Saturday, February 11, 2017

Cashless treatment of ESIC Employees and cash compensation for loss of wages

Cashless treatment of ESIC Employees and cash compensation for loss of wages: Loksabha Q&A



ANSWERED ON: 21.11.2016
ESIC Employees

Will the Minister of LABOUR AND EMPLOYMENT be pleased to state:-

(a) whether the Government has stopped/proposes to stop the cashless treatment of ESIC Employees;
(b)if so, the details thereof and the reasons therefor;
(c)the steps being taken by the government to alleviate problems of ESIC employees in this regard;
(d)whether the Health Insurance Scheme run by the Government provides guarantee of income which is necessary for livelihood and if so, the details thereof; and
(e)if not, whether the Government proposes to implement such schemes in future?



(a) & (c): No, Madam. The employees under ESI Scheme are eligible for cashless treatment in the ESI Hospitals and tie up hospitals. In case of emergency treatment outside the ESI network, the employees are reimbursed on CGHS rates or respective state rates.

(b): Not applicable in view of answer at (a) above.
(d): Yes, Madam. Under ESI Scheme, cash compensation for loss of wages is paid as under:
1. Sickness Leave - For 91 days @ 70% of wages
2. Temporary disablement - Till the spell of sickness lasts @ 90% of wages
3. Maternity leave - For 12 weeks (under revision to 26 weeks) @ 100% of wages
4. Unemployment allowance- @50% for first year and 25% for second year.
(e): Not applicable.


Bureaucracy delaying higher allowances implementation

Bureaucracy delaying higher allowances implementation

New Delhi: Complicated bureaucracy is delaying the implementation of the higher allowances under 7th Pay Commission recommendations, and it is now expected to start in three to four months, one leader of an employees union was quoted as saying.

The government has given higher basic pay with arrears, effective from January 1, 2016 in August 2016 to its employees on the recommendations of the 7th pay commission but referred hike in allowances other than dearness allowance to the ‘Committee on Allowances’ headed by the Finance Secretary Ashok Lavasa for examination in July, 2016 as the 7th pay commission had recommended for abolishing 51 allowances and subsuming 37 others out of 196 allowances.

The government has given the committee four months to submit the report but an extension was also given up to February 22, 2017 to submit its report on higher allowances. In October last year, Finance Secretary Ashok Lavasa had said the committee was ready with its report.

Usually, once the recommendations of the pay commission are approved, the increase in basic pay is followed by an increase in allowances.

The government earlier said that the cash crunch was the reason behind the delay in announcing higher allowances.

The announcement of assembly elections in five states has also given an excuse for the government as it cannot announce allowances hikes till the model code of conduct is in place up to March 8.

The higher House Rent Allowance (HRA) segment is of great benefit to central government employees in the allowances.This segment will more than double, with the increases ranging between 106% and 122% as recommended the 7th Pay Commission. So, the central government employees have a keen interest in higher House Rent Allowance (HRA).

The pay commission has recommended the rates HRA for these cities to 24%, 16% and 8% respectively of new pay matrix.

The Commission also recommended, that the rate of HRA will be revised to 27 percent, 18 percent and 9 percent respectively when DA crosses 50 percent, and further revised to 30 percent, 20 percent and 10 percent when DA crosses 100 percent.

The existing rates of HRA for Class X, Y and Z cities and towns are 30%, 20% and 10% of Basic pay (old pay in the pay band plus grade pay) are now paid to the central government employees according to the 6th Pay Commission recommendations until issuing of higher allowances notification.

The top bureaucrats living government bungalows and plush flats in the posh East Moti Bagh area in New Delhi. So, they don’t take House Rent Allowance (HRA).

‘The top bureaucrats houses have modular kitchens, hot and cold water supply like in hotels, solar lighting, a club with a swimming pool and tennis courts, jogging tracks, terrace gardens, a shopping complex, a primary school and banking facilities,’ an official at the urban development ministry said. They are also taking benefit of yoga and health centre.

The luxury apartments becoming popular among the bureaucrats. The secretaries of the central departments have been allotted a plot size of 8,250 sq ft, a plint area of 1,970 sq ft, eight bedrooms, four servant quarters, two garages, front and rear lawns. Hence, they are not interested to hike allowances and the higher allowances announcement dips in face of bureaucratic apathy.

However, we hope, the Finance Minister Arun Jaitley may announce the higher allowances, most probably after ending the model code of conduct on March 8, which will cover 48 lakh central government employees and 52 lakh pensioners.

Grant of one time relaxation to the Central Government Employees who have availed LTC-80 and travelled by air by purchasing Ticket from other than authorized agents

Grant of one time relaxation to the Central Government Employees who have availed LTC-80 and travelled by air by purchasing Ticket from other than authorized agents

Shiva Gopal Mishra
Ph: 23382286
National Council (Staff Side)
Joint Consultations Mechinery
For Central Government Employees
13-C, Ferozshah Road, New Delhi - 110001
The Secretary,
Government of India,
Department of Personnel & Training,
North Block,
New Delhi
February 9, 2017

Sub: Grant of one time relaxation to the Central Government Employees who have availed LTC-80 and travelled by air by purchasing Ticket from other than authorized agents.

Ref:- Decision taken in the New Agenda No.III of the Standing Committee meeting of the National Council (JCM) held on 25.10.2016

Dear Sir,
In the Standing Committee meeting of the National Council (JCM) held under your chairmanship on 25.10.2016 the Staff Side informed that many non entitled Central government Employees had availed themselves the benefit of LTC-80 and purchased ticket from unauthorized agents, unaware of the rule position. Subsequently audit had returned the LTC final claims without sanctioning them and advised the administrative divisions of the Ministries concerned to recover the entire LTC advance from their salary. The staff Side also informed that Ministry of Defence, with the approval of Hon’ble Defence Minister had forwarded a proposal the DOPT seeking one time relaxation in such cases. The Secretary (P) informed in the meeting that the entire issue is under consideration of the DOPT.

To our shock and surprise the Ministry of Defence vide their ID Note dated 3.2.2017 has issue a letter to the lower formations (copy enclosed) stating that the DOPT has not agreed for granting bulk relaxation to thousands of Group B and Group C Defence Civilian Employees. Further DOPT has advised Ministry of Defence that the proposal for granting relaxation for booking of tickets through private travel agents may be scrutinized individually and has given certain guidelines which is practically difficult to adopt at this stage, since many such employees are due to retire from service shortly. It will be difficult for the administration to cross verify all those claims since the number of affected employees are more than 5000. In this situation we suggest the following for your kind consideration.

“In the case of those employees who have purchase air tickets from other than authorized agents and have actually travelled and submitted the tickets along with boarding pass, in such cases the administration may find out the actual LTC-80 fare from the concerned Airlines on that particular date when the concerned employee actually traveled and the claim may be restricted to the same and the balance amount if any calimed the same may be recovered from the concerned employee”.

The above proposal if accepted will reduce lot of administrative work and also will relieve the concerned employees from financial and mental hardship, thereby setting and outstanding issue once for all. In case of any further clarification required the Staff Side may please be invited for a discussion on the subject. Awaiting for your favorable response please.

Yours faithfully,
(Shiva Gopal Mishra)
Source: Confederation

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