Setting up of Anomaly Committee to settle the anomalies arising out of the implementation of the Seventh Pay Commissions recommendations.

No.11/2/2016-JCA Government of India Ministry of Personnel, Public Grievances and Pensions Department of Personnel & Training ...

7th CPC Pension Revision for Pre-2016 Pensioners photo NewBIGRED.gif 7th CPC PENSION IMPLEMENTATION NOTIFICATION DATED 04/08/2016 photo NewBIGRED.gif

Thursday, March 31, 2016

Central Civil Services (Leave Travel Concession) Rules, 1988 — Fulfillment procedural requirements-DOPT OM

Government of India
Ministry of Personnel, Public Grievances and Pensions
Department of Personnel and Training
Establishment A-IV Desk

North Block, New Delhi-110001
Dated March , 2016


Subject:- Central Civil Services (Leave Travel Concession) Rules, 1988 — Fulfillment procedural requirements.

The undersigned is directed to refer to para 8 and 9 of the Guidelines enclosed in this Department’s O.M. of even number dated 18.2.2016 on the above noted subject and to say that the issues have been revisited in consultation with the Department of Expenditure. It has been decided that the cases where a Government servant travels on LTC upto the nearest airport/railway station/ bus terminal by authorised mode of transport and undertakes rest of the journey to the declared place of visit by private transport/own arrangement, may be dealt with as follows:-

(i) When public transport is available between the nearest airport/railway station/ bus terminal and the declared place of visit:-

The Government servant may also be reimbursed the fare incurred for completion of journey to the declared place of visit by own arrangement. This will be restricted to the fare admissible for journey by otherwise entitled mode of public transport from the nearest airport/railway station/ bus terminal to the declared place of visit. The Government servant shall be required to submit an undertaking that he has actually visited the declared place of visit.

(ii) Where no public transport is available between the nearest airport/railway station/bus terminal and the declared place of visit:-

(a) In case he does not wish to claim reimbursement for the part of the journey which he has undertaken by his own arrangement, he may be reimbursed for the part of the journey which he has undertaken by public transport. The Government servant shall be required to submit an undertaking that he has actually visited the declared place of visit.

(b) Where the Government servant claims assistance for the entire journey, the part of the journey where he has used his own arrangement would also be reimbursed as per his entitlement for journey on transfer. The Government servant shall be required to submit an undertaking that he has actually visited the declared place of visit.

2. In case of (b) above, the Government servant shall be required to submit a certificate that the mode of transport used by him operates from point to point on regular basis with the approval of the State Government/Transport authorities, and is authorised to ply as public carrier.

3. Above certificate need not be insisted upon in case information to the effect that (i) no public transport is available in a particular area, (ii) list of transport operators who operate on regular basis from point to point on regular basis with the specific approval of the State Government/Transport authorities, is available on the website of a State/Central Government or a State or Central PSU or in a current publication brought out by these authorities.

(Surya Narayan Jha)
Under Secretary to the Government of India


Wednesday, March 30, 2016

7cpc Latest News-Don't think 7th Pay Commission panel suggestions will remain: Manohar Parrikar

 Defence Minister Manohar Parrikar on Tuesday said the recommendation of 7th Pay Commission was not final and he would take up concerns raised by the Armed Forces at the right level.

In an exclusive interview with the India Today, Parrikar said he has prepared ground for smoothening the defence procurement which needed to be backed by deliveries now.

On the concerns raised by the Armed Forces over the raw deal given to them in the 7th Pay Commission, Parrikar said it was not the final word. “The seventh Pay Commission is in the form of recommendations. I do not think they (recommendations) will remain. I do not consider them as finalities. I have flagged them and will flag them properly at the right level,” said the defence minister.

Parrikar, who inaugurated arms show DefExpo in Goa on Monday where a strong pitch is being made to further expand the growing defence sector, said negative environment surrounding the military acquisitions has changed.

“I will not claim that I have turned it around completely but at least something has been done so that deliveries can start. Ground has been prepared. Delivery is now the key word,” said Parrikar adding that there was an environment of mistrust, suspicion which can be frustrating in dealing with forces.

He said the industry cannot be held responsible for responding slowly to the changing atmosphere. “They have experienced a congested atmosphere and the breeze has only now begun flowing in. However, it cannot happen overnight. Confidence building measures are in place. Industry has begun responding,” he said outlining how smaller changes have been made.

“Offsets have taken off, exports are improving, procurement from local level has gone up. At the capital procurement level, it has not taken off or turned into a big deal because it takes longer. Industry has definitely responded.” Talking about the defence reforms like the appointment of a Chief of Defence Staff, Parrikar said there are no hurdles in bringing defence reforms. “There has to be a rational decision. Drafts are being prepared and shared. Very soon it will be brought to the Cabinet,” he said.

Asked about delay in development of critical equipment like Intermediate Jet Trainers (IJT) for the IAF or submarines for the navy, Parrikar said the air force does not think the IJT is a requirement as it is training on simulators, Basic Trainer Aircraft and Advanced Jet Trainer. “Instead of three, it is a two-level, re-caliberated approach. The proposal for six under-construction Scorpene submarines is moving smoothly. Next project P75, I will tag along with our policy document on Strategic Partnership,” Parrikar said.

“When it will come about? Very soon, but I am not willing to issue a timeline. As far as Arihant, the issue should not be discussed. We are equally concerned and are moving in the right direction,” he said. The three services raised a number of issues, but when the pay commission sought the defence ministry’s comments and recommendation, the ministry negated most of the demands of the services, the officer said.

Source: http://indiatoday.intoday.in/story/manohar-parrikar-says-negative-environment-surrounding-military-acquisitions-has-changed/1/630434.html

Central trade unions to give strike call for Sept 2

Central trade unions will on Wednesday announce one-day nationwide strike on September 2 to protest against government's unilateral labour reforms and "anti-workers" policies.
 Central trade unions will on Wednesday announce one-day nationwide strike on September 2 to protest against government's unilateral labour reforms and "anti-workers" policies.

However, the RSS-backed Bharatiya Mazdoor Sangh (BMS) has decided to opt out of the proposed strike on September 2. "The central trade unions have reached a consensus to go on a day-long nationwide general strike on September 2, 2016 to protest against government's unilateral labour reforms and anti-worker policies," a source said.

The source, however, said, "BMS will not participate in the strike and thus will not sign the joint declaration to be unveiled at the National Convention of Central Trade Unions tomorrow."

The unions had gone on a strike on September 2 last year also to protest against the amendments in labour laws by the Centre as well as state governments, saying their 12-point charter of demands was not paid heed.

The leaders of the central trade unions including INTUC, AITUC, HMS, CITU, AIUTUC, TUCC, SEWA, AICCTU, UTUC and LPF would participate in their national convention tomorrow. Unions have been opposing certain proposed labour law amendments which allow hire and fire, make it tougher to make labour unions and dilute existing social security net available to the workers at different fora.

Under the proposed Industrial Relations Code Bill 2015, the employers with up to 300 workers would not require government permission for retrenchment, lay off and closure. Similarly, there is small factories bill which seek to exempt units with less than 40 workers from 14 labour laws.

 These units will be able to buy provident fund and health insurance products for their workers from open market. Thus they would not be requried to subscribe to social security schemes run by EPFO and ESIC. Last year, the government had formed an inter-ministerial panel headed by Finance Minister Arun Jaitley to hold "threadbare discussions" with representatives of unions on their 10-point charter of demands and other issues raised for recommending measures to address those issues.

However, after few rounds of meeting with the trade unions to resolve issues, the panel has not discussed any issue with them after September 2 strike last year.

The ten unions to meet tomorrow, claim a combined membership of 15 crore workers in public as well as private sector enterprises including banks and insurance companies. PTI KKS . Tags  PTI Central trade unions RSS-backed Bharatiya Mazdoor Sangh

Read more at:http://www.moneycontrol.com/news/current-affairs/central-trade-unions-to-give-strike-call-for-sept-2_6056221.html

Organizational Restructuring of EPFO Approved to Address Career Progression of Over 20000 Officials

Inoperative EPF Accounts that Stopped Earning Interest in 2011, Now to Earn Interest W.E.F. 01.04.2016

Software Module for Disbursal of Salaries to EPFO Launched

EPFO’s highest decision making body, the Central Board of Trustees methere last evening . This was its 212th meeting.The Union Minister for Labour and Employment (Independent Charge) and Chairman CBT, Mr BandaruDattatreya after the conclusion of the meeting said that the Board has taken two important decisions.

The first is in relation to Organisational Restructuring of EPFO. While approving the report in principle, the Board also constituted a Committee to look into the anomalies/gaps pointed out by the Board members. The committee chaired by the Central Provident Fund Commissioner has been asked to submit this report to the Board in a month’s time.

The Second major decision was to allow crediting of interest on inoperative accounts. Accounts of members who do not receive contributions for a continuous period of three years are treated as “Inoperative accounts”. Interest on these accounts was stopped in 2011. The Board decided to resume crediting interest on such accounts w.e.f. 01.04.2016

This is in view of recent amendment to paragraph 69(1) (a) that has been amended to provide for withdrawal of full amount on retirement from service after attaining the age of 58 years.Thus, the employer’s share of contribution in the provident fund account of a member would be withheld by EPFO up to the age of retirement. Hence the decision has been taken, to credit interest as per paragraph 60 of the employees ‘Provident Funds Scheme, 1952. Such an account would not be classified as an “Inoperative Account” for the purpose of paragraph 72(6) of EPFO Scheme, 1952.

