Government is planning to abolish the system of formation of Pay Commission in future? Lok Sabha

Government is planning to abolish the system of formation of Pay Commission in future? Lok Sabha

Government of India
Ministry of Finance
Department of Expenditure 

LOK SABHA
UNSTARRED QUESTION NO. 3164

TO BE ANSWERED ON FRIDAY, THE JANUARY 05, 2018
PAUSHA 15, 1939 (SAKA)

NATIONAL ANOMALY COMMITTEE

QUESTION

3164. SHRI CH. MALLA REDDY:

Will the Minister of FINANCE be pleased to state:

(a) whether the National Anomaly Committee (NAC) under the 7th Central Pay Commission has submitted its interim report, if so, the details thereof;

(b) whether the Government is planning to abolish the system of formation of Pay Commission in future, if so, the details thereof and the reasons therefor;

(c) whether the Government is considering to adjust the salaries of its employees and pensioners Deafness Allowance (DA) that crosses the 50 per cent mark, if so, the details thereof and if not, the reasons therefor; and

(d) whether the Department of Expenditure planning to take the responsibility to regularly monitor salaries and allowances of central government employees and recommend the changes if needed, if so, the details thereof and the reasons therefor?

ANSWER
MINISTER OF STATE IN THE MINISTRY OF FINANCE
(SHRI P. RADHAKRISHNAN)

(a): The National Anomaly Committee set up by the Department of Personnel Training in August, 2016 following the decision of the Government on the recommendations of the 7th Central Pay Commission has not yet met.

(b) to (d): No such proposals are at present under consideration.

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7th Pay Commission: Will government raise minimum pay?

7th Pay Commission: Will government raise minimum pay?

The pay rise, the finance ministry says, should take place in January, and would mean a pay rise for 4.8 million central government employees and 5.5 million pensioners. If the government decides to implement the rise, which it may do after the completion of Gujarat and Himachal Pradesh assemblies poll process, it would be the second successive pay hike, and would bring the real value of the minimum pay back in line.

A top Finance Ministry official, who did not wish to be named, indicated the government will be taking the proposal seriously, but cannot implement the pay rise now, it will be decided after the Gujarat and Himachal Pradesh assemblies elections.

This would represent minimum pay rise of Rs 21,000 for central government employees. If this recommendation were accepted, the value of the minimum pay would be higher than the recommendations of the 7th Pay Commission of Rs 18,000 and the government is now making good progress towards restoring the value it lost during the previous period of its cabinet nod, he said.

The National Anomaly Committee (NAC), which has been formed to look into pay anomalies arising out of the implementation of the 7th Pay Commission's recommendations, has to strike a delicate balance between what is fair for employees and what is affordable for the government, without costing jobs. It does so impartially and without political interference. It is important that it is able to complete to do its work before Gujarat and Himachal Pradesh elections, he added.

A rise in the minimum pay would be a good political move for the BJP, as it would bolster their argument on the cost of living debate for benefit poor and middle class, where Congress said that Modi government gave India achhe din with a broken GST and failed note ban.

Prime Minister Narendra Modi has killed the country's economy by firing "double tap" shots of note ban and GST into it, Congress vice president Rahul Gandhi said.

The economic experts are also worried about the GST and note ban’s effect on exchequer. If such a situation is not chaos, then how is government going to implement minimum pay Rs 21,000?

But the official has said that it is possible for the minimum pay to jump up to Rs 21,000 with fitment factor 3.00 to reap political gains for BJP in future, but such a rise is less likely now the the central government employees unions’ demanding for hiking minimum to Rs 26,000 with fitment factor 3.68. If fitment formula is tinkered with 3.00, the salary and pension in general for all segments of employees will go up.

Earlier, the government had given nod minimum pay from Rs 7,000 to Rs 18,000 per month with fitment factor 2.57 on the recommendations of the 7th pay commission. Finance Minister Arun Jaitley had also promised to raise minimum pay in a meeting with the central government employees unions leaders on June 30, 2016, the day after the cabinet approval of the 7th Pay Commission's recommendations.

TST

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7th Central Pay Commission (CPC) - Revision of pension of pro-1.1.2016 Defence Forces pensioners/ family pensioners

7th CPC Revision of Pension of Pre-2016 Defence forces Pensioners/family Pensioners: DESW Order 04.09.2017 in view of NAC decision

No. 17(01)/2017(01)/D(Pension/Policy)

Government of India
Ministry of Defence
Department of Ex-Servicemen Welfare
New Delhi, Dated 4th September, 2017

To
The Chief of the Army Staff
The Chief of the Naval Staff
The Chief of the Air Staff

Subject : Implementation of Government's decision on the recommendations of the 7th Central Pay Commission (CPC) - Revision of pension of pro-1.1.2016 Defence Forces pensioners/ family pensioners etc.

Sir,
The undersigned is directed to refer to this Ministry's letter No. 17(01)/2016 D(Pen/Pol) dated 29th October 2016 for revision of pension of pre-2016 Defence Forces pensioners/ family pensioners in implementation of the Government decisions on the recommendations of the 7th CPC. As per para 9 of this Ministry's said order dated 29th October 2016 the revision of disability element of disability pension was held in abeyance pending decision of National Anomaly Committee to whom matter was referred by MoD to decide methodology for calculation of disability element of disability pension under 7th CPC. The National Anomaly Committee has recommended that parity with Civilians for grant of Disability element which was granted to Defence Forces under 6th CPC, shall be maintained.

