As per Dainik Bhasker Article Govt. is ready to merge 50% DA with Basic Pay:-

38 million employees and 25 lakh pensioners electoral rarity

• 50 per cent DA in the basic pay is set to merge soon
• Govt. exercises to attract 38 lakh workers, 25 lakh pensioners
• 20 thousand crore additional burden on the exchequer

Government eyes on approximately 2 and half crore votes of Central government employees and pensioners and their families. Govt is preparing to merge 50 per cent dearness allowance (DA) into the basic pay to attracted approximately 38 lakh employees and 25 lakh pensioners.

That would be in the next fortnight. If it happen, extra burden would cost of Rs 20,000 crore to the exchequer.

It may be pressure of employees of Trade Union/ threatening of indefinite strike by the central govt. employees with railway employee or it may be trial of attraction of 2.5 carores of voters. Infact D.A. is being merged with basic salary. The Secretary General of the AIRF Mr. Shiva Gopal Mishra who is representing nearly 12 lakh employees says last days, that he had corresponded with the Prime Minister’s Office and the Finance Ministry. He also met with Secretary of expenditure in this connection.

This indicates that it will be announced just after the vote on account of parliament. Press Secretary of National Federation of Indian Railwaymen Mr. S.N. Malik said that the Cabinet note in this regard has become according to PMO sourcese. There is a file lying in the PMO at this time regarding this connection. It will be announced someday next week when Parliament is in session.

Infact DA of Central Govt. Employees reached up to 90% at this time and again due started with DA increment from 1st Jan. If this time there is an increase of 11 per cent on DA; it will be 101 per cent . Malik says that when the Fifth CPC DA had reached 72 per cent, 50 per cent DA was merged with basic pay without any demand from staff side. This time it is not being done. This demand of merger of 50 per cent of DA into basic pay DA of the unions is old. In view of this, , Minister of State for Finance Namo Narain Meena said in Parliament stated in August last year that Sixth Pay Commission has not recommended to merge the DA with basic pay . So the government is not doing so. However , now the situation has changed, in the view of general election, to woo the all the public the decisions are being taken. In this series, if DA has to be merged with the basic pay, then the exchequer put a burden of Rs 20,000 crore is estimated .

Source: Dainik Bhasker News
via: http: karnmk.blogspot.in

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Financial up gradation under ACP Scheme

Upon introduction of ACP scheme, central government employees were granted two financial up gradation on the completion of 12 years and 24 years of regular service respectively in the same post. According to the ACP Scheme, the central government employees were to be granted next higher pay scale of their Promotional Hierarchy as financial up gradation under ACP Scheme. So the pay equalant to the promotional post had been ensured under ACP scheme for the government servants after completion of 12 and 24 years of regular service if they were not granted regular promotion. Many central government employees were benefited by this scheme where there were no promotional avenues available for them.

Modified Assured Career Progression Scheme (MACPS)

The Sixth CPC recommendation on ACP scheme and government’s decision gave all the central government employees surprise and shock both. The Sixth Central Pay Commission in Para 6.1.15of its report, has recommended Modified Assured Career Progression Scheme (MACPS). As per the recommendations, financial up gradation would be available in the next higher grade pay whenever an employee has completed 12 years continuous service in the same grade. However, not more than two financial upgradations shall be given in the entire career, as was provided in the previous ACP Scheme. The Scheme will also be available to all posts belonging to Group “A” whether isolated or not. However, organised Group “A” services will not be covered under the Scheme

The Government has considered the recommendations of the Sixth Central Pay Commission for introduction of a MACPS and has accepted the same with further modification to grant three financial upgradations under the MACPS at intervals of 10, 20 and 30 years of continuous regular service. The surprise was that, government’s consideration for modifying the ACP scheme to grant three financial up gradation for central government employees on completion of 10,20 and 30 years of regular service. But its decision to grant immediate next higher Grade Pay in the hierarchy of Grade Pay instead of Promotional Hierarchy is the shock for everyone.

The MACP Scheme envisages merely placement in the immediate next higher Grade Pay in the hierarchy of the recommended revised Pay Bands and Grade Pay. For example, if a govt servant appointed as LDC in the grade pay of Rs.1900/-, he will be granted Rs.2000/- Grade Pay as first MACP after completing 10 years of regular service though this Grade Pay is not in the promotional hierarchy of the individual concerned. Whereas the first financial up gradation to be granted under ACP Scheme will be Rs. 2400/- Grade Pay on completion of 12 years of regular service as ACP was granted on the basis of promotional hierarchy. As a result of this the Modified ACP Scheme has not served the purpose that it was supposed to. So the Modified Assured Career progression Scheme needs to be modified again. The financial up gradation has to be granted on the basis of Promotional Hierarchy of posts instead of hierarchy of Grade Pay.

The decision of Joint Committee of MACP Scheme

The Staff Side of National Anomaly committee also reiterated their demand in the last meeting of the Joint Committee of MACP Scheme held on 15.03.2011 under the Chairpersonship of the Joint Secretary (Estt), DOPT that the financial up-gradations under the MACP Scheme should be granted in the promotional hierarchy of posts instead of the Grade Pay hierarchy. The Staff Side stated that the erstwhile ACP Scheme was implemented on the recommendations of the 5th CPC and, as such, has become a part of the service conditions of the employees. The Staff Side, therefore, contended that the Government cannot impose the MACP Scheme thereby altering the service conditions to the detriment of the employees.

In this regard the Judgment of Hon’ble Central Administrative Tribunal, Chandigarh has been upheld by the Honble High Court of Punjab and Haryana at Chandigarh. In a separate case filed in CAT, Principle Bench, New Delhi, to grant next promotional Grade Pay under MACP Scheme, the Honble CAT gave its Judgment in favour of applicants based on the judgments of above cases. The appeal against the judgment of Honble High Court of Punjab and Haryana has been dismissed by the Hon’ble Supreme Court.

Almost all the Federations have demanded the Central Government to issue necessary instructions for granting financial up gradation under MACP scheme on Promotional hierarchy as per the Court Order. So it is high time for the government to come forward to issue the necessary order to grant financial up gradation under MACP scheme in Promotional hierarchy to make this scheme serve its purpose and avoid confusion.

Source: http://www.gservants.com/2013/12/16/macp-unsettled-issue-sixth-pay-commission-recommendation/

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No. 1(3)/2008-E.II (B)
Government of India
Ministry of Finance
Department of Expenditure
***

North Block, New Delhi.
Dated: 2nd May, 2013.

OFFICE MEMORANDUM

Subject:- Rates of Dearness Allowance applicable w.e.f. 1.1.2013 to the employees of Central Government and Central Autonomous Bodies continuing to draw their pay in the pre-revised scale as per 5th CPC.

The undersigned is directed to refer to this Department’s O.M. of even No. dated 15th October, 2012 revising the Dearness Allowance w.e.f. 1.7.2012 in respect of employees of Central Government and Central Autonomous Bodies who continue to draw their pay and allowances in the pre-revised scales of pay as per 5th Central Pay Commission.

2.    The rates of Dearness Allowance admissible to the above categories of employees of Central Government and Central Autonomous bodies shall be enhanced from the existing rate of 151% to 166% mei 1.1.2013. All other conditions as laid down in the G.M. of even number dated 3rd October, 2008 will continue to apply.

3.    The contents of this Office Memorandum may also be brought to the notice of the organizations under the administrative control of the Ministries/ Departments which have adopted the Central Government scales of pay.

source-http://finmin.nic.in

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