Orders issued for grant of One time increment in the pre-revised Pay Scale

The much awaited order for grant of one increment in the pre-revised pay scale for those who were due for their annual increment between February to June during 2006 has been issued by Finance Ministry today.

The Office Memorandum No: 10/02/2011-E.III/A dated 19.03.2012 issued in this regard by Finance Ministry says that in relaxation of stipulation under  Rule 10 of CCS (Revised Pay) Rules, 2008, those central government employees who were due to get their  annual increment between February to June during 2006 may be granted one increment  on 1.1 .2006 in the pre-revised pay scale as a one time measure and there after will get  the next increment in the revised pay structure on 1.7.2006 as per Rule 10 of CCS(RP) Rules, 2008.  The order also says that the pay of the eligible employees may be re-fixed accordingly.

The following is the full text of the Office Memorandum No.10/02/2011-E.III/A dated 19.03.2012

No.10/02/2011-E.III/A

Government of India

Ministry of Finance

Department of Expenditure

New Delhi, the 19th March, 2012

OFFICE MEMORANDUM

Subject:— Central Civil Services (Revised Pay) Rules, 2008 — Date of next increment in the revised pay structure under Rule 10 of the CCS(RP) Rules, 2008.

In accordance with the provisions contained in Rule 10 of the CCS (RP) Rules,  2008, there will be a uniform date of annual increment, viz. 1st July of every year. Employees completing 6 months and above in the revised pay structure as on 1st of July  will be eligible to be granted the increment. The first increment after fixation of pay on  1.1.2006 in the revised pay structure will be granted on 1.7.2006 for those employees for whom the date of next increment was between 1st July, 2006 to 1st January, 2007.

 2. The Staff Side has represented on this issue and has requested that those employees who were due to get their annual increment between February to June  during 2006 may be granted one increment on 01.01.2006 in the pre-revised scale.

3. On further consideration and in exercise of the powers available under CCS(RP) Rules, 2008, the President is pleased to decide that in relaxation of stipulation under  Rule 10 of these Rules, those central government employees who were due to get their  annual increment between February to June during 2006 may be granted one increment  on 1.1 .2006 in the pre-revised pay scale as a one time measure and there after will get  the next increment in the revised pay structure on 1.7.2006 as per Rule 10 of CCS(RP) Rules, 2008. The pay of the eligible employees may be re-fixed accordingly.

4, In so far as the persons serving in the Indian Audit and Account Department are concerned, these orders are issued in consultation with the Comptroller & Auditor General of India.

sd/-

(Renu Jani)

Director

Increment issue The order for Granting one increment to the Central Government Employees may be issued very soon…

The order for Granting one increment to the Central Government Employees may be issued in the first week of March 2012
Sources close to the DOP&T informed that the issue of granting one increment to the government servants, whose increment date falls between February 2006 and June 2006, has been forwarded to Finance Ministry for its approval. According to the sources, the Finance Ministry gave its approval to this proposal as agreed by the Government in the National Anomaly Committee.

The Federations representing National Anomaly Committee approached the Government to issue the order very soon, since the decision of granting one increment to the govt servants was taken in the National Anomaly Committee on 5th January 2012. It is believed that the federations were informed that due to the ongoing Elections for state assemblies in some states, issuing order is delayed. As per the Election Schedule the elections for state assemblies for 5 States are commenced on 28-1-2012, and the 6th phase of U.P and Goa State assembly elections will be completed by 03-03-2012. So, keeping in view of the above, we can expect that the order for Granting one increment to the Central Government Employees may be issued in the first week of March 2012.

According to the decision which is agreed by government in National Anomaly Committee, the govt servants will be granted one increment in the pre revised 5 CPC scale on 01-01-2006, and then it will be multiplied by 1.86 and the pay in the Pay Band in the 6 CPC will be fixed accordingly.

Source: gservants.com

Arrear amount for the loss of one increment, whose DNI falls between Feb-Jun before 6th CPC

Arrear amount for the loss of one increment, whose DNI falls between Feb-Jun before 6th CPC

The approximate arrear amount calculation has been made for the loss of one increment in pre-revised scale, for those date of increment falls between Feb-Jun. The table express the total amount of arrear from 1.1.2006 according to the increment amount.

This is the general calculation for all Central Government employees, not included the Overtime, Incentive and other benefits.

