Friday, August 29, 2008
Gazette Notification likely today
This Gazette notification on the 6th Pay Commission recommendations are being reviewed by the Comptroller and Auditor General - CAG. There is hope that most of things related to new salaries, arrears and other pay related matters will get more clarity after this formal notification is released.
Till then there is some confusion in the new salary calculations and there are some places where some salary calculators are being posted for computing the revised salary and arrears for central government employees.
There is a very high chance that this notification will be released today -Friday by the union government.
Thursday, August 28, 2008
Pay panel notification likely tomorrow
Sources said the dearness allowance effective this July is also likely to be announced the same day.
On August 14, the Union Cabinet had approved an improved and tweaked version of the Sixth Pay Commission award with effect from January 1, 2006.
Consequently, an estimated 4.6 million central government employees will receive a raise of 28-40 per cent over their existing basic pay. Employees will start receiving their higher salaries and allowances with effect from this September.
Sources added the first instalment of arrears of Rs 11,748 crore will be paid in cash with effect from September as announced earlier. There had been some apprehensions that with the upcoming fifteenth session of the Lok Sabha scheduled to begin on October 17, Parliamentary sanction for the additional spending sought under the supplementary demand for grants would somehow delay the arrears payment.
However, sources said the arrears would be paid from the salary account of the government.
The Cabinet had decided to issue arrears in cash over two years — 2008-09 and 2009-10 — with the first instalment of 40 per cent being paid by September and the balance next year.
As a consequence of the revised salaries and allowances, the central government’s wage bill is expected to increase 21 per cent on account of an additional expenditure of Rs 22,100 crore in the current financial year (2008-09). Of this, Rs 15,700 crore will be accounted for by the central government employees and Rs 6,400 crore by the railway staff.
Of the Rs 15,700 crore, the first installment of arrears will account for Rs 8,048 crore. Of the Rs 6,400 crore impact on the railway budget, Rs 3,700 crore will be arrears.
The annualised impact of the new salary structure is estimated at Rs 17,798 crore, adding to the approximate Rs 1,04,000 crore annual pay, allowances and pension bill of the Centre.
Source : Business Standard
Wednesday, August 27, 2008
Government Gazette Notification on implementation of pay commission very soon
The Government Gazette Notification on implementation of pay commission recommendations as accepted by the Government is expected to be released at any time. Already a copy has been submitted to the CAG two days back. It is hoped that the same may happen even today itself if not before Friday. All the minute details will be known only after the release of Notification. We will try to place the whole Notification immediately on its availability.
According to some other sources, the English version is ready while the Hindi version of the notification is being worked out now and may be made available at any time.
Monday, August 25, 2008
Modification as per review committee
A review on the major changes / addition on CPC report by the CoS
| Modification | Comments | |
| 1 | Enhanced the revised pay bands recommended by the pay commission to be based on multiplication factor of 1.74 to 1.86 | The fitment had to be (Basic + DP)*24%. The CPC members could not make out this simple calculation? |
| 2 | The Armed Forces Personnel below Officers Rank will get a Military Service Pay (MSP) of Rs 2,000 per month, Rs 1,000 more than that recommended by the Commission. The Officers of the Defence Forces would get an MSP Rs 6000 over and above their salary. | The forces had dedicated and sincere minister to bargain for them. |
| 3 | Increase in the rate of annual increment for 2.5% to 3%. | Removed the performance based increment. After all performance has got a different meaning at government. |
| 4 | The middle level officers of the Defence Forces, namely Colonels and Brigadiers, have been placed in the highest pay band of PB-4. | The higher level officers benefit from the increased grade pay. |
| 5 | Increase in Transport Allowance at the lowest level to Rs 600 (from Rs 400 in A-1/A class cities recommended by the Sixth CPC) and Rs 400 (from Rs 300 in other cities recommended by the sixth CPC). Removal of Campus restriction for grant of Transport Allowance. | Minor benefit for the lowest level |
| 6 | At least three promotions have been assured for all Defence Forces personnel and civilian employees under the modified Assured Career Progression (ACP) Scheme. While the civilians would get it after 10, 20 and 30 years of service, the Defence Forces Jawans would get ACP in 8, 16 and 24 years. Source : As per news and analysis. | Only 3 promotions in one's career? |
Friday, August 22, 2008
Wait and Watch for Central Govt Staff and latest news for the State employees
some highlights of latest developments are
- Uniform Date of increment (July).
- Reduction in HRA for senior officers in A1 Cities, to bring parity with market rents in metros.
- De-merging of Grade Pays of Group B & C employees (which were earlier merged)
Updates from the States
The state governments seem to have been jolted awake with the elections coming closer. After Uttar Pradesh, West Bengal and Tamil Nadu, Uttarkhand and more recently Sikkim have constituted pay panels.
In Sikkim The Chief Minister Pawan Chamling said that the State Government will soon implement Sixth Pay Commission in the State.
Where as in Uttarakhand government is considering a strategy to implement the Sixth Pay Commission recommendations in the hill state for its employees.
The government has constituted a high-powered two-member committee headed by former union petroleum and natural gas secretary Sushil Kumar Tripathi.
At present, the state government has 160,000 employees even as 65,000 jobs are lying vacant. In case these posts are filled, the government will require Rs 1,500 crore every year.
The government has come under considerable pressure after the Uttar Pradesh government announced its decision to implement the sixth pay panel recommendations. The state employees are hoping that they will get a hike of 25 per cent.
The main task of the committee will be to devise ways and means for the implementation of the sixth pay commission report in the hill state.