CABINET APPROVED 10% DEARNESS ALLOWANCE HIKE FOR CENTRAL GOVERNMENT EMPLOYEES AND PENSIONERS

CABINET COMMITTEE APPROVED 10% DEARNESS ALLOWANCE HIKE FOR CENTRAL GOVERNMENT EMPLOYEES AND PENSIONERS

CABINET COMMITTEE APPROVED 10% DEARNESS ALLOWANCE HIKE FOR CENTRAL GOVERNMENT EMPLOYEES AND PENSIONERS

The Union Cabinet today approved to increase in  Dearness Allowance by 10% to Central Government employees.
The rate of Dearness allowance shall be enhanced from the existing rate of 90% to 100%.

Revised rates effective from 1.1.2014.

Finance Ministry will publish detailed orders regarding this issue within this month.

Release of additional installment of dearness allowance to 

Central Government employees and dearness relief to Pensioners, due from 1.1.2014 

The Union Cabinet today approved the proposal to release an additional installment of Dearness Allowance (DA) to Central Government employees and Dearness Relief (DR) to pensioners with effect from 01.01.2014, in cash, but not before the disbursement of the salary for the month of March 2014 at the rate of 10 percent increase over the existing rate of 90 percent. 

Hence, Central Government employees as well as pensioners are entitled for DA/DR at the rate of 100 percent of the basic with effect from 01.01.2014. The increase is in accordance with the accepted formula based on the recommendations of the 6th Central Pay Commission. 

The combined impact on the exchequer on account of both dearness allowance and dearness relief would be Rs. 11074.80 crore per annum and Rs. 12920.60 crore in the financial year 2014-15 ( i.e. for a period of 14 months from January 2014 to February 2015). 

7th Central Pay Commission Terms of Reference - Cabinet approved ToR of 7th CPC

7th Central Pay Commission Terms of Reference - Cabinet approved ToR of 7th CPC   7th Central Pay Commission    The Union Cabinet today gave its approval to the Terms of Reference of 7th Central Pay Commission (CPC) as follows:-   a) To examine, review, evolve and recommend changes that are desirable and feasible regarding the principles that should govern the emoluments structure including pay, allowances and other facilities/benefits, in cash or kind, having regard to rationalization and simplification therein as well as the specialized needs of various Departments, agencies and services, in respect of the following categories of employees:- i. Central Government employees-industrial and non-industrial; ii. Personnel belonging to the All India Services; iii. Personnel of the Union Territories; iv. Officers  and   employees   of  the   Indian  Audit  and   Accounts Department; v. Members of regulatory bodies (excluding the Reserve Bank of India) set up under Acts of Parliament; andvi. Officers and employees of the Supreme Court.  b) To examine, review, evolve and recommend changes that are desirable and feasible regarding principles that should govern the emoluments structure, concessions and facilities/benefits, in cash or kind, as well as retirement benefits of personnel belonging to the Defence Forces, having regard to historical and traditional parities, with due emphasis on aspects unique to these personnel.   c) To work out the framework for an emoluments structure linked with the need to attract the most suitable talent to Government service, promote efficiency, accountability and responsibility in the work culture, and foster excellence in the public governance system to respond to complex challenges of modern administration and rapid political, social, economic and technological changes, with due regard to expectations of stakeholders, and to recommend appropriate training and capacity building through a competency based framework.   d) To examine the existing schemes of payment of bonus, keeping in view, among other things, its bearing upon performance and productivity and make recommendations on the general principles, financial parameters and conditions for an appropriate incentive scheme to reward excellence in productivity, performance and integrity.   e) To review the variety of existing allowances presently available to employees in addition to pay and suggest their rationalization and simplification, with a view to ensuring that the pay structure is so designed as to take these into account.   f) To examine the principles which should govern the structure of pension and other retirement benefits, including revision of pension in the case of employees who have retired prior to the date of effect of these recommendations, keeping in view that retirement benefits of all Central Government employees appointed on and after 01.01.2004 are covered by the New Pension Scheme (NPS).   g)  To make recommendations on the above, keeping in view:   i. the economic conditions in the country  and need for fiscal prudence; ii. the need to ensure that adequate resources are available for developmental expenditures and welfare measures; iii. the likely impact of the recommendations on the finances of the State Governments, which usually adopt the recommendations with some modifications; iv. the prevailing emolument structure and retirement benefits available to employees of Central Public Sector Undertakings; and v. the best global practices and their adaptability and relevance in Indian conditions.   h) To recommend the date of effect of its recommendations on all the above. The Commission will make its recommendations within 18 months of the date of its constitution.  It may consider, if necessary, sending interim reports on any of the matters as and when the recommendations are finalised.   The decision will result in the benefit of improved pay and allowances as well as rationalization of the pay structure in case of Central Government employees and other employees included in the scope of the 7th Central Pay Commission.   Background Central Pay Commissions are periodically constituted to go into various issues of emoluments’ structure, retirement benefits and other service conditions of Central Government employees and to make recommendations on the changes required.   PIB  this is a test message

