Tuesday, 21 February 2017

Anomalies arising out of the implementation of the seventh Central Pay Commissions recommendations


Anomalies arising out of the implementation of the seventh Central Pay Commission's recommendations

Centre expands ambit of panel examining 7th Pay Commission-related anomalies

New Delhi: The Centre has expanded the ambit of a panel looking into anomalies arising out of the implementation of the seventh Central Pay Commission's recommendations.

The work of the anomaly committee, which has representatives from both official and staff sides, is to act on representations received from the employees against the pay panel's recommendations.

The Department of Personnel and Training (DoPT) has modified the definition of anomaly to include "Where the official side and the staff side are of the opinion that the vertical and horizontal relativities have been disturbed as a result of the 7th Central Pay Commission (CPC) to give rise to anomalous situation," as per the Office Memorandun No.11/2/2016-JCA dated 20th February, 2017.

The inclusion of term "disturbance of vertical and horizontal relativities" (referred to as gaps in pay among various group of employees/officer working at the same level) will help in expanding the approach of the anomaly committee, a senior DoPT official said.

Now the anomaly will include cases where the official side and the staff side are of the opinion that any recommendation is in contravention of the principle or the policy enunciated by the seventh CPC itself without the Commission assigning any reason.

"It will also include cases where the maximum of the level in the pay matrix corresponding to the applicable grade pay in the pay band under the pre-revised structure is less than the amount an employee is entitled to be fixed at," the order said.

The DoPT had in August last year asked all central government departments to set up committees to look into various pay-related anomalies arising out of the pay panel’s recommendations.

The Centre has accepted most of the recommendations of the seventh CPC being implemented from January 1, 2016.

PTI

Minutes of the meeting of the Sub - Committee-III to suggest measures for streamlining implementation of the National Pension System (NPS) held on 10.02.2017


Minutes of the meeting of the Sub - Committee-III to suggest measures for streamlining implementation of the National Pension System (NPS) held on 10.02.2017

Airfindia has published the Minutes of the meeting of the Sub - Committee-III

No. 57/1/2016-P&PW(B)
Government of India
Ministry of Personnel, P.G. and Pensions
Department of Pension & Pensioners' Welfare

3rd Floor, Lok Nayak Bhavan
New Delhi, dated the 16th February, 2017

OFFICE MEMORANDUM

Subject: Minutes of the meeting of the Sub - Committee-III to suggest measures for streamlining implementation of the National Pension System (NPS) held on 10.02.2017 -reg.

The minutes of the meeting of the Sub- Committee-III to suggest measures for streamlining implementation of the National Pension System (NPS) held under the Chairmanship of Additional Secretary (Pension) with Staff side of JCM on 10.02.2017 at Lok Nayak Bhawan, New Delhi is hereby forwarded for information and further necessary action.
(S. Chakrabarti)
Under Secretary to the Government of India

Minutes of the meeting of the Sub-Committee-III to suggest measures for streamlining implementation of the National Pension System with employees

Associations held on 10.02.2017 at Lok Nayak Bhawan, New Delhi
A meeting of the Sub-Committee-III to suggest measures for streamlining the implementation of the National Pension System (NPS) was held under the Chairmanship of Ms. Vandana Sharma, Additional Secretary (Pension) with Staff Side of JCM on 10.02.2017 at 3.00 p.m.,at Lok Nayak Bhawan, New Delhi. The following were present:

Official Side

1. Shri Harjit Singh, Director, Deptt. Of Pension & Pensioners Welfare.

2. Shri Sanjiv Kumar, Deputy Secretary, Department of Personnel & Training,

3. Shri Vivek Ashish, Under Secretary, Department of Expenditure,JCM (Staff Side)

4. Shri Shiva Gopal Mishra, Secretary, Staff Side (JCM),

5. Shri M.S. Raja, Member, National Council (JCM), All India Audit & Accounts Association

6. Shri C. Srikumar, General Secretary/HIDEF, Member National Council, JCM

7. Shri Guinan Singh, President, NFIR

8. Shri M. Raghavaiah, Leader(JCM Staff Side) & General Secretary, NFIR

9. Shri K.K. N. Kutty, President, Confederation of CG employees & Workers.

2. Additional Secretary (Pension) welcomed all the participants and briefed the Staff Side of JCM about the various issues allocated to the Sub-Committee-III. She invited suggestions from the participants on these issues.

