KAVALIPOST

Sunday 29 November 2015

Government has decided to give pension payment order (PPO) and all other retirement benefits on the day of retirement

 The government has decided to give pension payment order (PPO) and all other retirement benefits on the day of retirement to all 50000 central government employees retiring every year, Union minister Jitendra Singh said on Thursday.
 
“The goal is to ensure 100 per cent payment of all retirement benefits and the delivery of pension payment order (PPO) to retiring employees on the day of retirement itself,” The Minister of State for Personnel, Public Grievances and Pensions Jitendra Singh said at the inauguration of a workshop on ‘Bhavishya ’, an online pension sanction and payment tracking system for central government retirees.

“Last year of a retiring employee is spent in preparation of pension payment order (PPO) and collecting no-dues certificates as he fears no one will let him in after he retires. The reputation of a retiring government servants becomes such that he is preparing to get his pension on time. This is just not done,” Singh said

“Our experience shows pension payments are considerably delayed. Retirees need a dignified exit from service and can’t be expected to run around for their pension payment order (PPO) and all retirement benefits or make requests to someone for it,” said an official on this occasion.

Bhavishya involves preparation of advance list of employees retiring in the next 12 months and sending each such employee a login and password for ‘ Bhavishya ‘ portal eight months before the date of his retirement on his mobile phone and e-mail ID.

The employee fills up his details on the portal and based on that information, pension forms are auto-generated by the software and submitted for processing. The system then sends SMS and e-mail alerts to the employee, his head of department and disbur...

The Minister said apart from ensuring timely disbursal of pension, the Department is also holding pre-retirement counselling for employees and considering various options on how best to utilize the experience of retired personnel who can contribute a lot to the government and society as they are energetic and resourceful for long beyond 60 years of age.

Source :http:// tkbsen.in
 
 

Friday 27 November 2015

DECEMBER 1st & 2nd , 2015 STRIKE DEFERRED

SECRETARY GENERAL AND ALL GENERAL SECRETARIES OF NFPE & AIPEU GDS (NFPE) WILL SIT ON TWO DAYS HUNGER FAST INFRONT OF DAK BHAWAN, NEW DELHI ON 1st & 2nd DECEMBER 2015.
ONE DAY MASS HUNGER FAST IN FRONT OF ALL CPMG / PMG & DIVISIONAL OFFICES ON 11th DECEMBER 2015.
TO EXPRESS OUR ANGER, RESENTMENT AND STRONG PROTEST AGAINST THE REJECTION OF THE LEGITIMATE DEMANDS OF THREE LAKHS GRAMIN DAK SEVAKS BY THE NDA GOVT.
The Federal Secretariat of NFPE held at NFPE Office, New Delhi on 26-11-2015, reviewed the whole situation prevailing among the postal employees in general and the Gramin Dak Sevaks (GDS) in particular after the submission of the 7th Central Pay Commission Report to the Govt and also after the appointment of a separate committee for GDS by the Govt, headed by a retired Postal Board Member as Chairman.
The Federal Secretariat  further reviewed the proposed two days strike call given by NFPE and AIPEU GDS (NFPE) for realization of the legitimate demands of the Gramin Dak Sevaks, which  include bringing the GDS also under the purview of 7th CPC treating them as Civil Servants.
The main demand of NFPE and AIPEU GDS (NFPE) in the charter of demands submitted to Govt and Postal Board is “inclusion of GDS under the purview of 7th CPC”. NFPE organized series of agitational programmes for the GDS demands including dharnas, hunger fast, GDS Parliament March, Parliament March under the banner of Postal JCA (NFPE & FNPO), one day strike on 12th December 2012 and 48 hours strike on 12th & 13th February 2014. Due to our agitational programmes the Postal Board was compelled to submit the proposal for inclusion of GDS under 7th CPC to Finance Ministry with favourable recommendations. But the Finance Ministry rejected the proposal three times and it is in this background NFPE & AIPEU GDS (NFPE) decided to go for two days strike on December 1st & 2nd demanding the Govt to include GDS under the 7th Pay Commission.
Even though the Govt refused to include the GDS under the 7th CPC, the 7th CPC has suo moto examined the main demand of the GDS ie., treating them as Civil Servants and extending them all the benefits of the departmental employees, ofcourse proportionately. It is most unfortunate that the Pay Commission headed by a retired Supreme Court Justice as Chairman, has considered our demand and categorically stated that Gramin Dak Sevaks are holders of Civil Posts but outside the regular civil service and hence can not be treated at par with other civilian employees. After this observation of the Seventh CPC even if the GDS are included in the 7th CPC they are not going to get a fair deal. This has compelled us to modify the demand placed by us before the Govt in the charter of demands.
NFPE, from the very beginning has opposed the appointment of an Officer Committee for GDS and NFPE & AIPEU GDS (NFPE) has tried their best to prevent appointment of an Officer Committee and compelled the department to make effort for inclusion of GDS under 7th CPC itself. But now NDA Govt rejected our demand and has unilaterally appointed GDS Committee with a retired Postal Board Member as Chairman and cheated three lakh GDS employees. From our past experiences we know that the retired officers of the Postal Department will never do justice to the Gramin Dak Sevaks.
In view of the fact that 7th CPC has rejected our demand for Civil Servant status and also the Govt has unilaterally imposed the officer committee on GDS, the Federal Secretariat felt that it is not appropriate to go for an immediate strike with the demands raised by us in the charter of demands, i.e., inclusion of GDS under 7th CPC. Now GDS can get justice only if NDA Govt take a policy decision to regularize the services of GDS treating them as Civil Servants. Federal Secretariat is fully aware that we can not expect such a decision without the change in the policy of the Government towards GDS. To make a change in the policy decision of the Govt., a bigger mobilization and strike of all postal employees including GDS with the active support and solidarity of other central Govt employees under the banner of Confederation of Central Govt Employees and workers and also the JCM National Council Staffside organizations is required.
The Federal Secretariat decided to explore all possibilities and wider consultations for such a united struggle. The Federal Secretariat felt that to pave way for wider consultations, the independent strike call of NFPE & AIPEU GDS (NFPE) need to be deferred and all likeminded organizations are to be brought under a common platform. Accordingly Federal Secretariat unanimously decided to defer the proposed two days strike scheduled to be held on 1st & 2nd December 2015.
The Secretary General and all General Secretaries of NFPE shall sit on two days hunger fast in front of Dak Bhawan, New Delhi on 1st & 2nd December 2015 expressing our strong protest to the Govt and also demanding regularization of Gramin Dak Sevaks by granting them civil servant status with all consequential benefits of regular employees.
The Federal Secretariat, while saluting the grass root level workers for their intensive campaign and preparation for the strike, calls upon them to organize one day hunger fast infront of all CPMG / PMG and Divisional Offices throughout the country on 11th December 2015 to ventilate our anger, resentment and strong protest against the callous and inhuman attitude of the NDA Govt towards three lakh Gramin Dak Sevaks who are the backbone of the Postal Department catering to the needs of the rural population of this country in postal sector.
Federal Executive of NFPE will meet shortly  to review the situation and shall decide future course of action.

