Wednesday, November 25, 2015

7TH PAY COMMISSION REPORT SUBMITTED TO GOVERNMENT OF INDIA ON 19.11.2015

Ø RETROGRADE RECOMMENDATIONS EVER MADE BY PAY COMMISSION

Ø ONLY 14.29% INCREASE IN PAY AFTER 10 YEARS EQUAL TO TWO DA INSTALMENTS

Ø 50 LAKHS CENTRAL GOVERNMENT EMPLOYEES AND DEFENCE PERSONNEL CHEATED & DECEIVED

IMPORTANT RECOMMENDATIONS

Ø DATE OF EFFECT – 01.01.2016 - Staff Side demand – 01.01.2014 – Rejected

Ø MINIMUM PAY – 18000 - Staff Side demand – 26000 – Rejected

Ø FITMENT FORMULA – 2.57 TIMES - Demand – multiplication factor 3.7 (26000/7000)

Ø FIXATION ON PROMOTION – NO CHANGE – ONLY ONE INCREMENT IN THE OLD SCALE
Demand – Minimum two increments fixation.

Ø ANNUAL INCREMENT – 3% NO CHANGE, Demand – 5%

Ø Loco Running Staff – Higher Pay Scale Rejected, Entry level pay grade not revised.

Ø 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.
Demand: Five promotion – 8,7,6,5,4 (30 years)

Ø PAY BAND, GRADE PAY SYSTEM ABOLISHED
New Pension Structure called “Matrix based open ended pay structure” recommended. Total span of the scale - 40 years.
Demand: Abolish pay band, Grade Pay system and open ended pay scales should be introduced.

Ø MAXIMUM PAY INCREASE – 14.29%
Demand – Minimum 40% increase for all employees.

Ø COMPARISON BETWEEN MINIMUM AND MAXIMUM PAY – 1:11.4 (18000 - 205400)
Demand – 1:8

Ø NUMBER OF PAY SCALES – NOT REDUCED – NO DELAYERING
Demand – pay scales with grade pay 1900, 2000, 4600, 8700 and the pay scale 75500-80000 to be abolished.

Ø 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.

Ø Allowances for Running Staff – Left for the decision of Railays

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

Ø DA Formula – No Change

Ø HBA – No Change – Ceiling Increased To 25 Lakhs

Ø Casual Leave – No Increase

Ø Child Care Leave
1st 365 days – Full pay (100%)
Next 365 days – 80% Pay only.

Ø Maternity Leave – No Change

Ø Leave Encashment at the Time of Retirement – No Increase Maximum 300 Days Only

Ø MEDICAL - Medical Insurance Scheme for serving and retired employees recommended.

Ø 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


Ø Periodical Review Of Wages (Not Ten Years) Recommended. No Pay Commission Required

Ø Performance Related Pay Should Be Introduced In Government Services And All Bonus Payment Should Be Linked To Productivity.

Demand – No Performance related Pay. Productivity Linked Bonus for all.

Ø Compulsory Retirement And Efficiency Bar Re-Introduced. 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.

Ø Promotee And Direct Recruits – Entry Level Pay Anomaly Is Removed
Demand – the differential entry pay between new recruits and promoted employees should be done away with.

Ø 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.

Ø New Pension Scheme – Will Continue

Ø CEA& Hostel Subsidy
Rate
CEA per month 2250 – 25% increase when DA crosses 50%
Hostel subsidy 6750 – 25% increase when DA crosses 50%

Ø 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

Ø 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. (On the date of implementation of 7th CPC recommendations). This formulation will bring about complete parity of past pensioners with current retirees.

Ø PENSIONERS – MINIMUM PENSION RS. 9000/-

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



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