Gazette Notification for Implementation of 7th CPC

Gazette Notification for Implementation of 7th CPC

Comrades,

There are lot of discussions about the date of Gazette Notification for implementation of 7th CPC & Office Memorandum, It usually takes about 15 to 20 days after cabinet approval of the pay commission report .Let us examine the 6th CPC dates.

The union cabinet gave its approval for implementation of the recommendations of the Sixth Central Pay Commission on 14th August 2008. Gazette Notification for implementation of 6th CPC was issued on 29th August 2008 & Office Memorandum was issued on 30th August 2008, after 16 days after cabinet approval.

The 7th CPC : The union cabinet gave its approval for implementation of the recommendations of the Seventh Central Pay Commission on 29th June 2016.

Hence the Gazette Notification for implementation of 7th CPC & Office Memorandum is likely issued in this week.

Comradely yours

(P.S.Prasad)

General Secretary

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

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Most Disappointing and Retrograde Recommendations, Worst Recommendations ever made by any previous Pay Commission - Confederation

MOST DISAPPOINTING AND RETROGRADE RECOMMENDATIONS WORST RECOMMENDATIONS EVER MADE BY ANY PREVIOUS PAY COMMISSION

ONLY 14.29% INCREASE IN PAY AFTER 10 YEARS

(EQUAL TO TWO DA INSTALLMENTS)!!!

50 LAKHS CENTRAL GOVERNMENT EMPLOYEES AND DEFENCE PERSONNEL CHEATED & DECEIVED

HOLD PROTEST DEMONSTRATIONS ALL OVER THE COUNTRY

NJCA LEADERS MEETING AT DELHI ON 20.11.2015 AT 11 AM, WILL DECIDE THE FUTURE COURSE OF ACTION

IMPORTANT RECOMMENDATIONS

1. DATE OF EFFECT – 01.01.2016

JCM Staff Side demand – 01.01.2014 – Rejected

2. MINIMUM PAY – 18000

JCM (SS) demand – 26000 – Rejected

Dr. Aykroyd Formula of 15th Indian Labour Conference for calculation of Minimum wage distorted by 7th CPC to deny the eligible minimum pay.

3. FITMENT FORMULA – 2.57 TIMES

JCM (SS) demand – multiplication factor 3.7 (26000/7000)

4. FIXATION ON PROMOTION – NO CHANGE – ONLY ONE INCREMENT IN THE OLD SCALE

JCM (SS) demand – Minimum two increments fixation.

5. ANNUAL INCREMENT – 3% NO CHANGE

JCM (SS) demand – 5%

6. MODIFIED ASSURED CAREER PROGRESSION – NO CHANGE – 10, 20, 30 Conditions made more stringent. Bench mark “Very Good” required instead of “good”. Examination for MACP proposed. Hierarchial promotion restored.

JCM (SS) demand: Five promotion – 8,7,6,5,4 (30 years)

7. PAY BAND, GRADE PAY SYSTEM ABOLISHED

New Pension Structure called “Matrix based open ended pay structure” recommended. Total span of the scale 40 years.

JCM (SS) demand: Abolish pay band, Grade Pay system and open ended pay scales should be introduced.

8. MAXIMUM PAY INCREASE – 14.29%

JCM (SS) demand – Minimum 40% increase for all employees.

9. COMPARISON BETWEEN MINIMUM AND MAXIMUM PAY – 1:11.4 (18000 : 205400)

Demand of the JCM (SS) – 1:8

10. NUMBER OF PAY SCALES – NOT REDUCED – NO DELAYERING

JCM(SS) demand – pay scales with grade pay 1900, 2000, 4600, 8700 and the pay scale 75500-80000 to be abolished.

11. ALLOWANCES – NO IMPROVEMENT

Commission recommended abolition of 52 existing allowances such as Assisting Cashier Allowance, Cash Handling Allowance, Treasury Allowance, Handicapped Allowance, Risk Allowance, Savings Bank Allowance, Special compensatory (Hill Area) Allowance, Cycle Allowance, Family Planning Allowance etc.

12. HRA REDUCED TO 24%, 16% AND 8% FOR X, Y AND Z CITIES

JCM (SS) demand – Existing HRA of 30% (for X class cities with population 50 lakhs and above), 20% (for Y class cities with population of 5 lakhs to 50 lakhs) and 10% (for Z class cities with less than 5 lakhs population) may be increased to 60%, 40% and 20%.

13. DRIVERS – HIGHER PAY SCALE REJECTED

14. DA FORMULA – NO CHANGE

15. HBA – NO CHANGE – CEILING RAISED TO 25 LAKHS

16. CASUAL LEAVE – NO INCREASE

17. CHILD Care Leave

1st 365 days – Full pay (100%)

Next 365 days – 80% Pay only.

18. MATERNITY LEAVE – NO CHANGE

19. LEAVE ENCASHMENT AT THE TIME OF RETIREMENT – NO INCREASE MAXIMUM 300 DAYS ONLY

20. MEDICAL

Medical Insurance Scheme for serving and retired employees recommended.

