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7th pay commission allowances
Showing posts with label 7th pay commission allowances. Show all posts
Showing posts with label 7th pay commission allowances. Show all posts

Thursday, 11 May 2017

Central Government Employees not to go on strike on May 23 over 7th Pay Commission allowances

Babloo - 10:53:00

Central Government Employees not to go on strike on May 23 over 7th Pay Commission allowances

New Delhi: Central government employees' will not to go on strike on May 23 in protest at the "government inaction" on fulfilling their demands, including hike in allowance as per the 7th Pay Commission recommendations.

No central government office will be closed at any part of the country and the trains will also be running on May 23.

The Confederation of central government employees, has temporarily postponed the strike scheduled on May 23 following assurance of government to hike allowances shortly.

"The strike has been put on hold for now following the assurance of government. However, the confederation will make sure that the genuine demands of the employees are met with," a top leader of confederation, who did not wish to be named told us.

"In view of government's assurance to hike allowances shortly, our strike on May 23 stands deferred," he added.

The Confederation of central government employees had given the strike call protesting against the delay in allowance hike as per the revised 7th Pay Commission recommendations.

The confederation is opposed to the government's delaying tactics to hike allowances of central government employee.

After the government implemented the recommendation of the 7th Pay Commission from January 1, 2016 in respect of basic pay and dearness allowances, the Committee on Allowances, headed by Finance Secretary Ashok Lavasa was constituted in June last year.

The 7th Pay Commission had recommended that of a total of 196 allowances, 52 be abolished altogether and 36 be abolished as separate identities by subsuming them in another allowance, which triggered resentment among central government employees that governments complied with formation of the Committee on Allowances.

The Committee on Allowances had submitted its report to Finance Minister Arun Jaitley on April 27.
The report is being currently examined by the Department of Expenditure. It will be placed before the Empowered Committee of Secretaries (E-CoS) set up to screen the 7th Pay Commission recommendations and to firm up the proposal for approval of the Cabinet.

The central government employees now get all allowances except dearness allowance at the old rates until the cabinet approval of higher allowances.

Tuesday, 21 February 2017

7th Pay Commission : Committee on Allowances likely to submit report today - HRA Revision expected

Babloo - 09:31:00

7th Pay Commission : Committee on Allowances likely to submit report today - HRA Revision expected

After much debate and protest by government employees on some of recommendations made by the 7th Pay Commission on allowances, the government had formed a committee to review the same.

Government employees have been waiting to hear from the central government on allowances since the cabinet cleared the recommendations of the 7th Pay Commission in June last year.

The Committee on Allowances, headed by Finance Secretary Ashok Lavasa, is expected to present its review report to Finance Minister Arun Jaitley today.

The 7th pay commission had recommended reducing the house rent allowance (HRA) to 24 per cent of basic pay as against the 30 per cent of basic pay employees were drawing under the Sixth Pay Commission.
According to some reports, the Committee on Allowances has recommended the current HRA slab, which is 30 per cent of basic pay, for metros. An announcement on the same is expected soon.

Allowances form a significant chunk of government employees’ salary, and therefore when the pay commission recommended slashing some while merging others, protests erupted.

The 7th Pay Commission recommended abolishing 53 of the current 196 allowances meant for employees while merging a few others.

The pay commission’s recommendation of a 14.27 per cent hike in basic pay is the lowest in 70 years. A further reduction in allowances meant earning the ire of nearly 50 lakh Central government employees.
Though the report may be submitted today, “A decision is likely to be announced after the State assembly elections get over,” said a senior official. The entire exercise of State polls will get completed by March 11.
Sources indicated that the committee has recommended higher house rent allowance could be increased to offset the higher cost of living.

However, the revised structure for allowances is likely to be implemented from April 1, to ensure that it does not have any impact on the government's finances this fiscal.

An official said the impact of the higher allowances has already been factored in the Union Budget 2017-18, which has increased the allocation for allowances (other than travel expenses) by seven per cent.

Source: India Today

Thursday, 10 November 2016

Allowances Committee Meeting Draft Minutes

Babloo - 18:58:00
Allowances Committee Meeting Draft Minutes

7th-CPC-allowance-committee-meeting
No.6/8/2016-CPC
Government of India
Ministry of Personnel, Public Grievances & Pensions
Department of Personnel & Training
(CPC Section)
North Block, New Delhi
Dated the 7th November 2016
To
Shri Shiv Gopal Mishra
Secretary, Staff Side
National Council Staff Side (JCM),
13-C, Ferozeshah Road
New Delhi - 110001

Subject: Draft minutes of the meeting held on Tuesday the 25th October 2016, under the Chairmanship of Secretary (P) with the representatives of Staff Side, National Council (JCM) on issues relating to the DoPT- Specific Allowances.

