7th Pay Commission: Higher allowances dropped from today's cabinet meeting agenda

7th Pay Commission: Higher allowances dropped from today's cabinet meeting agenda
 

New Delhi: The Union government has dropped higher allowances proposal under the 7th Pay Commission from its today's cabinet meeting agenda at the last minute, the Finance Ministry officials involved with the process of higher allowances told The Sen Times on condition of anonymity.

The officials said recommendation of the Empowered Committee of Secretaries (E-CoS) headed by Cabinet Secretary P K Sinha on higher allowances, was due to come before the Union cabinet at its meeting today for formal approval.

However, the item was dropped from the agenda at the last minute, as Finance Minister Arun Jaitley is on an official visit to South Korea, they added.

However, they said that the Cabinet may decide on 7th pay commission allowances this month.

In June 2016, the Cabinet approved 14% pay and pension hike for central government employees and pensioners under the 7th Pay Commission recommendations with effect from January 1, 2016.

The decision on higher allowances was postponed by the Cabinet on that time because the 7th Pay Commission wanted abolition of 52 allowances and subsuming of another 36 allowances into larger existing ones out of total 196 allowances.

Employee unions were opposed it, which government complied with formation of the Committee on Allowances headed by Finance Secretary Ashok Lavasa in June 2016 to review the allowances.
The Committee on Allowances submitted its report to Finance Minister Arun Jaitley on April 27.

The report was then taken up by the Department of Expenditure for examination, following which it was passed on to the Empowered Committee of Secretaries set up to screen the 7th Pay Commission recommendations and to firm up the proposal for approval of the Cabinet.

The Empowered Committee of Secretaries was in the process of preparing the Cabinet note on higher allowances, which was completed on June 1.

The central government employees are now getting no new allowances (except Dearness Allowance) with their new pay structure till the cabinet nod.

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High Expectation over announcement of 7th CPC Allowances and its Date of Effect

High Expectation over announcement of 7th CPC Allowances and its Date of Effect
7th CPC Allowances and its Date of Effect - Actual report in the current scenario

7th CPC Allowances is now become a hottest topic of discussion and most expected matter by Central Staffs. Central Government confirmed officially that the Report of the Allowance Committee is submitted to the Government. Later the Cabinet Secretary told that Allowance Committee Report will be examined by the Expert Committee of Secretaries which was appointed initially to expedite the Recommendations of 7th Pay Commission.

It was said that the Cabinet Secretary Fixed 1st June 2017 for perusal of the report of the Allowances Committee by the Empowered Committee. Whether ECoS has finished its work or not is not known yet.
The Cabinet Committee under the Chairmanship of Prime Minister Shri. Narendra Modi has met On 7th June 2017. There was lot of expectation on that day that the Cabinet would announce its decision about 7th CPC Allowances. But nothing has been announced so far.

The CG Staff have been frustrated by the Government’s approach towards settling the issue of 7th CPC Allowances. The Government servants are considerably losing monetary benefits they are supposed to get from the implementation of 7th CPC Recommendation. They are expecting the following two things to be decided at the earliest.

The amount of Increase in the Rates and Percentage of Allowances What will be the Date of effect ..?
Delaying the Decision on the above two issues are the main reason for the frustration of Central Government Employees. The Federation are trying their level best to give pressure through agitation program to invite the attention of Central Government to announce the 7th CPC Allowances as soon as possible.

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7th Pay Commission Allowances related report submitted to Cabinet by Empowered Committee Secretaries

7th Pay Commission Allowances related report submitted to Cabinet by Empowered Committee Secretaries

Highest HRA at 27% as against 30% demanded by Staff Side


As per Zee Business News report, Empowered Committee of Secretaries has presented its report on 7th Pay Commission Allowances to Cabinet for its approval. It is further reported that Cabinet is likely take crucial decision on this issue involving around 50 lakh Central Government Employees during next Week.
Earlier, the Lavasa Committee appointed by the Govt for examining the Allowances related recommendations of 7th Pay Commission submitted its report to Govt recently. Following the usual procedure of examination by Empowered Committee of Secretaries in the case of Financial decision to be taken by Cabinet, the report relating to 7th Pay Commission allowances was also examined by Empowered Committee.

The Empowered Committee of Secretaries (E-CoS) has submitted its report on higher allowances like House Rent Allowance (HRA), Dearness Allowance (DA) and Transport Allowance (TA) under 7th Pay Commission (7th CPC) to Union Cabinet, sources told Alok Priyadarshi of Zee News.