The Union minister on the occasion also launched a Software module for disbursal of Salaries to EPFO. The Organisation is bringing IT (Information Technology) enabled systems to manage its Human Resources.  Better Human Resources management would bring further improvement in the service delivery by the offices.

The software will achieve the following objectives: -
-Uniformity in preparation of salary across all offices of Organization.
- Provision of Upload facility for existing data to enable speedy & correct data capture.
-  No need to enter data for subsequent months.  Only changes are required to be entered.
-   Automated TAX calculation.
 - Automated Staff Provident Fund and Loan Accounting.
- Provision to make calculation of arrears when required.

Filed Under: ,

Tuesday, March 29, 2016

7th Pay Commission: Armed forces pitch for better compensation, common pay matrix

7th Pay Commission: The absence of the military in the Empowered Committee has been a major cause of concern for the defence services.

 According to those present at the March 11 meeting, the Chief of the Air Staff, Air Chief Marshal Arup Raha spoke before the presentation by stating that the issues about to be raised are important as there is discontent among the rank and file.

According to those present at the March 11 meeting, the Chief of the Air Staff, Air Chief Marshal Arup Raha spoke before the presentation by stating that the issues about to be raised are important as there is discontent among the rank and file.

At about 10 am on March 11, the three military chiefs were in the meeting room of the cabinet secretariat to attend a crucial briefing.

The Pay and Allowances Review Committee (PARC) of the three services, comprising Major General rank officers, had been allotted 45 minutes to brief the Empowered Committee of Secretaries to process the recommendations of the Seventh Central Pay Commission (7th CPC).

The Empowered Committee is chaired by the Cabinet Secretary, PK Sinha and is meant to function as a screening committee to process the recommendations with regard to all relevant factors of the 7th CPC in an expeditious, detailed and holistic fashion.

The Empowered Committee consists of 13 secretaries, which includes nine IAS officers, one IPS officer and one from Railway Board. There are, however, no military officers on the committee. “We are 29.7 per cent of all central government employees, as are the Railways.

They have a member on the Committee but we don’t. The IPS, with strength of only 4,675 officers, has a member,” a senior military officer told The Indian Express.

The absence of the military in the Empowered Committee has been a major cause of concern for the defence services. The emotions of those in uniform have been running high since the time 7th CPC submitted its recommendations to the government in November last year.

Military officials monitoring various social media platforms told The Indian Express that they have been “shocked at the vehement anger and outrage” among military personnel “not only against the civilian bureaucracy but also senior military officials” over the recommendations of the 7th CPC.

The issue has been discussed at the highest levels in the services where fears of things going wrong, in case corrective steps are not taken to address the anomalies by the Empowered Committee, have been expressed by the military hierarchy.

 These fears were the reason for the three military chiefs to take the unusual step of being present for the briefing of the Empowered Committee. Even earlier, immediately after the 7th CPC submitted its report, the three chiefs had jointly written to the defence minister about their concerns over its recommendations.

According to those present at the March 11 meeting, the Chief of the Air Staff, Air Chief Marshal Arup Raha spoke before the presentation by stating that the issues about to be raised are important as there is discontent among the rank and file.

Requesting the committee to look favourably at the issues, he highlighted the fact that the status of the armed forces has been downgraded in the 7th CPC, and for the military, status and honour is the most important aspect of their service to the country.

The 25-minute PowerPoint presentation by PARC raised four demands before the Empowered Committee. The first demand was for grant of a Common Pay Matrix for the military and the civilian employees.

The Defence Pay Matrix of the 7th CPC has only 24 pay levels while there are 40 pay levels for the civilians. This means that all military officers will stagnate at the pay reached after 31 years of service, which will, in turn mean that their pensions will be Rs 20,000 less than their civilian counterparts.

Senior civilian government officials say that due to higher number of ranks in the military compared to the civilian bureaucracy, it is not feasible to have a Common Pay Matrix.

They say that the defence services were thus offered the option of a separate pay commission, which was rejected by them. “Our attempt is to get fully integrated into the system, at par with the civilians. Going for a separate pay commission defeats that purpose. We instead want to have a member on the pay commission,” explained a military official.

The second demand of the military pertained to Reciprocity of Allowances. A large number of allowances are applicable to civilian employees but not to the uniformed personnel. In April 2009, the government issued a letter stating that all compensatory field and other allowances applicable to the armed forces will also be applicable to the Central Armed Police Forces (CAPF). But the allowances of CAPF have not been extended to the armed forces.

In its presentation, PARC furnished the example of a CAPF DIG in Leh would be earning an allowance of Rs 57,500 while a Brigadier will get only Rs 17,000. Similarly, a military jawan deployed for disaster management like flood or earthquake relief shall get no allowance while a National Disaster Response Force will gets Rs 6,000 every time he is deployed, and a CAPF jawan will earn Rs 17,000.

“The comparison with CAPF is not fair. Some of their allowances look high because of the concept of detachment and special duty allowances. The military now wants the option, at every place, to choose between either the CAPF allowance or the military allowance, whichever is higher.

This is prima facie not fair,” countered a senior civilian bureaucrat. The military’s third demand is for restoration of weightage in pensions, which has been removed by the 7th C.

The weightage in terms of years of service, because of early retirement of military officials, was removed by the 6th CPC but it was restored for JCOs and jawans in 2009 by a committee headed by the then finance minister, Pranab Mukherjee. It was further enhanced by two years by the government in August 2012.

The military also wants the disability pension to be applicable on a percentage basis as it is to civilians. This was the case so far, but the 7th CPC has recommended a slab-based system for the military. It means that while an Additional Secretary would get Rs 60,000 as disability pension, a Lt General will earn only Rs 27,000.

The fourth demand of the military is about other allowances such as the technical allowance. The memories of a mutiny in the Indian Air Force in 1996, due to vast difference in the allowances of pilots and others, are fresh in the minds of the military hierarchy. With the removal of Tier-2 of technical allowance recommended by the 7th CPC, a pilot will get Rs 25,000 as allowance while his technical counterpart will get only Rs 3,000 per month. This, the military fears, is bound to raise discontent.

The presentation by PARC earned a word of praise from the Cabinet Secretary who promised to go into the details. But the military is concerned as the pending six ‘core anomalies’ from the 6th CPC have not been resolved so far. A committee of secretaries formed in 2012 to resolve those anomalies, recommended that they be resolved by an expert body, the 7th CPC. But those anomalies in status and parities were not addressed by the 7th CPC.

The 2012 committee of secretaries was formed by the government after then defence minister, AK Antony wrote in June 2012 to the then Prime Minister, Dr Manmohan Singh, warning that “There is growing discontentment among the Defence service personnel and Ex-servicemen across all ranks, due to various anomalies in the fixation of pay and pensions. My apprehension is that unless we take some corrective action, issue may take a bad turn.”

Four years down the line, the military hierarchy now fears that the former defence minister’s words may turn out to be prophetic.

Read more at http://indianexpress.com/article/india/india-news-india/7th-central-pay-commission-armed-forces-pitch-for-better-compensation-common-pay-matrix/#sthash.5mXaZQY8.dpuf

Filing of Returns by public servants on or before 15th April, 2016-DOPT

No. 407/12/2014-AVD-IV(B)
Government of India
Ministry of Personnel, Public Grievances and Pensions
Department of Personnel and Training
North Block, New Delhi,
28th March, 2016

Office Memorandum

Subject: Declaration of Assets and Liabilities by public servants under section 44 of the Lokpal and Lokayuktas Act, 2013 —filing of Returns by public servants on or before 15th April, 2016 -regarding

The undersigned is directed to refer to this Department's O.M. of even number dated 11th October, 2015 on the subject mentioned above whereby it was informed that the last date of furnishing of information relating to assets and liabilities by public servants under section 44 of the Lokpal and Lokayuktas Act, 2013 was extended upto 15.04.2016.

2. In this regard, it is stated that there shall be no further extension of the aforesaid last date i.e. 15.04.2016.

3. The formats to be used for submission of these returns to competent authorities have already been communicated to all concerned vide para-3 of OM of even number dated 18.03.2015. However, a copy of the same is enclosed for ready reference.

4. In this regard, it is informed that :-

i. The first return as on 1st August, 2014 under the Lokpal and Lokayuktas Act, 2013 should be filed on or before the 15th April, 2016

ii. The next return as on 31st March, 2015, under the Lokpal and Lokayuktas Act, 2013 should be filed on or before the 15th April, 2016.

iii. The annual return as on 31st March, 2016 under the Lokpal and Lokayuktas Act, 2013 should be filed on or before 31st July, 2016.

iv. The annual return for subsequent years as on 31st March every year should be filed on or before 31st July of that year.

5. All Ministries/Departments and cadre authorities are requested to kindly issue order towards ensuring compliance of above timelines by all officers and staff in the respective Ministry/Department/Organizations/PSUs under their control. This OM may be given wide publicity including publishing the same on the respective websites of Ministry/Department /Organization/PSU.

Encl: As above.