=R.N.PARASHAR
SECRETARY GENERAL
 

7TH PAY COMMISSION ON PENSION, PAY AND MUCH ELSE

7th Pay Commission on pension, pay and much else: All you wanted to know about the top 4 disagreements between panel members

7th Pay Commission on pension, pay, allowancesand more has made many far reaching recommendations that will go a long way in making government servants some of the best paid employees in India. While the pay hike on an average is 23.55 per cent, government, last time round, had hiked the amount in excess of what the pay panel had asked for. Whether that will happen this time is still anyone’s guess. Justice A K Mathur was the Chairman of the Seventh Pay Commission. While there was mostly unanimity in the 7th Pay Commission, there were many disagreements too that split the panel straight down the middle. Here is all you wanted to know in 4 short points:
1. 7th Pay Commission – The Edge: An edge (read: superiority in service) is presently accorded to the Indian Administrative Service (IAS) and the Indian Foreign Service (IFS) at three promotion stages from Senior Time Scale (STS), to the Junior Administrative Grade (JAG) and the NFSG. is recommended by the Chairman, to be extended to the Indian Police Service (IPS) and Indian Forest Service (IFoS).
Vivek Rae, Member is of the view that financial edge is justified only for the IAS and IFS. Dr. Rathin Roy, Member is of the view that the financial edge accorded to the IAS and IFS should be removed.
2. 7th Pay Commission – Empanelment: The Chairman and Dr. Rathin Roy, Member, recommend that All India Service officers and Central Services Group A officers who have completed 17 years of service should be eligible for empanelment under the Central Staffing Scheme and there should not be “two year edge”, vis-a-vis the IAS. Vivek Rae, Member, has not agreed with this view and has recommended review of the Central Staffing Scheme guidelines.
3. 7th Pay Commission – Non Functional Upgradation for Organised Group ‘A’ Services: The Chairman is of the view that NFU availed by all the organised Group ‘A’ Services should be allowed to continue and be extended to all officers in the CAPFs, Indian Coast Guard and the Defence forces. NFU should henceforth be based on the respective residency periods in the preceding substantive grade. Vivek Rae, Member and Dr. Rathin Roy, Member, have favoured abolition of NFU at SAG and HAG level.

4. 7th Pay Commission – Superannuation: Chairman and Dr. Rathin Roy, Member, recommend the age of superannuation for all CAPF personnel should be 60 years uniformly. Vivek Rae, Member, has not agreed with this recommendation and has endorsed the stand of the Ministry of Home Affairs.

Check out break 7th Pay Commission report break-up:


2016-17 (Without VII CPC)2016-17 (With VII CPC)Financial ImpactPercentage Increase
1. Pay2443002834003910016
2. Allowances



HRA124002960017200138.71
TPTA9900990000
Other Allowances24300364001210049.79
3. Pension1426001763003370023.63
TOTAL:43350053560010210023.55
All figures in Rs lakh except for percentage increase
SOURCE - financial express
 

Why we must not grudge them a pay hike - Article by the Professor, Indian Institute of Management, Ahmedabad - published in 'the Hindu' dt.24.11.2015

In the heyday of Indian socialism, the perception of government was benign. In today’s climate of liberalisation, the government is viewed with hostility. That must explain the negative reaction both in the media and amongst the public at large to the increases in pay for Central government employees recommended by the Seventh Pay Commission (SPC).
The pay hikes are modest — embarrassingly so in comparison with pay increases and bonuses in the private sector. Yet, media reports talk of a ‘bonanza for babus’. The impact on the fiscal can be easily digested by the Indian economy. Yet, analysts warn of slippages in the fiscal deficit, a possible boost to inflation, and a setback to public investment. Do we want to run the government — which comprises not just civil servants but the police, armed forces, nurses, doctors, regulators and academics — at all? Or have we persuaded ourselves that all of the government is simply money down the drain?

