Central Government Employees Strike on 2nd September 2015 – Confederation appeals for making Strike successful – 12 Point Charter of Demands of Central Trade Unions not met by Govt
Officers and Officials should refer their Service matter Grievances through proper channel and not directly to Prime Minister or Other Ministers, Secretary (P) and other higher level officers
Tenure of 7th Pay Commission extended for four more months – Union Cabinet approved the extension of tenure of 7th CPC up to 31.12.2015
Extension of the term of the 7th Central Pay Commission
7th pay commission will submit its report by the end of September
The Vth CPC, headed by justice A.K. Mathur, has sought a one-month extension from the finance ministry and is preparing to submit its report by the end of September. The commission is unlikely to recommend the lowering of the retirement age as rumoured earlier or push for lateral entry and performance-based pay.
The commission, set up once in every 10 years to review pay, allowances and other benefits for central government employees, was appointed by the previous government on 28 February 2014 and was asked to submit its report in 18 months, which falls on 31 August.
“There are some data points that are missing, which we hope to get by this month end. We are trying to submit the report by 20 September,” an official of the commission said, speaking on condition of anonymity.
The Sixth Pay Commission had submitted its report a little ahead of its deadline on 24 March 2008. The revised pay scales were implemented retrospectively starting 1 January 2006, while recommendations relating to allowances were implemented prospectively.
The finance ministry apprehends that salary and pension expenditure will both rise by around 16% in 2016-17 as a result of the implementation of the Pay Commission recommendations. This may allow capital expenditure to grow by no more than 8% during the year, leaving little room to aggressively push for an infrastructure build-up.
“The Pay Commission impact may have to be absorbed in 2016-17. The phase of consolidation, extended by one year, will also be spanning out in this period. Thus, in the medium-term framework, the fiscal position will continue to be stressed,” the finance ministry said in the 2015-16 budget presented in February.
The official cited earlier said the Pay Commission report needs to be effective from 1 January 2016, or by April 2016 at the latest.
“It will be the government’s prerogative when to implement it. But beyond 1 January 2016, there will be arrears. But then, the government will be subject to criticism. Earlier, they had hidden behind Pay Commissions giving late reports,” he added.
However, the official said the commission is likely to maintain the status quo on the retirement age of CG employees, currently 60 years. “We are not going to either recommend lowering or raising the retirement age. If we lower the age limit, the pension burden will bust the government’s medium-term fiscal targets,” he added.
Asked whether government has sent any directives to the commission on the kind of hike it can afford, the official said the message it has got broadly is to keep the hikes low. “Merge the basic with dearness allowance, don’t stretch it beyond—that is the message. But that is a good message for the government to send. But there is no pressure otherwise. In fact, there is a lot of cooperation,” he said.
The official said merging basic pay with dearness allowance, which is mandatory, would itself mean a 155% rise for central government employees. “We have to decide how much to give above that. So, it will look good if you compare basic to basic,” he added.
On whether the commission will recommend performance-based pay bands, he said it will make some feasible recommendations, though he couldn’t guess if the government would accept them. The Sixth Pay Commission had also recommended performance-based pay revisions, but the government is yet to implement them.
“Eighty-eight percent of central government employees are industrial and non-industrial workers working with railways, post, paramilitary and army. So, performance-based pay revision is the wrong instrument for them. Biggest growth in government services is in paramilitary forces, where staffs in Central Reserve Police Force and Central Industrial Security Force have gone up by 75-80% in the last 10 years. By the time we have dealt with them, the bureaucracy is an afterthought. It does not affect anything,” he added.
D.K. Joshi, chief economist at rating agency Crisil Ltd, said the government is expected to be restrained in its pay hikes this time around, given the low inflation level and tepid growth momentum. “The last two Pay Commissions had significantly bumped up demand and fiscal deficit. But the government is unlikely to be populist this time. It has already showed restraint in the hike in minimum support prices for farmers,” he said.
However, Joshi said the Pay Commission will have a permanent income effect as well as a one-time impact through the payment of arrears, which will lead to increase in demand for consumer durables.
Source : Livemint.com
The Hindi daily Dainik Baskar quoted in its report published on 22.8.2015 about report of Seventh pay commission that the pay commission report will be submitted by second week of September 2015,
According to its report the Seventh Pay Commission report to be submitted to the government will be examined by the senior CoS, which will take two months. Then it will be submitted to the Ministry of Finance, which will be implemented from 1st January, 2016,
According to sources the fitment formula 2.86 would be recommended by 7th pay commission.
