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Tuesday, April 29, 2014

25% increase in certain allowances from 1.1.2014-Clarification issued by Dopt

Clarification on increase in certain allowances by further 25% as a result of enhancement of Dearness Allowances w.e.f. 1.1.2014 


No.A-27012/1/2014-Estt. (Allowance)
Government of India
Ministry of Personnel, Public Grievances and Pension
Department of Personnel & Training
 
 
Block-IV, Old JNU Campus
New Delhi, 28th April, 2014.
 
 
OFFICE MEMORANDUM
 
Subject: Clarification on increase in certain allowances by further 25% as a result of enhancement of Dearness Allowances w.e.f. 1.1.2014 —
 
The undersigned is directed to refer to para 1(j) of this Department’s O.M. No.12011/03/2008-Estt (Allowance) dated 2.9.2008. This provides that the limits of Children Education Allowance would be automatically raised by 25% every time the Dearness Allowance on the revised pay structure goes up by 50%. References are being received from various quarters with regard to the amount of Children Education Allowance admissible consequent upon enhancement of Dearness Allowance payable to Central Government employees @ 100% w.e.f. 1st January, 2014 announced vide Ministry of Finance, Department of Expenditure O.M. No.1/1/2014-E-II (B) dated 27th March, 2014.
 
2. In accordance with the above, the following shall be the revised limits:
a) The annual ceiling Unlit for reimbursement of Children Education Allowance shall be Rs. 18,000/- per child. Accordingly, the quarterly claim could be more than Rs.4500/- in one quarter. The Hostel Subsidy shall be Rs.4500/- per month per child;
b) The rates of Special Allowance for Child Care to women with disabilities stands revised to Rs. 1500/- per month; and
c) The annual ceiling for reimbursement of Children Education Allowance for disabled children of Government employees shall be treated as revised to Rs.36,000/- per annum per child and the rates of Hostel Subsidy for disabled children of Government employees shall be treated as revised to Rs.9000/- per child per month.
 
3.These revisions are applicable with effect from 1stJanuary, 2014
 
4. These revisions shall be subject to other terms and conditions mentioned in this Department’s O.M. No.12011/03/2008-Estt (Allowance) dated 2.9.2008, O.M. No.12011/04/2008 dated 11.9.2008 and 12011/07(0/2011-Estt.(AL) dated 21.2.2012.
(Mukul Ratra)
Director
Te1:26164314

Monday, April 28, 2014

7th CPC Questionnaire

GOVERNMENT OF INDIA
SEVENTH CENTRAL PAY COMMISSION
NEW DELHI-110001

Meena Agarwal
Secretary

D.O No. 7CPC/15/Questionnaire
9th April, 2014
Dear ………..,

As you may be aware the Seventh Central Pay Commissions has been constituted by the Government on 28 February 2014 with a view to go into various issues of emoluments’ structure, retirement benefits and other service conditions of Central Government employees and to make recommendations on the changes required. The terms of reference of the Seventh Central Pay Commission are available on the http://7cpc.india.gov.in .

2. A Questionnaire seeking the considered views of all stakeholders is enclosed. The response of your Ministry to this Questionnaire is sought. I shall be grateful if the replies are furnished to the Commission on or before 10th May, 2014, so as to enable the Commission to take them into account as part of its examination of the issues that it is mandated to address. The reply may be sent to Post Box No. 4599, Hauz Khas P.O, New Delhi 110 016, and in the case of email to secy-7cpc@nic.in.

Encl:- As above.

With Regards,
Yours sincerely,
(Meena Agarwal)

To all Secretaries to Govt of India


7th CPC Questionnaire

1. Salaries
1.1 The considerations on which the minimum salary in case of the lowest Group ‘C’ functionary and the maximum salary in case of a Secretary level officer may be determined and what should be the reasonable ratio between the two.

1.2 What should be the considerations for determining salary for various levels of functions falling between the highest level and the lowest level functionaries?

2. Comparisons
2.1 Should there be any comparison/parity between pay scales and perquisites between Government and the private sector? If so, why? If not, why not?

2.2 Should there at all be any comparison/parity between pay scales and perquisites between Government and the public sector? If so, why? If not, why not?

2.3 The concept of variable pay has been introduced in Central Public Sector Enterprises by the Second Pay Revision Committee. In the case of the Government is there merit in introducing a variable component of pay? Can such variable pay be linked to performance?

