Saturday, September 27, 2008

Sixth Central Pay Commission: 6th CPC

Sixth Central Pay Commission: 6th CPC

Running Staff !!! RuuuN Faaast

Don't Sleep Run Fast!

The government has agreed to restore 70 per cent "pensionary weightage" to jawans, even as Defence chiefs on Thursday intensified efforts to get "anomalies" in the 6th Pay Commission notification removed.

"The government has given in principle approval to reverting to the 70 per cent pensionary weightage, as demanded by the Services, overruling the 50 per cent recommended by the Central Pay Commission (CPC), providing much-needed relief just before this Diwali," top Defence Ministry sources told reporters here.

Espousing their cause, the Services chiefs today apprised Cabinet Secretary K M Chandrasekhar and officials in the Prime Minister's Office (PMO) on the issues.

Earlier, jawans used to get 70 per cent of their last drawn pay as pension calculated on the basis of their 10-month average salary before retirement.

Under the CPC notification, the jawans, who form the backbone of the Armed Forces but retire at a relatively young age, are to be provided with the option of lateral entry in to the Central police forces and paramilitary and in return, they would get reduced "pensionary weightage" of 50 per cent.

In order to resolve this issue, Defence Minister A K Antony had written a strong letter to both Prime Minister Manmohan Singh and Finance Minister P Chidambaram, particularly batting for the jawan's pensionary benefits.

A Soldiers Lament to the President
While we awaited the pay commission bounty
The IAS got there first
and now, President Aunty
We have no choice but to be blunt
We are third class citizens,
though manning the front
The bureaucrats who decide things for us
Have truly shown their animus
And we who defend our dear nation
Have again been shown our lower station.

When the seventh pay commission comes around
We will no doubt lose more ground
Then Colonels would equal civilian clerks
In salary, status and other perks
Generals will wait on worn out chairs
Outside IAS Officers' lairs.

A once proud service is now so degraded
That though their uniforms still be braided
They are demoralised and wait to retire
And then take up their pens to fire
At those they served all their life
In times of peace and in times of strife.

The lesson from this, our children we tell
Is that, if in life you want to do well
And this, I am sure, every soldier endorses
Do not ever join the forces.

Just become a doctor or a pleader
Perhaps, even better, a political leader
Or an IAS officer, with his red light
Why face the enemy, why risk a fight
When the nation you guard
does not value you much
And treats you merely like a handy crutch
To support the government in civil disorder
Or when the enemy threatens the border
But when the time comes to share the pie
They get all antsy and ask - why???

So Madam President, hear us out
A change is going to come about
And we, the most courageous of all
Will soon be replaced by the petty and small
Alas, your government would be squarely to blame
For this avoidable national shame.

Friday, September 26, 2008

30% of Running Allowance

 Running Allowance/Pay Element

i) As huge pressure from Loco Traffic Running Staff & NRMU Railway Administration continued the facility of 30% of Running Allowance as a Pay Element for the all benefits mentioned in the rule No. 25 of Running Allowance Rules-1981 as follows

a)      Entitlement  of Passes & PTOs

          b)      Medical Treatment

                 c)      Educational Assistance

                 d)      Pay Fixation to Stationary Posts

                 e)      CCA

                 f)       HRA

                  g)      Entitlement to Quarter

                     h)      Recovery of Rent for Quarter

                    i)        DA, Additional DA, DP

                    j)        OT

                 k)     Leave Salary

                   l)        PLB

                 m)    IR

Wednesday, September 17, 2008

Railways Staff Pension, HRA, Transportation Allowance


Implementation of Government's decision on the recommendations of the Sixth Central Pay Commission- 
1) Revision of provisions regulating pension/ gratuity/ commutation of pension/ family pension/ disability pension. 
Click Following Link:

(RBE No. 112 Dated 15/09/2008)

2)Recommendation of the Sixth Central Pay Commission - 
Grant of Transport Allowance to Railway Employees.
Click Following Link:

(RBE No. 111 Dated 12/09/2008)

3)Decision of the Goverment on the recommendations of the Sixth Central Pay Commission relating to grant of Compensatory (City) Allowance and House Rent Allowance (HRA) to Railway employees
Click Following Link:

(RBE No. 110 Dated 12/09/2008)