Possibility to announce Interim Relief before elections

Possibility to announce Interim Relief before elections   Proposals of Enhancement of Retirement age and Merger of D.A may not materialize   It was learnt from the sources close to the Union Government that the proposals of Enhancement of Retirement age of Central Government Employees from 60 to 62 years and Merger of D.A to basic pay may not be materialized now before General elections.    Accordingly, these two proposals have not been taken up for consideration by the union Cabinet in its meeting held on friday. But there is possibility to announce Interim Relief (I.R) before elections.    Source: www.postalinspectors.blogspot.in [http://postalinspectors.blogspot.in/2014/02/proposals-of-enhancement-of-retirement.html] this is a test message

Whether Cabinet Approved Merger of DA with Basic Pay today(28.2.2014)..?

Whether Cabinet Approved Merger of DA with Basic Pay today(28.2.2014)..? One of the leading news media ‘IBN Live‘ reported that “the Union Cabinet approved a hike in dearness allowance (DA) to 100 per cent from existing 90 per cent benefiting 50 lakh Central government employees and 30 lakh pensioners. The DA hike though, will not be merged with the basic pay“.“. On the other side, one of the popular media news agency, ‘Business standard‘ said that the “Cabinet today approved merger of 50% dearness allowance of Central government employees and pensioners with their basic pay. However, it has deferred a decision on anti-corruption ordinances and Forward Contract Regulation (Amendment) Act. A special Cabinet meeting is likely tomorrow to take call on these ordinances“. Which is correct…? Source: www.centralgovernmentemployeesnews.in [http://centralgovernmentemployeesnews.in/2014/02/whether-cabinet-approved-merger-of-da-with-basic-pay-today/] this is a test message

Proposals of Retirement age 62 and 50% DA Merger..?

Proposals of Retirement age 62 and 50% DA Merger..?   Modest Expectation for 50% DA Merger still on the cards   The expectations will not subside until the central government makes it clear whether 50% DA Merger will be approved or not. Though there were mixed news about whether 50% DA Merger is approved or not, Railway and Defence Federation’s Leaders told that the 50% DA merger was approved by the Cabinet. A website belongs to an important railway federation also flashed a news confirming merger of 50% DA is approved by the cabinet. Sometime later it changed its stand and removed the flash news   One of the News Media also confirmed that 50% DA is approved by the cabinet. But so far any announcement in this regard has not been come from the Government. Some Leaders of the Federations told, ‘when we had a talk with them, initially the central government agreed in principle to merge the 50% of Dearness Allowance and its decision was expected from the cabinet meeting held yesterday evening. But we are unaware of the reason for the government not announcing its decision.’   Earlier reports claimed that the government was considering 50% DA Merger and increasing retirement age to 62. But a source close to official side said these will be a part of Terms of Reference of 7th Pay Commission and the Panel , however, can recommend this later   Everybody feels, still it is an incomplete picture, as the government has not declared it is done   Source: www.gservants.com [http://www.gservants.com/2014/03/01/modest-expectation-50-da-merger-still-cards/]   Read also... AICPIN for Jan 2014 - Expected DA from Jul 2014   7th Central Pay Commission Terms of Reference - Cabinet approved ToR of 7th CPC   CABINET APPROVED 10% DEARNESS ALLOWANCE HIKE FOR CENTRAL GOVERNMENT EMPLOYEES AND PENSIONERS   this is a test message

Retirement Age 62 and 10% DA from Jan 2014 - Cabinet expected to clear on Friday (28.02.2014)

 

Retirement Age 62 and 10% DA from Jan 2014 - Cabinet expected to clear on Friday (28.02.2014)

As per media news, Union cabinet is going to meet on Friday(28.2.2014) and the Cabinet is expected to clear two main agenda points in the meeting as follows...

