Wednesday, August 26, 2015

Extension of the term of the 7th Central Pay Commission

The Union Cabinet chaired by the Prime Minister, Shri Narendra Modi, today gave its approval for the extension of the term of the 7th Central Pay Commission by four months up to 31.12.2015. 

Background:

The 7th Central Pay Commission was constituted by the Central Government on 28.2.2014. According to the Resolution dated 28.2.2014, by which the Commission was constituted, it is to make its recommendations within 18 months of the date of its constitution that is by 27th August, 2015. 

In view of its volume of work and intensive stake-holders' consultations, the 7th Central Pay Commission had made a request to the Government for a four month extension up to 31.12.2015. 

-- PIB

Seventh Central pay panel to submit report next month

Seventh Pay Commission set up by the government to revise pay scales of central government employees will submit its report by September end, said its Chairman Justice A K Mathur here today.
The Commission, which was set up by the UPA government in February 2014 to revise remuneration of about 48 lakh central government employees and 55 lakh pensioners, was required to submit its report by August end.
“The Commission will submit its report by the end of September” Justice Mathur told PTI.
The government constitutes pay commission almost every ten years to revise the pay scales of its employees and often these are adopted by states after some modification.
The Commission has already completed discussions with various stakeholders including organisations, federations, and groups representing civil employees as well as Defence Services.
It is now in the process of finalising its recommendations.
The recommendations of the Seventh Pay Commission are scheduled to come into effect from January 1, 2016.
The other members of the Commission are Vivel Rae, Rathin Roy and its secretary Meena Agarwal.
The Sixth Pay Commission was implemented with effect from January 1, 2006, the fifth from January 1, 1996 and the fourth from January 1, 1986.
Source : http://www.thehindubusinessline.com/economy/policy/seventh-central-pay-panel-to-submit-report-next-month/article7579254.ece

Monday, August 24, 2015

Allocation for 7th Pay Commission Pay as Medium term Expenditure Framework of Finance Ministry

The Speech is critically reviewed by Comrade Elangovan of DREU.

7TH CPC WIL INCREASE CENTRAL GOVERNMENT PAY ONLY BY 15%.  SHOULD WE ACCEPT?

R.ELANGOVAN,
WORKING PRESIDENT, DREU

1. The Medium Term Expenditure Framework statement has not yet been uploaded in Finance Ministry’s website. However I have taken the figures provided by print media including The Hindu. As per their statement the expenditure on salaries will rise by 9.56% in the fiscal 2015-16 as a result of 7th CPC implementation over the normal estimated expenditure in the 2015-16 budget to Rs.100619 crores. This means that the expenditure projected was Rs.91,839cr which if increased by 9.56% becomesRs.100619 crores.

2. While going through the earlier framework statements I have come to the conclusion that the ‘salaries’ shown is pay with normal increments plus DA projected.

3. As per the estimated strength and provision there of statement laid as part of finance budget,the normal projection as PAY was Rs.60731 cr and so DA is Rs 31,108 as deducted from Rs 91 839 cr. The budget document does not give the DA expenditure separately. It gives the total expenditure on all allowances. I have therefore arrived at the figure based on calculations. However I have sought the expenditure on DA, HRA, and Transport Allowance separately through RTI.

4. The increase proposed is Rs.100619 cr from Rs.91,839cr which means that there will be an increase of Rs.8780 cr. There won’t be any DA after 1-1-2016 up to 31-3-2016 in the fiscal 2015-16.Therefore the whole increase is on basic pay in this fiscal.

5. As we have already seen that the basic pay is Rs.60731 cr. the increase of Rs.8780 cr. is over this Rs.60731.This increase is 14.45% only. The expenditure projected for 2016-17 is Rs.1,12,000cr which is Rs.11,400 more over 2015-16 which works out to 11.32%. This is due to Increment, DA,HRA, TRA etc. The projection for 2017-18 is 1,16,000 cr.