Friday, August 29, 2008

New Scale Chart & Fixation of Revised Pay

Specimen Fixation :
Illustration 1 :
Fixation of initial pay in the revised pay structure
Existing Scale of Pay Rs.4000-100-6000
Pay Band applicable PB-1 Rs.5200-20200
Existing basic pay as on 1.1.2006 Rs.4800
Pay after multiplication by a factor of 1.86 Rs. 8928 (Rounded off to Rs.8930)
Pay in the Pay Band PB-2 Rs.8930
Stage in the Pay Band after including benefit of bunching, if admissibleRs.8930
Grade Pay attached to the scaleRs.2400
Revised basic pay – total of pay in the pay band and grade pay Rs.11330

Illustration 2 :
Fixation of initial pay in the revised pay structure of medical officers
Existing Scale of PayRs.10000-15200
Pay Band applicablePB-3 Rs.15600-39100
Existing basic pay as on 1.1.2006Rs.10000
Pay after multiplication by a factor of 1.86Rs.18600
Existing Non Practising Allowance (NPA)Rs.2500+Rs.1250
DA on NPARs.900
Pay in the Pay Band PB-3Rs.18600+Rs.900=Rs.19500
Stage in the Pay Band after including benefit of bunching, if admissibleRs.19500
Grade Pay attached to the scaleRs.6600
Revised basic pay – total of pay in the pay band and grade pay Rs.26100
Revised NPA Rs.6525

Illustration 3
Stage 1 : Initial fixation of Group D employee in -1S
Existing Scale of Pay Rs.2500-55-2660-60-3200
Pay Band applicable -1S Rs.4440-7440
Existing basic pay as on 1.1.2006 Rs.2840
Pay after multiplication by a factor of 1.86 Rs.5282 (Rounded off to Rs.5290)
Pay in the Pay Band Rs.5290
Stage in the Pay Band after including benefit of bunching, if admissibleRs.5290
Grade Pay attached to the scaleRs.1300
Revised basic pay – total of pay in the pay band and grade pay Rs.6590
Stage 2 : Fixation of Group D employee possessing requisite qualification or after retraining
1. Existing Scale of Pay Rs.2500-55-2660-60-3200
2. Pay Band applicable PB-1 Rs.5200-20200
3. Existing basic pay as on 1.1.2006 Rs.2840
4. Pay after multiplication by a factor of 1.86 Rs.5282 (Rounded off to Rs.5290)
5. Pay in the Pay Band PB-1 Rs.5290
6. Stage in the Pay Band after including benefit of bunching, if admissibleRs.5530
7. Grade Pay attached to the scaleRs.1800
8. Revised basic pay – total of pay in the pay band and grade pay Rs.7330

Illustration 4 :
Pay fixation in cases where posts have been upgraded
1. Existing Scale of Pay Rs.6500-200-10500(Corresponding Grade Pay Rs.4200)
2. Pay Band applicable PB-2 Rs.9300-34800
3. Upgraded to the Scale of Pay Rs.7500-250-12000(Corresponding Grade Pay Rs.4800)
4. Existing basic pay as on 1.1.2006 Rs.7300
5. Pay after multiplication by a factor of 1.86 Rs. 13578 (Rounded off to Rs.13580)
6. Pay in the Pay Band PB-2 Rs.13580
7. Stage in the Pay Band after including benefit of bunching, if admissibleRs.13580
8. Grade Pay attached to the scale of Rs.7500-250-12000Rs.4800
9. Revised basic pay – total of pay in the pay band and grade pay Rs.18380

Illustration 5 :
Pay fixation on grant of increment in the revised pay structure
1. Pay in the PB-2 Rs.9300
2. Grade Pay Rs.4200
3. Total of pay + grade pay Rs.13500
4. Rate of increment 3% of row 3
5. Amount of increment Rs.405 rounded off to Rs.410
6. Pay in the pay band after increment Rs.9300 + 410
7. Pay after incrementRs.9710
8. Grade pay applicableRs.4200

New Scale Chart :

Dear Friends here are latest news.. but still wait for final approval.As per Rashtriya Sahara Magazine Committee Secretaries recommended the partial modification of Pay Commission report but the other contents such as formula for Pay Band, Grade Pay, HRA, TPT, remain unchanged. Committee created only two modification as (a) the total number of Grades reduced to 15 spread across 10 distinct running pay band (b) Annual Increment for all group to be paid in form of four percent of the total pay in the pay band and the corresponding grade pay. The revised rates of Six Pay Commission would be effective from 1st July 2007. For Military/Para Military/Security Services, Committee recommended 15 percent special Pay.