One is Retirement Age 62: Retirement age of Central Government employees will increase by two years from 60 to 62 with effect from 1.3.2014.

Additional 10% DA from 1.1.2014 : 10% of Additional Dearness allowance from 1.1.2014 to all Central Government employees and pensioners, may be declared in the meeting.


Read also...

50% DA Merger, Retirement Age 62 and Interim Relief – Cabinet is likely to clear some of these demands..!

50% DA Merger, Retirement Age 62 and Interim Relief – Cabinet is likely to clear some of these demands..!

This week may bring cheer to central employees and pensioners

Central Govt. employees and pensioners will find reasons to celebrate this week. The union cabinet is likely to clear some long awaited demands for it’s staff in the next meeting later this week The F.M., currently on foreign tour, likely to return India on 26th February and after which cabinet meeting is likely to take place.

According to information available with us, merger of 50% D.A., an additional hike of 10% D.A. from 01.01.2014, granting of Interim Relief and enhancing retirement age to 62 years are under the consideration of Govt. and some of these are to be approved in the next cabinet meeting.


As the notification of loksabha poll may be issued in the first week of March, this would be the last cabinet meeting before the code of conduct comes into force.

So the central employees and pensioners may definitely hope for some bonanza to be announced this week.

Source: www.paycommissionupdate.blogspot.in
[http://paycommissionupdate.blogspot.in/2014/02/this-week-may-bring-cheer-to-central.html]
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7th CPC Terms of Reference - Whether Govt. actually merged Dearness Allowance with basic pay today (20/02) ?

7th CPC Terms of Reference - Whether Govt. actually merged Dearness Allowance with basic pay today (20/02) ?

7th CPC Terms of Reference

Confederation Secretary General informed today that "DOP&T has finalized the terms of reference of Seventh Central Pay Commission and submitted to Cabinet for approval. 

Details of the terms of reference finalized by DOP&T is not disclosed to the staff side. Details will be known only after the Cabinet meeting which is likely to be held today evening or tomorrow". 

(Date of Cabinet Meeting not confirmed)

NFIR General Secretary said today, "Major Demand of NFIR's 65 Point Charter - DA Merger and Interim Relief is being considered by Union Cabinet today i.e.,20.02.2014, results awaited..."

And one of the popular blog(paycommissionupdate) for CG Employees has published as under...

Whether Govt. actually merged Dearness Allowance with basic pay today (20/02) ?

Rumors spread very fast this afternoon that central cabinet approved terms of reference of seventh CPC and agreed to merge 50% of D.A. with basic pay for central employees and pensioners. Some of the popular websites and media sites started flashing this news. A cabinet meeting did took place today but according to sources, it was not discussed in the meeting due to paucity of time. 

Merger of D.A., granting interim relief and enhancing superannuation age are definitely being actively considered by the Govt. but nothing has been materialized as of now.

F.M. is proceeding to Australia for a five days official tour and it is most likely that cabinet will take any decision only after his return from abroad. 

So good news may be expected in the next weekend. 

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Merger of 50% DA with Pay and grant of Interim Relief - NFIR

Merger of 50% DA with Pay and grant of Interim Relief - NFIR NFIR National Federation of Indian Railwaymen No.II/95/Pt. VI  Dated: 20/02/2014 The General Secretaries of Affiliated Unions of NFIR. Brother, Sub: Merger of 50% DA with Pay and grant of Interim Relief. NFIR has been writing to the Government of India (including Prime Minister, Finance Minister etc) for merger of 50% DA with pay through its letters dated 10/01/2013, 05/08/2013, 27/09/2013. Also in its 27th National Convention held at Visakhapatnam from 10th  to 12th December, 2013, the Federation had passed a resolution demanding merger of 50% DA with Pay and grant of interim relief to employees of Central Government including Railway employees. NFIR feels happy to convey that the Central Government has conceded the demand of the employees raised by the Federation.  Union Cabinet is likely to consider the issues to day for taking final decision. Federation will advise decision when taken by the Government. Federation expects that there may be Good News for all Central Government employees very soon. Yours faithfully, sd/- (M.Raghavaiah) General Secretary Source: NFIR  . Related posts...