Setting pay in government

The SPC’s figures don’t come out of nowhere. The Commission has a rigorous basis for setting pay in government. It arrives at a figure for minimum pay in government with reference to norms laid down by the 15th Indian Labour Conference (ILC) in 1957. The ILC had said that the minimum wage should cover the basic needs of a worker and his family, that is, a spouse, and two children who are below the age of 14. The SPC has spelt out the norms it has used for determining basic needs. It has gone by food requirements specified by a well-known nutritionist. To this are added provisions for clothing, fuel and lighting, education, recreation, festivities, medical expenses, and housing. There is an addition of 25 per cent to the total of the above to provide for the skill factor (the basic needs having been determined for an unskilled person). The SPC report provides detailed computations for each of these items. No reasonable person can accuse the SPC of being overgenerous.
Based on these norms, the SPC arrives at a minimum wage of Rs. 18,000 for a government employee. This is 2.57 times the minimum pay in the Sixth Pay Commission. The increase over the projected pay on the current basis as of January 1, 2016 is 14.3 per cent. This is the second lowest increase recommended by any Pay Commission since the first one, and it is way below the 54 per cent increase following the last one. The multiplication factor of 2.57 is used to arrive at pay for all levels of government except for a few at the top where a slightly higher multiple is used.
As before, pay at the lower levels of government is higher than in the private sector; at the top, the position is reversed. In today’s context, this may not be a bad thing at all. Pay in the private sector today is contributing towards massive inequalities in Indian society. Having a very different structure in government is a useful corrective to trends in the private sector. It will help contain tensions created by rising inequality.
Good news
So far as the impact on government finances is concerned, the SPC numbers provide a stream of good news. First, the impact of the pay hike on the Central government (including the railways) will amount to 0.65 per cent of GDP. This is less than the impact of 0.77 per cent of GDP on account of the Sixth Pay Commission.
Second, the impact on the Central government (excluding Railways), which is what matters when it comes to the Union budget, is 0.46 per cent of GDPAs some of the increase in salary comes back to the government as taxes, the impact, net of taxes, will be even less — say, 0.4 per cent of GDP (assuming an average tax rate of around 20 per cent on government pay). This is a strictly one-off impact. The correct way to view it, therefore, would be to amortise it over a period of, say, five years. The annual impact then is 0.08 per cent of GDP. The impact on the fiscal at the central level is barely noticeable.
Trends in the wage burden in the government are worth noting. Pay and allowances in the Central government have remained stable since 2010-11 at around 1.8-2.0 per cent of GDP. Thus, pay and allowances have been rising at roughly the same level as nominal GDP or 11-12 per cent. This is the increase after taking into account increments, adjustments for dearness allowance and promotions. In the private sector, such an increase would be considered laughable at all but the lowest level.
Pay, allowances and pension (PAP) as a proportion of government expenditure has been declining sharply. In 1998-99, PAP was 38 per cent of revenue expenditure. The SPC estimates that this figure has fallen to 18 per cent in 2015-16. (It will go up to 22 per cent in 2017-17 consequent to the SPC award, but will decline thereafter, as pay grows at a lower rate than government expenditure). The implication is striking: in financial terms, the workforce in government has been effectively downsized by nearly half over the past 17 years.
Pay in the private sector is contributing towards massive inequalities in society. Having a different structure in government will help contain tensions created by this inequality
Even in terms of numbers, India’s central bureaucracy (including the Railways but excluding the armed forces) has neither been increasing in recent years nor hugely bloated in absolute terms. The number of employees grew to a peak of 41.76 lakh in 1994. It has declined since to 38.9 lakh in 2014. Of the total, 13.8 lakh is accounted for by security-related entities (police and defence civilians). Railways and Post, which perform commercial functions, account for 15 lakh personnel. There are other commercial departments as well, such as Communications. Excluding security and commercial functions, the total central employment is just 4.18 lakh. “The ‘core’ of the government…”, the SPC report notes, “is actually very small…”
The SPC substantiates its point by comparing India’s Central government workforce with that of the federal government workforce in the U.S. In 2012, the non-postal civilian workforce in the U.S. was 21.3 lakh. In India, the corresponding figure in 2014 was 17.96 lakh. The number of personnel per lakh of population in India was 139 in 2014, way below the figure of 668 for the U.S. India’s bureaucracy needs not so much downsizing as right-sizing — we need more doctors, engineers, IT specialists, tax experts, judges, and so on.
The government is not bound by the SPC’s recommendations. It can opt for higher pay hikes as happened with the previous Pay Commission. Assuming the government goes along with the SPC, what impact on growth can we expect? Increased pay for government employees means greater government expenditure and hence a fiscal stimulus — provided government expenditure on other counts is not reduced and the fiscal deficit rises. This happened at the time of the Sixth Pay Commission. Higher wages for government employees contributed to a higher fiscal deficit and helped stimulate growth in the short run.
This time round, the Finance Ministry insists that it will stick to its fiscal deficit target for 2016-17 after providing for the SPC pay hike. If it does so, the reduction in fiscal deficit will be contractionary. Hence, the pay hike will not lead to economic expansion in the aggregate. However, greater income in the hands of government employees could favourably impact sectors such as the real estate, automobiles and consumer goods.
(T.T. Ram Mohan is professor at IIM Ahmedabad)
//copy//Courtesy : The Hindu (dt.24th Nov 2015)
 
 

Recommendations of Overtime Allowance (OTA) in 7th Pay Commission

Recommendations of Overtime Allowance (OTA) in 7th Pay Commission
7th CPC allowed Overtime Allowance (OTA) to continue in Industrial Establishments of Defence and Railway
Overtime Allowance (OTA) is granted to government employees for performing duties beyond the designated working hours.
Presently, OTA is paid in several ministries/ departments, up to a certain level, at varying rates.