3. Attracting Talent
3.1 Does the present compensation package attract suitable talent in the All India Services & Group A Services? What are your observations and suggestions in this regard?

3.2 To what extent should government compensation be structured to attract special talent?

4. Pay Scales
4.1 The 6th Central Pay Commission introduced the system of Pay Bands and Grade Pay as against the system of specific pay scales attached to various posts. What has been the impact of running pay bands post implementation of 6th CPC recommendations?

4.2 Is there any need to bring about any change?

4.3 Did the pay bands recommended by the Sixth CPC help in arresting exodus and attract talent towards the Government?

4.4 Successive Pay Commissions have reduced the number of pay scales by merging one or two pay scales together. Is there a case for the number of pay scales/ pay band to be rationalized and if so in what manner?

4.5 Is the “grade pay” concept working? If not, what are your alternative suggestions?

5. Increment
5.1 Whether the present system of annual increment on 1st July of every year uniformly in case of all employees has served its purpose or not? Whether any changes are required?

5.2 What should be the reasonable quantum of annual increment?

5.3 Whether there should be a provision of variable increments at a rate higher than the normal annual increment in case of high achievers? If so, what should be transparent and objective parameters to assess high achievement, which could be uniformly applied across Central Government?

5.4 Under the MACP scheme three financial up-gradations are allowed on completion of 10, 20, 30 years of regular service, counted from the direct entry grade. What are the strengths and weaknesses of the scheme? Is there a perception that a scheme of this nature, in some Departments, actually incentivizes people who do not wish to take the more arduous route of qualifying departmental examinations/ or those obtaining professional degrees?

6. Performance
What kind of incentives would you suggest to recognize and reward good performance?

7. Impact on other organizations
Salary structures in the Central and State Governments are broadly similar. The recommendations of the Pay Commission are likely to lead to similar demands from employees of State Governments, municipal bodies, panchayati raj institutions & autonomous institutions. To what extent should their paying capacity be considered in devising a reasonable remuneration package for Central Govt. employees?

8. Defence Forces
8.1 What should be the considerations for fixing salary in case of Defence personnel and in what manner does the parity with civil services need to be evolved, keeping in view their respective job profiles?

8.2 In what manner should the concessions and facilities, both in cash and kind, be taken into account for determining salary structure in case of Defence Forces personnel.

8.3 As per the November 2008 orders of the Ministry of Defence, there are a total of 45 types of allowances for Personnel Below Officer Rank and 39 types of allowances for Officers. Does a case exist for rationalization/ streamlining of the current variety of allowances?

8.4 What are the options available for addressing the increasing expenditure on defence pensions?

8.5 As a measure of special recognition, is there a case to review the present benefits provided to war widows?

8.6 As a measure of special recognition, is there a case to review the present benefits provided to disabled soldiers, commensurate to the nature of their disability?

9. Allowances
9.1 Whether the existing allowances need to be retained or rationalized in such a manner as to ensure that salary structure takes care not only of the job profile but the situational factors as well, so that the number of allowances could be at a realistic level?

9.2 What should be the principles to determine payment of House Rent Allowance?

10. Pension
10.1 The retirement benefits of all Central Government employees appointed on or after 1.1.2004 a re covered by the New Pension Scheme (NPS). What has been the experience of the NPS in the last decade?

10.2 As far as pre-1.1.2004 appointees are concerned, what should be the principles that govern the structure of pension and other retirement benefits?

11. Strengthening the public governance system
11.1 The 6th CPC recommended upgrading the skills of the Group D employees and placing them in Group C over a period of time. What has been the experience in this regard?

11.2 In what way can Central Government organizations functioning be improved to make them more efficient, accountable and responsible? Please give specific suggestions with respect to:

a) Rationalisation of staff strength and more productive deployment of available staff;

b) Rationalisation of processes and reduction of paper work; and c) Economy in expenditure.

12. Training/ building competence
12.1 How would you interpret the concept of “competency based framework”?

12.2 One of the terms of reference suggests that the Commission recommend appropriate training and capacity building through a competency based framework.

a) Is the present level of training at various stages of a person’s career considered adequate? Are there gaps that need to be filled, and if so, where?

b) Should it be made compulsory that each civil service officer should in his career span acquire a professional qualification? If so, can the nature of the study, time intervals and the Institution(s) whose qualification are acceptable, all be stipulated?

c) What other indicators can best measure training and capacity building for personnel in your organization? Please suggest ways through which capacity building can be further strengthened?