Sir,
Please find enclosed a copy of the Draft Minutes of the meeting held under the Chairmanship of Secretary (P) on Tuesday the 25th October 2016 with the representatives of Staff Side on issues relating to the DoPT- Specific Allowances. You are requested to send your comments on the draft minutes by 15/11/2016 positively.

Yours faithfully,
(D.K. Sengupta)
Deputy Secretary (CPC)

RECORD NOTE OF THE DISCUSSION ON DOPT-SPECIFIC ALLOWANCES, HELD WITH THE STAFF-SIDE, NATIONAL COUNCIL (JCM) AT 3.00 P.M. ON 25.10.2016 UNDER THE CHAIRMANSHIP OF SECRETARY(P).

A discussion on the DoPT-specific allowances with the Staff-Side National Council (JCM) was held at 3.00 p.m. on 25.10.2016 under the Chairmanship of Secretary(Personnel) in Room No. 119, North Block, New Delhi in compliance with the direction contained in the minutes of the 2nd meeting of the Committee on Allowances held on 01.09.2016 that every Ministry/Department should firm up its views/comments on allowances relating to the Ministry/Department after holding discussion with their Staff Associations.
List of participants is at Annexure.

At the outset JS(JCA) welcomed all the members of the Staff side of the National Council of JCM to the discussion on department specific allowances. JS(JCA) informed that in the second meeting of the Committee on Allowances it was decided that all the department specific allowances will be discussed with the JCM. After a brief introduction it was decided to discuss the following department specific allowances on which DOPT has received the comments for Staff-Side.

Children Education Allowance (CEA)

The Staff-Side has stated that the benefit of Children’s Education Allowance should be extended to the Graduate and Post Graduate levels also. They have informed that the private institutions are charging exorbitantly. So, subject to a ceiling on tuition fees and hostel fees, the CEA should be extended to the Graduates and Post Graduates level. Staff-Side has informed that they had also represented to the Pay Commission for simplifying the procedure wherein they had suggested that reimbursement should be based on the bonafide certificates from the schools where the children are studying. This suggestion has been accepted by the Pay Commission and the Staff-Side has requested that it should be implemented.

On the issue of DOPT’s circular on e-receipt, Secretary, DoPT clarified that this circular had been issued before the government accepted the 7th Pay Commission recommendation.

(Action: JS(Estt.)
Night Duty Allowance (NDA)

Staff-Side has pointed out that the Night Duty Allowance (NDA) is still being paid at the 4th CPC rate. Even though there is a Board of Arbitration award in favour of employees that from 01.01.1996 it should be given in the 5th CPC pay scale, the government did not accept the arbitration award and even today employees are getting it at the same rate as it was prevalent during the 4th CPC period.

In the Ministry of Defence a lot of litigation had taken place and the matter went up to the Supreme Court. Hon’ble Supreme Court directed that it should be paid on the basis of the actual pay drawn and that NDA should be revised w.e.f. 01.04.2007 at the 6th CPC pay scale which has been implemented by the government. However, the audit authorities came up with an objection that there is a ceiling for it which has been objected to by the Staff-Side.

Apart from that, the 7th Pay Commission has recommended that it should be worked out with the actual pay of the employee being the criterion. However, in spite of that, except for the Ministries of Defence and Railways, employees working in other Ministries/Departments are getting it at 4th CPC rate. Thus, the absence of uniformity on this allowance across Ministries/Departments is very glaring which, according to the Staff-Side, is a principal source of litigation and will continue to remain so. Therefore, the Staff-Side has suggested that an early revision of the NDA without ceiling, and on the basis of the actual basic pay, and extending it to whoever is asked to do night duty will go a long way in reducing litigations in the future.

(Action: JS(Estt.)

Over Time Allowance (OTA)

Staff-Side has pointed out that there are two types of over time duty. One is covered under the Factories Act, 1948, and the other is for the office staff. In the first case, since it is a statutory obligation, the Pay Commission has not recommended anything on it. But for those Central Government employees who are not covered under the statutory provisions of the Factories Act, OTA is paid at a single rate of Rs.15.85/- only and, that too, for the first hour immediately after the scheduled office closing time, it is Nil. In case of OTA there is also an arbitration aw-ld from 01.01.1996 that it should be at par with the 5th CPC pay scale. However, neither it has been implemented nor have the rates been revised.