Though the III, IV V and VI Pay commission recommended to abolish the Over time allowance except where it is a statutory requirement, it was continued in some departments even when it is not a statutory requirement.
But JCM-Staff Side has demanded that OTA should be paid to all government employees who are asked to work beyond office hours, on the basis of actual Pay, DA and Transport Allowance.
The commission obseved that 90% of total expenditure on Over time allowance is spent in Defence and Railway. So the recommendation on Over Time Allowance is expected very much by the employees of these two Ministries
The 7th pay commission suggested in its recommendation that
“…..government offices need to increase productivity and efficiency, and recommends that OTA should be abolished (except for operational staff and industrial employees who are governed by statutory provisions), at the same time it is also recommended that in case the government decides to continue with OTA for those categories of staff for which it is not a statutory requirement, then the rates of OTA for such staff should be increased by 50 percent from their current levels”.
A stricter control on OTA expenditure is also suggested
So the employees of Ministry of Railways and Defence breathed sigh of relief as the Pay commission recommended to continue the Over time allowance.
 
 
 

Vacancy position for LGO Examination 2015-16 under 50% Promotional Quota

The Division wise tentative vacancy position pertaining to the Limited Departmental Competitive Examination (LGO-2015-16) for promotion to the cadre of Postal Assistants/Sorting Assistants under 50% Promotional Quota communicated by Circle office, Hyderabad is as follows.





 
 

COD Request Resend not working in Postman Module 

While give COD request resend in Postman Module it may shown the error message as "Call After 60 minutes'. This error may fixed by the following script.
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Monday 23 November 2015

Meetings with the VII CPC and the Cabinet Secretary – resentment conveyed to Govt. of India

nc jcm 18.11.2015
No.NC/JCM/2015                                                                                                                                                             Dated: November 20, 2015
All Constituents of the
National Council(JCM)
Dear Comrades,
Sub: Meetings with the VII CPC and the Cabinet Secretary
Today I met the Chairman, VII CPC, Justice Shri Ashok Kumar Mathur, and expressed our anguish against retrograde recommendations of VII CPC, particularly reg. Minimum Wage, reduction in HRA and CCL, non-redressal of NPS, abolition of various allowances, examination of MACP benefit, etc. etc.
Tough he had given argument, but I told him about the anguish of all the constituents of the JCM(Staff Side), who feel that they have been betrayed by the VII CPC.
Comrades! I have also met the Cabinet Secretary, Shri P.K. Sinha, in the afternoon and handed him over a copy of the attached letter and requested him to convene meeting of the NC/JCM at an earliest as well as to intervene in the matters raised by the JCA in case of report of VII CPC at an earliest. The Cabinet Secretary has promised that he would try to fix the meeting at an earliest and also look into the points raised by the NC/JCM(Staff Side) for VII CPC.
With fraternal greetings!
sign secretary
Letter to Cabinet Secretary(i)
 
 
 



CONF/NS/2015                                                                                              Dated - 21.11.2015
MOST URGENT
IMPORTANT
URGENT MEETING OF THE
NATIONAL SECRETARIAT OF CONFEDERATION
NOTICE
An urgent meeting of the National Secretariat of the Confederation of Central Government Employees & Workers (CHQ) will be held at Confederation Headquarters (NFPE office, 1st Floor, North Avenue Post office Building, New Delhi) on 27.11.2015 (27th November 2015, Friday) at 3 PM. All National Secretariat members and Women’s Sub Committee office bearers are requested to attend the meeting in time.
AGENDA: -
1.      7th CPC recommendations and NJCA decision – Future Course of action.
2.      Any other items.
Yours fraternally,
(M. Krishnan)
Secretary General
 

Easy steps to Calculate your Basic Pension in 7th Pay Commission


We here illustrate the method through easy 5 Steps to calculate your Basic Pension in  7th CPC  Recommendation

Easy steps to Calculate your Basic Pension in 7th Pay Commission 
There are Two options have been given to Pensioners
First They have to calculate the Two options and  whichever is benefit for them They can select higher amount as their Pension
Option No.1 .  The existing Pension may be Multiplied by 2.57
Option No.2 . The Pay Scale  on their retirement and Number of increments they earned  to be taken for calculation
In that Case they should know their Pay Scale and Basic Pay drawn on the date of their Retirement and number increments they earned
By referring the Corresponding Pay scale in successive Pay Commission, they should identify their Sixth pay commission Pay band. If they Know their corresponding Pay Band in sixth Pay commission then it will be easy for them to arrive their Basic Pension to be fixed in VII pay commission.
After calculating the Basic Pension from the above two options, they can choose whichever is beneficial for them

Calculation for arriving your 7th CPC Basic Pension is described below through 5 Easy Steps

