneIndia News

Government all set to launch special colour coded Aadhaar card for disabled

Government all set to launch special colour coded Aadhaar card for disabled

Aadhaar card will be marked by three different colours — red, blue and yellow to indicate the degree of disability.

The government is all set to launch special colour-coded Aadhaar card for disabled for easy linkage to the government’s schemes and services.

The Social Justice and Empowerment Ministry is likely to launch the process for registration of disabled persons on a centralised e-platform to issue Unique Disabled Identity (UDID) cards.

The card will be marked by three different colours — red, blue and yellow to indicate the degree of disability.

First Aadhaar cards are likely to be delivered in August in Ratlam in Madhya Pradesh, which is the chosen district for the pilot project.

According to officials, rough estimates put the number of the disabled persons having disability certificate at not more than one crore. The UDID portal is expected to create real time data for planning and disbursal of benefits to the disabled.

The UDID portal will be launched in the public domain in June for registration at the district level and the first cards are likely to be handed out to eligible persons in mid-August. The cards will be marked by a colour bar at one end.

Red colour will indicate disability of 80% and above, blue for disability between 40% and 80% and yellow for disability below 40%.

It has been designed by National School of Design, Ahmedabad. It will have a hologram meshed in to prevent any attempts at duplication.

All applicants will be certified after due verification by the CMO and only then the UDID will be generated.

Considering that everyone may not have access to the online platform, offline applications will also be accepted. “The database will be unique hence there will be no chance of duplication,” an official explained.

The states that will be covered in the first phase include UP, Haryana, Chandigarh, Rajasthan, Gujarat, Madhya Pradesh, Maharashtra, Odisha, Telangana, Kerala, Tripura, Jharkhand and Tamil Nadu. The remaining states will be covered by 2018.

Appointment of the Additional Secretaries to the Government of India

Appointment of the Additional Secretaries to the Government of India

No. 36/02/2016-EO(SM.I)
Government of India
Secretariat of the
Appointments Committee of the Cabinet
Ministry of Personnel,Public Grievances and Pensions
Department of Personnel and Training 

New Delhi, the 19th May, 2016

The Appointments Committee of the Cabinet has approved the following appointments:

1.  Ms Shalini Prasad, IAS (UP:1985), presently in her Cadre as Additional Secretary, Ministry of Power vice Shri Badri Narain Sharma, IAS (RJ:1985) on his appointment as Additional Secretary, Department of Revenue, Ministry of Finance.

2.  Ms Madhulika P Sukul, IDAS (1982), presently in her Cadre as Additional Secretary, Department of Consumer Affairs, Ministry of Consumer Affairs, Food and Public Distribution vice Shri G. Gurucharan,IAS (KN:1982) on his appointment as Secretary (Performance Management), Cabinet Secretariat.

3.  Shri Rajani Ranjan Rashmi, IAS (MN:1983), Additional Secretary, Department of Commerce, Ministry of Commerce and Industry as Additional Secretary, Ministry of Environment, Forest and Climate Change vice Shri Hem Kumar Pande, IAS (WB:1982) on his appointment as Secretary, Department of Official Language, Ministry of Home Affairs.


4.  Shri Girish Chandra Murmu, IAS (GJ:1985), Additional Secretary, Department of Expenditure, Ministry  of Finance as Additional Secretary, Department of Financial Services, Ministry of Finance vice Ms Snehlata Shrivastava, IAS (MP:1982) on her appointment as Secretary, Department of Justice, Ministry of Law and Justice.


5.  Ms Amita Prasad, IAS (KN:1985), Joint Secretary, Ministry of Water Resources, River Development and Ganga Rejuvenation as Additional Secretary, Ministry of  Environment, Forest and Climate Change vice Shri Susheel Kumar, IAS (UP:1982) on his appointment as Secretary (Border Management), Ministry of Home Affairs.


6.  Shri Nikhilesh Jha, IAS (MN:1984), Additional Secretary, Ministry of  Water Resources, River Development and Ganga Rejuvenation as Additional Secretary and Financial Adviser, Department of Food and Public Distribution, Ministry of Consumer Affairs, Food and Public Distribution vice Shri Prabhas Kumar Jha, IAS (UP: 1982) on his appointment as Secretary, Ministry of Parliamentary Affairs.


