A complete reference blog for Indian Government Employees

Wednesday, 2 July 2014

Next Additional Dearness Allowance Hike Almost Confirmed at 7%..!

Next Additional Dearness Allowance Hike Almost Confirmed at 7%..!

The Labour Bureau released the AICPIN points for the month of May yesterday. The AICPIN points, which had remained stagnant at 242 has increased by 2 points to touch 244 now. This has led to an increase of the Dearness Allowance for the month of May from 105.02 to 106.17.

With only one month left for the calculation of the second installment of additional Dearness Allowance of the year, one can be almost sure that it would bring a hike of 7%.

The two previous rounds of Dearness Allowance revision brought hikes of 10% each. One could sense an air of disappointment and lack of enthusiasm among the employees this time.

Another reason for the disappointment is the fact that despite the Dearness Allowance increasing by more than 100%, it has still not been merged with the basic pay. There was a lot of expectation that the new Government at the Centre will implement this much-awaited and much-expected change.

But, nothing has been done about this yet. All the employee federations continue to stress upon this change. The federations are hell bent on getting either the DA merger or an interim relief this time. Will their dream come true?

Source: CGEN.in

Dearness Allowance for Bank Employees – Likely to increase 29 Slabs or more

Dearness Allowance for Bank Employees – Likely to increase 29 Slabs or more
Likely Bank D.A. from August 2014
Labour Bureau,Ministry of Labour and Employment,Govt.of India, has released All India Consumer Price Index Numbers for Industrial Workers ,Base 2001=100 for the month of May’14,today which stood at 244 points with an increase of 2 points while compared to April figure. ( There was a decrease of 16 slabs during last quarter )

Based on the confirmed AICPIN for April and May and assuming that index number for June may continued on same level , in tune with present inflationary trend , the DA for Bank Employees/Officers for Aug, Sept & Oct may likely to show an increase of 29 slabs Or more as per details furnished here under:

Base Year 2001=100 1960=100
APRIL (confirmed) 242 5523.87
MAY( do) 244 5569.50
JUNE (Expected) 244 5569.52

Average index 5554
Less merged index(9thBPS) 2836
Slabs 2718/4 679
Increase (679-old 650) 29 slabs
@ 0.15% 101.85 % ( from existing 97.50% )

If AICPIN increase with one or two points there may have further increase in DA for next quarter.This is only assumption.

Kindly note that actual increase/decrease in DA can be arrived only on release of AICPIN for June in next month by Ministry.

Submitted by Mohan.P
Source : http://paycommissionupdate.blogspot.in/

Proposed Pay Structure in the Final Memorandum of NC JCM to 7th CPC

Proposed Pay Structure in the Final Memorandum of NC JCM to 7th CPC

National Council JCM , Staff Side has finalised its Memorandum to be submitted to 7th Pay Commission and it has been posted in its website NCJCMstaffside.com for all central government employees. The Full Final Memorandum consists 98 pages and the download link is provided below this post

Chapter —VII
Proposed Pay Structure and Rate of Increment

In the preceding chapters we have dealt with the various principles of pay determination as was enunciated by the successive Pay Commissions. The 6 CPC introduced the new concept of Pay Band and Grade Pay. We are not able to comprehend any logical methodology having been adopted by the 6th CPC in constructing the Pay Band and Grade Pay. In the ultimate analysis, we found that there had been no uniform multiplication factor. It varied from 2.2 time to 3. The changes effected by the Government while implementing the recommendations of the 6th cpc further compounded the confusion and making t more irrational and arbitrary. The 6 cPC in their report stated that they have upgraded certain pay scales having appreciated the contention made by the employees organizations. They merged certain other pay scales in an effort to delayering the functions. But the new pay that emerged from such upgradation/merger was not equivalent to the higher pay scales in the said group. For instance, the erstwhile pay scales of Rs.5000-8000, 5500-9000 and 6500-10500 were merged. The multiplication factor for pay band construction was 1.86 times of the minimum. Therefore the pay band for the pre merged pay scales was determined to begin at Rs.9300/-. Having merged, the pay band must have begun at 12,090/-, i.e. 1.86 times of 6500/- in which the other pay scales were merged.

7.2 The manner in which the Grade pay was devised is also questionable. At the lower level the Grade Pay progresses @ Rs.100/- ,i.e. 1800, 1900, 2000, etc. The pay in the Band + Grade Pay at the entry level is 5200 + 1800 = 7000. An employee is entitled for 3% increment every year. He gets a financial benefit of Rs. 210 every year on account an increment whereas on promotion his grade pay gets increased by just Rs.100/. only. The Grade Pay was devised at 40% of the maximum of the pre revised time scale of pay. The maximum of any time scale of pay will depend upon the rate of increment and the span of the scale of pay. The ratio between the minimum and the maximum of all pay scales was not uniform, rather it could not be uniform. Therefore, prescribing Grade Pay as a percentage of such variable maximum, in our opinion, was erroneous. Normally fitment benefit represent the gap between pre revised minimum and the revised minimum. The 6th CPC recommendation of Grade Pay did not serve this purpose also. Having been expressed in absolute quantum amount it gave varied benefit in different pay bands as also at different stages in the same pay bands.