Existing Pay Scale Proposed by COS Total Pay
S-1 2550-55-2660-60-3200 PB-1 5500-16500 2500 8000
S-2 2610-60-3150-65-3540 PB-1 5500-16500 2500 8000
S-2A 2610-3300-70-4000 PB-1 5500-16500 2500 8000
S-3 2650-65-3300-70-4000 PB-1 5500-16500 2500 8000
S-4 2750-70-3800-75-4400 PB-1 5500-16500 2500 8000
S-5 3050-75-3950-80-4590 PB-2 6500-19500 3000 9500
S-6 3200-85-4900 PB-2 6500-19500 3250 9750
S-7 4000-100-6000 PB-3 7500-22500 4000 11500
S-8 4500-125-7000 PB-3 7500-22500 4000 11500
S-9 5000-150-8000 PB-4 9500-28500 6000 15500
S-10 5500-175-9000 PB-4 9500-28500 6000 15500
S-11 6500-200-6900 PB-5 9500-28500 6000 15500
S-12 6500-200-10500 PB-5 9500-28500 6000 15500
S-13 7450-225-11500 PB-5 10500-32500 6000 6500
S-14 7500-250-12000 PB-5 10500-32500 6000 16500
S-15 8000-275-13500 PB-6 15000-45000 7000 22000
S-16 9000 PB-6 15000-45000 7000 22000
S-17 9000-275-9550 PB-6 15000-45000 7000 22000
S-18 10325-325-10975 PB-7 16000-48000 8000 24000
S-19 10000-325-15200 PB-7 16000-48000 8000 24000
S-20 10650-325-15050 PB-7 16000-48000 8000 24000
S-21 12000-375-16500 PB-8 17000-51000 9000 26000
S-22 12250-375-16500 PB-8 17000-51000 9000 26000
S-23 14000-375-18000 PB-8 17000-51000 9000 26000
S-24 14300-400-18300 PB-9 18000-54000 10000 28000
S-25 15100-400-18300 PB-9 18000-54000 10000 28000
S-26 16400-450-20000 PB-9 18000-54000 11000 29000
S-27 16400-450-20900 PB-9 18000-54000 11000 29000
S-28 14300-450-22400 PB-10 40000-60000 12000 52000
S-29 18400-500-22400 PB-10 40000-60000 12000 52000
S-30 22400-525-24500 PB-10 40000-60000 13000 53000
S-31 22400-600-26000 PB-10 40000-60000 15000 55000
S-32 24050-650-26000 PB-10 40000-60000 18000 58000
S-33 26000 80000S-34 30000 90000
By SKumar.

Fixation :
Hi All,
It seems people have misconception about the fitment benefit... blogger himself seems confused about the same.In article 1.2.3 CPC describes the Fitment Benefit as under -Fitment benefit 1.2.3 The efforts of the Commission have been to devise asuitable pay package which will not only provide enoughincentive to retain the brightest officers but also attract the bestto join it in future. The quantum of fitment has been decided,accordingly. At the time of Fifth Central Pay Commission,fitment of 20% of the pre-revised basic pay was recommended.This was subsequently raised by the Government to 40%. TheCommission is recommending a new structure of running paybands and grade pay. In the structure, grade pay has beennormally taken at 40% of the maximum of the pre-revised payscale. Grade pay is, therefore, in the nature of fitment benefit.The pay in the running pay band, as on 1/1/2006, has beencomputed by adding the basic pay and dearness allowance atthe rate of 74% that would have been payable on the existingFifth CPC pay scales w.e.f. 1/1/2006 had merger of dearnessallowance equal to 50% of the basic pay not been allowed from1/4/2004.At another place again CPC says -Rates of grade pay have been generallycomputed at the rate of forty percent of the maximum of thecorresponding pre-revised pay scale which is rounded off to thenext multiple of hundred.As per blogger if we are going to get multiplier of 1.86 then The fitment had to be (Basic + DP)*24%.Which is incorrect as CPC clearly mentioned that fitment benefit is being computed at the rate of 40% of the maximum of thecorresponding pre-revised pay scale which is rounded off to thenext multiple of hundred. So in no case it can be (Basic + DP)*24%.It seems blogger has not read the important parts of the report.Another thing which is not clear is regarding DA, CPC clearly mentions in article 4.1.18 as follows -4.1.18 The corollary to this merger should necessarily have beena revision in the existing reference base of price index of 306.33.The new reference base, therefore, should have been the 12monthly average index when the index increased by 50 percent.The reference base index would have, therefore, been higher than306.33, given the uptrend in price levels, which would translate toa lower DA rate compared to the extant rates. Logically, therefore,conversion of dearness allowance as dearness pay shouldinvariably be accompanied with simultaneous revision of thebase index. This conversion, however, is not necessary in therevised structure being recommended where increments arepayable as a percentage of the pay in the pay band and grade paythereon and provision has been made for all allowances/benefitsto be revised periodically linked to the increase in the priceindex. The Commission is, therefore, not recommending mergerof dearness allowance with basic pay at any stage.Then how the recommended calculators using da rates which are to be computed and declared accordingly?I think everybody is just guessing the things.So please please please.... don't play with feelings or emotions of the Govt employees and please dont try to create hypes among all of them.Before writing any thing on such blogs, Please, first, make sure its correct to the extents of the information. Because whatever you are writing is going to be read by millions of people all over the world.
Thanks.
SKumar.