7.  Shri U P Singh, IAS (OR:1985), Additional Secretary, Ministry of Petroleum and Natural Gas as Additional Secretary, Ministry of Water Resources, River Development and Ganga Rejuvenation vice Shri Nikhilesh Jha, IAS (MN:1984) on his appointment as Additional Secretary and Financial Adviser, Department of Food and Public Distribution, Ministry of Consumer Affairs, Food and Public Distribution.

(Rajiv Kumar)
Secretary
Appointments Committee of the Cabinet
&  Establishment Officer

DoPT Order

NFIR: Supply of subsidized meal/food to the Running Staff-reg

NFIR: Supply of subsidized meal/food to the Running Staff-reg.

NFIR
National Federation of Indian Railwaymen

No. IV/RSAC/Conf./Part VI

Dated: 16/05/2016

The Secretary (E),
Railway Board,
New Delhi

Dear Sir,

Sub: Supply of subsidized meal/food to the Running Staff-reg.

Ref: (i) NFIR's PNMM Item No. 9/2015.
(ii) Railway Board's letter no. 2006/M(L) /467 12 dated 12/08/2015 .
(iii) NFIR's letter No. IV/RSAC/Conf/Part V dated 19/08/2015, 25/08/2015, 05/10/2015, 09/11/2015 and No. IV/RSAC/Conf./Part VI dated 22/02/2016.
(iv) Railway Board's letter No. 2006/M(L)/467/2 dated 26/04/2016 addressed to GS/NFIR.

With reference to NFIR's PNM Item No. 9/2015, the Railway Board vide letter dated 12/08/2015, had issued instructions for revision of the amount of subsidy per meal at Rs.4l or 90% of the cost of meal, whichever is less for Running Staff, considering the prices of food items. In the subsequent letter dated 26/04/2016 addressed to the GSAIFIR, the Board has conveyed that the rate of meal was increased from Rs.30 to Rs.46 out of which, 90% of the cost of meal or Rs.41, whichever is less, would be subsidized.

The reports received by the Federation however reveal that the Running Staff are disappointed very much as the supply of subsidized food suffers with number of flaws as listed below:-

• the option of Veg/Non-Veg food is no longer available, thus the staff are compelled to eat whatever food prepared by the contractor,
• sub-standard food is supplied by the contractor,
• The contractors secure contract on the basis of 'lowest bidder' at far below the cost of Rs.46/-. These contractors utterly fail to maintain quality for fear of incurring losses and they manage to make up the losses with the other contracts like 'Safai', House keeping etc., of Running Rooms. There are cases wherein the contracts of "Supply of food to Running Staff have further been entrusted to sub-contractors who are not the genuine caterers.
• System of bidding needs review so that the reputed firms/hoteliers with back ground of hotel management or owning good hotels in the area can only take part in the bidding process.
• Regular inspections by the Committee of Divisional Officers (Sr.DME, Sr.DEE, Sr.DOM, Sr.DSO etc) not being done, consequently quality suffers.
• The practice of preparation of food one time only taking place instead preparing food like dal/curries as and when staff arrive in Running Room.

NFIR, therefore, requests the Railway Board to kindly arrange to review the matter in the in text of growing dissatisfaction among Running Staff for ensuring that quality food items are served by the caterer/contractor.

Yours faithfully,
(Dr. M. Raghavaiah)
General Secretary

Copy to the General Secretaries of Zonal Unions of NFIR.
Media Centre/NFIR.
File No.9/2015 (PNM).

Source: nfirindia.org

7th Pay Commission Pay hike – Financial Express ideas

The financial Daily advises Central Government Employees to prudently spend the extra money in their hand in the form of 7th CPC pay and allowances increase.

7th Pay Commission Pay hike – Financial Express ideas for effectively utilising the additional payout in provisioning for Emergency fund creation, financial goals, asset allocation, long term and short term investments etc.

7th Pay Commission: While you wait for the payout, FeMoney advises you to give a hard look at your entire finances and then decide on how you want to go about spending the money.

If you are a central government employee, you must be eagerly awaiting the notification of the 7th Pay Commission, which might come close after the declaration of the state election results on May 19. The payout could be substantial with salary hike and arrears adding up to a Rs 1.02 lakh crore impact on government finances.

