Saturday, April 26, 2014

Annual Increment for Central Government Employees – Comparison table between 5th & 6th CPC

Annual Increment for Central Government Employees – Comparison table between 5th & 6th CPC
An overview about Central Government Employees’ Increment
‘Increment’ is definitely one of the most popular words in the Central Government employee’s dictionary. It is a known fact that each year, without fail, increment brings considerable raise in salary for Central Govt employees.

Until about the 5th CPC, there was no major change in the increment system. But, the 6th CPC brought in landmark reforms in the increment system.
Until then, increments were given in the form of a consolidated amount. The 6th CPC recommended that it be calculated on percentage basis. The Central Government ordered that it be calculated at 3% of the employee’s basic pay with effect from 1.1.2006.The CG employees didn’t realize how useful this was going to be. They thought it wouldn’t amount for much. It was Rs.75 for Rs. 3050 and revised to Rs. 210 for Rs.7000 with simple calculation.
But that was not the end of the story. It was only after a number of years that they realized the true impact of this reform. Let us explain the benefits with an example:
Let us consider the examples of A, and B, two employees who had joined the Central Government services: In five years of getting recruited, B gets a promotion. A gets a promotion three years after B.

On the basis of the 6th CPC :
6th CPC






A’ Employee


B’ Employee


1.9.2008 1900 5830 7730 1.9.2008 1900 5830 7730
1.7.2009 1900 6070 7970 1.7.2009 1900 6070 7970
1.7.2010 1900 6310 8210 1.7.2010 1900 6310 8210
1.7.2011 1900 6560 8460 1.7.2011 1900 6560 8460
1.7.2012 1900 6820 8720 1.7.2012 1900 6820 8720
1.7.2013 1900 7090 8990 1.7.2013 2400 7090 9490
1.7.2014 1900 7360 9260 1.7.2013 2400 7380 9780
1.7.2015 1900 7640 9540 1.7.2014 2400 7680 10080
1.7.2016 2400 7930 10330 1.7.2015 2400 7990 10390
1.7.2016 2400 8240 10640 1.7.2016 2400 8310 10710

On the basis of the 5th CPC :
5th CPC




‘B’ Employee

‘A’ Employee

1.2.2000 3050
1.2.2000 3050
1.2.2001 3125 75 1.2.2001 3125 75
1.2.2002 3200 75 1.2.2002 3200 75
1.2.2003 3275 75 1.2.2003 3275 75
1.2.2004 3350 75 1.2.2004 3350 75
1.2.2005 4000 100 1.2.2005 3425 75
1.2.2006 4100 100 1.2.2006 3500 75
1.2.2007 4200 100 1.2.2007 3575 75
1.2.2008 4300 100 1.2.2008 4000 100

Can you understand the difference now?
In 6th CPC the difference between ‘A’ and ‘B’ will be Rs.70 only, whereas in 5th CPC it will be Rs.300.
The Junior doesn’t have to worry that the senior has a tremendous advantage over him. In the past, the Junior wouldn’t be able to attain the Senior’s basic pay until retirement.

Source: 90paisa.blogspot.in
[http://90paisa.blogspot.in/2014/04/annual-increment-for-central-govt.html]

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