The Staff-Side has stated that if an employee is asked to work after hours the rate of OTA should be as per 7th CPC pay scale. Staff-Side is of the opinion that overtime means working after office hours, and asking an employee to work beyond office hours automatically entitles him/her to this allowance. The over time rates should also be above the normal level. It was pointed out by them that as per 7th CPC, an MTS is paid @ Rs.75/ hour; whereas overtime allowance is @ Rs. 15.85/- only. Even an outsider employed on casual basis is being paid hourly wages which are more than OTA. The Staff-Side is strongly of the view that if government is deploying a person on overtime work then he has to be paid at least according to the rate of salary which he is getting
(Action: JS (Estt.)

Cash Handling Allowance (CHA)

Staff-Side has informed that the 7th CPC recommendation on its abolition is based on the fact that in most of the offices today salary disbursement is not made in cash. It is credited to the individual bank accounts. But cash transactions do take place in certain offices like the Post Offices where cash handouts are made under the Mahatma Gandhi National Rural Employment Guarantee Act. PLI is also another example. Therefore, if it is stopped all of a sudden, no person will show interest in working as cashiers and take the additional responsibility of handling huge amounts of cash. Therefore, the Staff-Side has contended that till all cash transactions are eliminated, CHA should continue.

It was also pointed out by them that this allowance depends on the amount of cash transaction; when the volume of cash transaction comes down, the allowance will also proportionately come down.
(Action: JS(Estt.)

Uniform related allowances subsumed in a single Dress allowance (including shoes)
Staff-Side has informed that the 7th Pay Commission has recommended that Persons Below Officers Rank (PBOR) should be given Dress Allowance @ Rs.10,000/- per month. There are 5 Ordnance Factories under Ministry of Defence where persons are exclusively deployed to produce special high altitude dresses for the combat forces of the army. 12000 employees are working in these 5 factories. Therefore, if a uniform rate like this is maintained, it will have an adverse impact on the quality of these high altitude uniforms and will thus jeopardise the safety of the armymen and the nation as a whole. Staff-Side is stated to have already made a request to M /o Defence not to implement this recommendation. Army has also taken a stand that this will result in substandard or sub quality material. So this recommendation on the Dress allowance for PBOR should not be implemented.

As far as Civilian employees are concerned, it has been stated that the 7th CPC has recommended four slabs of Dress Allowances for various categories. One of the categories is called ‘others’. Whereas, in the Department of Posts there are about 75,000 postmen and Multi Tasking Staff wearing uniform. There is no mention about these postmen and multi tasking staff in any of the categories shown by the Pay Commission. If it is presumed that they come under ‘Others’, then they will be getting Rs. 5,000 whereas at present they are getting around Rs. 7,000 plus washing allowance. As such a separate category should be there for postmen and MTS also and the allowance should be Rs.10,000/-

It has also been pointed out that there are many categories like canteen employees, security staff, chowkidars which have not been mentioned and who are eligible for uniform or uniform allowances. It has to be clarified whether these categories will be covered under ‘others’. Staff-Side has stated that whosoever is getting Dress Allowance as on today should continue to get that. Staff-Side has also informed that the recommendations on Dress Allowance have created a lot of discrimination among staff working in similar circumstances.

Staff-Side has also drawn attention to the Dress Allowance with respect to the Nursing Staff. It has been stated that earlier also Nursing Staff were not given normal washing allowance or dress allowance considering the importance or the peculiar conditions prevailing in hospitals. Now they have also been bracketed in the general category. They were getting Rs.750 as Uniform Allowance and Rs. 450 as Washing Allowance per month. Now there is no separate category that has been given to them. For them a different dispensation was made taking into account their special requirements because they work in such an environment where their uniforms require regular washing entailing a substantial expenditure. As these have not been accounted for in the 7th CPC, the nursing staff should have a special dispensation, as is strongly felt by the Staff-Side.

JS (JCA) has requested Staff-Side to submit a note on the justification or break-up of the amount of Rs.32,400(maximum) as suggested by them and the Staff-Side has agreed to provide the same.
Secretary, DOPT summed up the demands of the Staff-Side by observing that those who were getting Dress Allowances, their allowances should not come down. And the categories of the employees which had special dispensation in the past and have not been mentioned this time or have been clubbed together with other categories need clarification.