The 7th Pay Commission recommendation, which are to come into effect from January 1, 2016, will enlarge the pay package of 47 lakh central government employees and 53 lakh pensioners. The Commission has recommended a 23.55 per cent hike in pay and allowance. While pay will go up by 16 per cent, increase in allowance will be 63 per cent and increase in pension 24 per cent.

The huge payout by the government has already made the Reserve Bank of India worried over the its impact on inflation. In its recent credit policy, the central bank said that it expect inflation to go up by 1-1.5 per cent on account of the increased money in hand of central government employees.

So if you are one of the beneficiaries of the 7th Pay Commission, what should you do with the bonanza that is expected to come soon? As is natural with such one-time windfall coming your way, there would be that temptation of splurge, plan for an expensive holiday or buy that new car that you have been eyeing for some time.

However, while you wait for the payout, FeMoney advises you to give a hard look at your entire finances and then decide on how you want to go about spending the money.

Financial advisor, Sanjeev Govila, CEO, Hum Fauji Initiative, believes one of the priorities should be to create an emergency fund out of the arrears that one gets in lump-sum. In his five-point advise to Central Government employees Govilla says one should keep finanical keep financial goals and proper asset allocation in mind while dealing with the money. “It is absolutely essential that the bulk money which one gets as 7th Pay Commission arrears should go for meeting financial goals. And that is where the asset allocation and risk attitude should flow from,” Govila told FeMoney.

Here are Govila’s 5-point suggestions on dealing with the 7th PayCommission bonanza:
Emergency fund creation: Creation of emergency fund out of the payout is the prime requirement. Even before looking at life’s goals one has to be prepared for unforeseen events. Most of us remain oblivious to this and do not plan for it. This results in costly loans, embarrassing borrowings from friends and relatives or emptying long-term coffers. As a thumb-rule, about six month’s expenses should set aside for an emergency fund. The question is where to keep it? It could ideally be in multiple small bank fixed deposits or liquid mutual funds.

Cater to life’s financial goals: Life’s goals can be divided into critical goals and lifestyle goals. Critical goals are those which have to be met at all costs, like children education and marriage, retirement and medical expenses, while the lifestyle goals, like changing your car, vacations, leisure and passion activities.

Proper asset allocation: Spreading investment across various assets to minimise risks should be considered the final frontier of life’s financial planning. Whatever wealth creation or destruction takes place finally, is generally due to correct or incorrect asset allocation. An asset allocation directly results as a delicate balance between your future money requirements, indicating the type of investment avenues you should invest in, and your risk attitude and risk taking capacity.

Decide between long-term and short term: As a general rule, equity is for long-term and debt for the short term, with real estate and gold figuring somewhere in between. Investment in real estate and gold should depend on the future outlook of both these asset classes as prices of these physical assets are dependent on their seasonal cycles.

Assesment of risk-taking ability: Risk-taking is erroneously tagged to age, even by many financial planners. However, it is both an attitude and the capacity to take risks, the latter being dictated more by your current financial well-being. Hence, it is always better to go in for a risk-profiling rather than guessing the same by ‘indications’ of behaviour.

Source: Financial Express

EPFO disbursed Rs. 47,630 crore as member benefits and Rs. 8,200 crore as monthly pensions in 2015-16

EPFO disbursed Rs. 47,630 crore as member benefits and Rs. 8,200 crore as monthly pensions in 2015-16

In 2015-16, EPFO disbursed approximately Rs. 47,630 crore as member benefits and Rs. 8,200 crore as monthly pensions.

To monitor the status of enrolment of contractual employees especially in municipalities, EPFO has taken steps towards putting in place a system where principal employers including government bodies who enroll workers directly or through contractors can view details of contractors including the amount paid towards PF dues on real time basis. Now, EPFO will be in a position to compare the PF dues reimbursed to contractors and the PF dues actually remitted by contractors. Mismatch in the amounts would indicate possible specific evasion that can be followed up towards seeking compliance. A facility already exists in public domain wherein all principal employers can check the amounts remitted by contactors’ establishments. Any person through this report can also check if her / his name appears in the list of employees submitted by contractor to EPFO on a monthly basis. EPFO is also in the process of digitizing compliance reporting system. It is expected that reporting in Compliance area shall be online and real time by the second quarter of this financial year.