However, the demand of the central government employees that HRA of 10%, 20% and 30% on revised 7th CPC Pay based on classes of cities was not considered in favourably, reports Zee News. Instead, Empowered Committee have recommended highest HRA slab ranging between 25%-27% of the basic as against demand of 30%

7th Pay Commission has earlier recommended house rent allowance at the 24%, 16% and 8% of the 7th CPC revised Basic Pay for Class X, Class Y and Class Z cities respectively.

If the report of the Empowered Committee is acceptable to the Cabinet, it more likely that final decision on revision of 7th Pay Commission Allowances will be taken by Cabinet next week.

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7th Pay Commission: Latest updates on higher allowance

7th Pay Commission: Latest updates on higher allowance

New Delhi: The Empowered Committee of Secretaries (E-CoS) will finally take up higher allowance report on June 1, said Shiv Gopal Mishra, secretary of the National Joint Council of Action (NJCA), which is a centralised union of several central government employees unions, who met the Cabinet Secretary P K Sinha.

The 'Committee on Allowances', which examined the 7th pay commission's recommendations on allowances, submitted its report to the finance minister Arun Jaitley on April 27.

The committee on allowances has suggested some modifications in some allowances that are applicable universally to all employees as well as certain other allowances which apply to specific employee categories, the finance ministry said in a statement.

However, the Committee's report on allowances under the 7th Pay Commission hasn't made public.
The committee on allowances report is being currently examined by the Empowered Committee of Secretaries (E-CoS) headed by Cabinet Secretary P K Sinha set up to screen the 7th pay commission recommendations and to firm up the proposal for approval of the Cabinet.

In June 2016, the government approved 14% pay and pension hike for central government employees and pensioners under the 7th Pay Commission recommendations.

The decision on allowances was postponed at that time because the 7th Pay Commission had recommended abolition of 52 allowances and subsuming of another 36 allowances into larger existing ones out of total 196 allowances. Employee unions were opposed.

Accordingly, the government implemented the recommendation of the 7th Pay Commission from January 1, 2016 in respect of basic pay and dearness allowances, other allowances continued to be paid at old rates.
So, the finance minister Jaitley referred allowances to the committee on allowances headed by Finance Secretary Ashok Lavasa in June last year.

The 7th Pay Commission also recommended slashing the House Rent Allowance (HRA) from 30, 20 and 10 per cent to 24, 16 and 8 percent of the Basic Pay for Class X, Y and Z cities respectively.

The National Joint Council of Action (NJCA) demanded the government to implement higher allowances without further delay with effect from January 1, 2016.

The NJCA also demanded HRA at the rate of 30%, 20% and 10% instead of 24, 16 and 8%.

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7th Pay Commission: No scope to change in higher allowances

7th Pay Commission: No scope to change in higher allowances

New Delhi: Finance Ministry sources today said on condition of anonymity, there is no scope to change in higher allowances, which were recommended by the 7th Pay Commission.

The sources came up with the remark while talking to us about hiking of allowances of all central government employees and officials by the Empowered Committee of Secretaries (E-CoS) better than the 7th Pay Commission recommendations.

Those who will hope over these issues will gain nothing but no change in 7th Pay Commission recommendations on allowances are very much hiking possible, they added.

Replying to a question, the sources said, "The demand of central government employees to hike in allowances than the 7th Pay Commission recommendations is likely not to be considered by the secretaries panel."

"The central government finally decided not to give any facility to central government employees better than the 7th Pay Commission recommendations. Accordingly, the government stuck with the 7th Pay Commission recommendations on pay scales and advances and its implementation have been made forcefully.
Moreover, the government is now engaged in forceful implementation of allowances, which was recommended by the 7th Pay Commission," the finance ministry sources added.

The sources also said that the quantum of allowances may not vary from those proposed by the 7th Pay Commission as the committee on allowances headed by Finance Secretary stuck with the 7th Pay Commission's recommendations on allowances.

The Government will not necessarily be bound by the findings of the Empowered Committee of Secretaries on allowances, the sources confirmed.

"The Empowered Committee will make its proposal," source said. "government will make the decision."
In late June, after implementing the 7th Pay Commission proposals on salary and pension, Finance Minister Arun Jaitley had announced the 'Committee on Allowances', headed by Finance Secretary Ashok Lavasa to examine the suggestions on allowances. It had time till October to give the report but this got delayed.