Inclusion of DA Merger and Interim Relief in 7th CPC ToR - Cabinet likely to approve 7th CPC ToR

Inclusion of DA Merger and Interim Relief in 7th CPC ToR - Cabinet likely to approve 7th CPC ToR Inclusion of DA Merger and Interim Relief in 7th CPC Terms of Reference - Union Cabinet likely to approve the 7th CPC Terms of Refernce in the next meeting, media sources said. "To woo central government employees ahead of the general elections, the United Progressive Alliance (UPA) government is expected to ask the Seventh Pay Commission to consider merging 50 per cent dearness allowance (DA) with basic pay of employees.  This will form part of the terms of reference (ToR) for the Commission, to be considered by the Cabinet this week. According to officials, the Pay Commission’s ToR categorically states a proposal in this regard should be actively considered. The increases will be even more appealing as the Centre is expected to increase the DA by 10 per cent to 100 per cent by the end of February. Usually, the DA is merged with basic pay when the former goes beyond 50 per cent. It is 90 per cent now, but has not been merged so far. Assuming an employee gets Rs 100 as basic pay and Rs 100 as DA at present, the basic will rise to Rs 150, even if 50 per cent allowance is merged. . A higher basic pay will also impact the house rent allowance (HRA) of employees as it is calculated at 30 per cent of the basic pay for central government employees. DA is linked to the consumer price index (industrial workers). The government uses CPI-IW data of the past 12 months to arrive at a quantum for calculating any DA hike. The allowance will be announced from January. As such, the retail inflation for industrial workers between January 1 to December 31, 2013 would be used to take a final call on the matter. The average inflation during this period had stood at 10.66 per cent. Earlier this month, the government had constituted the Pay Commission under the chairmanship of former Supreme Court Judge Ashok Kumar Mathur. The other members of the panel are Petroleum Secretary Vivek Rae (full-time member), National Institute of Public Finance and Policy Director Rathin Roy (part-time member) and Officer on Special Duty in the Expenditure Department Meena Agarwal (Secretary). The Commission’s recommendations would be implemented from January 1, 2016, officials said. However, it may recommend interim relief as well, they added. The Commission’s recommendations will directly benefit almost five million employees and three million pensioners. Employees of state governments, which will adopt the recommendations of the 7th Pay Commission will also benefit. Some officials said the Cabinet is also expected to consider another proposal to modify the Prime Minister’s 15-point programme for minorities, which will enable allocation of at least 15 per cent of the total funds for welfare of minorities in major programmes such as National Rural Health Mission, Rashtriya Mahila Shiksha Abhiyan, Employment and Skill Development". Source: www.business-standard.com http://www.business-standard.com/article/economy-policy/centre-plans-big-bonanza-for-central-govt-employees-114021901256_1.html] this is a test message

Dopt issued orders on Lokpal and Lokayuktas (Removal of Difficulties) Order, 2014

The Lokpal and Lokayuktas (Removal of Difficulties) Order, 2014

MINISTRY OF PERSONNEL, PUBLIC GRIEVANCES AND PENSIONS

(Department of Personnel and Training)

ORDER

New Delhi, the 15th February, 2014

S.O. 409(E). - Whereas the Lokpal and Lokayuktas Act, 2013 (1 of 2014) (hereinafter referred to as the said Act) came into force on the 16th day of January, 2014;

And whereas Section 44 of the said Act requires making of a declaration of assets and liabilities by the public servant to the competent authority in the manner provided under the said Act;

And whereas Section 44 of the said Act requires furnishing of information relating to assets and liabilities, (i) by the public servant on the occasion of entering upon office within thirty days from the date of assumption of office, and

(ii) by a public servant holding his office as such within a period of thirty days from the date of coming into force of the said Act;

And whereas Section 44 of the said Act also requires the filing of annual return of such assets and liabilities with the competent authority, on or before the 31st day of July every year; and the competent authority in respect of each Ministry or Department shall ensure such statements are published on the website of such Ministry or Department by the 31st day of August of that year;

