Reservation in promotion

Press Information Bureau 

Government of India

Ministry of Personnel, Public Grievances & Pensions

Reservation in promotion 

Extant instructions of DoPT provide that reservation in promotion by non-selection method is available to SCs and STs in all Groups i.e. Group A, B, C & D. In case of promotion by selection method, reservation is available to SCs and STs upto lowest rung of Group A. There is no reservation in promotion by selection within Group A. Reservation in posts by promotion under the existing scheme is applicable in which the element of direct recruitment, if any, does not exceed 75%. 

In accordance with Supreme Court judgment dated 15.07.2014, results of Limited Departmental Competitive Examination 1996 for Section Officer grade were revised by UPSC. Appellants, who were declared successful in the modified results of SO LDCE 1996, were included in SOSL 1996 by this Department. Later the benefit was extended to similarly placed SC/ST officers who were declared qualified in the modified results of SO LDCE 1996. On their inclusion in SOSL 1996, these officers have become eligible for consideration for promotion to the next grade (Under Secretary) on completion of eight years of approved service in SO grade i.e. they become eligible for consideration in USSL 2004 onwards subject to the size of the zone. A proposal for review of USSLs 2004 and 2005 has been forwarded to UPSC in which these officers have been included in the zone. 

This was stated by the Minister of State (Independent Charge) for Development of North Eastern Region (DoNER), MoS PMO, Personnel, Public Grievances, Pensions, Atomic Energy and Space, Dr. Jitendra Singh in a written reply to a question by Shri Ronald Sapa Tlau in the Rajya Sabha today. 

Read More »

Review of Performance of Public Servants

Press Information Bureau 

Government of India

Ministry of Personnel, Public Grievances & Pensions

Review of performance of public servants 

The Ministry of Personnel, Public Grievances and Pensions is aware that review of performance of public servants occurs only after attaining age of 50 years or completion of 30 years of service. As per Fundamental Rule (FR) 56 (j): 

“The Appropriate Authority shall, if it is in the opinion that it is in the public interest so to do, have the absolute right to retire any Government servant by giving him notice of not less than three months in writing or three months’ pay and allowances in lieu of such notice: 

If he is in Group ‘A’ or Group ‘B’ service or post in a substantive, quasi-permanent or temporary capacity and had entered Government service before attaining the age of 35 years, after he has attained the age of 50 years. 

(i) in any other case after he has attained the age of fifty-five years”. 

(ii) In addition, as per Rule 48 of CCS(Pension) Rules, 1972, at any time after a Government servant has completed thirty years' qualifying service, he may be required by the appointing authority to retire in the public interest, and in the case of such retirement the Government servant shall be entitled to a retiring pension provided that the appointing authority may also give a notice in writing to a Government servant at least three months before the date on which he is required to retire in the public interest or three months' pay and allowances in lieu of such notice. 

Further, as per Rule 16(3) (amended) of the All India Services (Death-cum-Retirement Benefits) Rules, 1958, the Central Government may, in consultation with the State Government concerned, require a Member of the Service to retire from Service in public interest, after giving such Member at least three month's previous notice in writing or three month's pay and allowances in lieu of such notice, - 

after the review when such Member completes 15 years of qualifying Service; or 

(i) after the review when such Member completes 25 years of qualifying Service or attains the age of 50 years, as the case may be; or 

(ii) if the review referred to in (i) or (ii) above has not been conducted, after the review at any other time as the Central Government deems fit in respect of such Member. 

(iii) The above provisions have been reiterated from time to time and recently vide DoPT’s O.M. No. 25013/02/2005-AIS-II dated 28.06.2012 and 03.08.2015, and O.M. No. 25013/1/2013-Estt.A-IV dated 11.09.2015. 

Disciplinary cases are conducted as per prescribed procedures. Normally, the details and monitoring of disciplinary cases is to be done by the respective cadre authorities. The Central Government has also from time to time been stressing on the need to complete disciplinary cases expeditiously and monitoring the same. 

This was stated by the Minister of State (Independent Charge) for Development of North Eastern Region (DoNER), MoS PMO, Personnel, Public Grievances, Pensions, Atomic Energy and Space, Dr. Jitendra Singh in a written reply to a question by Shri Vivek Gupta in the Rajya Sabha today. 

Read More »

Linking Promotion of Teachers to Performance of Students

Press Information Bureau 

Government of India

Ministry of Human Resource Development

Linking Promotion of Teachers to Performance of Students 

There is no such proposal at present to link promotion of teachers to performance of students. Recruitment and service conditions of teachers are in the domain of State Governments/UT Administrations. However, The Central Government has a scheme of National Award to teachers to recognize good performance of teachers across the country. School enrolment campaigns are launched by States at the start of the school academic year for awareness generation to enrol out-of-school children in schools and to reach out hitherto un-reached children in remote areas, working children, girls, children belonging to SC and ST communities, and children in difficult circumstances. 

The performance of students is related to multiple factors including school and home environment. The Central Government has taken various steps to ensure teacher accountability in government and aided schools. 

. The National Council of Educational Research and Training (NCERT) has developed Performance Indicators for Elementary Education (PINDICS) to track teacher performance and attendance in Government schools. PINDICS have been shared with State Governments/UTs to assess teacher’s performance. 

Additionally, teachers attendance is being monitored by States/UTs through School Management Committees/School Management Development Committees/ Block Resource Centres/Clusters Resource Centres and in some cases by installing bio-metric attendance system etc. 

The Central Government has launched the ‘Pandit Madan Mohan Malviya National Mission on Teachers and Teaching’ in December, 2014 with a vision to comprehensively address all issues related to teachers, teaching, teacher preparation, professional development, curriculum design, research in pedagogy and developing effective pedagogy. 

As per the mandate of the Right of Children to Free and Compulsory Education (RTE) Act 2009, Government of India has notified the National Council for Teacher Education (NCTE) as the Academic Authority at the national level for teacher education and qualification. NCTE has prescribed teacher qualifications for various levels. It has also made it mandatory that all persons holding teacher qualifications as laid down by the NCTE must also pass a teacher eligibility test (TET).These two steps by NCTE are widely seen as efforts to improve the standards of teaching with eventual positive impact on quality of education. 

This information was given by the Union Human Resource Development Minister, Smt. Smriti Zubin Irani today in a written reply to a Rajya Sabha question. 

Read More »

Fee Hike in IITs Subject to Protecting Interests of Poor Students

Press Information Bureau 

Government of India

Ministry of Human Resource Development

Fee Hike in IITs Subject to Protecting Interests of Poor Students 

It has been decided to revise the tuition fee in IITs to Rs. Two lakh a year from the academic year 2016-17, subject to the following for protecting the interests of the socially and economically backward students: 

(i) The SC/ST/PH students shall get complete fee waiver. 