13. Outsourcing
13.1 What has been the experience of outsourcing at various levels of Government and is there a case for streamlining it?

13.2 Is there a clear identification of jobs that can be outsourced?

14. Regulatory Bodies
14.1 Kindly list out the Regulators set up unde r Acts of Parliament, related to your Ministry/ Department. The total number of personnel on rolls (Chairperson and members + support personnel) may be indicated.

14.2 Regulators that may not qualify in terms of being set up under Acts of Parliament but perform regulatory functions may also be listed. The scale of pay for Chairperson /Members and other personnel of such bodies may be indicated.

14.3 Across the Government there are a host of Regulatory bodies set up for various purposes. What are your suggestions regarding emoluments structure for Regulatory bodies?

15. Payment of Bonus
One of the terms of reference of the 7th Pay Commission is to examine the existing schemes of payment of bonus. What are your suggestions and observations in this regard?

Friday, April 25, 2014

Main demands for inclusion in Memorandum to 7th CPC

Few of the main demands of C.G. Pensioners’ identified by BPS for inclusion in the Memorandum to 7th CPC
(Department wise issues will be attached as Annexure)
1.Bring down the Ratio between maximum & Minimum of Salay to 1: 9
Some 25 years back 4th CPC had determined the ratio between minimum & maximum of salary to be 10.7(Chapter 41 & 43) Vth cpc maintained it to be 10.97 (Appendix ‘I’ to VOl.III of 5th CPC report “ Summary of recommendations” para19) in their recommendations which while implementation was raised to 1:11.76
Shredding the basic fiber of the Constitution of Indian Socialistic State, after implementation of 6th CPC this ratio stand raised to 1: 12.85. Both for salaried employees & Pensioners. Which is much more, than even the capitalist countries like America & Britain.
This negative and socially regressive effects of the 6th Central Pay Commission has had the effect of worsening wealth and income inequality not only between pre-and post-2006 retirees, but even within pre-2006 retirees where in higher-ups from Scales S30.S31& above got full parity in Pension.
Raising, instead of reducing the ratio between minimum & maximum of salary is unconstitutional .
We demand: That Preamble to the Constitution, Articles 366(17),14 & 21read in the light of Honorable Supreme Court judgments, in the cases of D.S. NAKARA & OTHERS Vs UNION OF INDIA DATED 17/12/1982 1983 AIR 130,1983 SCR (2) 16, 1983 SCC (1) 305 1982 SCALE (2)1213, and, in the case of Consumer Education and Research Centre & Others Vs union of India(AIR 1995 supreme court 922) to be implemented in letter & spirit.
Accordingly the Ratio between minimum & maximum of Pay/Pension should progressively go on reducing ensuring complete equality.
We appeal to the 7th CPC: That the ratio between maximum & minimum Salary/Pension be brought down to 1: 9 accordingly, 7th pay commission should first workout the top most revised salary, divide it by 9 to arrive at the minimum revised salary & then on this basis derive a uniform multiplication factor to arrive at revised Pay & Pension with the condition that Pension shall not in any case be less than 65% & family Pension 45% of the last Pay in Pay in Pay Band/Pay scale or of average of last 10 months emoluments (Whichever is more beneficial)
2.Pension to be 65% of last drawn or 65% of Av. Of last 10 months emolument whichever beneficial & Family Pension to be 45% of last drawn or Av. Of 10month:
Honorable Supreme Court, in its landmark 5-Judge Constitutional Bench judgment dated 17.12.1982 in the case D.S.Nakara vs UOI, ruled that “A pension scheme consistent with available resources must provide that the Pensioner would be able to live Free from want, with decency, independence and self respect, and at a standard equivalent at pre- retirement level”. As laid down in Para 127.9 of 5th Central Pay Commission report Vol. III, the study done by the Consultants to 5th Central Pay Commission (TECS – Tata Economic Consultancy Services) recommended Pension to be 65% of the last emoluments drawn.
We demand 65% of the last drawn emoluments or 65% of the last 10 months’ average emoluments, whichever is more beneficial, as Pension and 45% as Family Pension subject to the condition that minimum pension shall not in any case will be less than 65 % of the 7th Central Pay Commission revised minimum Basic Pay of Central Govt. employees,
3. Grant 5% upward enhancement in pension be granted every five years’ after the age of 60 years & upto 80 years & thereafter as per existing dispensation.
In their Para 5.1.32, the 6th Central Pay Commission agreed that older pensioners require a better deal on account of their needs, especially those relating to health, increase with age. Accordingly, the Commission recommended that quantum of pension available to the old pensioners should be increased as follows:-
On attaining age of Additional quantum of pension
• 80 years – 20% of basic pension
• 85 years – 30% of basic pension
