Tuesday, December 13, 2016

7th Meeting of Committee on Allowances constituted to examine the recommendations of 7th Central Pay Commission regarding Allowances

Allowances in 7th CPC: 7th Meeting of Committee on Allowances will be held on 14th Dec, 2016

No. 11-1/2016-IC
Department of Expenditure
(Implementation Cell)
Room No- 216, Hotel Ashok,
Chankyapuri, New Delhi.
Dated: 07.12.2016

Subject: 7th Meeting of Committee on Allowances constituted to examine the recommendations of 7th Central Pay Commission regarding Allowances.

The undersigned is directed to inform that the 7th Meeting of Committee on Allowances will be held on 14th December, 2016 at 3.00 PM in Room No. - 72, North Block, New Delhi under the chairmanship of Finance Secretary & Secretary (Expenditure) to discuss the allowances relating to Ministry of Defence and Department of Atomic Energy.

2. As per the request of the Department of Atomic Energy received vide ID Note No. 8l9/2016-SCS/14690 dated 4th November 2016, the undersigned is directed to request the DAE to send the names (not more than two from Federation) of the National Federation of Atomic Energy Employees (NFAEE) and officers of DAE, who will be attending the aforesaid meeting by 9th December, 2016 for making necessary arrangements.
(Abhay N. Sahay)
Under Secretary (IC-7th CPC)
Department of Atomic Energy
(Shri S. S. Prasad Rao, US - SCS),
Anushakti Bhawan, C S M Marg.
Mumbai - 400 001

Source: Confederation

7th Pay Commission : Who is letting down the CG Employees - Government or Union?

7th Pay Commission : Central government employees are feeling let down by the political authority as well as their own union, due in terms of better monthly salary and allowances.

Despite representations to the Prime Minister, Home Minister, Finance Minister, Railways Minister, Departmental heads and Committees set up by the government to look into the pay and allowances related grievances, the employees have expressed utter disappointment that they have not been heard so far.

"We had sought a minimum pay of Rs 26,000, they gave us Rs 18,000. After every meeting they do not say anything. We ask, how much you can improve upon, you tell us how much you can go, buy they don't say anything, said K. K. N. Kutty, President, Confederation of Central Government employees and Workers, on the discussions the union has had over Allowances.

"There is no discussion in real terms regarding 7th pay commission, they simply listen to us and do not commit anything. We think the political authority, we don’t know, it could be Prime Minister, has not authorized the bureaucracy to commit anything to us,"added Kutty.

When around 33 lakh central government employees threatened to go on strike on July 11 protesting the implementation of 7th Pay Commission, the Finance Ministry had agreed to set up Anomalies Committee, and Allowances Committee who would be mandated to go through the fine print of the 7th Pay Commission.

Even after the formation of 22-member Anomalies Committee headed by Secretary, Department of Personnel and Training (DoPT) with members from both the official and staff side, and Allowances Committee headed by Finance Secretary, no settlement on the wage hike or allowances issue appears in sight.

The Government is yet to set up the high level committee on minimum wage, fitment formula revision and other main demands of central government employees as assured by Cabinet Ministers in July 2016.

The National Joint Council of Action, a front formed by six government staff unions, including Confederation of Central Government Employees (CCGE), All India Defence Employee Federation and National Coordination Committee of Pensioners Association representing the staff side of the central government employees have even threatened to go on a large scale agitation and hold a march up to the Parliament on December 15, if government fails to improve on pay and allowances over what has been implemented under 7th Pay Commission.

The point not to be missed here is that, while the salaries of central government employees were revised after 10 years, However, our country's MPs’ and MLA' s salaries doesn't need a pay commission, they will increase it themselves.

Source: gconnect

Admissibility of Dearness Relief to pensioners on absorption in PSUs/ employed family pensioners

Admissibility of Dearness Relief to pensioners on absorption in PSUs/ employed family pensioners
Government of India
Ministry of Railways
(Railway Board)
RBA No.94/2016
No.2016/AC-II/21/Misc Matters
New Delhi, dated 08.12.2016
General Managers,
All Zonal Railways & PUs.

Sub: Admissibility of Dearness Relief to pensioners on absorption in PSUs/ employed family pensioners.

Kindly, refer to Board's letter no. 2012/AC-II/21/Misc Matters dated 11.04.2016 followed by reminder dated 07.11.2016 reiterating instructions issued vide Board’s letter No. F(E)III/99/PN1/21 dated 05.08.1999 and letter no. F(E)III/2005/PN1/2. dated 29.09.2009 on the above subject. It was stated that instances have been brought to notice of Vigilance Directorate by one of the PSU wherein Dearness Relief on pension is being paid to certain re- employed pensioner not eligible to the draw the same as no endorsement towards non- admissibility of DR was made on their PPOs. Accordingly, it was requested to conduct a thorough check to detect such cases where DR relief on re-employment in Railway PSU sand other orgaliization has been paid/ drawn in violation of the laid down guidelines an send the compliance report to Board's office. However, reply in this regard is not forthcoming from any of the Railways.

It is once again requested to conduct a thorough check to detect such cases followed by necessary recovery from the defaulting retired Railway Pensioner, besides taking further necessary action as per rules.

(B.B. Verma)
Adviser Accounts
Railway Board
Source : http://www.indianrailways.gov.in/

7th Pay Commission: Demonetisation delays higher allowances

7th Pay Commission: Demonetisation delays higher allowances

New Delhi: Higher allowances under 7th pay commission recommendations is set to be delayed as the cash crunch brought on by demonetisation has hit government’s major announcement for central government employees.

