Tuesday, February 28, 2017

3rd pay panel for CPSEs suggests min Rs 30,000 for executives

3rd pay panel for CPSEs suggests min Rs 30,000 for executives

New Delhi: The third pay revision committee for central public sector enterprises has recommended minimum pay of Rs 30,000 per month for executives and a maximum of Rs 3.7 lakh for CMDs.

As per the recommendations, the minimum monthly salary of below Board level executives will increase from Rs 12,600 to Rs 30,000.

However, in case of CMDs, the maximum monthly salary for Schedule A CPSEs will go up from Rs 1.25 lakh to Rs 3.7 lakh.

In case of Schedule B, C and D CPSEs, the maximum monthly salary will be Rs 3.2 lakh, Rs 2.9 lakh and Rs 2.8 lakh, respectively.

The recommendations of the Justice Satish Chandra committee, which are to come into effect from January 1, 2017, will be placed before the Union Cabinet for approval.

Depending upon profits, the PSUs are categorised into different schedules, with highest being Schedule A. There are currently 64 Schedule A, 68 Schedule B, 45 Schedule C and 4 Schedule D CPSEs in the country.
The committee has recommended that the rate of House Rental Allowance (HRA) will be revised to 27 per cent, 18 per cent and 9 per cent when industrial dearness allowance (IDA) crosses 50 per cent, and further revised to 30 per cent, 20 per cent and 10 per cent when IDA crosses 100 per cent.

The panel recommended no change in the IDA pattern and the 100 per cent DA neutralisation shall continue to be applicable.

Revised IDA from January 1, 2017, shall be linked to All India Consumer Price Index (AICPI) (2001=100) series with the base of AICPI as on January 1, 2017 as per the quarterly average of AICPI of September, October and November 2016.

The committee has also suggested that the annual increment be retained at 3 per cent of Basic Pay.
It has further recommended that increment on promotion shall continue to be at par with the annual increment rate (3 per cent of Basic Pay).

The panel has recommended no change in the retirement age for CPSE employees.

Besides, it said that ESOP being a concept beneficial for both CPSEs and its employees, the Department of Public Enterprises (DPE) should elaborate the mechanism in consultation with concerned authorities to enable introduction of ESOP in listed CPSEs with empowerment to the Board or Administrative Ministry to approve the same.

It will be in lieu of part of performance related pay.

Profit making CPSEs, which can bear the cost of VRS with their own surplus resources, are allowed to implement VRS policy by allowing compensation/ex-gratia on the revised pay scales proposed to be effective from January 1, 2017.

The committee has also recommended a modified performance related pay but said that the overall profit distribution should be linked to 5 per cent of the annual profit accruing from core business activity.

PTI

0 comments:

Post a Comment

Now Trending

34% DA Order for Central Govt Employees wef 01.01.2022 - Latest CG Employees DA Order Jan 2022

 DA Order for Central Government Employees from Jan 2022 - Finmin Order 2022 Latest CG Employees DA Order Jan 2022 Dearness Allowance payabl...

Disclaimer:

All efforts have been made to ensure accuracy of the content on this blog, the same should not be construed as a statement of law or used for any legal purposes. Our blog "Central Government Staff news" accepts no responsibility in relation to the accuracy, completeness, usefulness or otherwise, of the contents. Users are advised to verify/check any information with the relevant department(s) and/or other source(s), and to obtain any appropriate professional advice before acting on the information provided in the blog.

Links to other websites that have been included on this blog are provided for public convenience only.

The blog "Central Government Staff news" is not responsible for the contents or reliability of linked websites and does not necessarily endorse the view expressed within them. We cannot guarantee the availability of such linked pages at all times.

Any suggestions write to us
centralgovernmentnews@gmail.com