 Assume You retired at last pay drawn of ₹4,000 on 31 January, 1989 under the IV CPC regime, having drawn 9 increments in the pay scale of ₹3000-100-3500-125-4500:
              Your Basic Pension as revised in VI CPC = 12,543
Calculation Option -I
Step.I
Multiply your Your Basic Pension with 2.57
                    Basic Pension (VI CPC)   x   2.57
= 12543 x 2.57 = 32235.70 ( Paisa to be rounded off rupee)
Your basic Pension As per VII CPC = Rs.32236
Calculation Option-II
   Step-II
–    Identify your corresponding Pay Level in Pay Matrix
–    For that you should know your Pay Band in VI pay commission
[The Pay scale details will be informed you by Concerned Pension Paying Authorities when ever your basic Pension was revised as per the successive Pay commission Recommendation ]
for example for this pay scale of ₹3000-100-3500-125-4500,  the corresponding  Pay Scale  and   pay band for Fifth and Sixth CPC respectively is given below
In IV Pay Commission Your Pay Scale is 3000-100-3500-125-4500
In V pay Commission Your Pay scale is 10000-325-15200
In Sixth Pay Commission Your Pay Band is 15600-39100 – Grade Pay is 6000
         In Seventh Pay commission your Pay Matrix Level is 11
Step -III
Minimum Pay at this level -11 is Rs. 67700
Total increment earned on your initial pay on the date of Retirement is 9
So Count nine cells from the cell assigned as Minimum Pay in that Level 11
your index number in that Particular Pay matrix Level 11 = 10
The figure in Level 11 and Index 10 = 88400
             50% of this Pay will be fixed as your Basic Pension
Hence your Basic Pension will be fixed at Rs.44200/-
Step- IV
Choose whichever is higher to fix your Basic Pension
Basic Pension in Option -1 = 32236
Basic Pension in Option -2 = 44200
You can select option 2 as the fixation for Basic Pension in 7th Pay commission
Your basic Pension in 7th Pay commission = 44200/-
Note : 1.
Those who are retired in Sixth Pay commission regime would be aware of their increment and Pay Band details. It will be easy for them to calculate their Basic pension in VII Pay Commission using this matrix.
For other it will be very difficult to find out their Pay scale and quantum of increment details as of now. Also It will take little time for Concerned Department to verify the Pensioners record to ascertain the number of increments earned in the retiring level
Note -II
So 7th pay commission recommended that in the first instance the revised pension may be calculated using Calculation Option -I and the same may be paid as an interim measure
[ Your Present Basic Pension to be Multiplied by 2.57 = Rs .32236 ]
So Rs.32236 will be paid as Basic Pension as Interim Measure
After Checking the records of concerned individuals As per calculation Option -II
Then Rs.44200 will pe Paid as your Basic Pension
Subsequently the difference of higher amount also will be Paid as Arrears
Courtesy : http://www.gservants.com/
 

7TH CPC MULTIPLICATION FACTOR CLARIFICATION

After the release of 7th CPC notification, there has been some confusion on the air about the multiplier percentage (%) which should be used to calculate the revised basic pay.
We have gone through the report and believe the confusion is created because of the below matrix (Table 4: Rationalisation Applied in the Present Pay Structure) which is displayed in the page no 73 of the report, where it shows different multiplying factor for different Pay Band and Grade Pay.
However, in Page 77 (5.1.28 – Pay Fixation in the New Pay Structure) the commission wants every employee to multiply his/her basic pay with a factor of 2.57 and match the nearest highest value corresponding to their Pay Brand and Grade Pay.
Also, refer (5.1.29) in Page 77, it gives below the calculation method and also how employees should apply the new pay structure
We believe the multiplying factor is 2.57 for the existing employee is because of the example which is also used in the report, do refer the page no: 78, Example I.
After applying the multiplication factor of 2.57, the output value should be referred in the fitment matrix as elaborated in the example
In other examples which are illustrated in the report also highlight the usage of 2.57 as multiplying factor for the current employees.
If you look at the Example II, they have referred to any Employee “T” in GP “4200” and used the multiplying factor as 2.57, however if we were supposed to use the Table 4 (Table 4: Rationalisation Applied in the Present Pay Structure) then the multiplication factor should have 2.62 which is not been applied and hence we believe the multiple factor is 2.57.
With the above example and the content we believe that multiplying factor for the existing employee should be 2.57 and our calculator is been built on this basis.
  


Trade unions furious over 7th Pay Commission report recommendations: Top 10 reasons why

While the 7th Pay Commission report recommendations have been a source of joy for hundreds of thousands of government employees, for the national trade unions linked to the Bharatiya Janata Party (BJP) and the Left, the hike has not been high enough and they have not kept quiet about it.

Trade unions have protested vehemently against the 7th Pay Commission and are looking for redressal of their grievances and contemplating action. They have also looked at strong industrial action to indicate their unhappiness and will be indicating soon what their future course of action can be. Here are the top 10 reasons why, they say, they are angry with the Seventh Pay panel report:

1. Proposed 7th Pay Commission hike is lowest in many decades and not in sync with inflation - least hike (proposed) in the last 30 years. Considering the inflation, it is unsatisfactory.

2. 7th Pay Commission has recommended a 16 per cent hike in net pay against projected 23.55 per cent.

3. There is a huge gap in maximum and minimum pay in the 7th Pay Commission report recommendations.

4. The gratuity ceiling recommended by 7th Pay Commission has been raised from Rs 10 lakh to Rs 20 lakh, the benefit of this will go to senior officials only.

5. 7th Pay Commission report has ignored sharp increase in prices justifying substantial upward revision in HRA and other allowances. Instead the commission has reduced rates of HRA from 30 per cent to 24 per cent of the basic pay in A Class cities and corresponding decrease in other cities which is a retrograde recommendation.

6. Doubts about the way the 7th Pay Commission has calculated the figures. For example, they calculated House Rent Allowance (HRA) at 3 per cent against the mandated 7 per cent.

7. As per commodity prices on Agriculture Ministry's website and on the basis of Labour Bureau data, the Basic Pay comes at Rs 11,341 while 7th Pay Commission calculation shows it at Rs 9,218. There is a lot of gap.

8. There is no clarity in the 7th Pay Commission report on the pay revision for lakhs of contract workers in government ministries as well as 3 lakh Grameen Dak Sewaks.