The report published in Hindi is given below…
7वें वेतनमान में दोगुना हो सकता है वेतन
सातवें वेतन आयोग की रिपोर्ट सरकार के सौंपे जाने के बाद वरिष्ठ सचिवों की समिति इसका परीक्षण करेगी, जिसमें दो महीने का समय लगेगा। इसके बाद इसे वित्त मंत्रालय को सौंपा जाएगा, जिसे वह अगले साल 1 जनवरी 2016 से लागू करने हरी झंडी देगा, इसे जस का तस मौजूदा वेतन का 2.86 गुना बढ़ाया जाने पर सरकार पर 1 लाख 28 हजार करोड़ रुपए का अतिरिक्त भार आएगा। इधर केंद्रीय अधिकारी कर्मचारियों के संगठन ने सरकार को चेतावनी भी दे दी है कि यदि सेंट्रल-पे- कमीशन (सीपीसी) की रिपोर्ट में ज्यादा कटौती होती है तो वे हड़ताल पर भी जाने का कदम उठा सकते हैं।
सातवें वेतन आयोग से केंद्र सरकार कर्मचारियों की तनख्वाह दोगुनी होने की संभावना है। आयोग की रिपोर्ट सितंबर के दूसरे सप्ताह में केंद्र सरकार को सौंपी जाना है। केंद्र सरकार के 55 लाख कर्मचारियों में से एक लाख मप्र में कार्यरत हैं। नया वेतनमान 1 जनवरी 2016 से लागू होना है। सूत्रों के अनुसार सातवें वेतन आयोग में ग्रेड-पे को खत्म किया जा रहा है, जिसके स्थान पर 15 नए स्केल बनाए जा रहे हैं। इन स्केल में वेतनमान रहेंगे और उस पर महंगाई भत्ता देय होगा। इसी के अनुसार अन्य सुविधाओं मकान भाड़ा और परिवहन भत्ता दिया जाएगा। फिलहाल लागू छठे वेतनमान में कर्मचारियों की 33 साल की सेवा पूरी होने के बाद रिटायरमेंट का फार्मूला लागू है। इसके पीछे कर्मचारियों को रिटायरमेंट पर साढ़े सोलह महीने के वेतन के बराबर ग्रेच्युटी का भुगतान किया जाना है। इस सेवा के बाद कर्मचारी पूरी पेंशन का हकदार होता है। इसे सातवें वेतनमान में भी लागू किया जाना प्रस्तावित है।
अभी सीपीसी की रिपोर्ट सरकार को सौंपी जाना है, उस पर वरिष्ठ सचिवों की समिति विचार करेगी। इसके बाद इसे अंतिम रूप दिया जाएगा। इसमें जो भी विसंगति होगी, उस पर चर्चा करेंगे। – केकेएन कुट्टी, अध्यक्ष, केंद्रीय कर्मचारी परिसंघ
यह है प्रस्तावित स्केल
छठे वेतनमान ग्रेड-पे पे- बैंड (मूल वेतन) सातवां वेतनमान ( प्रस्तावित)
पीबी-1 में 2400 से 2800 रुपए ग्रेड-पे 5200-8650 रुपए तक 21000- 46000 रुपए
पीबी-2 में 4200 से 5400 रुपए ग्रेड-पे 9300- 15600 रुपए तक 56000 – 78000 रुपए
पीबी-3 में 5400 से 7600 रुपए ग्रेड-पे 15600-21900 रुपए तक 88000- 1,20000 रुपए
पीबी-4 में 8900 से 10,000 रुपए ग्रेड-पे 37400-43000 रुपए तक 1,48000 -1,62000 रुपए
एचएजी 75500 से 80,000 रुपए तक 1,93000 रुपए
अपेक्स स्केल 80,000 रुपए फिक्स्ड 2 ,13000 रुपए
कैबिनेट सेक्रेटरी 90,000 रुपए फिक्स्ड 2,40000 रुपए
नोट : फिलहाल अधिकारी-कर्मचारियों को मूल वेतन, ग्रेड-पे पर 113 प्रतिशत डीए, एचआरए एवं ट्रांसपोर्ट अलाउंस मिल रहा है। इसके अलावा 6 प्रतिशत डीए जुलाई का बकाया है।
Source: Dainik Bhaskar
FM speaks on Implementation of 7th Pay Commission report in Parliament and tables Medium Term Expenditure Frame Work Statement – Central Government Employees Salary Expenditure to cross Rs. 1 lakh Crore.
Central government employees are being promised bigger pay and allowances in fiscal 2016-17 as Finance Minister Arun Jaitley said in the Parliament on February 27, “the Seventh Pay Commission impact may have to be absorbed in 2016-17.”The Finance Ministry and the seventh central pay commission said nothing till date about this after the above announcement was made by Jaitley in his pre-budget speech for fiscal year 2015-16. Central government employees have expressed frustration at this, and are worried that the the seventh central pay commission’s recommendations might not be come out in time.
After getting pay panel recommendations, the finance ministry will review the recommendation and present the report to the cabinet but the car bazar and real estate markets will attempt to prevent the implementation pay panel in time because of the delayed implementation of the Pay Commission will not only employees getting more arrears but could also drive the car sales and real estate markets. Earlier, the central government employees got arrears for more than 30 months because of the delayed implementation of the Sixth Pay Commission in October 2008; it’s resulted in robust demand for car loans and house loans. The employees paid margin amount of loans from arrears and instalments from their new hike salaries.
According to Neelkanth Mishra of Credit Suisse, nearly one-third of India’s middle class is employed by the government and as the Seventh Central Pay Commission comes through, there will be an improvement in discretionary spending. “In Tier 3, Tier 4 towns where government employees are 50-60 per cent of the middle class, it is very likely that real estate markets will take off again,” he said.
If implantation of Seventh Pay Commission occurs in time, then car bazar and real estate markets, will have become sufferers.So, there are miles to go before the pay panel recommendations will be implemented for Central government employees and fund allocation in the next budget and other issues like pretext of Fourteenth Finance Commission recommendations are expected to prevent implementation of pay commission in time for giving benefit to the car bazar and real estate markets at the cost of central government employees.However, Union Railways Minister and Home Secretary have sought reforms and a better salaries and allowances for top Railways officials and paramilitary forces respectively.