Monday, July 3, 2017

Government gears up to notify 7th pay commission allowances hike

Government gears up to notify 7th pay commission allowances hike
New Delhi:The government is gearing up to notify the 7th pay commission allowances shortly, after it’s got cabinet nod.

The government has to notify of the new allowances for central government employees this week, allowances, the compensatory perks for all employees and the employees will get increased allowances from this month, the finance ministry officials today told.

The government on Wednesday increased allowances, which comes into effect from July 1, 2017, is based on the recommendations of the Committee on Allowances.

While the government hiked the salaries for the central government employees from August 2016. They also got arrears of basic pay from January 2016 on the recommendations of the 7th Pay Commission.

“The Department of Expenditure will issue notifications for implementation of 7th Pay Commission allowances this week, after which it will be put on the department site for downloads,” the officials told.
The officials added before the issuance of the notification it would not be appropriate to say anything on the matter. They also confirmed “the notification will address all apprehensions.”

“The detailed notifications will be issued which will tell what are the benefits given to employees. It is right now premature to comment on what is in it and what are the cabinet full nods,” they also said.

PRESS NOTE
Union Finance Minister Arun Jaitley told media on Wednesday that the Cabinet approved HRA at the rate 24, 16 and 8 per cent for X,Y and Z cities respectively. HRA will not be less than Rs. 5,400, Rs. 3,600 and Rs. 1,800, which is calculated at 30, 20 and 10 per cent of minimum pay of Rs. 18,000.”
“Fixed medical allowance for pensioners is increased from Rs.500 per month to Rs.1000 per month. Constant attendance allowance on 100 percent disablement is increased from Rs.4500 per month to Rs. 6750 per month,” Jaitley added.

In June 2016, when the Cabinet approved pay and pension hike for central government employees and pensioners under the 7th Pay Commission recommendations, The decision on higher allowances was postponed by the Cabinet on that time because the 7th Pay Commission recommended abolition of 52 allowances and subsuming of another 36 allowances into larger existing ones out of total 196 allowances
The 7th Pay Commission also recommended slashing the HRA from 30, 20 and 10 per cent to 24, 16 and 8 percent of the Basic Pay for Class X, Y and Z cities respectively.

The Employee unions were opposed it, which government complied with formation of the Committee on Allowances headed by Finance Secretary Ashok Lavasa in June 2016 to review the allowances.
In April, the Committee on Allowances had examined the 7th Pay Commission’s recommendations on allowances, and submitted its report to Finance Minister Arun Jaitley.

The report was then taken up by the Department of Expenditure for examination, following which it was passed on to the Empowered Committee of Secretaries headed by the Cabinet Secretary P K Sinha set up to screen the 7th Pay Commission recommendations and to firm up the proposal for approval of the Cabinet.
The Empowered Committee of Secretaries prepared the Cabinet note on allowances, which was completed on June 1.

The Empowered Committee of Secretaries dittoed the report of the committee on allowances.
The committee on allowances also stuck with the 7th Pay Commission's recommendations on allowances, accordingly, the cabinet accepted it.

Cabinet's decision on Allowance to Central Government Employees

Cabinet's decision on Allowance - Discontentment amongst the Central Govt. Employees: AIDEF writes to JCM for urgent meeting

ALL INDIA DEFENCE EMPLOYEES FEDERATION
"S.M. Joshi Bhavan", Survey No. 81, Dr. Babasaheb Ambedkar Road, Khadki, Pune - 411003


No.014/1014/NC(JCM)/AIDEF/17
Dated: 30.06.2017
To
Comrade Shiva Gopal Mishra,
Secretary/ Staffside,
National Council (JCM),
13-C, Ferozsha Road, New Delhi.

Subject : Cabinet's decision on Allowance to central Government Employees.