6. If 40% of Basic Pay is to be given,the increase of expenditure in the fiscal 2015-16 must be Rs. 24000 cr as against the Rs. 8780 cr. The demand of JCM Staff side is that there must be an increase of 371% of basic pay as on 1-1-2016. With the 119% DA we would be drawing 219% already. The real increase demanded is 152% of Basic Pay. So not the 152% or 40% of 5th and 6th CPC is intended to be given to us. Only around 15% is going to be given. As The Terms Of Reference of 7TH CPC directs them to recommend only what is ‘ FEASIBLE AND DESIRABLE’ to the Government. Now the Government In Parliament states only 15% is FEASIBLE AND DESIRABLE. ARE WE TO ACCEPT IT.?Some PSUs got 15%. But that is for 5 years. But for Central Government Employees it is for Ten Years. Are We To Accept?

7. Pension expenditure for civilian pensioners was estimated to be Rs.27,145cr and defence pension Rs.54,500 cr. The total is Rs.81645 cr. This is expected to go up to Rs.88521 cr, which is an increase of Rs.6876 cr. As there will be no Dearness Relief for the fiscal 2015-16 the increase is to be accounted only to Basic Pension.

8. I have sought the expenditure break up for dearness relief under RTI. However the rough calculation shows a near increase of same 15% in Pension.

9. The impact of 6th CPC on expenditure as per estimated strength of establishment and provision there of in respect of Central Government civilian employees was as follows:
ARREARS Rs 26084 cr. For three years mostly on Pay and DA regular PAY Increase per annum: Rs 8685 cr. These are actual figures. The 219% of Rs. 8685 crores Rs.19000 cr. EVEN THIS IS NOT GIVEN.

10.We must issue a warning to the government afresh demanding acceptance of our demand. I recall my earlier note where in I had quoted BibekDebroy’s report that the 7th CPC will not be that destabilising to the Government as that of 6th CPC. GOVERNMENT PROVES THAT.

Source : http://postalpensioners.blogspot.in/2015/08/big-expectations-from-7th-cpc-and-low.html

Sunday, August 23, 2015

Seventh Pay commission Report will be submitted by second week of September 2015

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

Saturday, August 22, 2015

Seventh Pay Commission May Recommend Permanent Pay Panel

The Seventh Pay Commission is likely to recommend the government to form a permanent pay panel to give recommendations to the government from time to time on issues pertaining to pay structure of central government employees

The permanent pay panel would recommend regular salary hikes in keeping with the rate of inflation.

The formation of the permanent pay panel would help raise the salaries and allowances of central government officials and employees, an official of the pay panel said.

He added the permanent pay panel would recommend salary and allowance hikes in keeping with the rising inflation rate, which will be implemented by the government. “Then it will not be necessary to form a new commission during the next several years for central government employees.”

However, the Seventh Pay Commission got one month extension to submit its recommendations.

Accordingly it is expected to submit its report by the end of September. The time allotted for the commission ends this month.

The government appointed the Seventh Pay Commission on 28 February 2014 under chairman, Justice Ashok Kumar Mathur, with a time frame of 18 months to make its recommendations

“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,” the official of the pay panel also said.

The government’s salary bill will rise by 9.56% to Rs 1,00,619 crore with the implementation of the recommendations of the Seventh Pay Commission, according to a statement tabled in Parliament by Finance Minister Arun Jaitley on August 12.

The recommendations of the Seventh Pay Commission, is likely to be implemented in April, next year.

Source : http://www.tkbsen.in/2015/08/seventh-pay-commission-may-recommend-permanent-pay-panel/

Big Expectations from 7th CPC and Low possibilities projected by Union Finance Minister!

Honourable Finance Minister Shri.Arun Jaitely had spoken about the possible impact of 7th CPC recommendations in Parliament.

The Speech is critically reviewed by Comrade Elangovan of DREU.

7TH CPC WILL INCREASE CENTRAL GOVERNMENT PAY ONLY BY 15%.

SHOULD WE ACCEPT?

R.ELANGOVAN,
WORKING PRESIDENT, DREU

1.     The Medium Term Expenditure Framework statement has not yet been uploaded in Finance Ministry’s website.However I have taken the figures provided by print media including The Hindu.As per their statement the expenditure on salaries will rise by 9.56% in the fiscal 2015-16 as a result of 7th CPC implementation over the normal estimated expenditure in the 2015-16 budget to Rs.100619 crores. This means that the expenditure projected was Rs.91,839cr which if increased by 9.56% becomesRs.100619 crores.


2.     While going through the earlier framework statements I have come to the conclusion that the ‘salaries’ shown is pay with normal increments plus DA projected.

