Tuesday, August 20, 2013

CSD: Unit Run Canteen's employees are not government employees

CSD: Unit Run Canteen's employees are not government employees

Press Information Bureau
Government of India
Ministry of Defence
20-August-2013
Unit Run Canteens

Demands from various forums have been received for implementation of Sixth Pay Commission recommendations in respect of URC employees, however, these recommendations have not been accepted as URC employees are not government employees.

The sales turnover and profit generated by CSD is as under:
(Rs. in Crore)

Year
FY 2011-2012
FY 2012-2013
Sales
Rs.9746.59
Rs.10245.35*
Profit
Rs.216.30
Rs.219.34*

*Unaudited figures.

As URC employees are not Government employees. They are given pay and allowances as per the rules regulating the terms and conditions of the services of the civilian employees of the URCs, issued by Army Headquarters. Consequent to Sixth Pay Commission, the basic pay of all categories has been increased by 50% w.e.f. 01.02.2009 and 15% w.e.f. 01.12.2009. Another 15% raise has been given w.e.f. 03.04.2013.

This information was given by Defence Minister Shri AK Antony in a written reply to Shri Hukumdev Narayan Yadavin Lok Sabha today.

PIB

4 comments:

Reply by the Hon'ble Minister on behalf of govt is totally incorrect.PACs ATR on the subject issue has already submitted and reply of ATR by the govt is still awaited. The PAC has strongly recommended that the URCs are retail out lets of the CSD and their employees are govt employees.
TS Chauhan Ex Secretary General AIDCCEU

My comment dt 12 Sep 2013 are as under:

With regard to the statement made by the Hon’ble Raksha Mantri in Lok Sabha, on 20 Aug 2013 my submissions are as under:-
1. While disposing off civil appeal No 1039-1040 of 1999 in the matter of UOI Vs Md Aslam, Honb’le Supreme court given the following directions :-
(a) Status of URC employees “ WE are of the considered opinion that the status of the employees in the Unit Run Canteen must be held to be that of a government employee”
(b) Funds : “ But in the case in hand if the Canteen stores Department forms a part of the Ministry of Defence and if their funds form a part of the Consolidated fund of India and it is the said Canteen stores Department which provides fund as well as different article through the retail outlets of Unit Run Canteen then the employees who discharge the duties of salesmen in such retail outlets must be held to be employees under the Government”
(c) Rules : “ Union of India to determine the service conditions of the employees in the Unit Run Canteens at an early date, preferably within six months from the date of this judgment”

In view of Hon’ble Supreme court directions, Ministry of Defence formulated the rules which were circulated vide letter No 96029/Q/DDGCS dt 28 Apr 2003, as per para 18 (a) of letter says “ Mnimum scales available to employees in CSD(I) will be granted to Unit Run Canteen Employee.”
The employees of CSD(I) are getting pay and allowances as per the 6th CPC, but the Unit Run Canteen employees have still not implemented the pay scales of 6th CPC and hence the Employees were demanding the implementation of 6th CPC.

Hon’ble MP shri Hukum Dev Narayan Yadav had raised the right question but the Hon’be Raksha Mantri made its reply incorrect.

In fact the Hon’ble Supreme court directions in the Civil appeal 1039-1040 of 4th Jan 2001 have not been implemented in later and sprit till date and the employees of Unit Run Canteens are being victimized by not allowing them pay & allowances as per 6th CPC like the employees of CSD(I).
TS Chauhan, Ex Secretary General, AIDCCEU

My comment dt 13 Sep 2013 with reference to the Reply of Honb’le Raksha Mantri in the parliament. I wish to call the attention of Govt on the statement submitted by the 87th parliament report at page No 20/21 ( para 2-27). ( Though the committee report is 23 years old but till date the situation of civilian employees in the Unit run canteens are same). The extract of the committee is as under :-

“ The Committee express its deep sense of anguish over the way thousands of civilian employees of the Unit Run Canteens are being treated. The committee has came to the conclusion that they are extremely exploited lot, to say the least . Their service conditions are extremely poor and sub standard. At most of places their salaries are meager, even below the minimum wages, applicable at the particular stations. They are not entitled to any provident fund, medical and other facilities, which are the basic needs of the employees in the modern day society.

Inspite of assurance given by the Secretary Ministry of Defence on the 4th May 1990 that a fresh view would be taken on various aspects and the working conditions of the civilian employees in the canteens. Nothing has been done. There appears to be a deep rooted vested interest which is coming in the way of the Ministry of Defence and the three forces to give these employees a fair deal.

During the committee visit to Bombay in September 1989, Major General VK Chaudhary, Chairman Board of Administration and General Manager of the Canteen stores Department, Inter-alia informed the Committee that till 1976-77 the Department directly controlled the station Canteens in addition to the Depot and that as per the Government decision the Department gradually handed over the control of station Canteens to the armed Forces. If the employees of these Canteens were earlier Government employees as part of the Canteen stores Department, why they now can not be treated in a better way either as part of Canteen stores Department or under some other arrangement exclusively meant for them, is difficult to comprehend.

From all facts placed on record the committee has came to the conclusion that for all intends and purposes, these employees are government employees and should be treated as such by making a suitable mechanism. They recruited controlled and supervised by the officers of three defence services and the recruitment and conditions of service Rules etc for them have also been made by three defence services, though they have been given the name of the executive instructions, needless to state that the matters like service conditions and recruitment of thousands of employees can not be dealt with through executive instructions.”

TS Chauhan,EX Secretary General AIDCCEU dt 13 Sep 2013.

My comment dt 13 Sep 2013 with reference to the Reply of Honb’le Raksha Mantri in the parliament. I wish to call the attention of Govt on the statement submitted by the 87th parliament report at page No 20/21 ( para 2-27). ( Though the committee report is 23 years old but till date the situation of civilian employees in the Unit run canteens are same). The extract of the committee is as under :-

“ The Committee express its deep sense of anguish over the way thousands of civilian employees of the Unit Run Canteens are being treated. The committee has came to the conclusion that they are extremely exploited lot, to say the least . Their service conditions are extremely poor and sub standard. At most of places their salaries are meager, even below the minimum wages, applicable at the particular stations. They are not entitled to any provident fund, medical and other facilities, which are the basic needs of the employees in the modern day society.

Inspite of assurance given by the Secretary Ministry of Defence on the 4th May 1990 that a fresh view would be taken on various aspects and the working conditions of the civilian employees in the canteens. Nothing has been done. There appears to be a deep rooted vested interest which is coming in the way of the Ministry of Defence and the three forces to give these employees a fair deal.

During the committee visit to Bombay in September 1989, Major General VK Chaudhary, Chairman Board of Administration and General Manager of the Canteen stores Department, Inter-alia informed the Committee that till 1976-77 the Department directly controlled the station Canteens in addition to the Depot and that as per the Government decision the Department gradually handed over the control of station Canteens to the armed Forces. If the employees of these Canteens were earlier Government employees as part of the Canteen stores Department, why they now can not be treated in a better way either as part of Canteen stores Department or under some other arrangement exclusively meant for them, is difficult to comprehend.

From all facts placed on record the committee has came to the conclusion that for all intends and purposes, these employees are government employees and should be treated as such by making a suitable mechanism. They recruited controlled and supervised by the officers of three defence services and the recruitment and conditions of service Rules etc for them have also been made by three defence services, though they have been given the name of the executive instructions, needless to state that the matters like service conditions and recruitment of thousands of employees can not be dealt with through executive instructions.”

TS Chauhan,EX Secretary General AIDCCEU dt 13 Sep 2013.

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