• 90 years – 40% of basic pension
• 95 years – 50% of basic pension
• 100 years – 100% of basic pension
In the present scenario of climatic changes, incidence of pesticides and rising pollution old age disabilities/diseases set in by the time an employee retires and go on manifesting very fast, needing additional finances to take care of these disabilities and diseases, especially as the cost of health care has gone very high compared to 01.01.2006.
We therefore, demand, that 5% upward enhancement in pension be granted every five years’ after the age of 60 years & upto 80 years & thereafter as per existing dispensation.
4.. Pension to be net of Income Tax :
The purchase value of pension gets reduced day by day due to continuously high inflation and steep rise in cost of food items and medical facilities. Retired persons/Senior citizens do not enjoy fully public goods and services provided by Government for citizens due to lack of mobility and many other factors. Their ability to pay tax gets reduced from year to year after retirement due to ever-increasing expenditure on food and medicines and other incidentals. Their net worth at year end gets reduced considerably as compared to the beginning of the year. Inflation, for a pensioner is much more than any tax. It erodes the major part of the already inadequate pension. To enable pensioners, at the far end of their lives, to live in minimum comfort and to cater for ever rising cost of living, they may be spared from paying Income Tax.
We demand that pension should be net of income tax as recommended by 5th Central Pay Commission, vide their Para 167.11(VTH CPC REPORT VOL. III)
5. Automatic Merger of Dearness relief with Pension :
The Pension of Central Government Pensioners undergo revision only once in 10 years during which period the pension structure gets seriously dis-aligned; 50% increase in price takes place even in less than 5 years. This results in considerable erosion of the financial position of the pensioner with otherwise inadequate Pension. As admitted by Shri Montek Singh Ahluwalia, Deputy Chairman, Planning Commission, in his statement to PTI on 27.2.2008, DA does not adequately take care of inflation. Working employees are getting automatic relief by way of 25% increase in their allowances with every 50% rise in Dearness Allowance. As pensioners do not get any allowances, they feel discriminated against. In order to strike a balance, DR may be merged with Pension whenever it goes beyond 50% as recommended by 5th Central Pay Commission.
We demand automatic merger of DR with pension, whenever it goes above 50%
6. Restoration of commuted vale of Pension in 12 years
Commutation value in respect of employee superannuating at the age of 60 years between 1.1.1996 and 31.12.2005 and commuting a portion of pension within a period of one year would be equal to 9.81 years Purchase. After adding thereto a further period of two years for recovery of interest, in terms of observation of Supreme Court in their judgment in writ petitions No 395-61 of 1983 decided in December 1986, it would be reasonable to restore commuted portion of pension in 12 years instead of present 15 years. In case of persons superannuating at the age of 60 years after 31.12.2005 and seeking commutation within a year, numbers of purchase years have been further reduced to 8.194. Also, the mortality rate of 60 plus Indians has considerably reduced ever since Supreme Court judgment in 1986; the life expectancy stands at 69 years now.
We demand restoration of commuted value of pension in a period of 12 years.
7. The 6th Central Pay Commission’s new benefits, e.g. full pension for 20 years of service/10 years in superannuation cases, last pay drawn or average of last 10 months’ pay whichever is beneficial to the retiring employee as emoluments for computation of pension etc., have been limited only to post-1.1.2006 retirees. This is in violation of the letter and spirit of Hon’ble Apex Court judgment in Nakara Case.
We appeal to the 7th CPC to extend the above benefits to all pre-1.1.2006 retirees with monetary benefit from 1.1.2006 to do them equal justice. And that new benefits as 7th CPC too be made equally applicable to present & past pensioners
8..Medical facilities:
To ensure hassle free health care facility to Pensioners/family pensioners, Smart Cards be issued irrespective of departments to all Pensioners and their Dependents for cashless medical facilities across the country. These smart cards should be valid in
• all Govt. hospitals
• all NABH accredited Multi Super Specialty hospitals across the country which have been allotted land at concessional rate or given any aid or concession by the Central or the State govt.
• all CGHS, RELHS & ECHS empanelled hospitals across the country.
· Medical attendants. Reimbursement bill for treatment both for hospitalization & No referral should be insisted in case of medical emergencies. For the purpose of reference for hospitalization & reimbursement of expenditure thereon in other than emergency cases Doctors/Medical officers working in different Central/State Govt. department dispensaries/health units should be recognized as Authorized OPD can be made by respective departments.