3. The Staff Side handed over a communication dated 10.2.2017 containing their views on the various issues allocated to the Sub Committees. The Staff Side agreed that there is an urgent need to frame rules on the service matters of the NPS employees. Additional Secretary (Pension) assured the staff side that their views would be duly considered while framing rules in this regard.

4. Staff Side of the JCM emphasized that the Government employees should be excluded from the purview of NPS. In case, it was not possible to exempt the Government employees from the NPS, a minimum pension @ 50% of the last pay drawn or average emoluments of the last 10 months, whichever is more beneficial to the employees (along with dearness relief) may be ensured to all NPS employees on their retirement.

5. The Staff side was informed that in the event of invalidation / disability or death of the NPS employee, Pension / Family Pension as per the rates applicable under CCS (Pension) Rules is available to the NPS employees / their families. As regards the minimum guaranteed pension on retirement of the NPS employees, the views of the Staff Side of JCM would be conveyed to the Committee set up for streamlining implementation of the National Pension System.

6. The meeting ended with a vote of thanks to the chair.

7th Pay Commission : Committee on Allowances likely to submit report today - HRA Revision expected


7th Pay Commission : Committee on Allowances likely to submit report today - HRA Revision expected

After much debate and protest by government employees on some of recommendations made by the 7th Pay Commission on allowances, the government had formed a committee to review the same.

Government employees have been waiting to hear from the central government on allowances since the cabinet cleared the recommendations of the 7th Pay Commission in June last year.

The Committee on Allowances, headed by Finance Secretary Ashok Lavasa, is expected to present its review report to Finance Minister Arun Jaitley today.

The 7th pay commission had recommended reducing the house rent allowance (HRA) to 24 per cent of basic pay as against the 30 per cent of basic pay employees were drawing under the Sixth Pay Commission.
According to some reports, the Committee on Allowances has recommended the current HRA slab, which is 30 per cent of basic pay, for metros. An announcement on the same is expected soon.

Allowances form a significant chunk of government employees’ salary, and therefore when the pay commission recommended slashing some while merging others, protests erupted.

The 7th Pay Commission recommended abolishing 53 of the current 196 allowances meant for employees while merging a few others.

The pay commission’s recommendation of a 14.27 per cent hike in basic pay is the lowest in 70 years. A further reduction in allowances meant earning the ire of nearly 50 lakh Central government employees.
Though the report may be submitted today, “A decision is likely to be announced after the State assembly elections get over,” said a senior official. The entire exercise of State polls will get completed by March 11.
Sources indicated that the committee has recommended higher house rent allowance could be increased to offset the higher cost of living.

However, the revised structure for allowances is likely to be implemented from April 1, to ensure that it does not have any impact on the government's finances this fiscal.

An official said the impact of the higher allowances has already been factored in the Union Budget 2017-18, which has increased the allocation for allowances (other than travel expenses) by seven per cent.

Source: India Today

Setting up of Anomaly Committee to settle the anomalies arising out of the implementation of the Seventh Pay Commission recommendations


Modification in the definition of anomaly - DoPT Orders 
Setting up of Anomaly Committee to settle the anomalies arising out of the implementation of the Seventh Pay Commissions recommendations.

7thpaycommission-7cpc

No.11/2/2016-JCA
Government of India
Ministry of Personnel, Public Grievances and Pensions
Department of Personnel & Training
Establishment JCA Section
North Block, New Delhi
Dated the 20th February, 2017
OFFICE MEMORANDUM

Subject: Setting up of Anomaly Committee to settle the anomalies arising out of the implementation of the Seventh Pay Commission's recommendations.

