Finance Ministry issued orders on upgradation of cities / towns on
the basis of Census 2011 for the purpose of House Rent Allowance
The
new and revised list of cities & towns has been declared by the
Finance Ministry today for the purpose of House Rent Allowance on the
basis of Census 2011.
House Rent
Allowance to Central Government employees is now calculated on the basis
of the population census of 2001. The cities and towns are classified
as X, Y, and Z, based on their population. Employees in these towns are
eligible for 30%, 20% and 10% House Rent Allowances respectively.
Population
census is conducted once every ten years. The most recent census was
held in 2011. Official information and findings of the Census was sent
by the registrar General & Census Commissioner to the Finance
Ministry a long time ago.
There is no denial in the fact that the
Confederation of Central Government Employees has been constantly
demanding this upgrading. The Confederation had, on 28.04.2014, sent a
letter to the Finance Ministry. The letter said that even though the
2011 Census Report CD was received, there is no official announcement
from the Government in this regard. The letter also demanded that a
revised HRA and TA be implemented immediately in the reclassification of
cities and towns on the basis of 2011 Census. On 30.07.2014, the
Finance Ministry had, in reply to the mail, said that steps are being
taken to implement the revised HRA and TA rates to the Central
Government employees of these cities and towns.
Now, Finance
Ministry issued orders on re-classification / upgradation of cities /
towns on the basis of Census 2011 for the purpose of House Rent
Allowance to Central Govt employees with effect from 1.4.2015.
G.I. Min. of Finance, Dept. of Exp. O.M.No.2/5/2014-E.II(B), dated 21.7.2015
Subject :
Re-Classification
/ Upgradation of Cities / Towns on the basis of Census-2011 for the
purpose of grant of House Rent Allowance (HRA) to Central Government
employees.
Reference is invited to this Department’s O.M.
No.2(13)/2008-E.II(B) dated 29.08.2008 relating to grant of House Rent
Allowance (HRA) to Central Government employees on the recommendations
of the 6th Central Pay Commission (CPC) whereby a list of cities / towns
classified as “X”, “Y” and “Z” for the purpose of grant of HRA was
enclosed as Annexure. The matter relating to re-classification of cities
/ towns on the basis of Census-2011 for the purpose of grant of HRA to
Central Government employees has been considered by the Government.
2.
The President is pleased to decide that in supersession of all the
existing orders relating to classification of cities/towns for the
purpose of grant of HRA to Central Government employees, cities/towns
shall now be re-classified as “X”, “Y” and “Z” for the purpose of HRA as
enumerated in the Annexure to these orders.
3. Consequent upon
implementation of the recommendations of the 5th Central Pay Commission,
certain cities / towns were placed in a lower classification as
compared to their existing classification for HRA purpose, vide this
Department’s O.M. No.2(30)/97-E.II(B) dated 03.10.97. However, these
cities/towns were allowed to retain their existing higher
classification, vide Para 3 thereof; and further extended vide O.M.
No.2(21)/E.II(B)/2004 dated 16.03.2005 & O.M. No.2(13)/2008-E.II(B)
dated 07.01.2009. As other cities / towns to which protection of
retaining earlier higher classification was allowed, got upgraded during
the intervening period and as on date only two cities i.e. Ajmer in
Rajasthan and Durgapur in West Bengal were retaining such protection.
Consequent upon upgradation of these two cities also on the basis of
their population as per Census-2011, provisions contained in Para 3 of
this Department’s O.M. No. 2(30)/97-E.II(B) dated 03.10.97 which Were
allowed to further continue vide O.M. dated 16.03.2005 & 07.01.2009,
stand withdrawn/discontinued.
4. Special orders allowing
continuance of HRA at Delhi (‘X” class city) rates to Central Government
employees posted at Faridabad, Ghaziabad, NOIDA and Gurgaon, at
Jalandhar (“Y” class city) rates to Jalandhar Cantt., at “Y” class city
rates to Shillong, Goa & Port Blair vide this Department’s O.M.
No.2(13)/2008-E.II(B) dated 29.08.2008, and continuance of HRA at par
with Chandigarh (“Y” class city) to Panchkula vide this Department’s
O.M. No.2(13)/2008-E.II(B) dated 04.03.2011, shall continue to be
applicable till the recommendations of 7th CPC are considered by the
Government.
5. These orders shall take effect from 1st April, 2015.
6.
The Orders will apply to all civilian employees of the Central
Government. The orders will also be applicable to the civilian employees
paid from the Defence services Estimates. In respect of Armed Forces
personnel and Railway employees, separate orders will be issued by the
Ministry of Defence and the Ministry of Railways, respectively.
7.
In so far as the persons serving in the Indian Audit and Accounts
Department are concerned, these orders issue in consultation with the
comptroller & Auditor General of India.
Authority: www.finmin.nic.in
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