The enjoyment of the highest attainable standard of health is recognized as a fundamental right of all workers in terms of Article 21 read with Article 39(c), 41, 43, 48A and all related Articles as pronounced by the Supreme Court in Consumer Education and Research Centre & Others vs Union of India (AIR 1995 Supreme Court 922) The Supreme court has held that the right to health to a worker is an integral facet of meaningful right to life to have not only a meaningful existence but also robust health and vigour. Therefore, the right to health, medical aid to protect the health and vigour of a worker while in service or post retirement is a fundamental right-to make life of a worker meaningful and purposeful with dignity of person. Thus health care is not only a welfare measure but is a Fundamental Right.
We demand that, all the pensioners, irrespective of pre-retiral class and status, be treated as same category of citizens and the same homogenous group. There should be no class or category based discrimination and must be provided Health care services at par with IAS and ex-Ministers.
9. Hospital Regulatory Authority:
To ensure that the hospitals do not avoid providing reasonable care to smart card holders and other poor citizens, a Hospital Regulatory Authority should be created to bring all NABH-accredited hospitals and NABL-accredited diagnostic Labs under its constant monitoring of quality, rates for different procedures & timely bill payments by Govt. agencies and Insurance companies. CGHS rates be revised keeping in mind the workability and market conditions.
We demand that a Hospital Regulatory Authority be constituted.
10.Fixed Medical allowance (FMA):
As is recorded in Para 5 of the minutes of Committee of Secretaries (COS) held on 15.04.2010 (Reference Cabinet Secretariat, Rashtrapati Bhavan No 502/2/3/2010-C.A.V Doc No. CD (C.A.V) 42/2010 Minutes of COS meeting dated 15.4.2010) which discussed enhancement of FMA: CGHS card estimates for serving Personnel since estimates are not available separately for pensioners M/O Health & Family Welfare had assessed the total cost per card p.a. in 2007-2008 = Rs 16435 i.e. Rs.1369 per month for OPD. Adding to its inflation the figure today is well over Rs 2000/- PM. Ministry of Labour & Employment, Govt. of India vide its letter no. G-25012/2/2011-SSI dated 07.06.2013 has already enhanced FMA to Rs 2000/- PM for EPFO beneficiaries. Thus, to help elderly pensioners to look after their health, Adequate raise in FMA will encourage a good number of pensioners to opt out of OPD facility which will reduce overcrowding in hospitals. OPD through Insurance will cost much more to the Govt. As such the proposal for raising Fixed Medical allowance to Pensioners is fully justified and is financially viable.
We demand that FMA for all C.G. Pensioners be raised to at least Rs 2000/- PM without any distance restriction linking it to Dearness Relief for automatic further increase. We further demand that FMA be exempted from INCOME TAX: Fixed Medical Allowance (FMA) is a compensatory allowance to reimburse the medical expenses. As Medical Reimbursement is not taxable, FMA should also be exempted from Income Tax.
11.Grievance redressal Mechanism:
Pensioners/Family Pensioners are exploited, harassed and humiliated by their own counterparts in chair, who at the sight of an old person adopt a wooden face and indifferent attitude. Pensioners do not have representation even in Forums & Committees wherein pension policies and connected matters are discussed. The forum of Pension Adalat too is not of much avail as it meets only once a year which is too long a period for an elderly nearer to his end. Moreover, these Adalats deal with settlement claims only. SCOVA too meets only twice a year for about 3 hours at occasion. Moreover, the scope of SCOVA is limited to feedback on Government policies. DOP (P&PW) is perceived as a toothless authority which lacks direct Service Delivery Capability. It has been striving over the years to redress the Pensioners’ grievances through the ‘Sevottam’ model of the Department of Administrative Reforms & Public grievances; in the absence of strict timeline with punitive clause it is, however, proving to be a failure. Grievances are either not resolved for years or closed arbitrarily without resolving.
We therefore, appeal that for resolving Pensioners complaints of all pensioners,
(i) A strict time line with punitive clause be introduced in “Sevottam model”
(ii) Grievances are not allowed to be closed without resolving.
(iii) SCOVA be upgraded to JCM level covering all Pensioners by introducing suitable legislative amendment if required.
(iv) As recommended vide Vth CPC report Vol III para 141.30 Pensioners’ representatives should be included in various committees & other For a of Govt where issues relating to the welfare of pensioners are likely to be discussed &debated
Er.S.C.Maheshwari
Secy Genl
Bharat Pensioners Samaj