(Action: JS(JCA)/Staff-Side)
Risk Allowance

The Staff-Side has informed that Ministry of Defence is engaged in arms and ammunitions manufacturing etc. In the process of manufacturing them, the staff engaged for this purpose, have to handle hazardous chemicals, acids and so many other poisonous combinations. Cabinet has approved 45 risk operations pertaining to Defence civilian employees. Apart from that, because of the technological developments taking place fast and as the requirement of the armed forces is increasing for getting modern equipments, ammunitions and explosives, new risk operations have also come into existence of which Ministry of Defence is aware and have recommended also accordingly. In spite of this, the existing Risk Allowance has been abolished by the Pay Commission. It has been pointed out by the Staff- Side that it has not been subsumed under the risk and hardship matrix. Rather it comes in the abolition list. In no matrix are the risk operations of Defence civilians are covered. Staff-Side has informed that they have discussed this with Defence Secretary and Defence Ministry is going to recommend in favour of its inclusion in one of the matrix.

In response to the query of Secretary, DOPT as to whether the activities which have been considered to be risky have all been identified, Staff-Side has clarified that it has been identified by a high level committee and approved by the Cabinet. 45 risk operations have been identified and approved. But within a period of 2 decades, lot of new ammunitions and new explosives have come in the arsenal, along with a lot of hazardous chemicals and acids. So, M/o Defence has again appointed a committee and they have identified that all these are additional risk operations over and above the 45 identified, where Defence Civilian employees are actively involved. But the Pay Commission has abolished Risk Allowance. So this has to be incorporated in one of the risk matrix.
(Action: JS(Estt.)

Other Items

Staff-Side has pointed out that in the 7th CPC report it has been stated that any allowance not mentioned and hence not reported to the Commission shall cease to exist immediately. They have requested that this recommendation should be rejected. On the contrary, the administrative Ministries should come forward and recommend for their abolition or retention.

Staff-Side has also stated that 7th CPC has abolished all advances completely. Noting that we regularly celebrate a number of festivals like Diwali, Holi, Eid and keeping the general sentiment in mind, they are of the view that advances are very necessary. Moreover, these advances are required to be paid back to the government.

On Family Planning Allowance, the Staff-Side has stated that since the Government has not changed its Family Planning policy, the allowance should be continued. At least in the case of those people who were getting it they should continue to get as they have fulfilled all conditions when the allowance was granted. Otherwise there will be drop in their emoluments.

DOPT ORDER

Tuesday, 11 October 2016

7th Pay commission Allowances meeting postponed to 25th October 2016

Babloo - 23:30:00

7th Pay commission Allowances meeting postponed to 25th October 2016

Shri. M.Krishnan,Secretary General, Confederation of central Government Employees and Workers, has informed in his blog that the Government has Postponed the Meeting of Allowance Committee meeting from 13-10-2016 to 25-10-2016. The message posted in official website of Confederation of Central Government Employees and workers is as follows

nc-jcm-7thcpc-staff-side


7th PAY COMMISSION ALLOWANCE COMMITTEE MEETING & JCM NATIONAL COUNCIL STANDING COMMITTEE MEETINGS POSTPONED TO 25th OCTOBER 2016

GOVERNMENT INFORMED THAT MEETINGS OF THE ALLOWANCE COMMITTEE AND JCM NATIONAL COUNCIL STANDING COMMITTEE SCHEDULED TO BE HELD ON 13TH OCTOBER 2016 STANDS POSTPONED TO 25th OCTOBER 2016



M.Krishnan
Secretary General
Confederation
Mob: 09447068125
Email: mkrishnan6854@gmail.com
Source: Confederation

Friday, 19 August 2016

New allowances from October says Finmin: 7th Pay Commission

Babloo - 10:18:00

New allowances from October says Finmin: 7th Pay Commission

7th-pay-commission-allowances


New Delhi: The new allowances for the central government employees is likely to be implemented from October 1, a senior Finance Ministry official told.

“Definitely, the new allowances on recommendations of 7th Pay Commission will be made effective soon. However, if its implementation is delayed it will be given effect from October 1,” the official told our reporter.
The finance ministry official said the Finance Secretary committee will submit its report by September end.
The official said alongside main allowances, the Finance Secretary committee will recommend various reforms in allowances hence it will take some time to implement those after scrutinising.

The Union Cabinet cleared the recommendations of 7th Pay Commission in respect of the hike in basic pay and pension on June 29 but decision on its suggestions relating to allowances has been referred to a Committee headed by Finance Secretary.

Accordingly, notification and resolution for the implementation of the 7th Pay Commission recommendations in respect of the hike in basic pay were issued on July 25.