Dear Comrade,

After the decision taken by the Cabinet on the Lawasa Committee's recommendation on the CPC Allowances including HRA, there is a total discontentment amongst the Central Govt. Employees. The Govt. assured NJCA that within 4 months they will settle all the 7th CPC related demands. However the Govt. made the Central Govt. Employees to wait for more than an year and ultimately has decided to implement what the 7th CPC has recommended with some minor changes here and there. The demand of the NJCA and Staffside to revise the Allowances from 1/1/2016 has been rejected and Govt. has decided to revise the same only from 01/07/2017, thereby denying the arrears on Allowances to the Central govt. Employees.

The Govt. is remaining silent on the demand of minimum pay, fitment factor and NPS. The Govt has already rejected the option No.1 recommended by Th CPC to the pre-2016 pensioners.

In this situation this Federation is of the view that you may urgently call a meeting of the NJCA or Staff Side to discuss the entire issue and to take decision on future course of action considering the anger, dissatisfaction and discontentment amongst the Central Govt. employees. We hope you will appreciate the seriousness of the situation.

With regards,

Yours Comradely,
S/d,
(C. Sri Kumar)
General Secretary.

Status of ex-servicemen Definition

Status of ex-servicemen Definition

Those who were released between 01 Jul 66 and 30 Jun 68 (both days inclusive) :
Any person who has served in any rank (whether as a combatant or not) in the Armed Forces of the Union, has been released therefrom otherwise than by way of dismissal or discharge on account of misconduct or inefficiency
(Authority : Min of Home Affairs Notification No F.14/26/64-Estt(D) dated 11 Oct 1966)

Those who were released between 01 Jul 68 and 30 Jun 71 (both days inclusive) :
Any person who has served in any rank (whether as a combatant or not) in the Armed Forces of the Union for a continuous period of not less than six months and released there from otherwise than by way of dismissal or discharge on account of misconduct or inefficiency
(Authority : Min of Home Affairs Notification No 14/11/68-Estt(D)/Estt(C)dated 13 Feb 69)

Those who were released between 01 Jul 71 and 30 Jun 74(both days inclusive) :
Any person who has served in any rank (whether as a combatant or not) in the Armed Forces of the Union and has been released therefrom otherwise than by way of dismissal or discharge on account of misconduct or inefficiency
(Authority : Cabinet Secretariat, Department of Personnel Notification No 13/3/71-Ests(C) dated 14 Oct 71)

Those who were released between 01 Jul 74 and 30 Jun 79(both days inclusive) :
ESM means a person who has served in any rank(whether as a combatant or non-combatant) in the Armed forces of the Union,for a continuous period of not less than six months after attestation and has been released therefrom otherwise than by way of dismissal or discharge on account of misconduct or inefficiency.
(Authority : Cabinet Secretariat, Deptt. of Personnel & Administrative Reforms Notification No 13/24/73-Estt(C) dated 26 Oct 74)

Those who were released between 01 Jul 79 and 30 Jun 87 (both days inclusive) :
Any person who has served in any rank(whether as combatant or not)in the armed forces of the Union for a continuous period of not less than six months after attestation if discharged for reasons other than at their own request or by way or dismissal or discharge on account of misconduct or inefficiency and not less than five years service if discharged at own request.
(Authority : Deptt. of Personnel & Administrative Reforms Notification No 39016/10/79-Estt(C ) dated 15 Dec 79)

Those who were released on or after 01 Jul 87 :
Any person who has served in any rank (whether as combatant or not) in the armed forces of the Union and was released/retired with any kind of pension from Defence Budget or released on completion of specific terms of engagement with gratuity otherwise than at his own request or by way of dismissal or discharge on account of misconduct or inefficiency.
(Authority : DOP&T OM No 36034/5/85-Estt(SCT) dated 14 Apr 87)

Personnel of Territorial Army :
Who are pension holders for continuous embodied service, persons with disability attributable to military service and gallantry award winners retired on or after 15 Nov 86.
(Authority : DOP&T OM No 36034/5/85-Estt(SCT) dated 14 Apr 87)