The process of seeding EPS pensioners’ data with Aadhaar is underway in EPFO. While seeding the data, it has been noticed that in certain cases there is data mismatch between EPF data and Aadhaar data in respect of date of birth and name of pensioner. To rectify it, pensioners / members are being advised to correct either their details provided to EPFO offices or to correct the details given in Aadhaar, whichever is correct.
It is also seen that a number of online transfer applications by members are pending with the employers for attestation and verification of member details by the employers Field offices of EPFO have been directed to take up the matter with employers to clear this on priority.

On the occasion of International Labour Day, EPFO launched a special mission consolidation drive “One –Employee-One – EPF Account”. The drive is to consolidate multiple accounts of members so that they are able to access variety of IT enabled services such as e-mail / SMS alerts, access to e-passbook at their leisure. Shri Bandaru Dattatreya, Union Minister of State for Labour & Employment (Independent Charge) while presiding over the function marking International Labour Day stated that this drive would result in EPF members having lifelong one EPF account and multiple conveniences. The Universal Account Number (UAN) that is Aadhaar seeded will consolidate multiple past service accounts, across various spells of employment of an EPF member.

The month of April also saw withdrawal of notification dated 10th February 2016 on amendment in Paragraph 68 NN, 68-O and 69 and insertion of new Para 68 –NNNN in the EPF Scheme, 1952. The interest rate of 8.8% to be credited to members’ accounts for the financial year 2015-16 was also finalized by the Government as recommended by the Central Board of Trustees, EPF.

PIB

References/Representations/Court Cases in various Ministries/Departments/Organisations for grant of MACPS benefits in the promotional hierarchy

References/Representations/Court Cases in various Ministries/Departments/ Organisations for grant of MACPS benefits in the promotional hierarchy – reg.

No. 22034/04/2013-Estt.(D)
Government of India
Ministry of Personnel Public Grievance & Pensions
Department of Personnel & Training
* **

North Block, New Delhi
Dated: 17.05.2016

Office Memorandum

Subject :- References/Representations/Court Cases in various Ministries/Departments/Organisations for grant of MACPS benefits in the promotional hierarchy – reg.

In continuation of Department of Personnel Training’s earlier O.M. of even no. dated 20.01.2016 and dated 01.03.2016 on the above mentioned subject, the undersigned is directed to forward a copy of the decision dated 28.04.2016 of Hon’ble CAT, Calcutta Bench in OA No. 351/00195/2014 filed by Shri S.H.K. Murti & Others Vs. UOI &Ors whereby the demand of the applicant for MACP in promotional hierarchy has been dismissed, for necessary action and compliance. The Hon’ble Tribunal in the aforesaid decision dated 28.04.2016 has held that the MACP benefit would be given in the hierarchy of next higher Grade Pay and not in Grade Pay of promotional hierarchy which will be payable on actual promotion.

2. All Ministries/Departments are requested to upload it on their websites for wider publicity.

(G.Jayanthi)
Director (E-I)
Phone No. 23092479

All Ministries/Departments of the Government of India.

Circular

7th Pay Commission Latest News – Issues to be addressed

It is a general view of all Central Government Employees that certain allowances, reimbursement and advances which have been abolished or restricted in 7th CPC report are to be allowed to continue

7th Pay Commission Latest News – Employees of Accounts and Audit Department raises certain Common issues in respect of 7th Pay Commission Recommendations which are applicable to all Central Government Employees

7th Pay Commission Latest News – As per representation made by the employees of Accounts and Audit Department certain common issues in respect of allowances, Interest Free Advances and Interest bearing Advances

Issues related to Allowances:

House Rent Allowance:
Recommendation of 7th Pay Commission:

The Commission recommends that HRA be paid at the rate of 24 percent, 16 percent and 8 percent of the new Basic Pay for Class X, Y and Z cities respectively. The Commission also recommends that the rate of HRA will be revised to 27 percent, 18 percent and 9 percent respectively when DA crosses 50 percent, and further revised to 30 percent, 20 percent and 10 percent when DA crosses 100 percent”

What is to be changed / taken care of in this issue on implementation of 7th Pay Commission Report ?

In para 8.7.14, the Commission took note of the link between increase in HRA and increase in house rent after implementation of recommendations of 6th CPC. There was a sharp rise in the index from the first half of 2009, immediately following 6th CPC recommendations. There is likely to a similar rise in House Rent after implementation of recommendations of 7th CPC. Hence the existing percentage of House Rent may be retained at the rate of 30 percent, 20 percent and 10 percent of the new Basic Pay for Class X, Y and Z cities respectively.