(ii) The most economically backward students (whose family income is less than Rs. One lakh per annum) shall get full remission of the fee. 

(iii) The other economically backward students (whose family income is between Rs. One lakh to Rs. Five lakh per annum) shall get remission of 2/3rd of the fee. 

(iv) All students shall have access to interest free loan under the Vidyalaxmi scheme for the total portion of the tuition fee payable. 

The interests of the socially and economically backward students have been protected adequately, and even furthered in the above dispensation. 

This information was given by the Union Human Resource Development Minister, Smt. Smriti Zubin Irani today in a written reply to a Rajya Sabha question. 

Read More »

Passenger Reservation System in Indian Railways

Press Information Bureau 

Government of India

Ministry of Railways

Passenger Reservation System in Indian Railways 

At present, computerised reservation facility is available at approximately 3337 reservation centers, which are working satisfactorily. Till March 2016, 134 Yatri Ticket Suvidha Kendra (YTSK) licensees have been engaged. They are also working satisfactorily. Next Generation e-Ticketing (NGET) which was launched on 28.04.2014, now has a capacity of booking 15000 tickets per minute and is working satisfactorily. 

Adequate safeguards have been kept in the computerised Passenger Reservation System (PRS) and internet booking system to prevent its misuse by unscrupulous elements. 

For the benefit of different categories of travelling public, the Railways have introduced ticketing facilities at Non-Railhead locations and India Post Offices so that the ticketing system can be accessed by people living in smaller towns and villages. This is in addition to e-ticketing which provides access to reservation system from the comfort of the home/office. 

In addition to the provisions made in the computerised PRS and internet ticketing system to prevent misuse of reserved ticketing system, various other steps have been taken, some of which are as under: (i) Condition of carrying original proof of identity by any one passenger booked on a reserved ticket. (ii) Agents are debarred from booking tickets during first thirty minutes of opening of booking, i.e., from 0800 to 0830 hours for general booking, 1000 to 1030 hours and 1100 to 1130 hours for Tatkal booking on AC class and Non-AC class respectively. (iii) In case of booking of reserved tickets through internet, only one booking in one user login session except for return/onward journey between 0800 and 1200 hours. (iv) The monthly limit of booking of tickets through internet by an individual user has now been revised to 6 tickets in a month instead of 10 tickets. 

This Press Release based on information given by the Minister of State for Railways Shri Manoj Sinha in a written reply to a question in Lok Sabha on 27.04.2016 (Wednesday). 

Read More »

Issuing of Licenses to Private Firms for Defence Production

Press Information Bureau 

Government of India

Ministry of Defence

Issuing of Licenses to Private Firms for Defence Production 

The total procurement for three services (Army, Navy and Air Force) for year 2014-15 was Rs. 78753.85 Crores, out of which the procurement from indigenous sources was Rs. 49531.55 Crores. The value of production of Defence Public Sector Undertakings (DPSUs) and Ordnance Factories in the same year was Rs. 46936 Crores. 

Since the opening of defence manufacturing sector for private sector participation in 2001, so far, 333 Industrial Licenses have been issued by the Government to 201 Indian companies for manufacture of various licensable defence items. So far 51 Companies, covering 81 industrial licenses, have reported commencement of production. 

During 2015-16, the Government has issued 75 Industrial Licenses to 56 Indian private companies for manufacture of various defence items. Till date, none of these companies have reported commencement of production. 

This information was given by Minister of State for Defence Rao Inderjit Singh in a written reply to Shri Harivansh in Rajya Sabha today. 

Read More »

Dorai focus on two crucial issues of 50% DA Merger and 3% Increment before Empowered Committee

Dorai focus on two crucial issues of 50% DA Merger and 3% Increment before Empowered Committee

Mr.Dorai, one of our genuine reader has highlighted two important crucial issues before the Empowered Committee of Secretaries for implementation.

1. RETENTION OF 3% INCREMENT IN VII CPC RECOMMENDATIONS IN CASE OF PROMOTION LEADS TO LOWER FINANCIAL BENEFITS BY FEW THOUSANDS THAN THE EXISTING BENEFITS UNDER 6TH CPC RECOMMENDATIONS

2. NON RECOMMENDATION OF VII CPC REGARDING MERGER OF 50% OF D.A. WITH BASIC PAY WHEN D.A. CROSSES 50% IS A GREAT DISAPPOINTMENT

Dear Readers,

In addition to the various genuine demands raised by the various Central Government Employees Federations/Associations with the Empowered Committee of Secretaries, I would like them to bring these 2 important crucial issues before the Empowered Committee of Secretaries for implementation:

1. RETENTION OF 3% INCREMENT IN VII CPC RECOMMENDATIONS IN CASE OF PROMOTION LEADS TO LOWER FINANCIAL BENEFITS BY FEW THOUSANDS THAN THE EXISTING BENEFITS UNDER 6TH CPC RECOMMENDATIONS:

The financial benefit would be much lower than what a government servant would be getting under VI CPC recommendation on promotion, because the existing benefit on promotion carry change in grade pay apart from 3% increase in Pay+Grade Pay. The following illustration shall show the huge difference:

Suppose an employee whose Pay is Rs.10400/- and the Grade pay is Rs. 2800/- totalling to Rs.13200(in the Pay band of 5200-20200), gets his next promotion to the Grade Pay of Rs.4200/- he will be entitled to the following hike in total remuneration under the existing VI CPC recommendation as a result of promotion:

Rs.13200 x 3% increment =Rs.400

Difference in Grade Pay from Rs.2800 to Rs.4200= Rs.1400

Total increase of increment in basic pay and Grade Pay= Rs.1800

D.A. at 125% as on 1/1/2016 on Rs.1800 = Rs.2250

HRA at 30%(assuming X city) on Rs.1800 =Rs.540

Total monetary benefit = Rs.4590/-

Whereas the net monetary benefit under VII CPC recommendation, as a result of promotion in the above case will be much lower than the above illustration as shown under:

Equivalent Basic Pay for Rs.13200 come to Rs.33900 as per pay matrix

Rs.33900 x 3% increment =Rs.1017(placed at Rs.35,400 as per pay matrix in the next level)

Total difference Rs.35400 – Rs33900 =1500

D.A. at 0% as on 1/1/2016 on Rs.1500= 0

HRA at 24%(assuming X city) on Rs.1500 =Rs.360

Total monetary benefit = Rs.1860/-only as against the existing Rs.4590/- leading to shortage of Rs. 2730/-

This is a big blunder committed by the VII Pay commission.

Therefore the increment on promotion should be atleast 5 to 6% to bring the benefit of increment on promotion to the existing level.

Whether increase of percentage for annual increment is considered or not, but increment of percentage for promotions definitely need to be implemented to bring the level of monetary benefit to the existing level.