9. 7th Pay Commission is the only commission, which has reduced the allowances and due to which the growth in net income is only 14.28 per cent. (PTI).

10. 7th Pay Commission report is totally disappointing and beats logic. Employees and workers will meet on November 27 to protest against the recommendations of the 7th Pay Commission and discuss the issue.

NOTE: The 900-page report of the 7th Pay Commission headed by Justice A K Mathur was presented to Finance Minister Arun Jaitley with a recommendation that the new scales be implemented from January 1, 2016. The panel recommended a 14.27 per cent increase in basic pay, the lowest in 70 years. The previous 6th Pay Commission had recommended a 20 per cent hike, which the government doubled while implementing it in 2008.

Trade unions furious over 7th Pay Commission report recommendations: Top 10 reasons why

While the 7th Pay Commission report recommendations have been a source of joy for hundreds of thousands of government employees, for the national trade unions linked to the Bharatiya Janata Party (BJP) and the Left, the hike has not been high enough and they have not kept quiet about it.

Trade unions have protested vehemently against the 7th Pay Commission and are looking for redressal of their grievances and contemplating action. They have also looked at strong industrial action to indicate their unhappiness and will be indicating soon what their future course of action can be. Here are the top 10 reasons why, they say, they are angry with the Seventh Pay panel report:

1. Proposed 7th Pay Commission hike is lowest in many decades and not in sync with inflation - least hike (proposed) in the last 30 years. Considering the inflation, it is unsatisfactory.

2. 7th Pay Commission has recommended a 16 per cent hike in net pay against projected 23.55 per cent.

3. There is a huge gap in maximum and minimum pay in the 7th Pay Commission report recommendations.

4. The gratuity ceiling recommended by 7th Pay Commission has been raised from Rs 10 lakh to Rs 20 lakh, the benefit of this will go to senior officials only.

5. 7th Pay Commission report has ignored sharp increase in prices justifying substantial upward revision in HRA and other allowances. Instead the commission has reduced rates of HRA from 30 per cent to 24 per cent of the basic pay in A Class cities and corresponding decrease in other cities which is a retrograde recommendation.

6. Doubts about the way the 7th Pay Commission has calculated the figures. For example, they calculated House Rent Allowance (HRA) at 3 per cent against the mandated 7 per cent.

7. As per commodity prices on Agriculture Ministry's website and on the basis of Labour Bureau data, the Basic Pay comes at Rs 11,341 while 7th Pay Commission calculation shows it at Rs 9,218. There is a lot of gap.

8. There is no clarity in the 7th Pay Commission report on the pay revision for lakhs of contract workers in government ministries as well as 3 lakh Grameen Dak Sewaks.

9. 7th Pay Commission is the only commission, which has reduced the allowances and due to which the growth in net income is only 14.28 per cent. (PTI).

10. 7th Pay Commission report is totally disappointing and beats logic. Employees and workers will meet on November 27 to protest against the recommendations of the 7th Pay Commission and discuss the issue.

NOTE: The 900-page report of the 7th Pay Commission headed by Justice A K Mathur was presented to Finance Minister Arun Jaitley with a recommendation that the new scales be implemented from January 1, 2016. The panel recommended a 14.27 per cent increase in basic pay, the lowest in 70 years. The previous 6th Pay Commission had recommended a 20 per cent hike, which the government doubled while implementing it in 2008.
 
7TH PAY COMMISSION REPORT SUBMITTED TO GOVERNMENT OF INDIA ON 19.11.2015
MOST DISAPPOINTING AND RETROGRADE RECOMMENDATIONS – NO CHANGE IN MACP



                                                                                      



IMPORTANT RECOMMENDATIONS
1.    DATE OF EFFECT – 01.01.2016
2.    MINIMUM PAY – 18000 Based on the Aykroyd formula, the minimum pay in government is recommended to be set at ₹18,000 per month

3.    FITMENT FORMULA – The fixation of revised pay has been greatly simplified in the new pay matrix and will not involve further calculations. The basic pay being drawn by any person on the date of implementation is to be multiplied by a factor of 2.57 and the figure so obtained will Report of the Seventh CPC be matched for the closest figure in the level pertaining to his/her existing grade pay and fixed there.
PAY BAND
GRADE PAY
MULTIBLE FACTOR
I – 5200-20200
1800, 1900, 2000, 2400 &2800
2.57
II – 9300 - 34800
4200, 4600, 4800 & 5400
2.62
III – 15600-39100
5400, 6600 & 7600
2.67
Pay Fixation in the New Pay Structure
5.1.28 The fitment of each employee in the new pay matrix is proposed to be done by multiplying his/her basic pay on the date of implementation by a factor of 2.57. The figure so arrived at is to be located in the new pay matrix, in the level that corresponds to the employee’s grade pay on the date of implementation, except in cases where the Commission has recommended a change in the existing grade pay. If the identical figure is not available in the given level, the next higher figure closest to it would be the new pay of the concerned employee. A couple of examples are detailed below to make the process amply clear
5.1.29 The pay in the new pay matrix is to be fixed in the following manner:
Step 1: Identify Basic Pay (Pay in the pay band plus Grade Pay) drawn by an employee as on the date of implementation. This figure is ‘A’.
Step 2: Multiply ‘A’ with 2.57, round-off to the nearest rupee, and obtain result ‘B’.
Step 3: The figure so arrived at, i.e., ‘B’ or the next higher figure closest to it in the Level assigned to his/her grade pay, will be the new pay in the new pay matrix. In case the value of ‘B’ is less than the starting pay of the Level, then the pay will be equal to the starting pay of that level.
Example I
i. For example an employee is presently drawing Basic Pay of ₹55,040 (Pay in the Pay Band ₹46340 + Grade Pay ₹8700 = ₹55040). After multiplying ₹55,040 with 2.57, a figure of ₹1,41,452.80 is arrived at. This is rounded off to ₹1,41,453.
ii. The level corresponding to GP 8700 is level 13, as may be seen from Table 4, which gives the full correspondence between existing Grade Pay and the new Levels being proposed.
iii. In the column for level 13, the figure closest to ₹1,41,453 is ₹1,41,600.
iv. Hence the pay of employee will be fixed at ₹1,41,600 in level 13 in the new pay matrix tabke
5.1.30 As part of its recommendations if Commission has recommended any upgradation or downgrade in the level of a particular post, the person would be placed in the level corresponding to the newly recommended grade pay.
7TH CPC PAY FIXATION ILLUSTRATION
A.     Select your basic pay as on 01.01.2016 including grade pay -  It is your basic pay
B.      Identify your grade pay and pay band to select the Pay Matrix Table No: 5 to identify your level according to your Grade pay
C.      Multiply your basic pay  as given below:
PAY BAND
GRADE PAY
MULTIBLE FACTOR
I – 5200-20200
1800, 1900, 2000, 2400 &2800
2.57
II – 9300 - 34800
4200, 4600, 4800 & 5400
2.62
III – 15600-39100
5400, 6600 & 7600
2.67