(Jishnu Barua)
Joint Secretary to the Govt. of India

Source: http://ccis.nic.in/WriteReadData/CircularPortal/D2/D02ser/Assets-28032016.pdf
Filed Under: ,

Civil Service officers present memorandum to Dr Jitendra Singh on 7th CPC report

A delegation of Civil Service officers representing the “Confederation of Civil Service Associations” called on the Union Minister of State (Independent Charge) for Development of North Eastern Region (DoNER), MoS PMO, Personnel, Public Grievances, Pensions, Atomic Energy and Space, Dr Jitendra Singh here and sought his intervention for implementing the recommendations of the 7th Central Pay Commission (CPC) report, so as to address their long standing grievance of discrimination vis-a-vis certain other All-India Services.

In a memorandum presented to the Minister yesterday, members of the delegation acknowledged that the 7th CPC, while recommending the status-quo, had addressed their long pending demand for "parity" with other services. But, the memorandum alleged that the main cause of resentment among the non-IAS Civil Service Officers was that all the senior level posts covering majority of Departments, be it technical or administrative, are today manned by IAS Officers, which is the main cause of grievance among the non-IAS Civil Service Officers. The memorandum called for giving equitable treatment to all the Services so that the gap between the IAS and other Services does not widen and lead to, what they described as, chaotic situation.

The memorandum claimed that the majority view in the 7th CPC was in favour of changing the status-quo on the issue of pay disparity also. They said, at present, there is a clear edge enjoyed by the IAS and Indian Foreign Service over other Services in terms of additional increments.

The memorandum requested that disparity in Pay may kindly be removed altogether. In addition, it also requested that the new system of cadre restructuring be adopted and a comprehensive cadre review may be undertaken by all Services so that officers can get promoted in time.

The memorandum also requested that in the Committee of Secretaries, appointed by the Government to examine the report of the 7th CPC, such members should be appointed who represent all different sections of stakeholders and may function with neutrality.

Dr Jitendra Singh gave the delegation a patient hearing and said that he will forward their case to the Union Finance Ministry.


(Release ID :138375)


Monday, March 28, 2016

High Interest Rates Will Make Indian Economy Sluggish: Arun Jaitley

New Delhi: Justifying slashing of interest rate on small saving instruments like PPF, Finance Minister Arun Jaitley on Monday said interest rates in India are "extraordinarily" high and the country risks becoming the most sluggish economy if lending rates continue to rule high.

The existing tax-free interest rate of up to 8.7 per cent on small saving instruments translates into an effective interest of 12-13 per cent on deposits. Correspondingly, the lending rate, which is always a notch above deposits rate, would be 14-15 per cent, he told PTI in an interview here.

"On small savings, India's interest rates are extraordinarily high. And high interest rate prevents growth," he said.

Citing the example of 8.7 per cent tax free interest on Public Provident Fund (PPF) investments, he said this translates into an interest rate of 12.5 per cent or 13 per cent including tax benefit.

"Where in the world you get 12.5 per cent return of interest? So if deposit rates become 12.5 per cent, then what should lending rates be, 14 to 15 per cent? You will become the most sluggish economy in the world, if lending rates are 14 to 15 per cent," he said.

Jaitley said no country can have "a system where lending rates are low but deposit rates are high. The two are interlinked".

The government had on March 18 announced cut in interest rate on PPF to 8.1 per cent, on Kisan Vikas Patra (KVP) to 7.8 per cent from 8.7 per cent, on girl-child saving, Sukanya Samriddhi Account to 8.6 per cent from 9.2 per cent and senior citizen savings scheme to 8.6 per cent from 9.3 per cent with effect from April 1.

Asked whether the government had taken an unpopular decision, Finance Minister said, "It would be most unpopular decision if India's lending rates were 14 to 15 per cent. To destroy India's economy would be the most unpopular thing to do. Low interest rate in the long run will help everybody."

When a borrower goes to bank for availing home loan, "he should get it at 9 per cent or 15 per cent? Which decision will be unpopular", he asked.

Jaitley said India must have multiple products, giving a range of interest rates. "Even at 8.1 per cent rate is a very good rate of returns, much better than you get anywhere in the world because it is tax free. 8.1 per cent tax free is 12.2 per cent. It's not a small rate of interest.

The government, he said, has to create a mechanism where interest rate become more reasonable and those are transmitted by the banks.

"And also don't forget, the additional argument that you earned 8.7 per cent when inflation was at 11 per cent. When inflation is below 5 per cent, so actually the real rate of interest has gone up," he said.

Jaitley said the move to tax 60 per cent of withdrawals from Employees Provident Fund (EPF) was aimed at discouraging people from making lump sum withdrawals and spending all the money and it was instead aimed at encouraging them to invest in tax-free pension plans to make India a pensioned society.

The proposal was however withdrawal after widespread criticism.

"As India is growing, standards of social security have to increase. And one important component of social security is to make India into a pensioned society," he said.

He said the original proposal to tax withdrawals from EPF was to converge Employees Provident Fund Organisation (EPFO) and National Pension Scheme (NPS) "into a system where you contribute during your earning period, you get a tax rebate (and) when you retire, you get a big lump sum for your social commitments, tax free and the rest becomes an annuity, the 60 per cent becomes an annuity, which is also tax free."

"The inheritance to your heirs will also be tax free. The only change I made was to discourage people from spending this entire amount in one go. So if you want to spend the entire amount in one go, as a disincentive you pay tax on the 60 per cent (of it)," he said.

While EPF withdrawals have been made tax-free, the same has now been extended to NPS as well.

"And I do believe that more and more people should continue to switch over to NPS, which means its a system like in any developed country where during your earning career, you contribute, upon retirement you get a lump sum and then you get a monthly pension.

"I do believe retired people should take care of their monthly pension, to that extent I have no regret even about the EPF scheme," he said.

The minister said many people have told him that it was actually a good scheme.

"After a year I will disclose of how many people have switched over to NPS. And mind you, NPS gives the best returns as compared to any government scheme does," he said.

Read more at  http://profit.ndtv.com/news/budget/article-high-interest-rates-will-make-indian-economy-sluggish-arun-jaitley-1291345

Soon, you can cancel your train tickets just by a phone call

Come April and cancelling a confirmed train ticket would only be a phone call away.

Indian Railway is set to launch a facility next month for the hassled passengers who find it hard to reach its counters within the stipulated time to cancel their confirmed tickets and claim refund.

"One has to dial 139 giving details of the confirmed ticket for cancelling it and the sender will get a one-time password (OTP). Passenger has to reach the counter the same day and reveal the OTP to claim refund," said a senior Railway Ministry official.

After the change in refund rules, a lot of passengers are now finding it difficult to reach counters to cancel the reserved tickets within the stipulated time and as a result they are losing money.

According to the new refund rules, railways has doubled the ticket cancellation charge with the aim of helping genuine passengers get confirmed tickets.

"The refund rules were revised to discourage touts and ticketing agents who engage in black marketing of tickets," said the official, adding "however, it has also resulted in inconvenience in some genuine cases. So we are now providing the 139 facility for cancellation."

Coming to the aid of harried passengers, railways will launch the cancellation facility through 139 service so that one does not have to rush to the counter to cancel confirmed tickets.

The tickets which are booked online can be cancelled on the ticketing websites. The 139 facility is for those who bought tickets from counters.

The software is ready and the facility is likely to be formally launched in the second week of April.


Civil Services officers meet Union Minister over 7th Pay Commission

A confederation of civil services officers association on Sunday met Union Minister Jitendra Singh and requested him to alter the composition of a high-powered panel created recently to process the recommendations of the 7th Pay Commission as they were "apprehensive" of its neutrality.

The confederation members led by the Convenor and General Secretary of the All India IRS (Income Tax) Jayant Mishra, Gen Secretary of the IPS Association P V Ramasastry and President of the Indian Information Service (IIS) Ranjana Dev Sarmah including office bearers of four other services met Singh, the Minister of State for Personnel, Public Grievances and Pensions.

The delegation of the Confederation of Civil Service Associations (CoCSA) said Singh, assured them that their concerns will be "appropriately examined." "The Government has formed a Committee of Secretaries to examine the Report of the 7th Central Pay Commission.

Unfortunately, eight of the 13 members of the Committee belong to one particular Service and therefore the CoCSA is apprehensive of its neutrality on issues related to parity and equality of opportunities.

"We, therefore request the Government to implement inter Service parity related issues as recommended by a majority decision of the Pay Commission as such because the recommendations have been made by a body headed by retired Supreme Court Judge which has meticulously examined the issues for about 20 months after a wide consultation with all the stakeholders.

"If the Government, however, feels the necessity to examine the matter further, it may be done by a Service neutral body and not the present Committee," the confederation said. The Centre, in January this year, had set up a high-powered panel headed by Cabinet Secretary P K Sinha to process the recommendations of the 7th Pay Commission which will have bearing on the remuneration of 47 lakh central government employees and 52 lakh pensioners.

The group of civil servants also expressed their grievances in the delay in empanelment of their respective cadres for working in higher government posts.

"It may be recollected that the Commission (7th Pay Commission) recommended with a 2:1 majority, to end the exclusive edge to the IAS in the matters of pay, deputations and promotions. It is also relevant to consider that successive Commissions/Committees namely the 2nd Administrative Reforms Commission, Surindernath Committee and the Hota Committee".