2. NON RECOMMENDATION OF VII CPC REGARDING MERGER OF 50% OF D.A. WITH BASIC PAY WHEN D.A. CROSSES 50% IS A GREAT DISAPPOINTMENT:

The long standing demand of the central government employees for merger of 50% D.A with basic was not implemented by the government on the excuse that the VI CPC had not made such a proposal. Even the VII CPC is totally silent about this aspect. It appears no one has demanded the same before the VII CPC for consideration.

It is quite surprising that such a vital issue of non-recommendation of merger of D.A with basic pay when D.A crosses 50% is not being opposed by any central government associations or pointed out by the media. Had it been recommended by the VII CPC, the government shall definitely implement the same and the benefit of hike in salary as a result of merger of D.A with basic when it cross 50%, would be so vast that no government servant would crave for timely setting up of next VIII Central Pay commission.

M. DORAI

Deputy Director

ESIC Model Hospital

(Ministry of Labour, Government of India)

Rajajinagar,

Bangalore

Read More »

Successful Strike on 11th July 2016 will fetch decent 7th Pay Commission Pay and Allowances – Confederation of Central Government Employees

Successful Strike on 11th July 2016 will fetch decent 7th Pay Commission Pay and Allowances –Confederation of Central Government Employees and Workers, Karnataka Branch observes in the background of Govt’s decision to withhold Provident Fund withdrawal Policy on the response of Flash Strike by Garment Factory Workers in Bangalore

Comrades,

The flash strike against the recent PF Rules, 2016 of the Central Government (i.e., Centre’s new rule on Provident Fund withdrawal) by large section of Garment Factory Workers and other Industrial Workers of Karnataka State on 18th and 19th April 2016 received immense response and there was a massive protest which resulted in road blocks for hours together, thereby the entire traffic of Bengaluru City was paralyzed. The traffic was also severely affected on Mysore, Tumkur and Hosur roads.

The COC Karnataka extended moral support and sympathy for this Labour Movement. The February 10th notification was under attack from trade unions from the beginning. The notification was published in the gazette on February 26 and created technical problems.

The violence in Bengaluru prompted the Labour Ministry, Govt. of India to cancel the February 10 notification which put restrictions on 100% withdrawal from the PF account.

Within few hours of protest in Bengaluru and other parts of Karnataka state , the Hon’ble Minsiter for Labour, Shri.Bandaru Dattatreya acted upon and withdrawn the notification issued on February 10th and informed that the old system will continue. This is a victory for the workers of the country.

This clearly shows that the Government of India does not want to antagonize the workers. If the Central Government employees also participate in trade union action against the retrograde recommendations of the VII CPC similar to the Garment Workers of Karnataka, we too can get similar results and hope for a better wage revision and a decent wage hike.

This Labour movement of the Garment Workers of Karnataka state is an eye-opener for all other working class in the entire country, Comrades if one state and one particular working class movement can bring changes to the policy of the Central Government, if the entire the entire country the Central Government employees agitate against the retrograde recommendations of the 7th CPC (where only 14 % wage hike was provided against the staff side demand of 80% wage hike and also reducing the number of allowances and reduction in HRA rates) then the Central Government shall provide the decent wage hike by settling the issue of wage hike with the staff side NJCA like the PF issue being settled.

Comrades it is high time to prepare for 11th July strike of Central Government employees under the banner of NJCA. We shall get good results and Central Government shall grant better wage hike than the 7th CPC recommendations. Better we prepare for 11th July strike better wage hike we get.

Comradely yours

(P.S.Prasad)

General Secretary

Source: Confederation, Karnataka Branch

Read More »

Grant of Hospital Patient Care Allowance (HPCA) & Patient Care Allowance (PCA) to Group ‘C’ & ‘D’

GOVERNMENT OF INDIA

MINISTRY OF RAILWAYS

RAILWAY BOARD

RBE No.36/2016.

No.E(P&A)II-98/HW-6 Vol.III

New Delhi, dated : 18.04.2016.

The General Managers/CAOs,

All Indian Railways &

Production Units etc.

Sub: Grant of Hospital Patient Care Allowance (HPCA) & Patient Care Allowance (PCA) to Group ‘C’ & ‘D’ (non-ministerial) Railway employees working in Railway Hospitals & Health Units/Clinics.

Ref: PNM/AIRF Item No. 7/2010, PNM/NFIR Item No.12/2015.

Hospital Patient Care Allowance/Patient Care Allowance was introducedon the Railways in terms of Railway Board’s letter no. E(P&A)II-98/HW-6 dt. 09.01.2008. As per paragraph 2 (a) (ii), of the letter dt. 9-1-2008 Pharmacists were also made eligiblle for grant of HPCA/PCA subject to fulfilment of the conditions of admissibility except exclusive store Pharmacists who were not involved in dispensing of medicines. Both the recognised Federations, namely AIRF and NFIR have raised the issue in the forum of PNM stating that there is no particular designation of Store Pharmacists in the Indian Railways. The matter has been considered in consultation with the Health Directorate of Railway Board and it has decided to remove the exception made for exclusive Store Pharmacists in paragraph2(a)(ii) in Railway Board’s letter no. E(P&A)II-98/HW-6 dt. 09.01.2008. Pharmacists will be entiled for payment of Hospital Patient Care Allowance / Patient Care Allowance. This would have effect from 01.01.2008 as mentioned in Railway Board’s letter no.E(P&A)II-98/HW-6 dt,09.01.2008.

3. Other terms and conditions would remain the same as per Board’s letter no. E(P&A)II-98/HW-6 dt. 09.01.2008 and Board’s letter No. E(P&A)II-2013/AL-3 dt.20.02.2013

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

5. Please acknowledge receipt.

Sd/-

(Salim Md.Ahmed)

Dy.Director/E(P&A)II

Railway Board.

Read More »

NIVARAN – Online system for grievance redressal of both serving as well as Retired Railwaymen

NIVARAN – Online system for grievance redressal of both serving as well as retired Railwaymen

Railway Minister directs to develop an online system for grievance redressal of both serving as well as retired Railwaymen.

The system called NIVARAN to come into operation by 24th June, 2016.

The System to have provision for progress tracking and appeal.

Railway Minister to personally review and monitor the functioning of this system.

The move to benefit around 27 lakhs persons.

In an innovative measure aimed at staff welfare, Minister of Railways Shri Suresh Prabhakar Prabhu has directed railway administration to develop an online system for the redressal of grievances of Railway Employees both serving as well as retired. The IT Department of Indian Railways has started working on developing this system which will be called “NIVARAN” and will come into operation by 24.06.2016. Under this system, a railway personnel will be able to submit his grievances online and can also track the progress in resolution or disposal of the grievances. The main focus areas of the grievance redressal will be reimbursement of medical claims, pension claim, compassionate appointment and improvement in staff quarters. The move will benefit around 13.26 lakhs serving railway employees and around 13.79 lakhs retired railway personnel that is the system NIVARAN will serve the needs of around total 27 lakhs persons.