The pay fixation and arrears related Office Memorandum No.1-5/2016-IC and Corrigendum dated July 29 and dated August 1 respectively were issued for paying arrears in one go in August salary.

According to Union Cabinet decision, a Committee headed by Finance Secretary Ashok Lavasa and Secretaries of Home Affairs, Defence, Health and Family Welfare among others as its members was constituted on July 22 for examination of the recommendations of 7th Pay Commission on allowances other than dearness allowance.

The pay commission headed by Justice A K Mathur had recommended abolition of 51 allowances and subsuming 37 others after examining 196 allowances.

The scrapping of the allowances was opposed by the central government employees’ Unions and so it has been referred to a Committee of Secretaries.

Finance Minister Arun Jaitley said in Rajya Sabha in this month, “These measures are radical in nature, even the employees’ unions have given their suggestions in the matter and therefore the committee has been formed to look into allowances. Whatever the committee decides, it will go to the Cabinet.”

The first meeting of the Finance Secretary Committee on allowances already took place on August 4.
The once in a decade pay hike has seen burden on exchequer rise from Rs 17,000 crore in the 5th Pay Commission to Rs 40,000 crore in the 6th and Rs 1,02,100 crore in the 7th Pay Commission, Jaitley earlier said.

“The Union government needs funds. The Pay Commission has put a burden of Rs 1.03 lakh crore,” Jaitley said in the Parliament in this month.

The hike in the salary component as recommended by the 7th Pay Commission was accepted with retrospective effect from January 1, 2016. The arrears will be paid to the Central government employees and pensioners on August 31, Jaitley added.

It is noted that no arrears for allowances will be paid, as per usual practice, the allowances would be paid from the date of implementation.

The recommendations of the 7th Pay Commission cover 48 lakh Central government employees and 52 lakh pensioners.

via 7CPC.in

Saturday, 23 April 2016

7th Pay Commission – How Govt will Save Rs 11,000 Crore in Allowances

Babloo - 23:57:00
7th Pay Commission – How Govt will Save Rs 11,000 Crore in Allowances

7th Pay Commission – How Govt will Save Rs 11,000 Crore – Allowances currently are roughly half of the Centre’s salary bill.

The Centre is likely to implement the 7th Pay Commission award from September-October, the beginning of the festive season, to give a consumption boost to the economy. However, in order to restrict the budgetary outgo, it would pay the revised allowances only prospectively, unlike the pay component that will be paid along with arrears from January 2016.

Allowances currently are roughly half of the Centre’s salary bill; as per the pay panel award, the steepest increase — 63% — was in allowances, while the overall rise in pay, allowances and pensions recommended was 23.55%.

If the revised allowances take effect only from September this year, the savings to the govt would be to the tune of Rs.11,000 crore, official sources said. Additionally, if the railway ministry decided to toe the Centre’s line, the national transporter will save around Rs.3,800 crore. The Budget in February had provided Rs.53,500 crore towards the pay panel-induced overall rise in pay, allowances and pension (PAP) and also to finance the one-rank-one-pension scheme for the armed forces. The 7th Pay commission had estimated the additional outgo in FY17 due to its award at Rs.73,650 crore.

The Centre’s additional bill on allowances in FY 17 due to the pay panel would have been about Rs.22,000 crore, but since it would release allowances only from September (and not with retrospective effect from January as envisaged by the commission), the actual outgo would be nearly half that.

Some analysts reckon that the consumption stimulus to the economy from the increased pay to government staff this time around could be somewhat muted.

Compared with the Sixth Pay Commission award —  which led to an overall salary increase of 40% and was released first with arrears of 30 months paid over two years  — the disbursement now includes only six months’ arrears in pay, they noted. “If the pay commission’s award is implemented across the board (including state governments as well as public institutions/enterprises), it would bring in an additional 0.9% of GDP growth in FY17,” said NR Bhanumurthy, professor at the National Institute of Public Finance and Policy. Even if states lag in implementing the pay revisions, Bhanumurthy said, GDP growth still could be at least 8% in the current fiscal, up from likely 7.6% last year.

Contrary to some reports that government employees could be asked to put part of the increased salary in bank capitalisation bonds to be issued by the Centre to infuse capital in the banks, officials said there was no such move. The government would like the employees to spend additional money in their hands to perk up the economy, sources added.

The seventh pay panel had projected the railways budget would bear the additional Rs.28,450 crore in FY17 due to its award. However, officials reckon that the actual requirement could be lower by about R3,800 crore for the railways due to prospective implementation of allowances.

Source: Financial Express
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