Composite Transfer and Packing Grant (CTG)

Recommendation of 7th Pay Commission:
The Commission recommended that CTG should be paid at the rate of 80 percent of last month basic’s pay. However, for transfer to and from the island territories of Andaman, Nicobar and Lakshadweep, CTG may continue to be paid at the rate of 100 percent of last month’s Basic Pay.

What is to be changed / taken care of in this issue on implementation of 7th Pay Commission Report ?
As the labour charges and cost of packing materials are continuously rising, the CTG may continue to be paid at the rate of 100 percent of last month’s Basic Pay.

Reimbursement of staying accommodation charges:
Recommendation of 7th Pay Commission:
The commission made flowing recommendations:

Level	Level Ceiling for Reimbursement (Rs.)
14 and above	7500
12 and 13	4500
9 to 11	2250
6 to 8	750
5 and below	450

For levels 8 and below, the amount of claim (up to the ceiling) may be paid without production of vouchers against self-certified claim only. The self- certified claim should clearly indicate the period of stay, name of dwelling, etc. The ceiling for reimbursement will further rise by 25 percent whenever DA increases by 50 percent. Additionally, it is also provided that for stay in Class‘X’ cities, the ceiling for all employees up to Level 8 would be Rs.1,000 per day, but it will only be in the form of reimbursement upon production of relevant vouchers.

What is to be changed / taken care of in this issue on implementation of 7th Pay Commission Report ?
The main objective of the Audit Department is to carry out Audit function which entails long periods of stay out of headquarters. Consequently, officials at pay level 5 to 11 have to visit small towns (at Block/Sub-division level). For such places, as per recommendations of the 7th CPC, officials of pay level 8 and below will be entitled to the claim without production of vouchers (ie. against self-certified claim only), where as officials of the pay level 9 and above will have to produce vouchers for the similar claim.

To eradicate such anomalous situation, it is submitted that claims, as admissible upto pay level 8, may be paid without production of vouchers against self-certified claim to all pay level officials.

Reimbursement of travelling charges:
Recommendation of 7th Pay Commission:
The commission made following recommendations:

Level	Level Ceiling for Reimbursement (Rs.)
14 and above	AC Taxi charges up to 50 km
12 and 13	Non-AC Taxi charges up to 50 km
9 to 11	Rs. 338 per day
6 to 8	Rs. 225 per day
5 and below	Rs. 113 per day

Similar to Reimbursement of staying accommodation charges, for levels 8 and below, the claim (up to the ceiling) should be paid without production of vouchers against self certified claim only.

What is to be changed / taken care of in this issue on implementation of 7th Pay Commission Report ?
In the same analogy, as mentioned against reimbursement of staying accommodation charges above, it is submitted that claims, as admissible upto pay level 8, may be paid without production of vouchers against self-certified claim to all pay level officials.

Family Planning Allowance:-
Recommendation of 7th Pay Commission:
The Pay Commission has recommended to abolish the Family Planning Allowances

What is to be changed / taken care of in this issue on implementation of 7th Pay Commission Report ?
This is an incentive for promoting small family norms and therefore, it needs to be continued.

Interest free advances:
Medical Advance:
Recommendation of 7th Pay Commission:
The pay Commission has recommended abolition of Medical Advance.

What is to be changed / taken care of in this issue on implementation of 7th Pay Commission Report ?
As per the existing practice, medical advance is paid to an employee to the extent of 90% of the estimated cost of treatment in case of treatment of self and dependents. Cost of treatment for illness particularly of critical/life threatening ailments, such as heart transplant/ cancer/ kidney transplant etc., even under CGHS rules, is extremely expensive. It is also pertinent to note that many hospitals even in emergent situations insist on advance payment before commencing treatment/surgery. It is very difficult for a low paid employee such as MTS/LDC/UDC etc or even for group ‘B’ and ‘A’ officers to make available large amounts required for medical treatment. Without medical advance, an official will have great difficulty in getting proper/appropriate medication.
Therefore, it is submitted that medical advance may be continued with as per existing practice.

TA Advance:
Recommendation of 7th Pay Commission:
The pay Commission has recommended abolition of TA Advance.