D.     Multiply your basic pay [Pay + Grade pay] as on 01,01,2016 with the above factor according to your Grade pay and  round-off to the nearest rupee, and obtain result = X
E.      The figure so arrived at, i.e., ‘X’ or the next higher figure closest to it in the Level assigned to your grade pay, will be the new pay in the new pay matrix. In case the value of ‘X’ is less than the starting pay of the Level, then the pay will be equal to the starting pay of that level.
F.       The above arrived figure is your Rationalized entry pay i.e. your new basic pay as on 01.01.2016. In the above formula, your existing DA 119 is automatically merged with the multiply factor.
G.     This is the first pay commission avoiding disparity in the pay fixation in arriving arrears and all the officials from new recruits to retiring person will get the benefit equally as per the above multiple factor according your Grade pay.
ILLUSTRATION:
PAY BAND
GRADE PAY
BASIC PAY AS ON 01.01.2016
TOTAL PAY AS ON 01.01.2016
MULTIBLE FACTOR
NEW BASIC PAY AS ON 01.01.2016
ROUNDED NEW BASIC PAY   AS ON 01.01.2016
I
1800
7500
9300
2.57
23901
24200
1900
8500
10400
26728
26800
2000
9500
11500
29555
30200
2400
11000
13400
34438
35300
2800
13000
15800
40606
41600
II
4200
15000
19200
2.62
50304
50500
4600
18000
22600
59212
60400
4800
21000
25800
67596
68000
5400
24000
29400
77028
77900
Note: The basic pay mentioned above as on 01.01.2016 is only example for the illustration. You replace it with your basic pay as on 01.01.2016 and calculate your pay. It is simple mechanism.
4.    FIXATION ON PROMOTION – NO CHANGE – ONLY ONE INCREMENT IN THE OLD SCALE
A.     For those who have been promoted from the previous level, the fixation of pay in the new level will depend on the pay they were already drawing in the previous level, after grant of  3% increment, the official pay will be fixed to the next level.
  1. When the employee receives a promotion or a non-functional financial upgrade, he/she progresses one level ahead on the horizontal range – Para 5.1.23.  [As per this para, if any officials will get LSG/HSG promotion  after getting MACP, the officials will get fixation benefit to the next stage as mentioned in Matrix table.]
5.    ANNUAL INCREMENT – 3% NO CHANGE
a. Suppose, Ms. ABC, who, after having been fixed in the Pay Matrix, is drawing a Basic Pay of ₹32,300 in Level 4. When she gets an annual increment on 1st of July, she will just move one stage down in the same Level. Hence, after increment, her pay will be ₹33,300. [Even though 3% increment is only for calculation, but the official will be placed one stage own in the same level.
b. WITH HOLDING OF ANNUAL INCREMENT - The Commission is therefore proposing withholding of annual increments in the case of those employees who are not able to meet the benchmark either for MACP or a regular promotion within the first 20 years of their service
6.    MODIFIED ASSURED CAREER PROGRESSION – NO CHANGE 
a. The inherent issues in the existing pay structure owing to which there was widespread resentment have been set right by way of rationalisation of pay levels, abolition of pay band and grade pay Report of the Seventh CPC and introduction of a matrix based open pay structure. Hence, there is no justification for increasing the frequency of MACP
b. No change in  10, 20, 30 years - 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.
7.    PAY BAND, GRADE PAY SYSTEM ABOLISHED - 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.
8.    MAXIMUM PAY INCREASE – 14.29% - This fitment factor of 2.57 is being proposed to be applied uniformly for all employees. It includes a factor of 2.25 on account of DA neutralisation, assuming that the
rate of Dearness Allowance would be 125 percent at the time of implementation [01.01.2016] of the new pay. Accordingly, the actual raise/fitment being recommended is 14.29 percent
Comments: [ Actually our basic pay + Grade pay = 100% DA as on 01.07.2015-119% and as on 01.01.2016 presumed as 125%. As such, at present we are getting 225% [100 + 125} i.e.2.25 , where as our fitment formula recommended as 2.57. The difference of 2.57-2.25 = 0.32 % is the only real increase of our existing pay.]
9.   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. 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.
10.          HRA REDUCED TO 26%, 16% AND 8% FOR X, Y AND Z CITIES - 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
11.          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
12.          DA FORMULA – NO CHANGE FOR FUTURE INDEX - Commission recommends continuance of the
existing formula and methodology for calculating the Dearness Allowance
13.          Central Government Employees Group Insurance Scheme (CGEGIS): The Rates of contribution as also the insurance coverage under the CGEGIS have remained unchanged for long. They have now been enhanced suitably. The following rates of CGEGIS are recommended:

Present
Proposed
Level of Employee
Monthly Deduction
 (₹)
Insurance Amount
 (₹)
Monthly Deduction
 (₹)
Insurance Amount
 (₹)
10 and above
120
1,20,000
5000
50,00,000
6 to 9
60
60,000
2500
25,00,000
1 to 5
30
30,000
1500
15,00,000
14.    COMPARISON BETWEEN MINIMUM AND MAXIMUM PAY – 1:11.4 (18000 : 205400)
15.   NUMBER OF PAY SCALES – NOT REDUCED - NO DELAYERING
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 -  Splitting of Home Town LTC for employees Posted in North East, Laddakh, Andaman & Nicobars and Lakshdweep allowed.
23. ACCOUNTS STAFF BELONGING TO UNORGANIZED ACCOUNTS INCLUDING SBCO STAFF – PARITY WITH ORGANISED ACCOUNTS REJECTED - The Commission has noted that the stipulated entry level qualification and recruitment process of Postal Assistants (SBCO) is similar to that of direct recruit Postal Assistants in the Postal Assistants’ cadre and their promotional channel is also identical. The Commission is therefore of the view that no up gradation is warranted
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 - 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
Hostel subsidy              6750 – 50& increase when DA crosses  
31.     IPO/ASP/SP SCALE UPGRADED : Commission has noted that the VI CPC had placed Inspector (Posts) at par with Inspector of CBDT/CBED. Subsequently the Inspector of CBDT/CBE were elevated to GP 4600. The Commission has further noted that the Inspector of Posts and Inspector of CBDT/CBED are recruited through the same combined graduate level examination. Therefore the commission recommended 4600 GP for IP and 4800 GP and 5400 GP for SPOs.
32. ADDITIONAL WORK ALLOWANCE  - 2% of the Basic Pay per month - 10% of the Basic pay if period exceeds 45 days.
33DAILY ALLOWANCE:
LEVEL
ACCOMMODATION CHARGES
TRAVELLING CHARGES
DAILY ALLOWANCE LUMP SUM AMOUNT
14 and above 7500
7500
AC Taxi charges up to 50 km
1200
12 and 13 4500
4500
Non-AC Taxi charges up to 50 km
1000
9 to 11 2250
2250
338 per day
900
6 to 8 750
750
225 per day
800
5 and below 450
450
113 per day
500
NOTE: The Lump sum amount will increase by 25 percent whenever DA increases by 50 percent.
34Regarding Personal and HBA interest-bearing advances, the following is recommended
NAME OF THE ADVANCE
RECOMMENDED CEILING
RECOMMENDATIONS
PC Advance
50,000 or actual price
of PC, whichever is
lower
May be allowed maximum five times in the
entire service.
HBA
34 times Basic Pay
OR
25 lakh
OR
anticipated price of
house, whichever is
least
The requirement of minimum 10 years of continuous service to avail of HBA should be
reduced to 5 years.
If both spouses are government servants,
HBA should be admissible to both separately.
Existing employees who have already taken
Home Loans from banks and other financial
institutions should be allowed to migrate to
this scheme.
35. GDS: The Supreme Court judgment also states that GDS are only holders of civil posts but not civilian employees. The Commission endorses this view and therefore has no recommendation with regard to GDS
PENSIONARY BENEFITS
1 .  PENSIONERS – PARITY – LONG STANDING DEMAND OF THE PENSIONERS ACCEPTED - 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.
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
2 .          PENSIONERS – MINIMUM PENSION RS. 9000/- (50% of the minimum pay recommended by the
                7th CPC)
3. .          PENSIONERS – 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.
4..          PENSIONERS – FIXED MEDICAL ALLOWANCE (FMA) – NO CHANGE (RS. 500/-
5.          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.
6. Ex-gratia Lump sum Compensation to Next of Kin: The Commission is recommending the revision of rates of lump sum compensation for next of kin (NOK) in case of death arising in various circumstances relating to performance of duties, to be applied uniformly for the defence forces personnel and civilians including CAPF personnel.
7. 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.
8.. Performance Related Pay: The Commission has recommended introduction of the Performance Related Pay (PRP) for all categories of Central Government employees, based on quality Results Framework Documents, reformed Annual Performance Appraisal Reports and some other broad Guidelines. The Commission has also recommended that the PRP should subsume the existing Bonus schemes.
                                                           Thanks to 
Shri. J.SUKUMAR
EX. GENERAL SECRETARY
AISBCE UNION
MADURAI - 625016
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Allotments and Reallotments in PS Group B cadre

Circle Office, Hyderabad, vide memo no ST/12-1/2015/II dated 23.11.2015, has ordered the following reallotments to the existing PS Group B officers and allotments to the officers who got regular promotion and stands allotted to AP Circle.

  


Deputation of Sri V.Ramulu, PMG, Kozhicode to AP State Govt.

It was ordered by Postal Directorate,vide its memo no PF-IPOS-128/SPG dated 18.11.2015, that the services of Sri V.Ramulu, presently posted as PMG, Northern Region, Kerala circle, Kozhicode are placed at the disposal of Govt of Andhra Pradesh. The tenure of deputation of the officer will be for a period of two years.