And whereas different set of rules such as—

(i) the Central Civil Services (Conduct) Rules, 1964;

(ii) the All-India Services (Conduct) Rules, 1968;

(iii) the Railway Services (Conduct) Rules, 1966,

and other relevant rules exist with respect to public servants on filing of property returns and making of declaration of assets by every public servant which have been framed by the President or the Central Government in exercise of powers under the Constitution or the relevant Acts of Parliament and are being complied with by each and every Government servant;

And whereas the modifications or amendments of the above said rules and other relevant rules in consonance

with the provisions of Section 44 of the said Act will need some time keeping the constitutional and other statutory requirements which are to be followed while modifying or amending of such rules which are in force;

And whereas the amendment of the Central Civil Services (Conduct) Rules, 1964 shall require consultation with the Comptroller and Auditor-General of India as per the constitutional provisions, and in case of the All-India Services (Conduct) Rules, 1968, the amendment or modification of the said rules shall require consultation with the Governments of the States concerned in terms of Section 3 of the All-India Services Act, 1951 (61 of 1951);

And whereas after following the above procedure, it is unlikely and may not be possible to complete the process of harmonising the provisions of section 44 of the said Act with other relevant Acts and the Constitutional provisions within the timeframe provided in Section 44 of the said Act;

And whereas difficulties have arisen in giving effect to the provisions of Section 44 of the said Act and harmonising its requirement with the above referred Constitutional provisions, Acts and the rules made thereunder before the rules are made by the Central Government for prescribing the form and manner of furnishing information and filing of annual returns by public servants under the said Section 44;

Now, therefore the Central Government, in exercise of the powers conferred by sub-section (1) of Section 62 of the Lokpal and Lokayuktas Act, 2013 (1 of 2014), hereby makes the following Order to remove the difficulties in respect of making of declaration of assets by public servants and filing of property returns in terms of Section 44 of the said Act, namely:—

1. Short title and commencement. - (1) This Order may be called the Lokpal and Lokayuktas (Removal of Difficulties) Order, 2014.

(2) It shall come into force on the date of its publication in the Official Gazette.

2. Modification or amendment of relevant rules in consonance with Section 44 of said Act. - (1) The modification or amendment to the relevant rules referred to in this Order shall be carried out within a period not exceeding one hundred and eighty days from the date on which the provisions of the said Act came into force.

(2) The public servants who have filed the declarations, information and returns under the provisions of the

relevant rules shall file revised declarations, information or returns, as the case may be, in compliance of the rules framed under Section 44 of the said Act within the period specified therein.

[No. 407/12/2014-AVD-IV(B)]

DEEPTI UMASHANKAR, Jt. Secy.

Source: www.persmin.gov.in

[http://ccis.nic.in/WriteReadData/CircularPortal/D2/D02ser/407_12_2014-AVD-IV-B-15022014.pdf]

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Retirement Age 62 - All set to hike central retirement age to 62 years

All set to hike central retirement age to 62 years

It may sound like ridiculous as number of times articles regarding this topic has published in different websites and newspapers. But as per our sources and media reports, centre finally decided to hike retirement age to 62 years. The process has received PM's nod and awating cabinet approval which is likely to be obtained in the next meeting.

The newly set up seventh CPC has recommended this hike in an interim report which got Govt. approval.

As per information available with us, this move will not benefit those who are going to be superannuated in this month or those who are already in extension.

Source : www.paycommissionupdate.blogspot.in

[http://paycommissionupdate.blogspot.in/2014/02/all-set-to-hike-central-retirement-age.html]

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50% DA MERGER OR INTERIM RELIEF FOR CENTRAL GOVERNMENT EMPLOYEES

50% DA MERGE OR INTERIM RELIEF FOR CENTRAL GOVERNMENT EMPLOYEES

As everyone knows the Central Government has constituted the 7th Pay Commission and named its Chairmen recently. The decision of the government to constitute the 7th CPC has triggered many expectations among the central government employees. Among them was the merger of 50% DA with basic pay as done in the 5th CPC. But the 6th CPC did not recommended anything like that. It is understood that the employees are eagerly awaiting for an economic relief from the soaring prices of essential commodities. There are instances of announcing interim relief (I.R) to the employees apart from DA by a newly constitute pay commission prior to their implementations in the past.