The Railway Minister has also directed the Railway Administration to create a provision or mechanism in this system for “appeal” against a particular decision of an authority. The Railway Minister has accorded important priority to this new system and has decided to personally review and monitor the functioning of this system. The monitoring and review will also be done at Railway Board Level, at Zonal Level and at Divisional level also. The Railway Minister has always been emphasizing on measures aimed at the welfare of the staff and resolution of their problems. He has always been pointing out the sincerity, dedication and hard work being put in by the railway employees to make Indian Railways as the world class railway system.

Source: PIB News

Read More »

Central Government to Recruit 2.2 lakh Central Government Employees in two years

Central Government to Recruit 2.2 lakh Central Government Employees in two years

Central government is set to recruit 2.2 lakh central government employees over a period of two years from March 1, 2015, despite the Centre’s announcements from time to time on a freeze in fresh recruitments.

The central government’s actual staff on March 1, 2015 was 33.05 lakh, which increased to 34.93 lakh in 2016 and is estimated to grow to 35.23 lakh by March 1, 2017, according to the budget estimates for 2016-17.

This includes the railways — which has not added a single worker to its strength of 13,26,437 in the last three years — but excludes the defence forces.

The biggest increase of 70,000 is projected in the revenue department which comprises income tax and customs, central excise and service tax, followed by central paramilitary forces, projected to rise by 47,000. The strength of the home ministry, excluding paramilitary forces, has increased by 6,000.

The cabinet secretariat, a fairly small department assisting the government, will add 301 employees, going up from 900 in 2015 to 1,201 by March 1, 2017. The I&B ministry added nearly 2,200 personnel in the last two years.

The personnel ministry, which manages government staff, added 1,800 jobs in the last two years, the urban development ministry 6,000, mines ministry 4,399 and department of space 1,000.

However, the financial allocation for salaries and allowances for the revenue department has not shown any major difference, for the reason that the department has not been able to recruit personnel due to slow progress in the cadre restructuring exercise.

Some departments have faced downsizing. Interestingly, there has been a cut in the department of rural development, the focus area of the government, where the strength has come down from 538 in 2015 to 472 in 2016-17.

A major reason for the spurt in hiring is that many departments faced acute staff crunch in Group B and C categories due to a moratorium on fresh recruitments for the past several years.

A lot of the new appointments have been in these categories. Vacancies have piled up over the years. More than six lakh posts are vacant in various central government ministries, according to the personnel ministry.

Read More »

Train Reservation Quota for Women and Senior Citizens: Railway Board Circular

Railway Board Circular on Earmarking of Reservation Quota for Women and Senior Citizens in Sleeper, 2AC and 3AC coaches.

Ministry of Railways has issued a circular earmarking the revised Reservation Quota for Women and Senior Citizens.

Government of India (Bharat Sarkar)

Ministry of Railways (Rail Mantralaya)

(Railway Board)

No. 2012/TG-I/20/P/Lower Berth

New Delhi, dated 23.03.2016

Chief Commercial Managers,

All Zonal Railways.

(Commercial Circular No. 14 of 2016)

Sub:Earmarking of Reservation Quota for Women and Senior Citizens.

Please refer to this office letter of even No. dated 18.04.2007 (CC No.40 of 2007) wherein instructions were issued for earmarking of combined quota of two lower berths per coach in Sleeper, AC-3 Tier and AC-2 Tier classes for following category of passengers while travelling alone:-

a. Senior Citizens;

b. Female passengers 45 years of age and above; and

c. Pregnant women.

1.1 The above said. quota in Sleeper class was enhanced to four lower berths per coach vide Commercial Circular No. 51 of 2015 issued on 31.08.2015. No change was, however, made in this quota in 3AC and 2AC classes.

2.Keeping in view the announcement made in the Railway Budget for the financial year 2016-17 regarding enhancement of this quota, the matter has been examined and it has been decided to enhance the above said quota as under:-

            Class                           No. of Lower Berths per coach

                                                            Existing   Revised

         Sleeper                                           4                  6

3AC                                                          2

2AC                                                          2                      3

3. It has also been decided that in Rajdhani, Duronto and fully Air Conditioned/Express trains, the number of lower berths to be earmarked under this quota in 3AC class should be 4 lower berths per coach as against 3 lower berths per coach in case of normal Mail/Express trains.

4. Necessary action may be taken accordingly to define this quota from ARP or no booking date whichever is earlier which in no case should be later than 01.09.2016.

Sd/-

(Vikram Singh)

Director Passenger Marketing

Railway Board

Source : Railway Board

Read More »

New EPF Rules to Come into Force after April 30

New EPF Rules to Come into Force after April 30

On Feb 10, 2016, the ministry of labour and employment made sweeping changes in the EPF rules restricting the withdrawal of EPF corpus. EPFO rules restricting withdrawal of employees’ provident fund will come into force after April 30.

New EPF Rules to Come into Force after April 30 – The government has deferred the implementation of the new rule till April 30, 2016.

EPFO rules restricting withdrawal of employees’ provident fund will come into force after April 30. This means that in case you are unemployed for 2 months or more and want to withdraw your full EPF you can do so only within the next 15 days. After that the withdrawal amount will be restricted and you will be able to get the full amount only when you turn 58.

On Feb 10, 2016, the ministry of labour and employment made sweeping changes in the EPF rules restricting the withdrawal of EPF corpus.

Hitherto, a member of EPFO could withdraw 100% of the accumulated corpus if unemployed for a period of 2 months or more. The accumulated corpus is a sum of employer’s contribution, employee’s contribution and the interest earned on them. Of course, the person needs to have accumulated some EPF in a previous employment to have a corpus to withdraw at all.

However, the new EPF rules have restricted the amount of withdrawal that a member can make. Under the new rule, a member after being unemployed for 2 months or more can withdraw only his own contribution and the interest earned on it. He can’t withdraw the corpus generated from the employer’s contribution along with the interest earned on it. A member in the Employees Provident Fund Organisation (EPFO) can withdraw the full Employee Provident Fund (EPF) corpus only after attaining the age of 58 years. So, if you are jobless for 2 months or more and wish to withdraw the full EPF corpus, you just have 15 days to get it out.

The government has deferred the implementation of the new rule till April 30, 2016. From May 1, till 58 years of age you can withdraw only your own contribution in EPF which equals 12% of your basic salary plus the interest if unemployed for 2 months or more. The employer’s contribution plus the interest accumulated will be withdrawable only once you attain the age of 58 years.

We consider a hypothetical scenario wherein a person after being employed for 20 years becomes jobless in the month of Jan, 2016. Assuming his basic salary as Rs 25000 per month for the whole period his own contribution in EPF would be Rs 3000 per month. If he contributes for 20 years, his own contribution of Rs 7.20 lakh (12%*25000*12*20) will yield him a corpus of ?approximately Rs 19 lakh which includes the interest on his contribution.