The committee on allowances has finalized the report on the allowances and the government has also sanctioned the funds, but the government is unable to pay it to its employees. On the other hand, the Finance Ministry is facing pressure from the central government employees’ unions which want immediate announcement of higher allowances.

“One of the the government major announcements that has got get affected in the cash crunch process is ‘fatter allowances’ for the central government employees. The announcement has now been postponed, We expect things to normalise January onwards from the current uncertainty, if things settle down, the announcement will be made.” a top official involved with the process of higher allowances told The Sen Times on the condition on anonymity.

He added that the decision on this matter to push since payments to the employees are made in ease and without facing cash crunch. Hence, the Finance Ministry felt it would be wiser to announce of higher allowances when things settle down.

Currently, the central government employees are getting allowances according to the 6th Pay Commission recommendations while the government implemented hike in basic pay with retrospective effect from January 2016 in new pay structure under the recommendations of the 7th Pay Commission for central government employees.

The government approved hike in basic pay in June but referred hike in allowances other than dearness allowance to the ‘Committee on Allowances’ headed by the Finance Secretary Ashok Lavasa for examination as the pay commission had recommended of abolishing 51 allowances and subsuming 37 others out of 196 allowances.

However, the 7th pay commission had recommended 138.71 percent hike in House Rent Allowance (HRA) and 49.79 percent for other allowances and the committee on allowances sticks with the 7th Pay Commission’s recommendations, the official confirmed.

After the cabinet approval, Finance Minister Arun Jaitley had congratulated central government officers, employees and pensioners on a historic rise in their salary and allowances through the 7th pay commission recommendations but the central government employees have so far not been paid higher allowances.


No salary in cash for industrial workers; to get payment only in cheque or bank transfer

No salary in cash for industrial workers; to get payment only in cheque or bank transfer

The government is soon going to make it compulsory to make salary payments to industrial workers only in cheque or direct bank transfers.

As per the prevailing practice, industrial workers get their salary in cash.

The Times of India report said that this may change soon as Cabinet has cleared the proposal.

“This will not only promote transparency but also help in reducing the grievances of employees related to non-payment of minimum wages,”, the report quoted a government source.

The government will enforce the measure by amending Section 6 of the Payment of Wages Act, 1936, which will enable the appropriate government to specify the industrial or other establishments in which payments are to be made through cheque or bank accounts.

As and when the move happens, all the central government employees from railways, air transport services, mines oil fields etc. whose wages do not exceed Rs 18,000 per month will be covered under the new rule, while the respective state governments will identify the other industrial and factory establishments.

The report added that the states of Andhra Pradesh, Uttarakhand, Punjab, Kerala and Haryana have made or initiated provisions in the said Act for payment of wages to the employed persons either by cheque or through credit into bank accounts.A Bill – Payment of Wages (Amendment) Bill, 2016 – has been prepared which will be tabled after the Cabinet approves the measure.

The payment of salary in cheque of bank transfer is in line with the government’s efforts to promote a cashless economy in the country.

RBI Governor Statement on 7th CPC issues


Dr. Urjit R. Patel - Governor, Reserve Bank of India has said in a media conversation has made following observations in respect of Central Government employees which is published in Reserve Bank of India website:

1) The disbursement of salaries and arrears under the 7th Pay Commission award has not been disruptive to inflation outcomes.

2) The extension of two months given to the Ministry of Finance to receive the notification on higher allowances under the Commission’s award, could push its fuller effect into the next financial year rather than this financial year.

The above statement by the Governor, Reserve Bank of India clearly indicates the following:
A) The 7th CPC effect on the Government expenditure is minimal and doesn’t have any impact on the inflation and prices and there is scope for further improvement in fitment formula provided the Government is ready to consider the staff side demands.
B) The allowances will be revised only after February 2017 and come into effect in next financial year.
Only struggle is only the solution for the Central Government employees to get our main demands resolved such as revision of fitment formula and allowances.

Click here for RBI details
General Secretary

Disappointment for not extending the benefits of revised pay structure of 7th CPC as per CCS (RP) Rules 2016 and Bonus of 2015-16 to the employees of Autonomous Bodies


Dated : 09.12.2016
Secretary General, Confederation,
1st Floor, North Avenue PO Building,
New Delhi-110001

Subject: Disappointment for not extending the benefits of revised pay structure of VII CPC as per CCS (RP) Rules 2016 and Bonus of 2015-16 to the employees of Autonomous Bodies-reg

Respected Sir,

At the very outset All India Kendriya Vidyalaya Teachers' Association (short title "AIKVTA") extends its full moral support both in principle & in action to your endeavors and action to protest/ agitation Programmes "MASSIVE PARLIAMENT MARCH" on 15 December 2016 at Jantar Mantar (Parliament Street), New Delhi against the recommendations of VII CPC which are entirely against the genuine expectations for not extending the benefits of revised pay structure of VII CPC as per CCS (RP) Rules 2016 and Bonus of 2015-16 to the employees of Autonomous Bodies.

KV is going to celebrate its Foundation Day on 15th December as celebrated every year.
We extend our full moral support to your endeavors. We assure you that we will stand with you shoulder to shoulders in all your future exploits undertaken to secure our legitimate rights.

AIKVTA extend its full moral support to your movement.

Thanking you,
Yours faithfully
General Secretary, AIKVTA
Leader (Staff Side) JCM (KVS)
Source : Confederation

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