Personnel of Army Postal Service :
Personnel of Army Postal Service , who are a part of regular Army and retire from such service (that is directly from APS without reversion to P&T Department) with a pension or who have been released from such service on medical grounds attributable to military service or circumstances beyond their control and awarded medical or other disability pension shall come within the definition of ex-servicemen
(Authority : Min of Defence OM No 9(52)/88/D)(Res) dated 19 Jul 89)

Note : As per Govt. of India, Min of Def/Deptt. of ESW OM No 1(9)/2010/D(Res-I) dated 20/21 Jul 2011, personnel who were on deputation in APS for more than six months prior to 14 Apr 87 would also be considered as ex-servicemen with all consequential benefits.

Recruits : Who are boarded oput/released on medical grounds and granted medical/disability pension. However, the operation of the OM has been kept in abeyance for issuance of notification by DOP&T.
(Authority : Min of Def/Deptt of ESW OM No 12/1/2005/D(Res) dated 01 Feb 2006)

Cadets :
Disabled Cadets have not been accorded the status of ex-servicemen.
(Authority : Min of Def ID No 12/1/2005/D(Res) dated 02/05 Sep 2011)

 Note : The eligibility of the person to the status of ex-servicemen will be governed by the definition in vogue at the time of his discharge and will not be affected by the changes in the definition subsequent to the discharge.

Enhanced DA after Retirement on 30th June and 31st December to be considered for Retirement Benefits

Enhanced DA after Retirement on 30th June and 31st December to be considered for Retirement Benefits

Shri. JVSR.Krishna raised an important issue in our comments forum. Considering the merits of this issue, we posted here to draw the attention of authorities concerned to take necessary action to address the grievances of similarly placed retiring government servants.

Dearness Allowance & Dearness Relief:
As per the prevailing conditions, Govt of India sanctioning DA once in 6 months i.e. 1st Jan. & 1st July. Based on consumer price index, due to raise in the inflation for the period of once in 6 months i.e. 1st Jan. to 30th June & 1st July to 31st December respectively DA being sanctioned to those Central Govt. employees and as DR to the Central Govt. Pensioners. This DA/DR is cumulatively added every month, for administrative convenience, it was being sanctioned once in 6 months. For those Central Govt. employees who were having DOB 1st of any month are being forcibly superannuated on the last working day of the preceding month. Particularly, those who were having DOB 1st Jan. & 1st July, though they have completed 6 months, sanctioned DA was not considered for calculating Retirement benefits viz. Gratuity & Leave encashment purpose.

Retired Government servants is entitled for revised rate of D.A
whether a retired Government servant is entitled for revised rate of D.A., which comes into force after such Government servant retires from service on attaining the age of superannuation.

As per the Honble. CAT judgement, DA was allowed for calculation of retirement benefits; to those retired on 30th June (DA was sanctioned next to their retirement date. The said case was appealed in Honble. High Court of A.P. the WP was dismissed, further, Govt. of India appealed as SLP in Honble. Supreme Court of India, there also it was dismissed.

Orders were issued for implementation of DA to the Central Govt. Servants, who were working in Accountant General Office, Hyderabad. The same was implemented.

Since, it is a common issue, individuals who were worked in various Departments of Central Govt. should not insisted that who ever will proceed litigation, it will be implemented. It shall be implemented across the board to all the employees to save the money & man power of Govt. of India to avoid litigations.

References: a) CAT Hyderabad Bench OA No.552 of 2003;
b) High Court , Andhra Pradesh WRIT PETITION NO.26506 OF 2012 dt.11/9/2012
c) Supreme Court SLP No.16237/2013 dt.27.10.2014
d) Through Lr No.PAG(G&SSA)/Legal Cell/RTI/F.No.118/2016-17/D.No.45 dt.02/11/2016 intimated that
Supreme Court order was implemented for payment of Retirement Gratuity & cash equivalent to leave salary.

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