What’s more, the employer’s contribution of Rs 4.20 lakh will grow to Rs 11.50 lakh approximately which includes the interest component too. In this case, we have assumed an interest rate of 9% per annum compounded yearly for the whole period. As he became jobless in Jan, he is unemployed for a period of more than 2 months as on date.

Under the current rule, if he withdraws his EPF corpus before May 1, then he can withdraw the full corpus of Rs 30.5 lakh. However, if he doesn’t withdraw before May 1, he can take out his own contribution and interest of Rs 19 lakh even after this date provided he remains jobless. However, the remaining Rs 11.50 lakh can be withdrawn only after he reaches the age of 58 years. You can however, withdraw 90% of the employer’s contribution plus interest at the age of 57 years. Importantly, the erstwhile rule of zero interest on inoperative accounts was quashed from April 1. Hence the employer’s contribution lying idle in the EPF account till the age of 58 years will continue to earn interest.

Source: Economic Times

Read More »

Revision of pension of Pre-2006 pensioners – PCDA pension circular C-149

OFFICE OF THE PR. CONTROLLER OF DEFENCE ACCOUNTS (PENSIONS)

DRAUPADI GHAT, ALLAHABAD – 211014

Toll Free No. 1800-180-5321

Circular No: C-149

No:-GI/C/0198/Vol-V/Tech

O/o the Pr.C.D.A. (Pensions)

Draupadighat Allahabad – 211014

Dated:- 08/04/2016

To,

The Treasury Officer

The PO-Master, Kathua, Srinagar (J&K)

The PO-Master, Campbell Bay (Andman & Nicobar)

The Defence Pension Disbursing Officer

Pay & Accounts Officer

Military & Air Attache, Indian Embassay, Kathmandu, Nepal (through Gorkha Record Officer, Kurnaghat, Gorakhpur)

Director of Accounts, Panji (Goa)

Finance Secretary, Gangtok, PO-I, Thimpu Bhutan

The General Manager (Nodal Officer, PSBs)

All Managers, CPPC of Public Sector Banks.

All Managers, CPPC of Authorized Private Banks.

Subject: Revision of pension of Pre-2006 pensioners – reg.

Reference: This officer Important Circulars No. 102 dated 11.02.2013 & C-144 dated 14-08-2015.

Attention of all Pension Disbursing Authorities is invited to above cited circulars wherein instructions had been issued for implementation of GOI, Ministry of P,PG and Pensions, Deptt of P&PQ OM No. 38/37/08-P&PW(A,) dated 28 January, 2013 w.e.f 01.01.2006. According to these orders “The revised pension of the pre-2006 pensioners shall not be less than 50% off the minimum of the pay band + grade pay, corresponding to the pre-revised pay scale from which pensioner had retired, as arrived at with reference to the fitment tables annexed to Ministry of Finance, Department of Expenditure OM No. 1/1/2008-IC dated 30th August, 2008, Subject to the pension so arrived will be reduced pro-rata, where the pensioner had less than the maximum required service for full pension as per rule 49 of the CCS (Pension) Rules, 1972 as applicable before 1.1.2006 and in no case it will be less than Rs. 3500/- p.m”.

(2) Now, GOI, Ministry of P, PG and pension, Dept of P&PW have further issued order under their OM No. 38/37/08 P&PW (A) dated 6th April, 2016, that “The revised consolidated pension of pre-2006 pensioners shall not be lower than 50% of the sum of minimum of the pay in the Pay Band and the Grade Pay (wherever applicable) corresponding to the pre-revised pay scale as per fitment table annexed to Ministry of Finance, Department of Expenditure OM No. 1/1/2008-IC dated 30th August, 2008 without pro-rata reduction of pension even if they had qualifying service of less than 33 years at the time of retirement.” Accordingly, Para 5 of the OM dated 28.01.2013 would stand deleted. The arrears of revised pension would be payable with effect from 01.01.2006.

(3) In case the consolidated pension calculated as per Para 4.1 of OM No. 38/37/08-P&PW (A) dated 01-09-2008 is higher than the pension calculated in the manner indicated in the OM dated 6th April, 2016, the same (higher consolidated pension) will continue to be treated as basic pension.

(4) All other conditions as given in OM No. 38/37/08-P&PW (A) dated 1.9.2008, as amended from time to time shall remain unchanged.

(5) All pension disbursing authorities (PDAs) are therefore, requested to revise the pension in affected cases in terms of Govt. OM No. 38/37/08-P&PW (A), dated 06-04-2016 w.e.f 01.01.2006. Payment made w.e.f. 01.01.2006 will be adjusted against the arrears now being paid and these cases may be reflected in the monthly account sent to this office as ‘change item’.

(6) Where the PDAs are in doubt in regulating the payment of revised pension under these orders, the cases with full details of pensioner and PPO number etc. may be referred to Audit Section of this office for advice and further action.

Sd/-

(Dr.Upinderbir Singh)

Dy. CD A (P)

Source: www.pcdapension.nic.in

Read More »

Central Government Employees to declare family assets for three years by July

Central Government Employees to declare family assets for three years by July

Central government employees were today told to file details of their assets and liabilities, along with that of their spouses and dependent children, as part of mandatory obligations under Lokpal Act by July.

The Department of Personnel and Training (DoPT) has asked secretaries of all Central government ministries and chief secretaries of state governments to ensure that employees working under their control file the declarations in time, under its OM No.407/12/2014-AVD-IV(B).

The move comes as the deadline for filing of these returns was yesterday extended for the fifth time, till July 31.

Employees have to file three declarations–one each for 2014, 2015 and 2016. There are about 50 lakh Central government employees.

The declarations under the Lokpal law are in addition to similar ones filed by the employees under various services rules.

Employees have to give details like cash in hand, bank deposits both in domestic and in foreign, investment in bonds, debentures, shares and units in companies or mutual funds, insurance policies, provident fund, personal loans and advance given to any person or entity, among others.

They also have to declare expensive furniture, fixtures, antiques, paintings and electronic equipment if the total current value of any particular asset in any particular category (e.g. furniture, fixtures, electronic equipments) exceeds two months’ basic pay or Rs one lakh.

As per rules, notified under the Lokpal and Lokayuktas Act, 2013, every public servant shall file declaration, information and annual returns pertaining to his assets and liabilities as on March 31 every year or on or before July 31 of that year.

For 2014, the last date for filing returns was September 15 of that year. It was first extended till December 2014, then till April 30, 2015 and third extension was up to October 15. The date was then extended to April 15, this year for filing of returns for 2014 and 2015.

Now it has been extended till July 31, 2016 and employees have to file one returns each for 2014, 2015 and 2016 by this new date.