7.3 The Grade Pay system brought about various anomalies, which were raised at the NAC but found no resolution despite discussions on several occasions in the last 6 years. We are of the firm view that the 7” CPC should revert to the Pay Scale System which has been time tested. We have constructed the pay scales maintaining the relativities with the time scale of pay suggested by both 5’ and 6th CPC

7.4 While constructing the pay scales we have taken the rate of increments at 5% instead of 3% presently available. We have done so on the ground that most of the PSUs including the banking industries provide the incremental rate at 5% and over a period of time it raises the salary level of the personnel. We therefore request that the 7th CPC may recommend the rate of annual increment at 5%. Incidentally we may also state that the uniform date of increment prescribed by the 6th CPC has encountered certain problems and anomalies. We, therefore, suggest that the 7th cpc may recommend, for administrative expediency, two specific dates as increment dates, Viz. 1st January and 1st  July. Those recruited/appointed/promoted during the period between l January and 30th June will have their increment date on 1stt January and those recruited/appointed/promoted between 1st July and 31st December will have it on 1st  July next year. This apart we request the Commission to specifically recommend that those who retire on 30th June or 31St December are granted one increment on the last day of their service.

7.5 We have also felt that a further reduction in the number of pay scales is needed. While constructing the pay scales we have removed those pay scales pertaining to Grade Pay of Rs.1900, 2400, 4600, 8700 and the scale of pay of Rs. 75500-80000. We are of the opinion that the instrument of Special Pay which was in operation earlier should be brought back to address the need of intermediary grades in certain organizations. The Associations and Federations representing the employees and officers of various departments and various categories will submit their memorandum indicating the pay scales to be assigned to the categories of the employees and officers they represent taking into account the nature of functions assigned to those categories separately.

7.6 Presently, functional promotion is made to the next hierarchical position whereas MACP promotion ¡s Grade Pay based, irrespective of the fact whether a particular Grade Pay exist in the hierarchy or not in the concerned department. Our suggestion to reduce the number of pay scales go a great extent to obviate the difficulty encountered due to the dual system of promotion.

7.7 We have constructed open- ended pay scales. This is to ensure that no employee stagnates without increment. The pay of the Secretary and the Cabinet Secretary has been kept as a fixed amount as has been the recommendation of the 6th CPC. In consonance with our view on the need for further de-layering, we have suggested only 14 Pay scales indicating in the table the minimum of each of them. The said 14 pay scales are given below:

In Table 7.2, the corresponding pay scales of the 6” CPC recommended Grade Pay are given for reference.

Table No. 7.1.

Proposed pay scale minimum.

Sl. No. Pay scale No. Present PB PB No. Grade Pay Proposed minimum of the pay scale.
1 S.1 5200-20200 PB.1 1800 26000
2 S-2 5200-20200 PB 1 2000 33000
3 S-3 5200-20200 PB 1 2800 46000
4 S-4 9300-34800 PB 2 4200 56000
5 S-5 9300-34800 PB 2 4800 74000
6 S-6 9300-34800 PB 2 5400 78000
7 S-7 15600-39100 PB 3 5400 88000
8 S-8 15600-39100 PB 3 6600 102000
9 S-9 15600-39100 PB 3 7600 120000
10 S-10 37400-67000 PB 4 8900 148000
11 S-11 37400-67000 PB 4 10000 162000
12 S-12 75500-80000 HAG 0 193000
13 S-13 80000( Fixed ) Apex scale. 0 213000
14 S-14 90000 (Fixed) Cabinet Secy 0 240000

Table 7.2.

New Pay scale minimum

SL.No.    Grade pay of 6thCPC      Minimum of the  new pay scale
1           1800 26000
2 1900 31000
3 2000 33000
4    2400 41000
5    2800 46000
6 4200 56000
7   4600 66000
8     4800 74000
9    5400 78000
10 5400 in PB3 88000
11   6600 102000
12     7600 120000
13  8700 139000
14  8900 148000
15   10000 162000
16    12000 193000
17   75000-80000 202000
18    80000 fixed 213000
19 90000 fixed 240000

Download :FULL-FINAL-Memorandum of NC JCM
Source : NC JCM Staffside.com

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