What is to be changed / taken care of in this issue on implementation of 7th Pay Commission Report ?
The main function of IA &AD is auditing of Central/State Government/ PSUs etc. These auditee units are spread across the states down to the block/Panchayat level. In order to discharge audit responsibility, touring is a continuous requirement. It is not an occasional tour for short period, expenditure of which can be met out by the individual and reimbursement claimed subsequently. The officials have to be on tour continuously for upto a quarter (i.e 03 months) or even more.

For an official at pay level 6(Senior Auditor), as per the recommendations of the 7th CPC, the tour allowance for a day works out to Rs. 1770/- (Rs. 750 for accommodation+225 for travelling +Rs. 800 for food bills) and for a month it would be Rs. 53250/-. Besides, he has to incur expenditure for to and fro (i.e Hqrs. to field office and back) train/ bus fare. Monthly salary of a pay level 6 employee, as per recommendations of 7th CPC is Rs. 35400/-. As is clearly brought out, the likely monthly expenditure on tour will be significantly more than the employees’ monthly salary.

Therefore, advance is necessary to defray tour expenditure for performing official duties. This will create huge administrative issues in the department and adversely impact the Audit functions.
In view of the above, TA Advance, requires to be continued and paid as per extant provisions.

LTC Advance:
Recommendation of 7th Pay Commission:

The pay Commission has recommended abolition of LTC Advance.

What is to be changed / taken care of in this issue on implementation of 7th Pay Commission Report ?

Under LTC facility the expenses incurred on travel to visit the destination is reimbursable. Advance upto 90% of expenses on travel to visit the destination place is admissible. This amount serves as great help to the employees to undertake the journey in arranging train/air tickets. Without this advance, the employees will find it difficult to purchase train/air tickets for his family Besides travelling expenses, an official has to incur expenditure on account of Boarding and lodging/local travel also.

As per the recommendation of 7th CPC, officials of pay level 05 to 08 are entitled to travel by train. The travel tickets for family of four will cost more than Rs. 18000/- for a journey from Delhi to Thiruvananthapuram. Further, for level 9 and above the return tickets in economy class for the same destination i.e. Delhi to Thiruvananthapuram will cost more than Rs. 2 lakh.

A government official cannot afford such a huge amount to spent upfront for performing journey for availing home town LTC or All India LTC. Hence LTC advance is required to be continued as per extant provisions.

Bicycle Advance, Warm Clothing Advance:
Recommendation of 7th Pay Commission:
The pay Commission has recommended abolition of these Advances.

What is to be changed / taken care of in this issue on implementation of 7th Pay Commission Report ?

These advances may continued to be paid as per existing rules as these are admissible only to low paid employees upto Grade pay of Rs. 2800 /- (Level 5)
Festival advance, advance in the event of natural calamities like Flood, Drought, Cyclone etc.

Recommendation of 7th Pay Commission:
The pay Commission has recommended abolition of these Advances.

What is to be changed / taken care of in this issue on implementation of 7th Pay Commission Report ?
These advances may continue to be paid as per existing rules as these interest free advances are payable to Group ‘B & C’ employees as a welfare measure.
Advance of TA to a family of a deceased Govt. employee

Recommendation of 7th Pay Commission:
The pay Commission has recommended abolition of this Advance.

What is to be changed / taken care of in this issue on implementation of 7th Pay Commission Report ?
This advance may continue to be paid as per existing rules as this helps the family of a deceased Govt. employee to cope with immediate expenses for travel to their place of settlement.

Interest Bearing Advances:-
Motor Car/Motor Cycle Advance.
Recommendation of 7th Pay Commission:
The pay Commission has recommended abolition of this Advance.

What is to be changed / taken care of in this issue on implementation of 7th Pay Commission Report ?
The Pay Commission has abolished the Motor Car/Motor Cycle Advance on the plea that there are several schemes available in market. There are several schemes in the markets for House Building Advance also. However, the Pay Commission has not only recommended to continue with HBA but also proposed to increase the ceiling. Therefore, the plea of the commission to discontinue MCA on the basis that schemes for purchase of vehicles are available in the market does not hold good.

Further, several documentation/guarantees are required for seeking the said advances from the market. As it is convenient and safe for a Government Servant to avail such advances from the office without any hassles, these interest bearing advances may be continued as per the extant provisions.