Increment HRA
- 10% 20% 30%

75-(3050 – 4590)

16,000

17,000

18,000

100-(4000 – 6000)

20,000

22,000

24,000

125-(4500 – 7000)

26,000

28,000

30,000

150-(5000 – 8000)

31,000

33,000

36,000

175-(5500 – 9000)

36,000

40,000

42,000

200-(6000 – 9500)

42,000

45,000

48,000

Courtesy: CGServants.in

Non-Productivity Linked Bonus (ad-hoc bonus) to Central Government Employees for the year 2010-11

Finance Ministry has published an Office Memorandum(No.7/24/2007/E.III(A) dated 13th September, 2011) in its website regarding that grant of Non-Productivity Linked Bonus (ad-hoc bonus) to Central Government Employees for the year 2010-11. Non-PLB for the year 2010-11 granted equivalent to 30 days emoluments to the Group ‘C’ and ‘D’ and all non-gazetted employees in Group ‘B’.
The calculation ceiling of Rs.3500 will remain unchanged.
The benefit will be admissible subject to the following terms and conditions as follows…
Only those employees who were in service on 31.3.2011 and have rendered at least six months of continuous service during the year 2010-11.
To calculate bonus for one day, the average emoluments in a year will be divided by 30.4 (average number of days in a month). This will thereafter be multiplied by the number of days of bonus granted. For example, Non-PLB for thirty days would work out to Rs.3500 x 30 / 30.4 = Rs.3453.95 (rounded off to Rs.3454).
The casual labour who have worked in offices following a 6 days week for at lest 240 days for each year for 3 years or more (in case of 5 days in a week, 206 days in each year for 3 years or more).
To calculate the bonus for casual labour will be Rs.1200 x 30 / 30.4 = Rs.1184.21 (rounded off to Rs.1184).
All payments will be rounded off to the nearest rupee.

CLICK HERE TO DOWN LOAD THE OM:
http://finmin.nic.in/the_ministry/dept_expenditure/notification/bonus/bonus2011.pdf)

No proposal for raising retirement age : Minister.

Various discussions and guess work regarding raising of retirement age of Government employees are put to rest, at least for the time being.

The Central Government clarified that there is no proposal to extend the retirement age of Central Government Employees. In Rajya Sabha, the Minister of State for Finance Mr. Namo Narain Meena told that the total number of Central Government Employees as on March, 2010 was 32.24 Lakh and “at present we have no idea to increase the retirement age of Central Government Employees from 60 to 62”.

Pay commission gains may not come from back date

The windfall government employees receive by way of pay commission award arrears may no longer be forthcoming. The government is examining a proposal to implement pay commission awards prospectively on the lines of finance commission awards, as large arrears throw the finances of both the Centre and states in disarray.

It is reported that the Government is considering the suggestions of 13th Finance Commission to avoid payment of arrears arising out of retrospective implementation of Pay Commission in the future . It is also reported that final call on the issue would be taken when the next pay commission is constituted. Pay commissions are usually set up at intervals of 10 years. The Sixth Pay Commission, the most recent, gave its recommendations in March 2008. It had proposed pay raises between 20% and 40% for government employees.

The finance ministry had told a parliamentary panel last week that the issue should be deliberated upon as retrospective implementation of pay commission awards has had adverse impact on the finances of the Centre as well as the states, a government official privy to the meeting said. Many state governments had expressed concerns over the issue of arrears. States set up pay commissions for their own employees after the pay commission for the central government employees submits its report.

“While many reforms can and should be contemplated to end this self-inflicted distortion, one action that could be taken immediately is that of making the pay award commence from the date on which the recommendations of future pay commissions are accepted by the government,” the 13th FinanceCommission had said in its report.

The burden of arrears on the central government from the Sixth Pay Commission award was Rs 28,160 crore on a salary base of Rs 44,360 crore. This was because the recommendations of the panel announced in 2008 were implemented retrospectively from January 1, 2006.

To save itself from a larger fiscal trouble, the Centre disbursed the arrears in two installments: 40% in 2008-09 and 60% in 2009-10. The arrears contributed significantly to the Centre overshooting its target in 2008-09, ending the year with a fiscal deficit of 6% of the gross domestic product (GDP) against the budgeted 2.5%. The fiscal deficit rose to 6.4% of GDP in 2009-10 as pay commission arrears pushed up the expenditure when the government was battling slowdown in revenues.

The Centre had to readjust its fissense but can work only if pay commission reports come well in time for implementation prospectively,” said D K Srivastava, director, Madras School of Economics. Unlike the private sector, the government does not give annual salary hikes to itsemployees . Instead, it gives out dearness allowance twice a year to compensate for the rise in prices. The periodic pay commissions help adjust government salaries to market benchmarks. Most experts find the system flawed, as the performance benchmarks are not included in the salary revisions. The Sixth PayCommission had recommended a performance related pay for government employees.

It has budgeted a fiscal deficit of 4.6% of GDP for 2011-12, which is projected to drop to 3.5% in 2013-14. The finance commission had said if the Centre implemented pay awards prospectively, it would give state governments an opportunity to time their awards in a way that the need for arrears does not arise.

