Pay revision of ICAR Scientists

Following approval of UGC pay revision by Government of India, ICAR set up committee for its adoption. The ICAR on its General Body held on November 2017, discussed and approved the seventh pay for the scientists of ICAR. The pay will be revised after approval of competent authority and on releasing order.

Retirement age of Central Government employees may be increased from 60 to 62

The Union Cabinet Committee may increase age of retirement by two years from 60 to 62 for all CG Employees…

It would be effect from 1st March 2014 and meeting will be held on 27th or 28th this month.

The Congress-led United Progressive Alliance (UPA) is likely to take a major decision of increasing the retirement age of Central government employees by two years, from 60 to 62 this week. This would be applicable from March 1.

It would be one of the major decisions to be taken by the Cabinet before the model code of conduct for the general elections kicks in. In the Thursday meeting, the Cabinet is also likely to recommend dates for the elections. These could be notified on March 5.

“The government may clear the increase in age this week,” said a source. It is likely to be a part of the terms of reference of the Seventh Pay Commission, expected to file its report in 2017. The panel, however, can recommend an interim relief through the move.

The increase in retirement age would be happening after 15 years. In 1998, it was increased to 60 from 58 following implementation of the Fifth Pay Commission. Experts said it would defer payment of retirement benefits. However, sources confirmed this would not be applicable for employees retiring on February 28.

7th pay commission constituted

The Cabinet on Friday gave mandate to the 7th Pay Commission for revising salaries of over 50 lakh central government employees and remuneration of 30 lakh pensioners.

The move comes ahead of general elections due in April-May.

“The decision will result in the benefit of improved pay and allowances as well as rationalisation of the pay structure in case of Central Government employees and other employees included in the scope of the 7th Central Pay Commission (CPC),” an official statement said after the Cabinet meeting.

The Commission, it said, will make its recommendations within 18 months of the date of its constitution.

“It may consider, if necessary, sending interim reports on any of the matters as and when the recommendations are finalised,” said the release on CPC’s term of reference.

Headed by former Supreme Court Judge Ashok Kumar Mathur, the CPC has been asked to “examine, review, evolve and recommend changes that are desirable and feasible” regarding the principles that should govern the emoluments structure including pay, allowances and other facilities or benefits.

The recommendations, as per the terms of reference, have to be made while keeping in view the economic conditions in the country, need for fiscal prudence and the need to ensure that adequate resources are available for developmental expenditures and welfare measures.

The CPC’s report will be applicable on Central Government employees, All India Services, personnel of the Union Territories, officers and employees of the Indian Audit and Accounts Department, Members of regulatory bodies, officers and employees of the Supreme Court and personnel of Defence Forces.

The panel has also been asked to examine the “principles which should govern the structure of pension and other retirement benefits”, including revision of pension for those who have retired prior to the date of effect of these recommendations.

There are about 50 lakh central government employees, including those in defence and railways, and about 30 lakh pensioners.

The CPC has also been asked to provide the likely impact of the recommendations on the finances of the state governments (which usually adopt the recommendations with some modifications).

It has also been asked to keep in view the best global practices and their adaptability and relevance in Indian conditions while making the recommendations.

Oil Secretary Vivek Rae is full time Member of the Commission, while Rathin Roy (Director, NIPFP) is part-time Member and Meena Agarwal (OSD, Department of Expenditure) is Secretary.

DA increase for central government employees

"The Union Cabinet today approved the proposal to release an additional instalment of DA and dearness relief (DR) to pensioners with effect from January 1, 2014, in cash, but not before the disbursement of the salary for the month of March 2014 at the rate of 10 per cent increase over the existing rate of 90 per cent," said an official statement.

Central government employees as well as pensioners are entitled for DA/DR at the rate of 100 per cent of the basic with effect from January 1, 2014, it said.

The increase is in accordance with the accepted formula based on the recommendations of the 6th Central Pay Commission.

The government has estimated that the combined impact on exchequer on account of both DA and DR would be Rs 11,074.80 crore per annum. For a period of 14 months, from January 2014 to February 2015, the impact will be Rs 12,920.60 crore in the next financial year, 2014-15. (March salary gets paid in April, the first month of the new fiscal).

This increase in the dearness allowance by the UPA-2 government comes ahead of the imposition of the model code of conduct by the Election Commission.

DA merger for Central Goverment employees

The Union Cabinet could approve a proposal to merge dearness allowance (DA) with basic pay, benefiting about 50 lakh central government employees and 30 lakh pensioners.

The Cabinet may also hike dearness allowance (DA) by 10 percent to 100%. 

As per practice, the DA is merged with basic pay when it breaches the 50% mark. DA merger helps employees as their other allowances are paid as a proportion of basic pay.

The government had announced a hike of 10 percent to 90 percent in September last year, effective from July 1, 2013.

According to officials, the preliminary assessment suggests that dearness allowance hike will not be less than 10% and would be effective from January 1 this year.

The government uses CPI-IW data of the past 12 months to arrive at a quantum for the purpose of any DA hike. Therefore, the retail inflation for industrial workers between January 1 to December 31, 2013 would be used to take a final call on the matter.

7TH CENTRAL PAY COMMISSION FOR 

CENTRAL GOVERNMENT EMPLOYEES

           Shri HARIBHAU MADHAV JAWALE, Member of Parliament sought reply from The Minister of State in the Ministry of Finance Shri. NAMO NARAIN MEENA in Lok Sabha regarding the matter of Constituting 7th Pay Commission.

The following were the Questions raised by Shri HARIBHAU MADHAV JAWALE in Lok Sabha

UNSTARRED QUESTION NO 723

Will the Minister of FINANCE be pleased to state:-
(a) Whether the Government has received any demands to set up the 7th Central Pay Commission (7th CPC); and
(b) if so, the details thereof and the action taken/being taken thereon?

The Answer given by The Minister of State in the Ministry of Finance Shri. NAMO NARAIN MEENA For the above questions in LokSabha  is given below

ANSWERED ON 01.03.2013
MINISTER OF STATE IN THE MINISTRY OF FINANCE (SHRI NAMO NARAIN MEENA)

(a) & (b) : There have been some demands received for setting up of the 7th Central Pay Commission. In the past, there has generally been a gap of a minimum 10 years between two successive Pay Commissions. The recommendations of the previous Central Pay Commission, viz., 6th Central Pay Commission were given effect to from 1.1.2006. Therefore, at present no proposal to constitute the 7th Central Pay Commission is under consideration of the Government.

Central Govt has set up 6th pay commission in its effort to provide a fitting salary to central govt servants. Is it going to be burden on tax payers or increasing efficiency of govt machinery?