The Sixth Pay Commission had previously recommended to replace the opaque and inequitable senior management selection system in the Government with a more objective and transparent process that provided equitable opportunities of competition to all the eligible Services. None of the recommendations have so far been implemented.

"More recently, the 3 to 10 years gap in the empanelment came to the adverse notice of the highest office of the country but still not much improvement has been noticed so far and one more junior batch of IAS has since been empanelled. CoCSA had earlier represented to the Cabinet Secretary on the need for constitution of a more balanced body for examination of the Pay Commission report but no positive outcome has come. Given such a background, CoCSA felt the need to meet the Minister-in-charge of Personnel and Administration and apprise him of the developments," it said in a statement.

The implementation of the new pay scales is estimated to put an additional burden of Rs 1.02 lakh crore on the exchequer in 2016-17. Subject to acceptance by the government, they will take effect from January 1, 2016. The Empowered Committee of Secretaries will function as a Screening Committee to process the recommendations with regard to all relevant factors of the Commission in an expeditious detailed and holistic fashion.

Read more at  http://www.dnaindia.com/money/report-civil-services-officers-meet-union-minister-over-7th-pay-commission-2194834

Sunday, March 27, 2016

Shocker for Railway employees! Face curb in Travelling and Over Time allowance

New Delhi: Struggling to put the finances of Indian Railways in order, Railway Minister Suresh Prabhu is trying to curb the purse strings of the behemoth by cutting down high Over Time and Travelling allowance.

As per reports, the Railways Ministry is soon going to put a limit to the Travelling and Over Time allowance paid to employees in a month.

It likely that an employee will get the Travelling allowance for the maximum travel days of 15 days. The limit of Over Time paid will also be restricted to Rs 5,000 per employee per month.

It has been reported that due to the the shortage of workforce , some category of Railways employees take home around Rs 20,000 to Rs 40,000 of Over Time for the extra hours of work done beyond the prescribed roosterd hours of duty.

The curb in these allowances is going to hit the Railways employees hard, as they have already expressed their disappointment over the 7th Central Pay Commission recommendations, and are contemplating to plan large scale protests.

Read more at http://zeenews.india.com/business/news/economy/shocker-for-railway-employees-face-curb-in-travelling-and-over-time-allowance_1868989.html

Saturday, March 26, 2016

Central govt employees begin countdown for implementation of 7th CPC recommendations

CG Employees Begin Countdown for Implementation of 7th CPC Recommendations – The Staff side JCM in its two round of meetings with the Empowered Committee of Secretaries had demanded major changes in the 7th CPC recommendations.

7th pay commission minutes of meeting of Empowered Committee held on 01.03.2016Central government employees have begun the countdown for the Centre to notify implementation of 7th CPC recommendations.

“As per the reports received, the 7th Pay Commission Pay recommendations may be notified in June after the model code of conduct of states polls which in place is in place till 21st May 2016, said , P.S.Prasad General Secretary, Confederation of Central Government Employees and Workers Karnataka State.

The Staff side JCM in its two round of meetings with the Empowered Committee of Secretaries had demanded major changes in the 7th CPC recommendations, especially on the minimum wage, fitment formula, pay matrix and allowances.

Prasad added that the Empowered Committee of Secretaries may call the staff side JCM for more discussions, if the talks fail then the Central Government Employees should prepare for the indefinite strike from July 11 for which the staff side JCM has already given the call.

Earlier the employees federation had planned to go on strike from April 11, but due to the timing of the state assembly elections and implementation of ongoing model code of conduct, the federation decided that the employees would go on indefinite strike from July 11.

Once the implementation cell of the Empowered Committee of Secretaries gives final touch to the report, its recommendations will be send to the Prime Minister’s Office for nod. Subsequent to which the report will be placed before the Cabinet for approval. The entire process is expected to take another three months.

Read at: http://zeenews.india.com/business/news/economy/central-govt-employees-begin-countdown-for-implementation-of-7th-cpc-recommendations_1868965.html

6th Pay Commission Dearness Allowance ends with 6% hike at 125%

Cabinet approves 6 percent Dearness Allowance hike for Central Government employees

“In the 7th Pay Commission report, submitted to the government on 19.11.2015, it was mentioned that the DA is assumed to be 125 percent as on 1 January, 2016, the day from which the
Commission expects its recommendations to be implemented by the government. As calculated by the 7th Pay Commission, a six percent Dearness Allowance hike is being given to the Central Government employees.”

The Dearness Allowance (DA) is paid to Central Government employees to adjust the cost of living and to protect their Basic Pay from erosion in the real value on account of inflation. Presently, DA is based on the All India Consumer Price Index (Industrial Workers).

On 23.03.2016, Wednesday, the Centre decided to give a Dearness Allowance of 6 percent to the Central Government employees in order to enable them to manage the price rise and inflation.

On the occasion of Holi, a special cabinet meeting, under the leadership of Prime Minister Narendra Modi, was held in New Delhi on 23rd March 2016. At the end of the meeting, Mr. Ravishankar Prasad, the Minister of Communications and Information Technology, spoke to the reporters. He said, “The cabinet has decided to issue a Dearness Allowance of six percent to the Central Government employees and pensioners.”

The Dearness Allowance is expected to be calculated from January 1, 2016 onwards. This increases the total Dearness Allowance from 119 percent to 125 percent. More than 50 lakh Central Government employees and 58 lakh pensioners will benefit from this. The government will incur an additional financial burden of Rs.14,725 crores. Dearness Allowance is issued twice a year, based on inflation. The previous Dearness Allowance hike, of six percent, was issued in the month of September 2015, and had a retrospective effect from July 2015 onwards.

This is the last and final instalment of Dearness Allowance calculated by the recommendations of 6th Pay Commission. And, after implementation of 7th Pay Commission the new and first Dearness allowance from 1.7.2016 will be approved by the Cabinet in the middle of September 2016.


Thursday, March 24, 2016

Declaration or Holiday on 14th April, 2016 – Birthday of Dr.B.R.Ambedkar.

Government Of India
Ministry Of Personnel, Public Grievances & Pensions
(Department Of Personnel & Training)

North Block, New Delhi
Dated the 21st March, 2016


subject: Declaration or Holiday on 14th April, 2016 – Birthday of Dr.B.R.Ambedkar.

It has been decided to declare Thursday, the 14th April 2016, as a closed Holiday on account of the birthday of Dt.B.R.Ambedkar, for all Central Government Offices including Industrial Establishments throughout India.

2. The above holiday is also being notified in exercise of the powers conferred by Section 25 of the Negotiable Instruments Act, 1881 (26 of 1881).

3. All Ministries/Departments of Government of India may bring the above decision to the notice of all concerned.

Deputy Secretary to the Govt. Of India


7th CPC notification and struggles


The Central Government Employees are waiting for the implementation of Seventh Pay Commission. As per the reports received, the 7th Pay Commission Pay recommendations may be notified in June after the model code of conduct of states polls which in place is in place till 21st May 2016, which is being considered as cut off point for the notification of pay commission. To be on safer side, Government most likely will release notification regarding the latest pay commission only after 21st May 2016.

Implementation cell of the Empowered Committee of Secretaries is examining the grievances of employees. After giving final touch to report, Empowered Committee will send recommendations to PMO for its nod. Once PMO will through the report, it will be placed before the Cabinet for final approval. The whole process will take another three months.

But the larger question remains in the minds of the Central Government Employees, whether the Empowered Committee of Secretaries will consider the demands raised by the Staff side JCM. The Empowered Committee of Secretaries under the chairmanship of the Cabinet Secretary had one round of discussion with the staff side JCM. The Staff side JCM has clearly informed the Empowered Committee of Secretaries that the Central Government Employees are not satisfied with 7th CPC report and wants major changes before implementation of the 7th CPC report by the Central Government. Especially on the minimum wage, fitment formula, pay matrix and allowances.

The Empowered Committee of Secretaries was also informed that the Central Government Employees are ready for strike action, if the demands of the Central Government Employees are not met by the Empowered Committee of Secretaries and the Central Government.

The Empowered Committee of Secretaries may call the staff side JCM for more discussions, if the talks fail then the Central Government Employees should prepare for the indefinite strike from July 11th for which the staff side JCM has given the call.

Comrades, these three months are very crucial to the Central Government Employees, we should not relax waiting for the talks with the Central Government, instead prepare for the action for achieving a better wage hike.

Comrades during the 5th CPC we had similar situations, we had got better wage hike after struggles, similarly this time also the similar situation has arisen due to the lowest pay hike recommended by the 7th CPC and also reduction of the number of allowances.

Hence Comrades it is high time we educate each and every employee of the Central Government about the 7th CPC wage hike and our demands , this is help us to prepare for struggle and get better wage hike.

Comradely yours
General Secretary

Source: http://karnatakacoc.blogspot.in/2016/03/7th-cpc-notification-and-struggles.html

Wednesday, March 23, 2016

7th Pay Commission: Central govt employees narrow down charter of demands; turn reasonable

New Delhi: The Joint Consultative Machinery of central government employees--the forum for amicable settlement of grievances of the Central Government employees relating to their service matters--seems to have turned more reasonable and have narrowed down the charter of demands seeking review of the seventh pay panel recommendations.

 In February, the employees' forum had decided to proceed on an indefinite strike from April 11, if their charter of 26 demands was not met.

The demands also included no privatization of government functions, no FDI in Railways and Defence and no corporatization of Defence Production Units and Postal Department.