2. The recommendations of the National Anomaly Committee have been considered by the Government. In partial modification of Ministry's order dated 29th October 2016, the President is now pleased to decide that Disability element of disability pension for Defence Forces Pensioners shall also be revised by multiplying the existing rate of disability element as had been drawn on 31.12.2015 by factor of 2.57 to arrive at revised rate of disability element as on 1.1.2016. The amount of revised disability element so arrived shall be round-ed off to next higher rupee.

3. Para 13 of this Ministry's above quoted letter dated 29.10.2016 regarding "Ex-gratia awards to Cadets in cases of disablement" shall be replaced with the following:
13. EX-GRATIA AWARDS TO CADET (DIRECT) The ex-gratia award payable to Cadet (Direct)/ NoKs in cases of disablement / death shall be payable subject to the same conditions as hitherto in force in the event of invalidment on medical ground / death of a Cadet (Direct) due to causes attributable to or aggravated by military training

(i) Monthly Ex-gratia amount of Rs 9,000/- per month
(ii) In cases of disablement, Ex-gratia disability award @ Rs 16,200/- per month shall be payable in addition for 100% of disability during period of disablement subject to prorata reduction in case the degree of disablement is less than 100%. "No ex-gratia disability award shall be payable in cases where the degree of disablement is less than 20%."

4. The dearness relief sanctioned by the Government from 1.1.2016 and thereafter, shall also be paid on rates of disability element and monthly ex-gratia award to Cadet(Direct), revised in accordance with the provision of this letter.

5. Vide para 10(ii) of MOD order dated 29.10.2016, it was ordered to pay the Constant Attendance Allowance(CAA) at the existing rate since matter regarding grant of Allowances was under examination by the Committee on Allowances (CoA). in this regard, Ministry of Finance vide Resolution dated 6th July 2017 (Appendix II item 37 has accepted the recommendation of 7th CPC to enhance the existing Constant Attendance Allowance @ 4500/ p.m. by 50%. DoP&PW vide O.M No. 1/4/2017-P&PW(F) dated 2.8.2017 has issued orders in this-regard for civilian pensioners. Accordingly, for Armed Forces personnel the Constant Attendant Allowance shall continue to be admissible under the condition as hitherto fore at the existing rate from 1.1.2016 to 30.06.2017. However, it shall now be admissible at the enhanced uniform rate of Rs. 6750/- per month, irrespective of the rank with effect from 1.7.2017.

6. With reference to the provisions contained in Para 5.4 of this Ministry's letter dated 29th October, 2016, it is further clarified that the maximum ceiling shall be applicable only in the case of Service/Retiring Pension, Service element of Disability/ liberalized disability /War Injury Pension and Ordinary family Pension. The said ceiling is not applicable in the cases of Disability/ Liberalised Disability/ War injury element. Special Family/ Liberalized Family Pension etc. applicable under casualty pensionary awards.

7. The provisions of this Ministry's letter dated 29th October 2016, which are not affected by the provisions of this letter, shall remain unchanged.

8. The provisions of this letter shall take effect from 1.1.2016

9. This issues with the concurrence of Finance Division of this Ministry their U.O. No. Part File (1) to (30)(01)/2016/Fin/Pen dated 14th August 2017.

10. Hindi version will follow.

Yours faithfully,

(Manoj Sinha)
Under Secretary to the Government of India

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Standing Committee meeting held on 25.10.2016 & ATS in respect of NAC meetings held after 6th CPC

Standing Committee meeting held on 25.10.2016 & ATS in respect of NAC meetings held after 6th CPC

F.No.11/1/20156-JCA
Government of India
Ministry of Personnel, Public Grievances and Pensions
Department of Personnel & Training

North Block, New Delhi
Dated the 21st February, 2017

To
Shri Shiva Gopal Mishra
Secretary,
National Council Staff-Side (JCM),
13-C, Ferozshah Road,
New Delhi.

Subject:- 1. Standing Committee meeting held on 25.10.2016- ATS reg.
2. ATS in respect of NAC meetings held after 6th CPC

Sir,
I am directed to refer to the discussion held in the Standing Committee meeting on 25.10.2016 under the Chairmanship of Secretary(P) in DoPT, and to send herewith a copy of an Action Taken Statement (ATS) in respect of 19 items on which discussion was held in that meeting. The information in respect of the other items also discussed in the same meeting will be sent upon receipt of the ATS from other Ministries/Departments which is still awaited.

2. Additionally, as discussed in the same meeting, a copy of the ATS on the items discussed in the first 4 meetings of the National Anomaly Committee (NAC) during the 6th CPC regime, and as circulated with the O.M. no. 11/1/2015-JCA dated 19.06.2015 is also being sent herewith once again for your perusal.
A regards the ATS of the two NAC meetings held on 29.05.2015 and 09.06.2015 they are being sent separately.

3. Holding the next meeting of the Standing Committee is also under consideration. It is, therefore, requested that new agenda items which the Staff-Side consider for discussion in the next meeting may be sent to the DoPT urgently.

Encl: As above

Yours faithfully,
sd/-
(D.K.Sengupta)
Deputy Secretary, JCA

Click to view the detailed report of points discussed in last 4 NAC Meetings
Source: http://confederationhq.blogspot.in/

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