Wednesday, April 16, 2014

Increase in certain allowances by 25%

CONFEDERATION OF CENTRAL GOVT. EMPLOYEES & WORKERS
1st Floor, North Avenue PO Building, New Delhi – 110001
Website: www.confederationhq.blogspot.com
Email: confederationhq@gmail.com
Patron
S. K. Vyas 
09868244035
President
K. K. N. Kutty 
09811048303
Secretary General
M. Krishnan
09447068125
Ref: Confd/GENL/2014
Dated-14.04.2014
To
The Secretary,
Department of Personnel & Training,
Government of India,
North Block, New Delhi – 110001
Sir,
Sub: – Increase in certain allowances by 25% as a result of enhancement of Dearness Allowance to 100% w.e.f. 01.01.2014 – reg.
Vide MOF OM No. 1/1/2014-EBII (B) dated 27th 100% w.e.f. 01.01.2014. As recommended by the 6th following allowance and advances require enhancement of 25% from its present state as done when the DA crossed 50% in 01.01.2011.
1. Children Education Assistance & Reimbursement of Tuition Fee
2. Advances for purchase of Bicycle Advance, Warm clothing Advance, Festival Advance, Natural Calamity Advance
3. Special Compensatory Hill Area Allowance
4. Special Compensatory Scheduled / Tribal Area Allowance
5. Project Allowance
6. Speical Compensatory (Remote Locality) Allowance
7. Cycle Maintenance Allowance
8. Mileage for road journey all components of daily allowance on tour
9. Rates of Fixed Conveyance Allowance under SR-25 (Motor Car)
10. Rates of Fixed Conveyance Allowance under SR-25 (Other modes)
11. Washing Allowance
12. Split Duty Allowance
13. Spl. Allowance for Child Care for Women with Disabilities and Education Allowance for disabled children
14. Cash Handling Allowance
15. Risk Allowance
16. Postgraduate Allowance
17. Desk Allowance
18. Bad Climate Allowance
Therefore it is requested to cause orders for the enhancement of 25% of the above allowances/advances w.e.f 01.01.2014 at the earliest.
A line in reply is much appreciated.
Yours faithfully,
(M. Krishnan)
Secretary General, Confederation
Member, JCM National Council

Tuesday, April 1, 2014

Important Message for Pensioners : SANKALP Opportunity to Register for Voluntary Work

Important Message for Pensioners : SANKALP Opportunity to Register for Voluntary Work

SANKALP an initiative from D/o Pension & Pensioners’ Welfare, Government of India, to provide a platform for the pensioners to access opportunities available for useful interventions in the society. It also facilitates the Organizations working in these areas to select appropriate skill and expertise from the available pool of volunteers.
 
Department of Pension & Pensioners’ Welfare
Recognising the fact that retired government servants have experience and skills which could be channelized into constructive activities for betterment of Society, the Government has introduced an initiative called ‘Sankalp’. It is hoped that this initiative will help retired government servants in leading a fuller and more meaningful existence post-retirement.
 
This project is initially being run as a pilot to cover 500 Central government pensioners on a first-come-first-served basis. The pensioners willing to be associated with this initiative may visit the website http://www.pensionersportal.gov.in/sankalp for registration.
 
click here to get sankalp portal