As per reports the Empowered Committee of Secretaries headed by the Cabinet Secretary assured that fair consideration will be given to all points brought out by the Joint Consultative Machinery​ before taking a final view.

Following are the narrowed demands presented by the Joint Consultative Machinery​ before the Empowered Committee of Secretaries:

1. Revision of the minimum pay of Rs. 18000 p.m. recommended by the Commission, taking into account commodities prices as on 01.07.2015 and appropriately factoring in for social obligations & housing.

2. Withdraw the New Pension Scheme. The Centre made made the NPS mandatory for employees who joined the service on or after January 1, 2004. It has since been adopted by most state governments also.

3. To re-examine the relevance of allowances and interest free advances in certain departments before taking a decision.

4. Should increase Fixed Medical Allowance from the existing Rs 500 per month to Rs 2000 per month, as large number of cities are not covered under central government health scheme.

5.Should discouraged outsourcing of services breed inefficiency and contractors exploit contract workers.

6. Enhancement in contribution towards Group Insurance Scheme has reduced the actual increase in take home salary considerably. If the rates are to be raised, the Government should bear the insurance premium

7. The recommendation regarding grant of only 80% of salary for the second year of Child Care Leave need not be accepted as this would deter women from availing of Child Care Leave, defeating the purpose of the welfare measure.

Annual increments be granted at the rate of 5% instead of existing 3% and increments may be granted on two dates i.e. 1 st of January and 1 st of July of every year against the current norm of granting of increment on 1 st July of every year.

9. The Commission’s recommendation of downgrading the Assistants of Central Secretariat for bringing in parity with their counterparts in the field offices is not appropriate.

10. Recommendation regarding Performance Related Incentive Scheme unacceptable as these could encourage favoritism.

Read at: http://zeenews.india.com/business/news/economy/7th-pay-commission-central-govt-employees-narrow-down-charter-of-demands-turn-reasonable_1868538.html
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After 7th Pay Commission report, OROP scheme implementation, India to grow at 7.7 pct: ICRA

On the back of implementation of 7th Pay Commission report and OROP scheme recommendations, for which Budget rating agency ICRA says it sees Indian economic growth improving to 7.7 per cent in next fiscal, which will be led by domestic consumption demand. With absence of an explicit overall provision for the 7th Pay Commission in FM Arun Jaitley's Budget 2016 raising questions, government has clarified the pay hike has been built in as interim allocation for different ministries. Implementation of the 7th Pay Commission report is to cost the government Rs 1.02 lakh crore.

7th Pay Commission report, OROP scheme: ICRA, in its Macroeconomic Update, however, said that although the fresh project pipeline appears robust, commencement of work will lag announcements, given moderate capacity utilisation in some sectors. "A pickup in domestic consumption post the implementation of the Seventh Central Pay Commission’s recommendations and One Rank One Pension (OROP) scheme for the defence services as well as a potential upturn in rural demand is expected to boost economic growth in FY17," it said.

7th Pay Commission report, OROP scheme: ICRA said a sizeable portion of the planned rise of Rs 1.2 lakh crore in Plan expenditure in 2016-17 is to be funded through extra-budgetary sources, progress on which will influence the pace of infrastructure augmentation and economic growth.

"In ICRA's view, Indian economic growth is expected to improve to 7.7 per cent in FY17," the report said. Indian economy is estimated to have grown 7.6 per cent in current fiscal. As per official projection, growth is likely to be between 7-7.75 per cent in 2016-17.

7th Pay Commission report, OROP scheme: As regards project activity, it said announcements of new project in October-December quarter of current fiscal stood at Rs 1.2 lakh crore, concentrated in electricity, machinery, transport equipment, transport services and miscellaneous services. "Value of revived projects improved to a four quarter high of Rs 40,000 crore in the third quarter of FY16, while remaining low; facilitation of clearances, lower input costs for firms are not sufficient to revive investment plans in the absence of a pickup in demand," it said.

7th Pay Commission report, OROP scheme: Project completion declined by 12.8 per cent on a year-on-year basis to Rs 80,000 crore in third quarter of current fiscal, which was dominated by electricity, transport services, construction and real estate. "A limited Rs 20,000 crore of projects stalled in the third quarter, smaller than the value of revived projects after a gap of 30 quarters," ICRA said. It said structural issues continue to affect a considerable portion of the existing project pipeline.

7th Pay Commission report, OROP scheme: More than two-thirds of the projects of Rs 32.2 lakh crore submitted to the Cabinet Committee on Investment (CCI) are concentrated in the power, steel and petroleum & natural gas sectors. As regards government finances, the report said five rounds of hikes in excise duty on fuels have taken place since November 2015 to boost tax revenues by Rs 17,000 crore in last five months of this fiscal.

Read at: http://www.financialexpress.com/photos/budget-gallery/229041/jewellers-strike-against-arun-jaitley-budget-proposal-enters-22nd-day/2/

Ministry of Railways Enhances Senior Citizen Quota

Ministry of Railways Undertakes Rationalization of Lump¬sum Rates for Merry¬go¬round (MGR) System

In terms of a Rail Budget Announcement 2016-17 by Minister of Railways Shri Suresh Prabhakar Prabhu, Following two services were  launced:-

1.      Enhanced Senior Citizen Quota
2.      Rationalization of Lumpsum freight rates for Merry-Go-Round (MGR)

These services were launched today i.e.23 march 2016 by Member Traffic  Railway Board Sh Mohd. Jamshed in  a programme held in Rail Bhawan today.

Following are details of services -


Ø  This concept was introduced in 2007 vide Commercial Circular No. 40 of 2007 dated 18.04.2007.
Ø  A combined reservation quota of two lower berths per coach in Sleeper, AC­3 tier and AC­2 tier classes was earmarked for the following category of passengers when travelling alone :­
a)      Senior Citizens
b)     Female Passengers 45 years of age and above; and
c)      Pregnant women

Ø  In 2015, the existing quota of two lower berths per coach in Sleeper class was enhanced to four lower berths per coach. (Commercial Circular No. 15 of 2015 dated 13.03.2015)

Ø  The condition of providing this quota only when travellingØ alone was relaxed vide Commercial Circular No. 51 of 2015 dated 31.08.2015 and now the facility of booking ticket under this quota is available even when in a single application two passengers are in combination of Senior Citizens/Female Passengers above the age of 45/Pregnant women.
Ø  It has now been decided to enhance this quota to six lower berths per coach in Sleeper class and three lower berths per coach in 3AC and 2AC classes.
Ø  It has also been decided that in Rajdhani, Duronto andØ fully AC Express trains, this quota in 3AC class will be four lower berths per coach as against three lower berths per coach in case of normal Mail/Express trains.



Ø  In order to provide an economical and reliable alternative short lead traffic, a revise scheme with rationalized lump­sum ratesfor Merry­-Go­-Round has been formulated.


Ø  The MGR Terminals at both ends shall be privately owned.
Ø  Rail  track  between  the  two  terminals  will  be  provided  by  the  customer.
Ø  Railways willprovide locos, wagons, brake­-vans and other  rolling stock as per requirement for running of the rakes under  MGR system.
Ø  Terminals at both ends will operate round the clock.
Ø  Lumpsum rates charged under the MGR System would depend upon the number of rakes loaded per day and the lead of traffic.


Ø For  18  km  lead, the revised  MGR rates would be  around Rs.47 per  ton  (BOXN  wagons)  for  2-­3  trips  per  day  as  compared  to  road rates of Rs. 72 per ton for the same lead.
Ø Singareni  Collieries  Ltd.  had  committed  to  give  around  3­-4  million tonnes of additional traffic with the rationalized rates in  the next financial year.
Ø The rationalized rates shall come into force from 01.04.2016.

(Release ID :138334)



Release of additional instalment of Dearness Allowance to Central Government employees and Dearness Relief to Pensioners due from 1.1.2016

The Union Cabinet, chaired by the Prime Minister Shri Narendra Modi, has approved release of an additional instalment of Dearness Allowance (DA) to Central Government employees and Dearness Relief (DR) to Pensioners w.e.f. 01.01.2016. This represents an increase of 6 percent over the existing rate of 119 percent of the Basic Pay/Pension, to compensate for price rise.

This will benefit about 50 lakh Government employees and 58 lakh pensioners.

The increase is in accordance with the accepted formula, which is based on the recommendations of the 6th Central Pay Commission (CPC). The combined impact on the exchequer on account of both Dearness Allowance and Dearness Relief would be of Rs. 6796.50 crore per annum and Rs.7929.24 crore respectively, in the financial year 2016-17 (for a period of 14 months from January, 2016 to February, 2017).

Monday, March 21, 2016

OROP Arrears Payment in Record Time-PIB

The Government of India which accords utmost importance to the welfare of Ex-Servicemen, has kept its promise with regard to the historic decision taken on 05 September 2015 to implement the more than four decades old demand of Ex-Servicemen for One Rank One Pension (OROP), by ensuring that payments have begun to the concerned in record time.

Orders had been issued with regard to this historic decision, through a notification on 07 November 2015 by the Department of Ex-Servicemen Welfare (ESW) of the Ministry of Defence.