Let us look into some of them

Interim relief prior to Second Pay

1ST PAYCOMMISSION

Details of interim relief in the past

Interim relief of Rs 5.p.m was granted by the 2nd pay commission with effect from the 1st july, 1957 to all employees drawing basic pay not exceeding Rs.250 per month.

Pay range	Dearness pay	Dearness allowance	Total of dearness allowance. Dearness pay and interim relief
	Rs	Rs	Rs
Up to Rs 50	20	25	45
Rs.51—— 100	25	30	55
Rs.101—– 150	27.50	32.50	60
Rs.151—– 200	30	35	65
Rs.251—- 300	32.50	37.50	70
Rs.301—- 500	35	35	70

Second Pay Commission

IInd Pay Commission

Interim relief as on 31.12.1972

Pay range	Dearness allowance	Portion treated as dearness pay	Interim relief
Below Rs.85	71	47	29
Rs.110-149	71	47	41
Rs.150-209	98	70	41
Rs.210-399	122	90	41
Rs.400-499	146	110	50

Third Pay Commission 

IIIrd Pay Commission

Interim relief (1.6.1983 and 1.3.1985)

Rates of interim relief from 1.6.1983

The staff side of the national council (joint consultative machinery) had raised a demand relating to the parity of scale of pay of central government employees with public sector pay scales and pending acceptance of this demand, an interim relief to all central government employees was sanctioned at the rates indicated below.

Rates on interim relief from 1.3.1985

The Fourth Pay Commission had recommended an Installment of interim relief at the rate of 10% of the basic pay of the employees subject to minimum of Rs.50 per month to be paid with effect from 1st march 1985.

	Categories of employees/pay range	Amount of Interim Relief Sanctioned Rs.
i	For employees drawing pay below Rs.300 p.m	50 p.m
ii	For employees drawing pay of Rs.300 and above but below Rs 700 p.m	60 p.m
iii	For employees drawing pay of Rs.700 and above but below Rs 1600p.m	70 p.m
iv	For employees drawing pay of Rs.1600 and above but below Rs 2250 p.m	80 p.m
v	For employees drawing pay of Rs.1600 and above but below Rs 2250 p.m	100 p.m

Fourth Pay Commission

IVth Pay Commission

Interim relief

First installment of interim relief to the central government employees from 16.9.1993

Interim relief of Rs.100/- p.m has been sanctioned to all central government employees w.e.f 16.9.1993.

The amount interim relief will neither be termed as ‘pay’ nor ‘allowance’ nor ‘wages’, accordingly this amount will not counted for any service benefit.

Second instalment of interim relief from 1st April 1995

The Fifth Central Pay commission have recommended a further instalment of interim relief at the rate of of 10% of the basic pay to the employees subject to minimum of Rs .100 per month to be paid with effect from 1st April, 1995.

Third instalment of interim relief from 1st April 1996

The Fifth Central Pay Commission in their interim report have recommended a further instalment of interim relief at the rate of 10% of the basic pay to the employees subject to minimum of Rs .100 per month to paid with effect from 1st April, 1995.

Fifth Pay Commission

Vth Pay Commission

The Fifth CPC, in para 105.11 of their report had recommended that DA should be converted into Dearness Pay each time the CPI increase by 50% over the base index used by the Pay Commission.

Merger of 50% of Dearness Allowance/Dearness Relief with basic pay/pension to Central Government employees/pensioners w.e.f. 01/04/2004.

6th Pay Commission

VIth Pay Commission

The 6th pay commission after its constitution and implementation did not recommended or suggest any kind of interim relief or merging of DA with the basic pay. As of now the DA has touched 100% and its government is unable to satisfy employees. All federation and associations are pressing the government for the merger of 50% DA. They strongly suggest some kind of relief to the employees As the price of essential commodities are in the rise, the government should act now to fullfil the expectation of the employees. The government should come up with merger 50% DA merger or some interim relief to the employees as early as possible.

50% DA MERGER OR INTERIM RELIEF - ?

 Source: www.govtempdiary.com

[http://www.govtempdiary.com/2014/02/50-da-merge-or-interim-relief-for-central-government-employees/]