The decision on allowances was postponed because the 7th Pay Commission wanted a number of these to be abolished or subsumed. Employee unions were opposed.

The 'Committee on Allowances' submitted its report to finance minister Arun Jaitley on April 27.
However, the Committee's report on higher allowances under the 7th Pay Commission haven't made public.
The report on allowances is now examined by the Empowered Committee of Secretaries (E-CoS) headed by the Cabinet Secretary P K Sinha and after it, it will be placed before the Cabinet.

Shiv Gopal Mishra, secretary of the National Joint Council of Action (NJCA), which is a centralised union of several central government employees unions, met with the Cabinet Secretary recently for inordinate delay on implementation of allowances.

The Cabinet Secretary assured Mishra that the Empowered Committee of Secretaries is likely to take a final decision on higher allowances by June 1.

The central government employees now get all allowances except dearness allowance, according to the 6th Pay Commission recommendations until issuing of higher allowances notification.

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7th Pay Commission: Report on allowances to be placed before secretaries panel next week

7th Pay Commission: Report on allowances to be placed before secretaries panel next week
New Delhi: The report on allowances will be placed before the empowered committee of secretaries in the next week for screening, a finance ministry official told on Monday.

The empowered committee of secretaries to take up all issues of allowances, including house rent allowance (HRA), which has been submitted by Committee on Allowances headed by Finance Secretary Ashok Lavasa on its report under the recommendations of the 7th Pay Commission.

The Cabinet approved the setting up of Empowered Committee of Secretaries on January 13, 2016 to process the recommendations of the 7th Pay Commission in an overall perspective. Accordingly, the report of allowances will be screened by that Empowered Committee of Secretaries, the official said.
The finance ministry has set up a 13-member Empowered Committee of Secretaries (E-CoS) headed by Cabinet Secretary P K Sinha on January 27, 2016 on cabinet nod for processing the report of the 7th Pay Commission, which has bearing on remuneration of 47 lakh central government employees and 52 lakh pensioners.

The other members in the panel include secretaries from the Home Affairs and Defence ministry and secretaries of department of personnel and training, pension and PW, revenue, expenditure, posts, health, and science and technology. Chairman of Railway Board, Deputy CAG and Secretary (Security) in the Cabinet Secretariat are also on the panel.

"It will look at all the issues of allowances, including HRA and it will function as a Screening Committee to process the Committee on Allowances report with regard to all relevant factors," the official said.
"The report on allowances is now being examined in the Department of Expenditure. It will be completed shortly, we expect, the finance minister Arun Jaitley next week will hand over it to the Empowered Committee of Secretaries (E-CoS) to examine it and after consideration by the empowered committee of secretaries, the higher allowances shall be placed before the Cabinet for approval.," the official added.
The employees now get all allowances except dearness allowance at the old rates until the cabinet approval of higher allowances.

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Implementation of 7th CPC : Minutes of the 2nd meeting of Empowered Committee of Secretaries (E-CoS)

Implementation of 7th CPC : Minutes of the 2nd meeting of Empowered Committee of Secretaries (E-CoS)

A meeting of the Empowered Committee of Secretaries (E-CoS) was held on 1 st March, 2016 in the Cabinet Secretariat under the chairmanship of the Cabinet Secretary to discuss issues raised by Staff„side of JCM

2. Welcoming the members of E-CoS and JCM Staffrside, Cabinet Secretary observed that the meeting had been called to take a note of concerns of Stäff-$ide of JCM regarding recommendations of the 7th CPC and invited the members Of Staff-side of JCM to share their views on the recommendations.

3. Opening the discussion, representative of Staff-side of JCM expressed gratitude to Cabinet Secretary for inviting them for interaction regarding the recommendations of the 7th CPC and requested that more frequent interactions of JCM may be held to resolve outstanding issues across the table. It was expressed that 7th CPC has recommended a meager increase of 14% in the minimum pay as against increase ranging up to 54% during previous Pay Commissions. It was further stated that the recommendations on minimum pay, allowances, advances etc. will cause difficulty to employees. Representative of Staff-side informed that they have already submitted a charter of demands to the Cabinet Secretary bringing out the issues. These have also been discussed in the meeting of JS (IC) with Staff-side of JCM held on 19.02.2016.

4. Major concerns expressed by JCM Staff-side were as under:

The minimum pay of Rs. 18000/- p.m. recommended by the Commission is on lower side and needs to be revised upward by taking into account the prices of commodities as on 01.07.2015 and appropriately factoring in for social obligations & housing.