21.TRANSPORT ALLOWANCE – NO HIKE –  ONLY 125% MERGER

Pay Level Higher                Transport Allowance cities (A, AI) Other places

9 and above                     7200 + DA                 3600 + DA

3 to 8                              3600 + DA                 1800 + DA

1 and 2                              1350 + DA                   900 + DA

22. LEAVE TRAVEL CONCESSION (LTC) – NO CHANGE

One time LTC to Foreign Country during the service rejected. Splitting of Home Town LTC for employees Posted in North East, Laddakh, Andaman & Nicobars and Lakshdweep allowed.

23. ACCOUNTS STAFF BELONGING TO UNORGANIZED ACCOUNTS – PARITY WITH ORGANISED ACCOUNTS REJECTED.

24. PERIODICAL REVIEW OF WAGES (NOT TEN YEARS) RECOMMENDED. NO PAY COMMISSION REQUIRED

25. PERFORMANCE RELATED PAY SHOULD BE INTRODUCED IN GOVERNMENT SERVICES AND ALL BONUS PAYMENT SHOULD BE LINKED TO PRODUCTIVITY.

JCM (SS) demand – No Performance related Pay. Productivity Linked Bonus for all.

26. COMPULSORY RETIREMENT AND EFFICIENCY BAR REINTRODUCED

Failure to get required bench mark for promotion within the first 20 years of service will result in stoppage of increment. Such employees who have out lived their ability, their services need not be continued and the continuance of such persons in the service should be discouraged.

27. PROMOTEE AND DIRECT RECRUITS – ENTRY LEVEL PAY ANOMALY IS REMOVED

JCM (SS) demand – the differential entry pay between new recruits and promoted employees should be done away with.

28. CADRE REVIEW TO BE COMPLETED IN A TIME BOUND MANNER.

Commission recommended to hasten the process of cadre review and reduced the time taken in inter-ministerial consultations.

29. NEW PENSION SCHEME – WILL CONTINUE

30. CEA & HOSTEL SUBSIDY

                                            Rate

CEA per month             2250 – 25% increase when DA crosses 50%

Hostel subsidy              6750 – 25% increase when DA crosses 50%

31. GROUP INSURANCE SCHEME

Level                    Monthly Contribution           Insurance Amount

1 to 5                          1500                                       15 Lakhs

6 to 9                          2500                                       25 lakhs

10 and above               5000                                       50 lakhs

 PENSIONARY BENEFITS

32. PENSIONERS – PARITY – LONG STANDING DEMAND OF THE PENSIONERS ACCEPTED

Commission recommends a revised Pension Formulation for Civil employees and Defence Personnel who have retired before 01.01.2016. (expected date of implementation of seventh CPC recommendations). This formulation will bring about complete parity of past pensioners with current retirees.

33. PENSIONERS – MINIMUM PENSION RS. 9000/-

(50% of the minimum pay recommended by the 7th CPC)

34. PENSIONERS – GRATUITY CEILING RAISED TO 20 LAKHS

35. PENSIONERS – FIXED MEDICAL ALLOWANCE (FMA) – NO CHANGE (RS. 500/-)

36. CGHS FACILITIES TO ALL POSTAL PENSIONERS RECOMMENDED

33 Postal dispensaries should be merged with CGHS

37. GRAMIN DAK SEVAKS (GDS) OF THE POSTAL DEPARTMENT DEMAND FOR CIVIL SERVANTS STATUS REJECTED

Recommendation: – The committee carefully considered the demand for treating the Gramin Dak Sevaks as civil servants at par with other regular employees for all purposes, and noted the following:

(a) GDS are Extra-Departmental Agents recruited by Department of Posts to serve in rural areas.

(b) As per the Recruitment Rules the minimum educational qualification for recruitment to this post is class X.

(c) GDS are required to be on duty only for 4 to 5 hours a day under the terms and conditions of their service.

(d) The GDS are remunerated with Time Related continuity Allowance (TRCA) on the pattern of pay scales for regular Government employees plus DA on pro-rata basis.

(e) A GDS must have other means of income independent of his remuneration as a GDS to sustain himself and his family.

Government of India has so far held that GDS is outside the Civil Service of the Union and shall not claim to be at par with the Central Government Employees. The Supreme Court Judgment also states that GDS are only holder of Civil posts but not civilian employees. The Commission endorses this view and therefore has no recommendation with regard to GDS.

(M. Krishnan)

Secretary General

Confederation

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

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Highlights of Recommendations of Seventh Central Pay Commission

Press Information Bureau 

Government of India

Ministry of Finance

Highlights of Recommendations of Seventh Central Pay Commission 

Recommended Date of implementation: 01.01.2016

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

Maximum Pay: ₹2,25,000 per month for Apex Scale and ₹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 ₹1,02,100 crore, over the expenditure as per the ‘Business As Usual’ scenario.  Of this, the increase in pay would be ₹39,100 crore, increase in allowances would be ₹ 29,300 crore and increase in pension would be ₹33,700 crore.

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

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.

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 ₹25 lakhs from the present ₹7.5 lakhs.

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 ₹10 lakh to ₹20 lakh. The ceiling on gratuity may be raised by 25 percent whenever DA rises by 50 percent.

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.

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

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