The undersigned is directed to refer to DoPT’s OM of even number dated 16/8/2016 and to incorporate the following modification in the definition of anomaly:

"Where the Official Side and the Staff Side are of the opinion that the vertical and horizontal relativities have been disturbed as a result of the 7th Central Pay Commission to give rise to anomalous situation."

2. With the incorporation of the above para in the O.M., the definition of anomaly will read as follows:
(1) Definition of Anomaly
Anomaly will include the following cases;
a) Where the Official Side and the Staff Side are of the opinion that any recommendation is in contravention of the principle or the policy enunciated by the Sixth Central Pay Commission itself without the Commission assigning any reason;

b) Where the maximum of the Level in the Pay Matrix corresponding to the applicable Grade Pay in the Pay Band under the pre-revised structure as notified vide CCS(RP Rules 2016, is less than the amount an employee is entitled to be fixed at, as per the formula for fixation of pay contained in the said Rules;


c) Where the Official side and the Staff Side are of the opinion that the vertical and horizontal relativities have been disturbed as a result of the 7th Central Pay Commission to give rise to anomalous situation.
3. The rest of the content of the O.M. dated 16.08.2016 shall remain unchanged.
sd/-
(D.K.Sengupta)
Deputy Secretary (JCA)
Click to view the order
Authority: http://dopt.gov.in/

Monday, 20 February 2017

7th Pay Commission: Government all set to clear revised allowances for central staff from April 1


7th Pay Commission: Government all set to clear revised allowances for central staff from April 1
The 7th Central Pay Commission (CPC) recommended HRA of 24% of the basic pay for those cities with population over 5 million.

New Delhi, Feb 18: The Union Government is all set to clear revised allowances for the central government staff, precisely after a year of the implementation of the 7th Pay Commission. As per reports, one year after the implementation of the new pay and pension scheme, as recommended by the 7th central pay commission, the central government employees might have something to rejoice about after the assembly elections in 5 states are over. Reportedly, the revised allowances are likely to be effective from April 1. (ALSO READ: Committee on Allowances likely to raise HRA to 30 per cent)

House rent allowances (HRA) accounts for about 60% of the total allowances bill, as The Financial Express stated and according to the revised allowance scheme, the employees, mostly in the metropolitan cities are expected to receive greater HRA than the 7th Pay Commission actually recommended. The 7th Central Pay Commission (CPC) recommended HRA of 24% of the basic pay for those cities with a population over 5 million. But the revised HRA which is being looked at by the Finance Secretary-led panel is 30%. Notably, in the 6th Pay Commission, the HRA was at 30% as well for the cities with more than 5 million people. A draft of the cabinet note for implementation of the revised allowance is expected to be circulated soon.
As per reports, the financial implication of these revised allowances will be in line with the Central Pay Commission’s estimate of around Rs. 29,300 crores, which shall also include the railways, in the first year. The panel led by the Finance secretary is also reviewing the CPC’s recommendation regarding allowances. The pay panel has also recommended scrapping of 52 benefits while merging 36 already existing benefits.
Notably, there has been only an additional allocation of Rs. 4,500 crore in the Budget for allowances and it has been assumed that the Railways will bear Rs 7,600 crore of expenditure. But as per sources stated by FE, still, the additional allocation which will be required from the General Budget could be somewhere around Rs. 17,000 crores.

The Government has, reportedly, enough leg space, thanks to the demonetisation move and the extra taxes the people had to pay under the income disclosure schemes. But according to experts, the Budget assumptions were based on optimistic estimates of nominal GDP growth for financial year 17 (FY17) and thus for FY18.

Many have been complaining about the delay in the decision of allowances to the government employees, with some claiming the formation of the panel led by the Finance Secretary as a delaying tactic itself. But this has helped to boost the spending of the government in various programmes by around Rs. 36,000 crores in FY17.

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