PTI

Read More »

Grant of Dearness Relief to Central Government pensioners/family pensioners – Revised rate effective from 1.1.2016.

F. No.42/06/2016-P&PW(G)

Government of India

Ministry of Personnel, Public Grievances & Pensions

Department of Pension & Pensioners’ Welfare

3rd Floor, Lok Nayak Bhavan, Khan Market,

New Delhi – 110003 Date: 11th April, 2016

OFFICE MEMORANDUM

Subject : Grant of Dearness Relief to Central Government pensioners/family pensioners – Revised rate effective from 1.1.2016.

The undersigned is directed to refer to this Department’s OM No. 42/10/2014-P&PW(G) dated 28th September, 2015 on the subject mentioned above and to state that the President is pleased to decide that the Dearness Relief (DR) payable to Central Government pensioners/family pensioners shall be enhanced from the existing rate of 119% to 125% w.e.f. 1st January, 2016.

2. These orders apply to (i) All Civilian Central Government Pensioners/Family Pensioners (ii) The Armed Forces Pensioners, Civilian Pensioners paid out of the Defence Service Estimates, (iii) All India Service Pensioners (iv) Railway Pensioners and (v) The Burma Civilian pensioners/family pensioners and pensioners/families of displaced Government pensioners from Pakistan, who are Indian Nationals but receiving pension on behalf of Government of Pakistan and are in receipt of ad-hoc ex-gratia allowance of Rs. 3500/- p.m. in terms of this Department’s OM No. 23/1/97- P&PW(B) dated 23.2.1998 read with this Department’s OM No. 23/3/2008-P&PW(B) dated 15.9.2008.

3. Central Government Employees who had drawn lump sum amount on absorption in a PSU/Autonomous body and have become eligible to restoration of 1/3rd commuted portion of pension as well as revision of the restored amount in terms of this Department’s OM No. 4/59/97-P&PW (D) dated 14.07.1998 will also be entitled to the payment of DR @ 125% w.e.f. 1.1.2016 on full pension i.e. the revised pension which the absorbed employee would have received on the date of restoration had he not drawn lump sum payment on absorption and Dearness Pension subject to fulfilment of the conditions laid down in pars 5 of the O.M. dated 14.07.98. In this connection, instructions contained in this Department’s OM No.4/29/99-P&PW (D) dated. 12.7.2000 refer.

4. Payment of DR involving a fraction of a rupee shall be rounded off to the next higher rupee.

5. Other provisions governing grant of DR in respect of employed family pensioners and re-employed Central Government Pensioners will be regulated in accordance with the provisions contained in this Department’s OM No. 45/73/97- P&PW (G) dated 2.7.1999 as amended vide this Department’s OM No. F. No. 38/88/2008-P&PW(G) dated 9th July, 2009. The provisions relating to regulation of DR where a pensioner is in receipt of more than one pension will remain unchanged.

6. In the case of retired Judges of the Supreme Court and High Courts, necessary orders will be issued by the Department of Justice separately.

7. It will be the responsibility of the pension disbursing authorities, including the nationalized banks, etc. to calculate the quantum of DR payable in each individual case.

8. The offices of Accountant General and authorised Pension Disbursing Banks are requested to arrange payment of relief to pensioners etc. on the basis of these instructions without waiting for any further instructions from the Comptroller and Auditor General of India and the Reserve Bank of India in view of letter No. 528-TA, 11/34-80-II dated 23/04/1981 of the Comptroller and Auditor General of India addressed to all Accountant Generals and Reserve Bank of India Circular No. GANB No. 2958/GA-64 (ii) (CGL)/81 dated the 21st May, 1981 addressed to State Bank of India and its subsidiaries and all Nationalised Banks.

9. In their application to the pensioners/family pensioners belonging to Indian Audit and Accounts Department, these orders issue after consultation with the C&AG.

10. This issues with the concurrence of Ministry of Finance, Department of Expenditure vide their OM No. 1/1/2016-E.II(B) dated 07th April, 2016.

11. Hindi version will follow

Sd/-

(Charanjit Taneja)

Under Secretary to the Government of India

Source:http://ccis.nic.in/WriteReadData/CircularPortal/D3/D03ppw/PPWG_11042016.pdf

Read More »

7th Pay Commission: Reasons of delay in Implementation

7th Pay Commission: Reasons of delay in Implementation

Central Government employees must be wondering why Centre is taking so much time to implement Seventh Pay Commission recommendations.

It’s already four months since Pay Commission had submitted its report to Finance Ministry to give final touch to it.

Though, Modi Government recently dropped enough hint that it will implement increment process soon, but no particular time frame was given to the Central staff.

Here are the possible reasons why Government is taking time to implement the hike.

Government needs to arrange fund

As Rs 1.02 lakh crore is needed to implement whole increment process, Centre needs to have proper strategy for the same.

At a time when OROP’s expenditures is already taking toll on the exchequer, pay Commission will put extra burden on the government budget.

Grievances of various stakeholders

Government needs to address grievances of various stakeholders including government staff and Army men before taking final call on the same.

While Babus are unhappy with minimum basic pay, Defence personnels say that they shouln’t be treated at par with their civilian counterparts in terms of salary and allowances.

Assembly elections

As model code of conduct is in place, Government doesn’t want to take risk by announcing implementation date. Centre doesn’t want to displease voters at a time when poll process is going on in many crucial states. It is being believed that notification for the ‘increment proposal’ will be issued once State election will be over.

Procedural delay

Pay Commission will be implemented after cabinet will give it a final approval. Currently, the Implementation cell of the Empowered Committee of Secretaries is trying to address various issues with it. After giving final touch to the report, Empowered Committee will send recommendations to PMO for its nod. Once PMO will through the report, it will be placed before the Cabinet.

Source:OneIndia news

Read More »

7th Pay Commission: Guess who else is going to benefit from Central Government Employees Pay Hike!

7th Pay Commission: Guess who else is going to benefit from Central Government Employees Pay Hike!

It is not just Central government employees eagerly anticipating implementation of the 7th pay commission and take home higher monthly pay package.

Your next-door real estate agent, car dealer and consumer durables seller are also seen gaining from the pay commission hike. According to reports, almost 3.4 crore individuals (employees and pensioners) will witness increase in their incomes, resulting in a multiplier effect on a couple of professions.

Real estate agent: Realty sector is expected to eventually succeed in shaking off the sluggish demand and witness spurt in the sale of houses in tier 1 and tier 2 cities as more than 80 percent of Central government employees lives in these cities

As a result of the foreseen demand, the Reserve Bank of India expects sharp, quick and continuous spurt in the housing index.

Car dealer: With implementation of the 7th CPC, your next door car or two wheeler dealer may rejoice too. The industry expects double digit increase in automobile sales especially two-wheeler, the mini and the compact hatch back segment.