Fixed Medical Allowance (FMA) to Central Government Pensioners
Recommendation of 7th Pay Commission:
The Commission has maintained status quo of the Fixed Medical Allowance which is presently paid @ Rs. 500/- per month.

What is to be changed / taken care of in this issue on implementation of 7th Pay Commission Report ?
The costs have increased for medicines, consultations fees and Pathological Tests required for day to day medical treatment. This has risen at a much steeper rate than that of the General Price Index. A large number of pensioners are residing in remote areas or villages having no access to CGHS dispensaries and as such are wholly dependent on the paltry amount of Fixed Medical Allowance for day to day treatment.. Therefore it needs to be revised to at least Rs. 2000/- per month.

Modified Assured Career Progression Scheme (MACPS) :
Recommendation of 7th Pay Commission:
Assured Career Progression was introduced in 1999 with a view to grant at least two financial up gradations at an interval of 12 and 24 years where officials are stagnating for want of promotion. It was further modified to 03 financial up gradations on the recommendations of the 6th CPC. However, the 7th CPC recommended continuing with the same without any change. Also the bench mark has been increased from ‘Good’ to ‘ Very Good’

What is to be changed / taken care of in this issue on implementation of 7th Pay Commission Report ?
There should be at least four financial upgradations in entire service career of an employee at regular interval of 8 years. Hence, the MACPS may be granted to an employee after completion of 8, 16, 24 and 32 years of service.

Further, the bench mark for financial up gradation may be continued as per the existing practice – i.e. the bench mark prescribed for the post for promotion.

Transport Allowance (TPTA)
Recommendation of 7th Pay Commission:

The 7th CPC has just revised the Transport Allowance by merging 125% of DA with the existing rate of transport allowance. The revised rates are as mentioned below:

Pay level	Proposed  (Higher TPTA Cities)	Proposed  (Other TPTA Cities)
9 and above	7200+DA	3600 +DA
3 to 8	3600+DA	1800 + DA
1 and 2	1350+DA	900 + DA

What is to be changed / taken care of in this issue on implementation of 7th Pay Commission Report ?
The following is proposed for the revised Transport Allowance (TPTA)

Pay level	Proposed  (Higher TPTA Cities)	Proposed  (Other TPTA Cities)
9 and above	10000 + DA	5000 + DA
3 to 8	5000 + DA	2500 + DA
1 and 2	2500 + DA	1250 + DA

Child Care Leave (CCL):
Recommendation of 7th Pay Commission:
The 7th CPC has proposed that CCL should be granted at 100 percent of the salary for first 365 days, but at 80 percent of the salary for the next 365 days. However, CCL has been extended to single parent also.
What is to be changed / taken care of in this issue on implementation of 7th Pay Commission Report ?
It is proposed that the CCL be paid at 100 percent of salary for the entire period.

Children Education Allowance (CEA):
Recommendation of 7th Pay Commission:
The Commission has recommended CEA @ Rs. 2250/- per month and Hostel Subsidy @ Rs. 6750/- per month.
What is to be changed / taken care of in this issue on implementation of 7th Pay Commission Report ?
Keeping in view the steep rise in tuition fees, cost of stationery, Books, Uniform etc. the CEA and Hostel Subsidy may be increased @ Rs. 3000/- and @ Rs. 8000/- per month respectively.

Special Casual Leave (SCL):
Recommendation of 7th Pay Commission:

SCL is granted to employees to cover their absence from duty for various occasions like sports events, cultural activities, participation in Republic Day Parade, voluntary blood donation, Trade Union meetings, etc. Full pay is granted during SCL and it can be sanctioned with retrospective effect also.
The Pay Commission has expressed its concern at the widespread use of SCL as a means of getting away from duty. However, because of the extensive scope and case specific nature of this leave, no concrete recommendations have been made.
It has suggested that the government may, however, consider the following: (a) Review the purposes for which SCL is presently granted.

(b) Limit the number of purposes for which an employee can be granted SCL in a year.

(c) Limit the total number of days that an employee can be granted SCL in a year.
What is to be changed / taken care of in this issue on implementation of 7th Pay Commission Report ?
Since SCL is granted to employees to cover their absence from duty for various occasions like sports events, cultural activities, participation in Republic Day Parade, voluntary blood donation, Trade Union meetings/ casting votes in their constituency, it may be continued to be granted as per existing practice.

Source: Indian Accounts and Audit Department