Saturday, August 16, 2008

Pay Bands Approved By Cabinet

Revised pay bands approved by cabinet
Please find the revised pay bands approved by cabinet on 14 August.
  • PB-1 = 5200 - 20200 ( enhanced from 4860 - 20200)
  • PB-2 = 9300 - 34800 ( enhanced from 8700 - 34800)
  • PB-3 = 15600 - 39100 ( no change)
  • PB-4 = 37400 - 67000 ( reduced from 39200 - 67000)
  • New scale for DGP, CBDT members and GM railways = 75500 - 80000
  • Secretary = 80000 ( no change)
  • Cabinet secretary , army, air, navy chiefs = 90000 ( no change)
  • A 20 % raise over the pay bands suggested by the Commission
  • Uniform 3% raise in basic pay every year. The norm is a Rs 500-increase annually within grade scale
  • New wages to be effective from January 2006
  • No Cabinet Secretary rank for Intelligence Bureau chief, the three Service chiefs or the Chairman, Railway Board
  • Group D personnel to stay (peons in ministries and porters in Railways)
  • Military service pay for persons below the officer rank (POBR) would be Rs 2,000 per month
  • Significant hike in salaries of Brigadiers: they move to Pay Band 4 (Rs 39,200-67,000) from the suggested Pay Band 3 (Rs 15,600-39,100)
  • DIG-scale abolished in IPS and Indian Forest Service

A wage hike higher than those recommended by the Sixth Pay Commission, marginal increase in annual increments and the payment of arrears in cash are some of the sweeteners incorporated in the proposal for Thursday's Cabinet meeting after Prime Minister Manmohan Singh's intervention.
The new pay package for the 55 lakh Central government employees, to be announced on August 15, proposes a 20 per cent raise over the pay bands suggested by the Commission. The panel in May suggested a gross 40 per cent hike, which means an effective 25 per cent after taxes. "The net jump in pay would be upwards of 30 per cent with the additional increase more for lower grade staff to narrow their difference with the (pay of) senior officials," said sources.
This raise takes into account the Commission's miscalculation of the dearness allowance - absorbed in the new basic pay—as 74 per cent whereas it should have been 83 per cent, they said. The proposed annual increment in the basic pay would also be a tad higher than the 2.5 per cent suggested by the Commission.
The Cabinet proposal talks of a uniform 3 per cent raise every year. The current norm is a Rs 500-increase in the basic pay annually within the grade scale.
But what would be music to the bureaucrats' ears is that the PM has shot down Finance Minister P Chidambaram's suggestion that the new wage be effective from January 2007 instead of January 2006 because of the heavy run on this year's Budget. Chidambaram had also wanted that the past dues be parked in the General Provident Fund to be provided as pension after retirement of the employees so that this year's outgo from the Budget would be limited to Rs 12,500 crore.
But the PM would have none of that. He has ensured that the new pay would be effective from January 2006, as recommended by the Commission, with 40 per cent of the arrears paid in the current fiscal and the remaining 60 per cent next year.
The actual pay-out would come in November after the monsoon session of Parliament in September passes the Finance Ministry's supplementary Demand For Grant to fund the wage bill, said sources.
What has also been shot down, though by the Committee of Secretaries, is the inclusion of heads of other services in the rank of Cabinet Secretary. The CS will remain primus inter pares, the first among equals, and that position would not be granted to the head of Intelligence Bureau, the three service chiefs or the Chairman Railway Board—as had been demanded.
There would also be no scrapping of Group D personnel (peons in ministries and coolies in Indian Railways). The Commission had suggested that these posts be subsumed in Group C of clerks, fresh induction be stopped and jobs be outsourced.
As for the armed forces, the good news is that military service pay for persons below the officer rank (POBR) would be Rs 2,000 per month. The forces had demanded Rs 3,000 as against Rs 1,000 introduced by the commission.
There would also be a significant improvement in the salaries of Brigadiers as the government has agreed to put them in Pay Band 4 (Rs 39,200-67,000) as against the suggested pay band 3 (Rs 15,600 - 39,100).
For the Indian Police Service and Indian Forest Service, relief would come in the form of abolition of the Deputy Inspector General scale. There would also be no discrimination between Group B and Group A service officers in the form of a differential basic pay at the time of joining, as suggested by the Commission. They would both start at the same scale, as is prevalent now, said sources.