3.     As per the estimated strength and provision there of statement laid as part of finance budget,the normal projection as PAY was Rs.60731 cr and so DA is Rs 31,108 as deducted from Rs 91 839 cr.The budget document does not give the DA expenditure separately. It gives the total expenditure on all allowances. I have therefore arrived at the figure based on calculations. However I have sought the expenditure on DA, HRA, and Transport Allowance separately through RTI.

4.     The increase proposed is Rs.100619 cr from Rs.91,839cr  which means that there will be an increase of Rs.8780 cr. There won’t be any DA after 1-1-2016 up to 31-3-2016 in the fiscal 2015-16.Therefore the whole increase is on basic pay in this fiscal.

5.     As we have already seen that the basic pay is Rs.60731 cr. the increase of Rs.8780 cr. is over this Rs.60731.This increase is 14.45% only.The expenditure projected for 2016-17 is Rs.1,12,000cr which is Rs.11,400 more over 2015-16 which works out to 11.32%. This is due to Increment, DA,HRA, TRA etc.The projection for 2017-18 is 1,16,000 cr.

6.     If 40%  of Basic Pay is to be given,the increase of expenditure in the fiscal 2015-16  must  be Rs. 24000 cr as against the Rs. 8780 cr. The demand of JCM Staff side is that there must be an increase of 371% of basic pay as on 1-1-2016. With the 119% DA we would be drawing 219% already. The real increase demanded is 152% of Basic Pay.So not the 152% or 40% of 5th and 6th CPC is intended to be given to us. Only around 15% is going to be given.As The Terms Of Reference of 7TH CPC directs them to recommend only what is‘FEASIBLE AND DESIRABLE’to the Government.Now the Government InParliament states only 15% is FEASIBLE AND DESIRABLE. ARE WE TO ACCEPT IT.?Some PSUs got 15%. But that is for 5 years. But for Central Government Employees it is for Ten Years.Are We To Accept?

7.     Pension expenditure for civilian pensioners was estimated to be Rs.27,145cr and defence pension Rs.54,500 cr. The total is Rs.81645 cr. This is expected to go up to Rs.88521 cr, which is an increase of Rs.6876 cr.As there will be no Dearness Relief for the fiscal 2015-16 the increase is to be accounted only to Basic Pension.

8.     I have sought the expenditure break up for dearness relief under RTI. However the rough calculation shows a near increase of same 15% in Pension.

9.     The impact of 6th CPC on expenditure as per estimated strength of establishment and provision there of in respect of Central Government civilian employees was as follows:

ARREARS Rs 26084 cr.  For three  years mostly on Pay and DA regular PAY Increase per annum:   Rs 8685 cr. These are actual figures.The 219% ofRs. 8685 cris  Rs.19000 cr. EVEN THIS IS NOT GIVEN.

10.We must issue a warning to the government afresh demanding acceptance of our demand.I recall my earlier note where in I had quoted BibekDebroy’s report that the 7th CPC will not be that destabilisingto the Government as that of 6th CPC. GOVERNMENT PROVES THAT.

Source http://postalpensioners.blogspot.in/2015/08/big-expectations-from-7th-cpc-and-low.html

Tuesday, January 7, 2014

Minutes of the 7th CPC Seminar on Common Demands COC KARNATAKA

The seminar on 7th CPC common demands held at Income Tax office Bangalore on 18/12/13 which was presided over by Com S.Radhakrishna Working President COC Karnataka.

The seminar  was attended by following affiliates of COC Karnataka.
1) All India Postal Employees Union. 
2) Income Tax Employees Federation. 
3) Postal Accounts Employees Association.
4) RMS Employees Association.  
5) Central Ground Water Board Employees Association. 
6) Indian Audit & Accounts Employees Association 
7) Survey of India Employees Association. 
8) Census Employees Association. 
9) Atomic Energy (RMP Mysore) Employees Association. 
10) P& T Audit Employees Association. 
11) GPO Employees Association. 
12) Postal Admin Employees Association. 
13) Central Excise Employees Association. 
14) CGHS Employees Association. 
15) NAL Employees Association. 
16) IMD Employees Association. 
17) Civil Accounts Employees Association. 

Other invitees and others 5 members. Total 135 members.
Deliberation of the Seminar started at 11 AM  and concluded at 4.30PM.