Consumer durables seller: The increase in disposable income will no doubt boost the disposable income leading to increased demand for consumer durables goods like refrigerators, TV etc

Banker: Of course, peaking demand for automobiles, real estate and consumer durable will create demand for consumer loans. The consumer loans section of banks and NBFCs will vie to get the larger share of the indirect gain from the 7th CPC salary hike.

The scenario of crores of potential customers and falling interest rate will announce a win win situation for the banks and consumers both.

Source:  Zee News

Read More »

Payment of Dearness Allowance to Railway Employees Revised rates effective from 01.01.2016

Government of India

Ministry of Railways

(Railway Board)

S.No.PC-VI/364

RBE No.3/2016

No.PC-VI/2008/1/7/2/1

The GMs/CAO(R).

All Zonal Railways & Production Units,

(as per mailing list)

New Delhi, dated 08.04.2016

Sub: Payment of Dearness Allowance to Railway employees Revised rates effective from 01.01.2016.

Please refer to this Ministry’s letter of even number dated 24.09.2015 PC-VI/356 RBE No.115/2015) on the subject mentioned above. The President is pleased to decide that the Dearness Allowance payable to Railway employees shall be enhanced from the existing rate of 119% to 125 % with effect from January, 2016.

2. The provisions contained in Paras 3, 4 & 5 of this Ministry’s letter of even number dated 09.09.2008 (S.No. PC-V1/3, RBE No 106/2008) shall continue to be applicable while regulating Dearness Allowance under these orders.

3. The additional installment of Dearness Allowance payable under these orders shall be paid in cash to all railway employees. The arrears may be charged to the salary bill and no honorarium is payable for preparing separate bill for this purpose.

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

Sd/-

(M.K.Panda)

Jt.Director, Pay Commission

Railway Board

Read More »

Revision of pension of pre-2006 pensioners — delinking of revised pension from qualifying service of 33 years.

No. 38/37/08-P&PW (A) 

Government of India 

Ministry of Personnel, PG & Pensions 

Department of Pension & Pensioners’ Welfare

3rd Floor, Lok Nayak Bhawan 

Khan Market, New Delhi-110 003. 

Dated the 06th April, 2016

OFFICE MEMORANDUM

Sub:- Revision of pension of pre-2006 pensioners — delinking of revised pension from qualifying service of 33 years.

The undersigned is directed to say that as per Para 4.2 of this Department’s OM of even number dated 1.9.2008 relating to revision of pension of pre-2006 pensioners w.e.f. 1.1.2006, the revised pension w.e.f. 1.1.2006, in no case, shall be lower than 50% of the sum of the minimum of pay in the pay band and the grade pay thereon corresponding to the pre-revised pay scale from which the pensioner had retired. A clarification was issued vide DoP&PW OM of even number dated 3.10.2008 that the pension calculated at 50% of the minimum of pay in the pay band plus grade pay would be calculated at the minimum of the pay in the pay band (irrespective of the pre-revised scale of pay) plus the grade pay corresponding to the pre-revised pay scale.

2. Several petitions were filed in the Central Administrative Tribunal, Principal Bench, New Delhi inter alia claiming that the revised pension of the pre-2006 pensioners should not be less than 50% of the minimum of the pay band + grade pay, corresponding to the pre-revised pay scale from which pensioner had retired, as arrived at with reference to the fitment tables annexed to Ministry of Finance, Department of Expenditure OM No. 1/1/2008-IC dated 30th August, 2008, Hon’ble CAT, Principal Bench, New Delhi vide its common order dated 1.11.2011 in OA No.655/2010 and three other connected DAs directed to re-fix the pension of all pre-2006 retirees w.e.f. 1.1.2006 based on the Resolution dated 29.8.2008 of the Department of Pension & Pensioners’ Welfare and in the light of the observations of Hon’ble CAT in that order.

3. Orders were issued vide this Department’s OM of even number dated 28.1.2013 for stepping up of pension of pre-2006 pensioners w.e.f. 24.9.2012 to 50% of the minimum of pay in the pay band and grade pay corresponding to pre-revised pay scale from which the pensioner retired. Para 5 of this OM provides that in case the consolidated pension/family pension calculated as per para 4.1 of O.M. No.38/37/08- P&PW (A) dated 1.9.2008 is higher than the pension/family pension calculated in the manner indicated in the O.M. dated 28.1.2013, the same (higher consolidated pension/family pension) will continue to be treated as basic pension/family pension.

4. Subsequently, in compliance of the order dated 1.11.2011 of the Hon’ble CAT, Principal Bench in OA No. 655/2010, order dated 29.4.2013 of Hon’ble High Court of Delhi in WP (C) No. 1535/2012 and order dated 17.3.2015 of Hon’ble Supreme Court in SLP (C) No. 36148/2013, order were issued vide this Department’s OM of even number dated 30.7.2015 that the pension/family pension of all pre — 2006 pensioners/family pensioners may be revised in accordance with this Department’s O.M. No.38/37/08-P&PW(A) dated 28.1.2013 with effect from 1.1.2006 instead of 24.9.2012.

5. In accordance with the order issued in implementation of the recommendation of the 6th CPC, the pension of Government servants retired/retiring on or after 1.1.2006 has been delinked from qualifying service of 33 years. In OA No. 715/2012 filed by Ski. M.O. Inasu, a pre-2006 pensioner, Hon’ble CAT, Ernakulam Bench, vide its order dated 16.8.2013 directed that the revised pension w.e.f. 1.1.2006 under para 4.2 of OM dated 1.9.2008 would not be reduced based on the qualifying service of less than 33 years. The appeals filed by Department of Revenue in the Hon’ble High Court of Kerala and in the Hon’ble Supreme Court have also been dismissed. Similar orders have been passed by Hon’ble CAT/High Court in several other cases also.

6. The matter has been examined in consultation with the Ministry of Finance (Department of Expenditure). It has-now been decided that the revised consolidated pension of pre-2006 pensioners shall not be lower than 50% of the minimum of the pay in the Pay Band and the grade pay (wherever applicable) corresponding to the pre-revised pay scale as per fitment table without pro-rata reduction of pension even if they had qualifying service of less than 33 years at the time of retirement. Accordingly, Para 5 of this Department’s OM of even number dated 28.1.2013 would stand deleted. The arrears of revised pension would be payable with effect from 1.1.2006.

7. Ministry of Agriculture, etc. are requested to bring the contents of these orders to the notice of Controller of Accounts/Pay and Accounts Officers and Attached and Subordinate Offices under them for revising the pension of all those pre – 2006 pensioners who had rendered less than 33 years of qualifying service at the time of retirement in the manner as indicated above on top priority. Revised Pension Payment Orders in all these cases may also be issued immediately.

8. All pension disbursing offices/banks are also advised to prominently display these orders on their notice boards for the benefit of pensioners.

