Letter to CRB,regarding Running allowance

To,
THE CHAIRMNAN
Railway Board
Rail Bhavan
New Delhi

Respected Sir,
Sub: Recommendation of committee on Running allowance dt. 25th Nov. 2008.
It is learned that the committee constituted to decide the quantum of pay element and running allowance rate has submitted its recommendation. The recommendations of the committee that the existing quantum or pay element shall continue but running allowance rate shall be doubled abolishing the system of determining the rate of kilometerage on a long established formula which has been brought in Railways after a long and sustained effort of AILRSA is unjust and hence unacceptable to running staff. As the news of recommendation is spread amongst the running staff there is serous resentment among staff.
At the out set we appreciate the two conclusions arrived by the committee that the depression concept is no longer relevant vide Para 16 of their recommendation. Secondly the conclusion arrived in Para 9 and 10 that the running staff are crucial and vital to the running of the Railway and the fact that running staff productivity is critical to the IR so it is necessary that their motivation level is maintained at highest level, and upon the
implementation of the 6th CPC recommendation Teachers, Nurses, Section officers/ Sr. Section Officers of Account have been placed in the pay band which over shoots conventional Group “C” scales. Crucial categories like running staff have to be seen in relation to the difficulties, skill level and environment in which they work and running staff are distinct from all other Group “C” staff and their case has to be accordingly appreciated.
Basing on these conclusions the committee recommended to retain the existing percentage of 30% and 55% as pay element, through this Association and other recognized union asked to revise it upward to 60% and 75% giving justification for the same since 1981. the demand of the running staff may please be conceded in appreciation to their service to Railway.
Finding of the committee that in many cases emoluments of the running staff exceeds that of Group A officers is not the factual position. It may be true that the retirement benefit of running staff who are stagnated in the highest scale and drawing stagnation increment would have been reached to level of Group “A” in some cases but not in all cases, that too only on retirement benefit not on emoluments. This was so from the inception of Railway the reason for allowing higher retirement benefit was clearly spelt by the RAC 1980 and the finding of the III CPC.

FORMULA FOR WORKING OUT RATE OF KILOMETERAGE ALLOWANCE.
In this connection, we can not accept the recommendations of the committee. We are constrained to say that the whole concept of introduction of running allowance scheme by the railway is not fully appreciated or understood by the committee.
After all, the running staff should be paid the pay element according to the Basic Pay (pay band+ Grade pay) of the individual employee and TA/DA according to TA/DA rules. This is the minimum concept and is in accordance with basic rules.
But without straight away giving it, this has been paid through the scheme of running allowance. The RAC 1980 dealt the subject well. They recommended to take the mean of the scale as a compromise formula, otherwise different and distinctive rate have to be derived to different stage in pay scale as the individual employee is entitled for pay element according to his Basic Pay. Deriving different rate for different stage in Basic Pay is cumbersome and impractical. It may also be noted that while taking mean of the Basic Pay in fact, those who are in higher basic pay will loose and athose in lower pay benefited. If the minimum of pay scale is taken to arrive at the rate, the individual employee who draws higher pay will not get the actual amout or the pay element whch is statuory in nature. If the maximum of Basic pay is taken to arrive the rate, then uninteneded benefit will accure to those who are in lower levlel in the scale. That is why the RAC 1980 recommended taking the mean pay to arrive at the rate. It was an equitable decision. And staff not protested even though theree was a loss for those who draw higher pay in the scale.
The present recommendation to take the minimum of pay band be seen in this perception. Those who draw higher pay in the pay band will get a lesser amount of pay element, that too a very drastic loss. Pay of many running staff had been fixed in the band above 22,000/- and none draws at Rs. 9,300/- at present.
The observations made by the VI CPC to pay allowances with reference to minimum of pay in the pay band in Para 7.36.97 of it report were in the nature of suggestion/ illustration and this has modified through an errata and held that, the administrative ministry concerned will need to take a final view thereon.
Therefore the recommendation may be rejected and mean of the pay band & grade pay be taken to arrive at the running allowance rate.
The committee assumed the TA/DA has been released fixing at Rs. 210, but subsequently order of Railway Board on TA/DA has been fixed Rs. 340 should be taken as TA for fixing running allowance. Therefore the recommendation of the committee on running allowance to double the rate w.e.f. 1-9-2008 has to be rejected.
20 days TA/DA in the formulae may be revised at least to 25 days considering the present the present crew links/pattern of working.
According to the finding of the committee on bench marking, the national average kilometerage arrived was at 4700 KM. Therefore the average kilometer of Loco Pilot (pass) may be taken at 4700 KM and Assistant Loco Pilot be taken as 3700 KM to arrive at the running allowance rate.
We further wish to point out that the fixation of Loco Pilot (pass) whose Basic Pay as on 01.01.2006 at Rs. 5500 will be fixed at Rs. 11650+4200 GP i.e. at Rs. 15850. And TA of Rs. 105 was raised to Rs. 340 with an increase of 3.25 times. In the case of Assistant Loco Pilots the increase in TA rates is from Rs.55 to Rs.210 i.e. 3.81 times. Therefore the recommendations of the committee to double the rate of running allowance from 01.09.2008 have to be rejected.
According it is just to demand that the kilometerage rate of running staff be raised as follows:



Loco Pilot Assistant Loco Pilot


Basic Pay (9300+34800)+4200 (5830*+20200) +1900
2 2


Mean Pay 26250 14915



30% pay element 7875 4475


TA Rates 105 55

National average KM 5100 3725


Mileage rate 195.60 149.65

After TA revision w.e.f. 01.09.2008 with RAC 1980 formula

Basic Pay (9300+34800)+4200 (5830+20200) +1900
2 2




NewTA rate 340 210

Mean Pay 26250 14950

30% pay element 7875 4475




Mileage rate 287.75 232.90
In the light of the above facts, the recommendations of the committee need to be modified duly considering our demand for increasing the pay element to 60% / 75% and taking national average kilometer of passenger crew links as 4700 kilometers with 25 days TA.

Thanking you.
Yours’ faithfully


(M.N.Prasad)
Secy. Genreal