(ii) New Pension Scheme should be done away with. Persons governed by the NPS are deprived of Family Pension and do not have provision of provident fund. As a result they are at a disadvantageous position as compared to the persons governed by the old system.

(iii) Recommendations on allowances need to be properly examined before taking a decision.

(iv) Fixed Medical Allowance should be increased from existing Rs. 500 p.m. to Rs. 2000 p.m. as majority of cities are not covered under CGI-IS and people residing outside the CGHS covered area are unable to meet their medical needs with meager amount of Rs. 500 p.m.

(v) Recommendation regarding withdrawal of non•interest bearing advances may not be accepted.

(vi) Outsourcing of services should be discouraged as the contract workers are being exploited by contractors and at the game time the service delivery is being compromised due to inefficiency and lack of accountability of low aid contractual staff.

(vii) Enhancement in contribution towards Group Insurance Scheme, is not justified as this would reduce the actual increase in take home salary considerably. If the rates are to be raised, the Government should bear the insurance premium

(viii) The recommendation regarding grant of only 80% of salary for the second year of Child Care Leave need not be accepted as this would deter women from availing of CCL, which was introduced as a welfare measure.

(ix) Annual increments be granted @ 5% instead of existing 3% and increments may be granted on two dates viz., 1 st of January and 1 st of July of every year as in the present system of grant of increment on 1 st July of every year, employees joining/promoted after 1 st January, who do not complete 6 months services as on 1 st July, have to wait for up to 18 months for grant of increment.

(x) The Commission’s recommendation of downgrading the Assistants of Central Secretariat for bringing in parity with their counterparts in the field offices is not appropriate.
(xi) Recommendation regarding PRIS need not be accepted as no scientific mechanism has been devised to assess the performance of employees and the same could e courage favoritism.

5. Issues regarding financial upgradation under MACPS in promotional hierarchy without grading stipulation. grant of two increments on promotion introduction of Productivity Linked Bonus, treating Grameen Dak Sevak as Government employees, removal of pap of 5% on compassionate appointment of  full pay and allowances In case of Work Related Illness and Injury Leave improving promotional avenues for technical and supervisory staff etc. were also raised by members of JCM.

6. During the discussion, representatives of JCM also suggested that the Nodal Officers nominated by various Ministries/Departments may hold interactions with recognized Staff Associations and other stakeholders under their purview so as to identify issues specific to those Ministries/Departments for redressal.

7. After hearing the participants, Cabinet Secretary observed that the deliberations have helped E-CoS in understanding the major concerns of the Staff-side and said that all issues have been taken note of. He assured that fair consideration will be given to all points brought out by JCM before taking a final view. He further stated that the E-CoS needs to examine the Report of the Commission in entirety as well as the issues raised by JCM in consultation with all other stakeholders. As such, it may take some time to take a final call on the recommendations of the Commission.

8. Cabinet Secretary also advised the members of E-CoS to hold interactions with their Staff Associations and other stakeholders under their purview preferably within a week.

9. Meeting ended with vote of thanks to the chair.

Venue: Committee Room, Cabinet Secretariat, Rashtrapati Bhawan
Date of Meeting: Thursday, the 1 st March, 2016
Time of Meeting: 6:45 PM

Members of E-CoS present
1 Cabinet Secretary
2. Chairman, Railway Board
3. Home Secretary
4 Defence Secretary
5 Secretary, D/o Science & Technology
6. Secretary, D/o Personnel & Training
7. Secretary, M/o Health & Family-Welfare
8. Secretary, D/o Pension and Pensioner’s Welfare
9. Secretary (Security), Cabinet Secretariat
10. Secretary, D/o Posts
1 1 . Deputy Comptroller and Auditor General

Secretariat for E-CoS:
1. Joint Secretary, Implementation Cell, D/o Expenditure
2. Director, Implementation Cell, D/o Expenditure

Representatives of JCM (Staff-side):
1 . Shri Shiv Gopal Mishra
2. Shri M. Raghavaiah
3. Shri Rakhal Das Gupta
4. Shri Ch. Sankara Rao
5. Shri J.R. Bhosle
6. Shri Guman Singh
7. Shri R.P. Bhatnagar
8. Shri K.S. Murty
9. Shri K.K.N. Kutty
10. Shri C. Srikumar
11 . Shri R. Srinivasan
12. Shri M. Krishnan
13. Shri M.s. Raja

Source : Indwf.blogspot.in

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