Then within just three months of the issue of these orders, the Department of Ex-Servicemen Welfare (ESW) brought out detailed OROP tables on 03 February 2016, which are also available on their website www.desw.gov.in. The 101 tables in these implementation orders contain revised pension of different ranks and categories. In the past implementation of CSC-2012 and 6th CPC had taken a longer time.

More than two-thirds of the Ex-Servicemen have now been paid the OROP arrears. Payments have now reached the accounts of 13.02 lakh pensioners amounting to about Rs. 2,293 crore. This amount has been released through Defence Pension Disbursing Offices (DPDOs), the State Bank of India (SBI) and the Punjab National Bank (PNB).

The details are as follows:-

As on March 17, the DPDOs have released an amount of about Rs. 606 crore to about 3.20 lakh defence personnel.

The SBI has as released upto March 17 an amount of Rs. 1,337 crore to 7.75 lakh pensioners which includes Family Pension cases. The PNB has released as on March 17, an amount of about Rs. 350 crore to about 2.07 lakh pensioners which includes Family Pension cases.

Other Banks who have also been assigned the task of disbursement of revised defence pension to Ex-Servicemen have been directed to complete the process of payment latest by March end.

(Release ID :138222)


7th Pay commission: Good news! Modi Govt likely to pay 'increased salary', arrears in July

This will definitely make Central government employees happy. Reportedly, Centre will start paying 'increased salary' to Government staff from the month of July. Sources say that Government will also pay six months' arrears along with the increment.

 It is being said that Government wants to complete all the formalities regarding the implementation of Sevent pay Commission till the end of the State Assembly elections. Report say that this time Government will follow pay-fixation method while giving increment to 48 lakh employees and 52 lakh pensioners.

Pay Commission in its recommendations had suggested pay-fixation method instead of pay grade. A Finance Ministry sources was quoted by a online website as saying, "We're at the final stage for issuing the notification and 3-4 more months will be required to implement, so we hopefully say that they will get new pay and arrears in the July".

 It is being believed that due to model code of conduct in place till May 21, Government will issue notification regarding pay commission in the month of June.

Elections in five states-Tamil Nadu, West Bengal, Assam, Kerala and Puducherry is scheduled from April 4. State polls will be continued till May 16. Sources say that Modi Government doesn't want to sully its image by announcing any such decision during the poll period.

At the same time, Centre also doesn't want to give Opposition extra ammo to attack it during the election time. OneIndia News

Read more at: http://www.oneindia.com/india/7th-pay-commission-modi-govt-to-pay-increment-arrears-july-report-2047641.html

Saturday, March 19, 2016

CAT dismisses 22 rly employees’ plea for Group B status

The Central Administrative Tribunal (CAT), Chandigarh, today dismissed the application of 22 employees of The Railways, who were seeking the Group-B status instead of C in their services.

The Indian Railways Technical Supervisor Association and its members filed the case with CAT in 2014. The complaint said a recommendation regarding their Status B was accepted by the Central Government and orders were issued by the Department of Personnel and Training (DoPT). But, they were denied the same and were kept in Group C only. Most of the applicants are posted in Kapurthala.

However, the general secretary of the association had already challenged this in Principal Bench and the application was dismissed. Also, the Madras Bench of the Tribunal had dismissed the case earlier.
In its order, CAT said, “We find no justification for grant of Group-B status to the applicants.

The application is a gross abuse of process of law because the matter had already attained finality with the order dated February 21, 1992. The application is completely devoid of substance and is accordingly dismissed. No costs.”

Read more at  http://www.tribuneindia.com/news/chandigarh/community/cat-dismisses-22-rly-employees-plea-for-group-b-status/209129.html
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EPFO will not revise interest rate downward: government

Employees’ Provident Fund Organization will not revise its interim interest rate of 8.8% downward for the current fiscal

New Delhi: Retirement fund body Employees’ Provident Fund Organization (EPFO) will not revise its interim interest rate of 8.8% downward for the current fiscal, labour minister Bandaru Dattatreya said on Friday.

“We will not revise it (interim interest rate) downwards. The revision will be keeping in view the economic trend in the country, interest rates of various schemes as well as the 7th Pay Commission,” Dattatreya told reporters.

When asked about the interim announcement, he said the prevailing situations need to be analysed and after that the CBT (central board of trustees) will again meet in the future to decide the interest rate.

The minister said trade unions had demanded an interest rate of 9%, but paying at that rate would have left the retirement fund body with a deficit of Rs.102 crore. The projected income of EPFO with a subscriber base of four crore is at Rs.34,844 crore, he added.

EPFO’s advisory body, the finance advisory and investment committee, had recommended that 8.95% of interest on provident fund deposits for fiscal 2016 was feasible as it would leave a surplus of Rs.91 crore.

Trade unions’ had demanded for 8.9% interest rate, which would have left a surplus of Rs.285 crore. And in the case of 8.8%, the surplus will be Rs.673 crore, the minister said.

Read more at http://www.livemint.com/Industry/SdHiVeJF6L3cUTMevNqygM/EPFO-will-not-revise-interest-rate-downward-government.html
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Public provident fund interest rate cut from 8.7% to 8.1%

While middle-class Indians rely on small-investment options offered at post offices for social security and parking surplus money, the government depends on this pool of money, also called the National Small Savings Fund, to finance part of its budget.

The government announced on Friday sharp cuts in interest earned on a range of state-run savings schemes including the popular public provident fund, the Kisan Vikas Patra and senior-citizen deposits.

Lower earnings on these schemes could force millions of households to shuffle their savings portfolios. Middle-class Indians rely on small investment options offered at post offices for social security and parking surplus cash.

Total outstanding deposits in such schemes stand at over Rs 9 lakh crore. Indians have been parking more than Rs 50,000 crore annually as additional savings in these instruments over the last three years. The government depends on this pool of money, also called the National Small Savings Fund, to finance part of its budget.

Economic affairs secretary Shaktikanta Das described the decision to cut interest rates as a “normal exercise of resetting” rates in March every year. The move will enable banks to reduce lending rates.
The rate of interest on the PPF (Public Provident Fund) scheme has been cut to 8.1% for investments made during April 1-June 30, 2016 from 8.7% currently.

Investments in the Kisan Vikas Patra will earn a return of 7.8% from 8.7% at present, while senior-citizens savings scheme deposits of five years would earn 8.6% interest compared with 9.3% currently.

The senior-citizens savings scheme will fetch 8.6% per annum compared to 9.3% currently, which could upset financial plans of pensioners and individuals who are nearing retirement age.

Likewise, the Sukanya Samridhi Yojana will give a return of 8.6% from 9.2% at present. The scheme launched last year was specifically designed to encourage parents to set aside money for girl children to fund their education and other future needs.

The government last month announced a decision to move to a new system for interest rates on state-administered schemes, making these market-linked. Market rates move in tandem with government bond rates that are currently on a downward trend. Under the new system, rates will be revised every quarter, as opposed to an annual review.

The move is expected to allow banks to pass on policy rate cuts by the central bank through lower lending rates.

“Banks will have to decide on their own. Government has given signals to them. It is for the banks to take a decision and move forward,” Das said.

Banks say they are forced to offer high interest rates to depositors to make it more attractive for people to park extra funds with them ahead of post-office and other state-run savings schemes.

While the Reserve Bank of India has cut the key policy rate by 1.25 percentage point in the past year, banks have passed on the benefit to borrowers by lowering lending rates by just 0.70 percentage point.

While one-year post-office fixed deposits will earn 7.1% from 8.4% at present, the rate on two-year deposits has been cut to 7.2% from 8.4%.

Three-year fixed deposits in post offices will earn 7.4% from 8.4% at present while five-year deposit rates have been cut to 7.9% from 8.5%. Deposits in five-year national savings certificates will earn 8.1% from 8.5% at present.

“This (cut in rates) is being done to make small-saving interest rates more market-linked and more market-aligned,” Das said.


Thursday, March 17, 2016

7th Pay Commission: Modi Govt to issue notification for 'salary increment' after states polls

 There is good news in the offing for the central government employees who are waiting for the implementation of Seventh Pay Commission. Reportedly, notification for the 'increment proposal' will be issued after States Assembly polls.

Sources say that as model code of conduct is in place till May 21, Government will be able to issue notification in the month of June only.

 Elections in five states-Tamil Nadu, West Bengal, Assam, Kerala and Puducherry is scheduled from April 4. State polls will be continued till May 16.

The Finance Ministry sources say that Government doesn't want to sully its image by announcing any such decision during the poll period. At the same time, Centre also doesn't want to give Opposition extra ammo to attack it during the election time.

So to be on safer side, Government most likely will release notification regarding the latest pay commission only after May 21.

 A Finance Ministry sources was quoted by a news website as saying, "The BJP led central government decided execution time of the pay commission's proposals in April but the Empowered Committee of Secretaries headed by cabinet Secretary can't sort out some anomalies of Seventh pay commission recommendations like scrapping of advances, allowances and minimum pay before declaration of states Assemblies polls".

 Sources further said that Implementation cell of the Empowered Committee of Secretaries is trying its best to address grivances of all concerned parties.

After giving final touch to report, Empowered Committee will send recommendations to PMO for its nod. Once PMO will through the report, it will be placed before the Cabinet for final approval.

Report says that all these process will be over till May last and that's why model code of conduct of states polls is being considered as cut off point for the notification of pay commission.