“If finance commissions are able to present their inter-governmental recommendations without any need for retrospective fiscal transactions, then the same should be possible in the case of paycommission as well,” the commission had reasoned in its report.

Source: The Economic Times

Govt allows PB-3 5400 to Senior Group B officers

This is how this issue could be explained – The matter which is apparent from the straight interpretation of CCS (Revised Pay) Rules, 2008 has at last been settled after almost 3 years on account of wrong interpretation at PAO and field level.

After a great struggle by certain individual officers in an attempt to make the administration to interpret the pay rules in a correct manner, which also include a legal battle before CAT, Ministry of Finance, Department of Revenue, Central board of Excise and Customs has finally accepted theofficers plea and decided to allow Grade Pay of 5400 in PB-3 for the Group B Officers (Superintendents of Customs, Superintendent of Central Excise and Appraisers) who were fixed with pre-revised Scale of pay of 8000- 275-13500 as financial upgradation in the promotional hierarchy under ACP Scheme on or before 31.08.2008

This decision has been communicated in the letter F.No: A.23011/29/2010-Ad-IIA dated 20.05.2011

The decision of CBEC in this matter is reproduced below:

I am directed to say that the board is in receipt of various reference from the cadre controlling chief Commissioners/Directors General seeking clarification on grant of grade pay of Rs.5400 in PB-2 or PB-3 on financial upgradation under ACP Scheme. Some individual officers have also approached Court of law for the redressal of their perceived Grievances in this regard

2. The matter has been examined in the board in consultation with the Department of Expenditure/Department of Personnel and Training. Prior to introduction of MACP Scheme, the benefits of 1st /2nd financial up-gradation under The ACP Scheme of August 1999, used to be granted in the promotional hierarchy. The ACP Scheme came into operation w.e.f 9.8.1999. The eligibleofficers were being allowed the benefits of ACPS w.e.f 9.8.99 or completion of 12 and 24 years of regular service. The Benefits of ACP Scheme of August 1999 had been allowed till 31.08.2008. However, as per the recommendations of 6th CPC, three financial up-gradations have been allowed under MACPS w.e.f 1.9.2008 or on completion of 10,20 and 30 years of continuous regular service. The upgradation is granted in the immediate next higher grade pay as prescribed in the CCS (RP) Rules, 2008. If an officer gets promotion in the normal course during the relevant period that would be taken into account while determining his eligibility for grant of MACP at a particular stage i.e 1st,2nd, 3rd.

3. The new pay structure on the recommendations 6th CPC has been made effective w.e.f 1.1.2006 vide department of expenditure’s notification dated 29.08.2008. the benefits of financial upgradation in the promotional hierarchy under the ACPS had however,been allowed in the revised pay structure during the period between 01.01.2006and 31.08.2008 in terms ofclarification given on point of doubt No:3 of Annexure of DOPT’s Om dated 9.9.2010.

4. Further, the benefits of ACPS of August 1999 had been allowed till 31.08.2008 and only functional promotion(s) is/are counted for the purpose of scheme. Besides, there is no provisions for counting ‘Non-functional scale’ for the purpose of ACP scheme.

5. In view of above facts and circumstances, there would be no effect on grant of ‘Non-functional Scale’ in PB-2 with grade pay of Rs.5400 during the period between 1.1.2006 to 31.08.2008, as the same is not counted under ACPS and it would not be offset against financial upgradation under scheme. However, in terms of para 8.1 of Annexure of MACPS financial up-gradation granted in the grade pay of Rs.5400 in PB-2 and PB-3 would be counted separate up-gradation and would be offset against financial upgradation under the scheme.

6. The Hon’ble CAT, Madras Bench vide its judgment and order passed on 9.3.2011 in Bunch of O.As No: 821,930 931 and 1098 of 2010 filed by Shri.S.Ramachandran, Superintendent of Central Excise (Retd) and Others Vs UOI and others has inter-alia held that the applicants are entitled to have the pay scale of Pay Band 3 i.e Rs.15600-39100 with Grade pay of Rs.5400 as the replacement pay scale to the pre-revised scale of Rs.8000-275-13500 which was granted to them as financial upgradation under the ACP Scheme. i.e the scale of pay of the post in the promotional hierarchy.

7. In view of the facts and circumstances explained above, it is hereby clarified that the officers working in the offices under the Central Board of Excise and Customs (CBEC) who have been granted the pre-revised scale of pay of Rs. 8000-275-13500 as financial upgradation in the promotional hierarchy under the ACP Scheme on or before 31.08.2008, may be granted the pay scale in Pay Band 3 i.e Rs.15,600-39100 with grade pay of Rs.5400 as per the 6th CPC replacement pay.

Download letter F.No: A.23011/29/2010-Ad-IIA dated 20.05.2011 of CBEC, Department of Revenue, Ministry of Finance

Thanks: gconnect