9. This issues with the approval of Ministry of Finance, Deptt. of Expenditure vide ID Note No. 2(9)/EV/2015, dated 15.3.2016.

10. Hindi version will follow.

Sd/-

(Seema Gupta)

Deputy Secretary to the Government of India

Read More »

DA ORDER: Payment of Dearness Allowance to Central Government employees – Revised Rates effective from 1.1.2016.

No. 1/1/2016-E-II (B) 

Government of India 

Ministry of Finance 

Department of Expenditure

North Block, New Delhi 

Dated the 7th April, 2016.

OFFICE MEMORANDUM

Subject: Payment of Dearness Allowance to Central Government employees – Revised Rates effective from 1.1.2016.

The undersigned is directed to refer to this Ministry’s Office Memorandum No. 1/3/2015-E-II (B) dated 23rd September, 2015 on the subject mentioned above and to say that the President is pleased to decide that the Dearness Allowance payable to Central Government employees shall be enhanced from the existing rate of 119% to 125% with effect from 1st January, 2016.

2. The provisions contained in paras 3, 4 and 5 of this Ministry’s O.M. No. 1(3)/2008-E-ll(B) dated 29th August, 2008 shall continue to be applicable while regulating Dearness Allowance under these orders.

3. The additional installment of Dearness Allowance payable under these orders shall be paid in cash to all Central Government employees.

4. These orders shall also apply to the civilian employees paid from the Defence Services Estimates and the expenditure will be chargeable to the relevant head of the Defence Services Estimates. In regard to Armed Forces personnel and Railway employees, separate orders will be issued by the Ministry of Defence and Ministry of Railways, respectively.

5. In so far as the employees working in the Indian Audit and Accounts Department are concerned, these orders are issued with the concurrence of the Comptroller and Auditor General of India.

Sd/-

(Nirmala Dev)

Deputy Secretary to the Government of India

Source:http://finmin.nic.in/

Read More »

Compulsory Retirement – Cracking down on Central Government Employees

Compulsory Retirement – Cracking down on Central Government Employees

Since the exercise is believed to have been kicked off at the instance of the Prime Minister’s Office, chances are that several more employees may be shown the door.

Compulsory Retirement – Cracking down on CG Employees – While there was always a rule to compulsorily retire bureaucrats, the rule applies to only those who are at least 50 years old.

CG employees may get 3-4 times the salaries of their private sector counterparts, especially at the lower-to-medium levels, but the security of tenure that they enjoyed is now under threat because of the compulsory retirement threat.

A study for the 7th Pay Commission found a fresh government nurse earned 3.4 times her private sector counterpart, a teacher 2.7 times and a driver 2.3 times. While there was always a rule to compulsorily retire bureaucrats, the rule applies to only those who are at least 50 years old – on grounds of either corruption or inefficiency, this has rarely been used.

According to The Economic Times that reported the use of an obscure Rule 56(j) to sack 15 customs and central excise officials —including two at the level of commissioners—this was last invoked three decades ago. Indeed, a few months before it demitted office in 2014, the UPA government reiterated the rule, but it did precious little about it. The NDA reissued the order last September, but made its intentions clear since, while doing so, the order excerpted various Supreme Court judgments on this – in other words, CG employees were warned that the highest court in the land had ruled in favour of this in the past.

In the case of State of Gujarat vs Umedbhai M Patel, the SC had ruled that “whenever the services of a public servant are no longer useful to the general administration, the officer can be compulsorily retired for the sake of public interest”. It then went on to say, according to the DoPT circular, “For better administration, it is necessary to chop off dead wood, but the order of compulsory retirement can be passed after having due regard to the entire service record of the officer.”

Since the exercise is believed to have been kicked off at the instance of the Prime Minister’s Office, chances are that several more employees may be shown the door.

However, there are enough checks since there will be review panels before the compulsory retirement and then there is the process of appeal to the tribunal as well as to the courts.

Source:http://www.financialexpress.com/article/fe-columnist/editorial-cracking-down-on-babus/232616/

Read More »

One Rank One Pension – Nipping 7th CPC Anomalies In The Bud

One Rank One Pension – Nipping 7th CPC Anomalies In The Bud

The following questions arises from the recommendations of the 7th pay commission in relation to pensions of pre 01 January 2016 retirees of the defence services.

One Rank One Pension – Nipping 7th CPC Anomalies In The Bud – It may be fitting for services HQs and veterans associations to take up these specific issues for rationalization.

one rank one pension The following questions arises from the recommendations of the 7th pay commission in relation to pensions of pre 01 January 2016 retirees of the defence services.

@ Para 10.2.87 (i) of the recommendations mentions “Pay Band and Grade Pay” as a means of first “fixing” at minimum level in the 7th CPC matrix for calculating notional pay of pre 01 Jan 2016 defence retirees. But retirees of pre 01 Jan 2006 era only had a pay-scale and no grade pay to identify with the “levels” of the 7th CPC matrix. How will pre 01 Jan 2006 retirees fix their notional pay in the matrix as Grade Pay and Pay-Bands were introduced only after 01 Jan 2006 by VI CPC?

@ Then, the same para goes on to recommend that a retiree should add the number of increments “earned” in that level for arriving at the notional pay. Does that mean the increments actually granted or the number of increments from the last pay drawn counting back to the lowest stage of the pay-scale in which a pre 01 Jan 2006 retiree retired?

@ Para 10.2.86 (ii) of the 7 CPC recommendations provides an alternate calculation, viz., of multiplying by 2.57 the pension fixed at time of implementation of VI CPC. But pensioners are already drawing OROP pension with DR at 125%. Thus 2.25 X OROP pension presently being drawn is likely to be higher than the 2.57 X VI CPC pension recommended by 7 CPC. Does that mean 7 CPC will provide a negligible increase, if any, in pensions of defence retirees?

@ To take an example, if five increments plus two stagnation increments actually earned by a Lt Col (or equivalent) who retired with, say, 28 to 30 years of service in August 2004 are put in the matrix at “index” of 7, his notional pay will correspond to a Lt Col of post 01 Jan 2006/01 Jan 2016 era with 13+7=20 years of service i.e. 10 years less than the 2004 Lt Col. Even if the Aug 2004 Lt Col retiree is eligible to count total increments on the pay-scale of 13500-400-17100 down from his last pay (with stagnation increments) of 17900/-, the number of increments comes to 12. If that is put in the matrix, in level 12-A, the Lt Col’s notional pay would be fixed at index 12 which corresponds to a current Lt Col with 13+12=25 years of service, which will be about 4 to 5 years less than the actual service put in by the 2004 retiree. Does the 7 CPC intend to do away with the “equal service” clause of OROP in this fashion?

It may be fitting for services HQs and veterans associations to take up these specific issues for rationalization.

Source:https://ashwanisarda.wordpress.com/2016/03/25/nipping-7-cpc-anomalies-in-the-bud/

Read More »