Read more at: http://www.oneindia.com/india/7th-pay-commission-notification-for-increment-proposal-after-state-polls-report-2044146.html

Scheme for providing facilities to the Employees with Disabilities of DoPT

No. B-11011/1/ 2016-Ad-III
Government of India
Ministry of Personnel, Public Grievances and Pensions
(Department of Personnel and Training)

North Block, New Delhi
Dated 11 March, 2016


Subject: Scheme for providing facilities to the Employees with Disabilities of  Department of Personnel & Training – reg.

In accordance with this Department’s O.M. no. 36035/3/2013 – Estt (Res) dated 31.03.2014 a scheme for providing facilities to the Employees with Disabilities in this Department has been formulated.

2.  The detail of the Scheme ARE enclosed & circulated herewith.


(Kulbhushan Malhotra)
Under Secretary to the Govt. of India

Scheme for providing facilities to the Employees with Disabilities of Department of Personnel and Training:-

Name of the Schemes:-

To provide facilities to the Employees with Disabilities working in Department of Personnel and Training, for ease of doing their day to day office work. The Scheme will come into effect from next financial year i.e. from April, 2016.

Objective of the Scheme:-

The objective of the Scheme is to enable and empower Persons with Disabilities (PwDs) of this Department by providing certain additional facilities to help them discharge their duties more conveniently and effectively.

Facilities under the Scheme:

The Scheme provides the following facilities to the PwDs:-

Wheelchairs (Motorised, if required)
Special furniture
Hearing aids with battery
Low vision aids
Smart Cane
Special Software/computers
Braille Signage near lift area, toilets, canteen, fire, exit etc. /Room Numbering/Section Name
Provision of Beep sound in biometric attendance system
Induction/lob specific training

PwD employees who are serving in DoPT.

Implementation process:-
Employees with disability would be given option to apply for the items mentioned above to the Administration Division through proper channel, which will be examined on case to case basis and decided with the approval of competent authority.

Grievance Redressal:-
Shri  Suresh Kumar DS (Admn), is the nodal authority/Grievance Officer to address the issues, if any, relating to operation and procurement of special items, as mentioned above

Source: http://ccis.nic.in/WriteReadData/CircularPortal/D2/D02adm/B-11011_1_2016-Ad.-III-11032016.pdf
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7th Pay Commission report on pension and pay: No explicit provision in Budget; govt says built it in ministries’ allocation

7th Pay Commission report on pension and pay: With absence of an explicit overall provision for the 7th Pay Commission in FM Arun Jaitley's Budget 2016 raising questions, government clarified said the once-in-a-decade pay hike has been built in as interim allocation for different ministries and Budget numbers were credible. Implementation of the 7th Pay Commission report is to cost the government Rs 1.02 lakh crore.

7th Pay Commission report on pension and pay: The voluminous Budget documents state that "the implementation of the 7th Pay Commission due from January 1, 2016 is to be implemented during the financial year 2016-17 as also the revised One Rank One Pension (OROP) scheme for Defence services."

7th Pay Commission report on pension and pay: "The government has made provisions for the additional liabilities on these count," it said, without giving the amount allocated for implementation. Economic Affairs Secretary Shaktikanta Das said the number cannot be quantified and it has been built up in budget of various ministries. "We cannot really quantify how much we require in 2016-17. Because the Committee of Secretaries have to first give its recommendations, then govt will take a decision and then only we will know what is the requirement in FY17," he said.

7th Pay Commission report on pension and pay: "We have the Pay Commission recommendations with us, we have analysed the likely requirement and it has been built into the Budget of various ministries. Some suitable interim provisions have been made," he said without elaborating. "Hence the expenditure and revenue numbers are credible." Das said Finance Minister Arun Jaitley in his Budget speech stated that interim provisions have been made. "And these provisions are there in the Demands for Grants for individual departments and ministries. It is built into and subsumed into those allocations."

7th Pay Commission report on pension and pay: "The Budget reaffirmed the commitment of the government to continue with the process of fiscal consolidation as projected in the Medium Term Fiscal Policy Statement of 2015-16 despite a tough external environment," the documents said.

7th Pay Commission report on pension and pay: Accordingly, fiscal deficit has been projected at 3.5 per cent of GDP in 2016-17. "In accordance with the amended FRBM targets, the fiscal deficit of 3 per cent is projected to be achieved in 2017-18 onwards. Keeping in view the challenge of reduction of fiscal deficit by 0.4 per cent of GDP in a difficult year in 2016-17 with substantial additional liabilities on pay revision etc, the government is quite optimistic of fully achieving the fiscal deficit target of 3 per cent or below by March 2018," the documents said.

Read more at  http://www.financialexpress.com/photos/budget-gallery/226261/7th-pay-commission-news-pension-and-pay-hike-budgeted-for-in-ministries-allocations-govt/

Conference on Implementation of NPS by Central Government




Conference on Implementation of National Pension System by Central Government

A conference on implementation of National Pension System by Central Government Ministries & Departments was organized by PFRDA on 16th March, 2016 at New Delhi. The prime objective was to provide a forum to all Central Government Ministries & Departments where the progress in the implementation of NPS with respect to subscriber coverage and services could be brought to the fore and a way forward could be provided. Senior officials from almost all the Ministries Departments attended the conference.

Dr. B.S. Bhandari while welcoming the participants to the conference emphasised the need for discipline of remitting of the subscriber contribution especially in view of the enhanced role of the Government nodal officers as envisaged in the regulations and the provisions of the Act. He stressed on the need for enhancing capacity building of the nodal officers so that they could in turn enable the financial literacy and awareness of the subscribers. He advised about the passage of PFRDA Act in 2013 and subsequent notification in 2014. Besides, he also highlighted the robust mechanism put in place by PFRDA through notification of important regulations like Grievance Redressal and Exit & Withdrawals. The notification of regulations has cast obligations on the different functionaries in the system including the officials responsible for collection and upload of the periodic contributions. He also stressed on maintaining discipline of timely remittance of subscriber contribution and reiterated about the OM issued by Department of Expenditure in 2009 regarding timelines to be followed by Civil Ministries. Member (Economics) advised that all three levels in government offices i.e. PrAO, FAQ and DDO should enhance their knowledge for the benefit of the ultimate beneficiary i.e. the subscriber. Last but not the least, any deviation from the norms may result in levy of penalties, which will not be a desirable solution.

Chairman, PFRDA, Sh. Hemant Contractor, commended the substantial increase in the number of subscribers of the Central Govt. which crossed the figure of 16 lacs and the increase in AUM of the Central Govt. subscribers which crossed Rs. 46,000 Cr in March 2016 and account for 14% of total subscribers and 41% of total Assets under Management. He advised that the challenges before PFRDA , the Pension Regulator were to ensure that subscriber’s interest were well taken care of and protected- that there was timely action in registration of new employees, remittances of their contributions, servicing of their requests and handling of their exit and withdrawal applications. In this regard, he added that PFRDA was introducing online registration of government employees and online exit very soon which would streamline the process and help to render good services. He further hoped that all participants would utilise the conference to lend their suggestions and clear their doubts and other issues.

Dr. Shashank Saksena, Economic Adviser, Ministry of Finance addressed the participants and advised about the transformation from the Defined Benefit (DB) system to Defined Contribution (DC) system i.e. NPS. Further, he advised that the NPS is operating on such a mammoth scale and achieved the milestones relating to 1cr in terms of no. of subscribers and 1 lakh crores in terms of AUM.

Role of nodal offices involved in Central government sector was highlighted. He also stressed upon the importance of following timelines related to various activities involved in NPS and advised the delegates to make best use of this platform for enhancing the knowledge.

Sh. Ashish Kumar, GM while summing up advised the nodal officers to play an important role in effective NPS implementation. He also stressed upon the role which can be played by the FAS & CCAs of the respective Ministries in streamlining NPS operations.

Place: New Delhi
Date: 16.03.2016

Source: http://pfrda.org.in/WriteReadData/Links/Press%20Release%20CG%20Conference%20160320163f65ad08-6bc0-4fdd-9849-31b67426f2f4.pdf

Wednesday, March 16, 2016

Class IV staff oppose 7th pay panel

Members of The Class IV Government Employees Union continued its stir against the Central Seventh Pay Commission on the second consecutive day today.

Raising slogans against the Central Government, the employees stated that on the orders of the Central Government, new pay scale for the Class IV government employees had not been drafted by the Pay Commission.

The protesters said irked with being left out by the Pay Commission, the Class IV government employees of all states have come together to constitute the All-India Government Employees Confederation and during the fifth meeting held by the confederation in Varanasi recently, the members expressed displeasure over the development and announced that a nationwide protest will be held across the country on March 18.

Addressing the protesters, general secretary of the union Gurmel Singh said big corporate houses were now running the Central Government and it was under the pressure of these business houses that the Class IV employees were left out of the Pay Commission recommendations this time around and the revision in pay scale had been done only for employees starting scale III.

The employees said the Class IV employees were now worried about cuts in dearness allowance, retirement pension, annual increment and promotions.

They said soon the Class IV Government Employees Union, Punjab, would chalk out a plan for protests to be held in the future and agitations would be launched in cooperation with members of the Contractual Employees Action Committee and would continue till their demands were met.

District president of the union Manjit Singh said in the recommendations of the Seventh Pay Commission, a proposal had been made to replace the Class IV employees with recruitment of contractual employees, who also know how to drive apart from doing other office tasks.