Comrade R.Seethalaxshmi  Vice President COC Karnataka welcomed the chief Guest and Delegates for the seminar.

Com P.S.Prasad General Secretary COC Karnataka welcomed the Chief Guest and Delegates for the seminar.  He explained the background of conducting this seminar as the Central Government has decided to constitute the 7th CPC, hence this seminar will debate on the common issues of CG Employees to be presented in the 7th CPC. He further stated that the work paper has been circulated and it can be debated in this seminar, so that the COC view of Karnataka can be finalised.. At the same time he urged the affiliates to be prepared for struggle if the Government does not agree to the staff side demands of terms of reference. He assured the CHQ leaders Karnataka has always in the forefront of the CG movement.  He also thanked the ITEF leadership for making arrangements for this seminar including hall, printing of work paper, providing good food at subsidized rates etc.  

Com S.Radhakrishna Working President COC Karnataka in his speech explained to the members right from the first Central Pay Commission to sixth Central Pay Commission, the Central Pay Commission has done injustice to the Employees by not awarding the right pay scales and fitment formula. The concept of fair wages has been deprived to CG Employees. Usually pay commissions had adopted a multiplying factor of 3.2 to 3.6 to arrive at the new scales compared to earlier scales. But the VI CPC adopted conversion factor of about 2.6 at the lowest where as it was about 6 at the highest scale. By this method well established ration 1:12 between the lowest scale and highest scale was disturbed by the VI CPC.  He further elaborated how be struggle oriented approach the Confederation was able to get improvements in the recommendations of earlier pay commission reports.  He supported the decision of Confederation Hqrs to chalk out series of programmes to prepare the membership for strike.

Inaugural address by Comrade M.Krishnan Secretary General Confederation of Central Govt. Employees New Delhi.
Inaugurating and initiating discussion of seminar Secretary General  congratulated the COC Karnataka for organising this seminar on the common demands of CG Employees which is first of its kind in the country. He also thanked the COC Karnataka for participation in strikes and struggles launched by Confederation. He narrated the circumstances under which the earlier pay commissions had been constituted. Even in case of VII CPC Confederation was first to raise the demand and later adopted by all organisations. Government after seeing the mobilisation for strike ballot proposed to be held in November 2013  announced the constitution of VII CPC. which has put pressure on the Government in announcing the 7th CPC, He explained to the members about the terms of reference prepared by the staff side of JCM to the Central Government, He also informed that if the Central Government does not agree to our demands or the terms of reference prepared by the staff side of JCM  then the Confederation will  take up struggle path.  

Comrade M.Krishnan deliberated on the work paper prepared by the COC Karnataka and each and every item was discussed by him. He expressed satisfaction on the this report and informed the delegates that while preparing the 7th CPC  memorandum by the Confederation the views of the COC Karnataka will be taken into account, he also assured that the members will be consulted before finalising the 7th CPC memorandum as this will be displayed on the Confederation website.   

Presentation of work paper by Com P.S.Prasad General Secretary COC Karnataka, He presented the work paper which was approved by the members.

Com Kameshawari from IMD wanted the  IMD to be declared as scientific department. 

Com Ashok Kumar from Census wanted increase in tour TA/DA rates, Com R. Srinivas wanted filling up of vacant post.  

Concluding address by Comrade M.S.Raja Working President of Confederation of Central Govt. Employees  New Delhi
In his speech he explained how the C. G. Employees were denied the trade union rights, he urged members to be prepared for the struggles and he explained how the struggles from first CPC to sixth CPC has yielded results. He also agreed to the work paper on common demands of CG Employees prepared by COC Karnataka.

Comrade K.S.Madhusudhan Secretary General  AICGWBEA and General Secretary COC  Harayana State.
In his speech he agreed on the work paper on common demands of CG Employees prepared by COC Karnataka, He explained the need for filling up  vacant post and travelling allowance to be provided to field staff. He urged all persons to prepare their 7th CPC memorandum, He informed that for CGWB a committee has been formed in which Com P.S.Prasad has been made member of the committee.
Com S.Radhakrishna Working President COC Karnataka made his concluding remarks and assured the Apex leadership that State unit will implement the calls of Hqrs in letter and spirit.

Seminar concluded at 4.30 Pm with Vote of thanks by Com Ravindranth Joint Secretary of COC Karnataka.

Source : www.confederationhq.blogspot.in

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