Friday, August 15, 2008

6th CPC

Sixth Central Pay Commission Modified Report

  1. Minimum basic Salary - Rs. 7000
  2. Education Allowances for employees for upto two children - Rs. 1,000 (Earlier, it was Rs. 100)
  3. Maximum Basic Salary - Rs. 90,000 (Cabinet Secretary)
  4. National Holidays - 3
  5. Gazette Holidays to be canceled
  6. Pay hike will be implemented from January 01, 2006
  7. Maternity Leave : 6 Months
  8. HRA in A-1 Cities - 30% (Unchanged)
    HRA in A, B, B-1 Cities - 20%
  9. Incentive Schemes to be announced
  10. New Medical Insurance Scheme to be launched for government employees
  11. Market-driven pay for scientists and all other jobs that require professional skill set.
  12. Total number of salary grades to be reduced from 35 to 20.
  13. The wage hike would increase the financial implication for the Centre by Rs 17,798 crore annually and the arrears with effect from January 2006 would cost Rs 29,373 crore, Information and Broadcasting Minister P R Dasmunsi told reporters after the Cabinet meeting.
  14. The government increased the minimum entry level salary of a government employee to Rs 7,000 against Rs 6,660 recommended by the Commission headed by Justice B N Srikrishna who submitted the report in March this year.
  15. Consequently, it would push up the total emoluments of an employee at the lowest level beyond Rs 10,000 per month including allowances.
  16. It also increased the rate of annual increment from 2.5 per cent to 3 per cent.
  17. In the defence sector, it approved at least three assured promotions for all defence forces personnel and civilian employees under the modified Assured Career Progression scheme.
  18. While civilians would get this after 10, 20 and 30 years of service, defence forces jawans would be promoted under ACP after 8, 16 and 24 years.
  19. The hiked salary would be given to the employees beginning September this year and the arrears from January 2006 would be given in cash in two installments - 40 per cent this fiscal and 60 per cent in 2009-10.
  20. The financial implication of Pay Commission on the General Budget would be Rs 15,717 crore and Rs 6414 crore on Railway Budget in 2008-09.
  21. The government’s present salary bill is over Rs 70,000 crore and the pension bill is over Rs 30,000 crore.
  22. Finance Minister P Chidambaram said the budget deficit target would be adhered to, despite the implementation of the Pay Commission recommendations.
  23. The government for the first time approved Military Service Pay for armed forces personnel, under which officers would get Rs 6,000 over and above their pay per month.
  24. The lowest limit of disability pension for defence personnel would be doubled to Rs 3100 a month.
  25. No Cabinet Secretary rank for Intelligence Bureau chief, the three Service chiefs or the Chairman, Railway Board
  26. Group D personnel to stay (peons in ministries and porters in Railways)
  27. Military service pay for persons below the officer rank (POBR) would be Rs 2,000 per month
  28. Significant hike in salaries of Brigadiers: they move to Pay Band 4 (Rs 39,200-67,000) from the suggested Pay Band 3 (Rs 15,600-39,100)
  29. DIG-scale abolished in IPS and Indian Forest Service
  30. The salaries of Brigadiers will be in Pay Band 4 (Rs 39,200-67,000) as against the suggested pay band 3 (Rs 15,600 - 39,100) previously.