He said this was a clear indication that the Centre was now planning to scrap the post of Class IV employees.



Tuesday, March 15, 2016

From teachers to professors, government to track non-performers

New Delhi: Employees of autonomous institutions like central universities and AIIMS will come under government scanner now which will keep track of their performance.

Under Fundamental Rule 56(J), the government has the "absolute right" to retire, if necessary in the public interest, any Group A and B employee who joined service before the age of 35 and has crossed the age of 50.

The Centre is conducting review of its employees working in ministries.

Also, a Group C government servant, who has crossed the age of 55, can be retired prematurely under the rule. The Department of Personnel and Training (DoPT) on Friday asked all administrative ministries to ensure that autonomous institutions have adopted the provisions of FR 56 (j) and that they are strictly followed.

In case where the autonomous institutions have similar provisions in their rule books, the administrative ministry may ensure that they are followed in letter and spirit, it said.

In case there is no such provisions exist in regulations governing their working, the administrative ministry may ensure that the action is taken to put in place such rules as may be necessary, the DoPT said in a communique to all central government secretaries.

There number of autonomous institutions and bodies under the administrative control of central government that include Aligarh Muslim University (AMU) and All India Institute of Medical Sciences (AIIMS), as per a government directory.

The Centre is conducting review of its employees working in ministries. While addressing a conference in November 2015, Prime Minister Narendra Modi had said 45 senior officers have either been removed or faced pension cuts for "unsatisfactory performance and delivery in public service".

Read more at  http://www.ibnlive.com/news/india/from-teachers-to-professors-government-to-track-non-performers-1215099.html

NPS and EPF should get same tax benefits

Tax benefit to NPS can be given by exempting the pension received from income tax

Much has already been written about the proposal to tax 60 per cent of the Employees' Provident Fund (EPF) corpus on retirement and the subsequent rollback of this provision. As before, the entire corpus received back from EPF will continue to be completely exempt from tax. Thankfully, the proposal to exempt 40 per cent of the National Pension System (NPS) corpus is proposed to be continued. While this exemption is better than there being none at all, NPS will still remain a poor cousin compared to EPF.

The government has justified the proposal to tax the withdrawal of corpus from both NPS and EPF by citing international precedents. There is some logic in this argument.

The government, actually, contributes to building your retirement corpus by way of tax foregone on the amounts contributed and on the income generated on the corpus during the accumulation phase. It does so because this enables you to build a corpus that you can use to buy a monthly pension or, in other words, an assured monthly salary after you retire.

Tax foregone is an incentive so that after retirement, you do not become a burden on the government budget for social schemes for poor people. In most cases, the monthly pension that can be generated will be much lower than what you earned when you were active and, hence, will be lower than the amount that is chargeable to tax.

However, if the amount of pension generated in any year is high enough for it to be in the taxable bracket, then the government has every right to get back, at least, a small part of the tax that it had foregone earlier. This tax extracted from the relatively richer retirees can, then, be used to fund the social schemes to provide at least minimum sustenance to those people who have not been able to generate any such corpus or insufficient corpus.

So, in theory, this tax sounds justified. In the Indian context, however, there are no social schemes worth the name for the poorer retirees. So, this tax just ends up as a small morsel for the revenue-hungry government but takes a big bite out of the retiree's corpus.

There is another reason why this retirement tax is inequitable in the Indian context. The same principle of taxing at withdrawal what is foregone at the time of investment is not followed for many other investments. The biggest among these is the exemption of capital gains on sale of a residential house if invested in another residential house. This exemption is without any maximum limit at all (and can run into multiple crores per taxpayer) and if the taxpayer invests the capital gains in another residential house for only three years and sells that new residential house after three years, the entire capital gains remains tax exempt forever. It is also available to any number of residential properties owned by the taxpayer.

Even the poorest house owner who sells a house property to buy another is among the relatively well-off Indians and the majority of people who sell one house to buy another are among the top income quartile of all Indians. The amount of revenue foregone on this account alone is much larger than what the retirees can withdraw (and this includes the richest retirees as well) withdraw in any year.

It is inequitable for the government to forego large sums of tax from the rich Indians, but levy a retirement tax on the middle-class Indian.

Since the government is continuing to give EPF the tax benefit, it is imperative that the entire NPS corpus must be tax-exempt. If need be, it can be done by exempting from tax the pension received through the NPS corpus. The revenue loss is, in any case, spread over a number of years and will be made up by the boost to financial savings in the system.

Incidentally, even the 40 per cent exemption benefit is applicable only for employees and not for self-employed taxpayers. There is no earthly reason for this exemption to be denied to self-employed taxpayers and the government should correct this anomaly at the earliest.

Read more at http://www.business-standard.com/article/pf/nps-and-epf-should-get-same-tax-benefits-116031300709_1.html


Government of India
Ministry of Personnel, Public Grievances and Pensions
Department of Personnel and Training
Establishment Reservation — I Section
North Block, New Delhi-110 001
Dated March 14, 2016

The Chief Secretaries of all States/UTs

Subject: Reiteration of the instructions on streamlining the procedure for verification of claims of candidates belonging to Scheduled Castes, Scheduled Tribes and Other Backward Classes for purpose of appointment to posts/services — regarding


I am directed to refer to this Department’s letter no. 36022/1/2007—Estt. (Res.) dated 20.03.2007 addressed to Chief Secretaries of all States/UTs (copy enclosed) regarding streamlining of the process for verification of claims of candidates belonging to Scheduled Castes (SCs), Scheduled Tribes (STs) and Other Backward Classes (OBCs). It was also requested to issue instructions to District Magistrates/District Collectors/ Deputy Commissioners to ensure at their own level the veracity of caste certificates so that unscrupulous non-SC/ST/OBC persons are prevented from securing jobs meant for SCs/STs/OBCs by producing false certificates.

2. Owing to difficulties faced by candidates belonging to these reserved communities in various states in securing employment due to delays in obtaining caste certificates, this Department, vide an Office Memorandum of even number dated 08.10.2015, has re-iterated the instructions on providing provisional appointment to such reserved category candidates who are unable to obtain an appropriate caste certificate in time. It has been reiterated therein that where a candidate belonging to a Scheduled Caste, Scheduled Tribe or Other Backward Class is unable to produce a certificate from any of the prescribed authorities, he/she may be appointed provisionally on the basis of whatever prima-facie proof he/she is able to produce in support of his/her claim, subject to his/her furnishing the
prescribed certificate within a reasonable time. If there is genuine difficulty in his/her obtaining a certificate, the appointing authority should itself verify his/her claim through the District Magistrate concerned. A copy of the OM is enclosed for reference and perusal.

3. In order to ensure that the candidates belonging to reserved categories do not face unnecessary problems in obtaining caste certificates, it is requested that instructions issued to the concerned authorities in the light of the aforementioned letter dated 20.03.2007 may be reiterated for information/compliance of all concerned.

4. It is also advised that in order to discourage unscrupulous activities, State Governments/UTs may consider issue of appropriate instructions for initiating disciplinary proceedings against the errant officers who default in timely verification of caste certificates or who issue false certificates.

Encl: as above

Yours faithfully,

(G. Srinivasan)
Deputy Secretary to the Government of India


Monday, March 14, 2016

OROP: SBI disburses Rs 1,465 cr as 1st instalment of arrears

The government had in November last year formally notified the OROP scheme for the more than 24 lakh defence ex-servicemen and 6 lakh war widows in the country

 Top public sector lender State Bank of India   today released arrears worth Rs 1,465 crore to 7.75 lakh defence pensioners under One Rank One Pension (OROP) scheme, as per the government rules.

The government had in November last year formally notified the OROP scheme for the more than 24 lakh defence ex-servicemen and 6 lakh war widows in the country. "As per government guidelines, first instalment (1/4th of the total arrear amount up to February, 2016) to service pensioners and full amount of arrears to 'family pensioners' and 'gallantry award' pensioners will be paid on 14th March, 2016,"

SBI Chairman Arundhati Bhattacharya said in a statement. "All pensioners will get revised basic (pension) from March, 2016 onwards," she said. The bank has the largest share of defence pensioners and serves about 50 per cent of total defence pensioners across the country, he said. "The first tranche of arrear payment by SBI will be around Rs 1,465 crore," Bhattacharya said. SBI noted that while the bank has taken utmost care in the computation and release of arrears to maximum number of eligible defence pensioners, there could be cases where it has not been able to release OROP arrears due to information gaps in the data available with the bank.

"All such persons may approach their pension-disbursing branch and provide the missing information for an early release of the arrears," it added. SBI has introduced facilities in all branches and Centralised Pension Processing Centres (CPPCs) to provide arrear details to the pensioners. Despite a demand by protesting ex-servicemen to implement OROP with effect from April 1, 2014, the government has said that arrears would be paid with effect from July 1, 2014, and has pegged the arrears till December, 2015 at Rs 10,900 crore.

 As per government directions, payment of arrears would be made by the pension-disbursing authorities in 4 installments, except for family pensioners and pensioners in receipt of gallantry awards, who will be paid arrears in one installment. The OROP scheme is expected to cost the government Rs 7,500 crore per year.

Read more at: http://www.moneycontrol.com/news/economy/orop-sbi-disburses-rs-1465-cr-as-1st-instalmentarrears_5867321.html
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