It has been more than six months since the Narendra Modi government cleared the recommendations of the 7th Pay Commission

Government employees are, however, yet to enjoy the full benefits of the recommendations with the decision on allowances still to be announced.

The 7th pay commission recommendations cover more than one crore government employees and pensioners. The commission recommended a 14.27 per cent hike in basic pay.

HOW MR. ARUN JAITLEY SAVED CRORES FOR THE GOVERNMENT:

1. The hike in basic pay has resulted in a marginal increase in the total salary drawn by government employees. This is because allowances form a sizeable chunk of their pay.

2. Till date, the government has not made announcements on when exactly does it plan to start giving out the allowances to its employees.

3. The government had asked the Committee on Allowances headed by Finance Secretary Ashok Lavasa to review the recommendations of the 7th Pay Commission on allowances.

4. The government has given the committee an extension up to February 22, 2017 to submit its report on higher allowances. In October last year, Finance Secretary Ashok Lavasa had said the committee was ready with its report.

However, no extension of period was asked by the committee, but still the government delayed the implementation by this extension.

5. The government’s dilly-dally on allowances has largely been attributed to demonetisation and the Assembly elections in five states. The 7th Pay Commission has recommended scrapping 53 of the 196 allowances, and merging a few others.

6. The hiked salary, as per the recommendations of the pay commission, is given in two parts. The increase in the basic salary is calculated from the time the government implements the recommendations of the commission, i.e. on a back date basis. As a result, employees are eligible for arrears on their basic pay.

7. The increase in allowances, however, is applicable from the date the government decides to disburse it. Therefore, government employees are not entitled to arrears.

8. Usually, once the recommendations of the pay commission are approved, the increase in basic pay is followed by an increase in allowances.

9. It is widely believed that the government will decide on a hike in allowances once the Assembly elections are over. In other words, employees can expect to get allowances from April, which marks the beginning of the new financial year.

So, finally the government has acted smart, the government has effectively saved a lot of money this financial year by not making an announcement on allowances. Government employees, on the other hand, have expressed their disappointment over being denied the full remuneration for a long time, but who cares about it!

Source: India Today

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New Delhi: Despite all that has been said about the higher allowances under the 7th Pay Commission recommendations, an important issue for central government employees has now been strangely absent from the government agenda.

First, the Finance Minister Arun Jaitley had claimed it must implement after four months of the basic pay hike but it failed to come true.

More than 14 to 15 months have passed since the 7th pay commission report was submitted and seven months have elapsed since the union cabinet approved the 7th Pay Commission recommendations for salary hike of central government employees, but the they are still awaiting the higher allowances.

The government has given higher basic pay in August 2016 with arrears, effective from January 1, 2016 to its employees on the recommendations of the 7th pay commission but the hike in allowances other than dearness allowance referred to the ‘Committee on Allowances’ headed by the Finance Secretary Ashok Lavasa for examination as the pay commission had recommended of abolishing 51 allowances and subsuming 37 others out of 196 allowances.

Accordingly, existing allowances are now paid to the central government employees according to the 6th Pay Commission recommendations until issuing of higher allowances notification.

Finance Secretary Ashok Lavasa said in October 2016, “We are ready to submit our report, when the Finance Minister Arun Jaitley calls up.”

But the government gave extension to the committee up to February 22, 2017 on the pretext of demonetisation and the government said that the cash crunch was the reason behind the delay in announcing higher allowances.

The announcement of assembly elections in five states has given an excuse for the government as it cannot announce pay hikes till the model code of conduct is in place up to March 8.

The government is using delaying tactics to save the government money to pay higher allowances without arrears from August 16.

The delay in implementation of the higher allowances has caused tremendous irritation and frustration among employees.

The Prime Minister Narendra Modi led BJP may have to face a backlash in the assembly elections in the five states, two of which is ruled by the party either directly or in alliance. Thus, not properly implementing of the 7th Pay Commission recommendations would amount to strike to blow to the BJP in polls.

TST

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7th Pay Commission recommended for bunching of two stages in the report para 5.1.36 , “however if situation does arise whenever more than two stages are bunched together, one additional increment equal to 3 percent may be given for every two stages bunched, and pay fixed in the subsequent cell in the pay matrix.”

Also Government released order on7th September 2016, with the following instructions

1. One additional increment shall be given for every two stages bunched and the pay of Government servant drawing higher pay in pre-revised structure shall be fixed at the next vertical Cell in the applicable Level

2. Pay drawn by two Government servants in a given Pay Band and Grade Pay or scale where the higher pay is at least 3% more than the lower pay shall constitute two stages. Officers drawing pay where the difference is less than 3% shall not be entitled for this benefit.

Illustration:

if two persons drawing pay of 53,000 and 54,590 in the GP 10,000 are to be fitted in the new Pay Matrix, the person drawing pay of 53,000 on multiplication by a factor of 2.57 will expect a pay corresponding to 1,36,210 and the person drawing pay of 54,590 on multiplication by a factor of 2.57 will expect a pay corresponding to 1,40,296. Revised pay of both should ideally be fixed in the first cell of Level 14 in the pay of 1, 44,200 but to avoid bunching the person drawing pay of 54,590 will get fixed in second cell of Level 14 in the pay of 1,48,500.

Based on this we have calculated bunching benefit for all the grade pay in 7th CPC salary

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7th CPC Pay Fixation Increment Benefit Option – Ready Reckoner Grade Pay 1800

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Confused with “Form of Option” help us you to choose the best option.
Option 2: Benefit Analyzer for Pay Grade: 1900

Disclaimer: We had done our best to get you the right value, however there could be errors. We request the readers to validate the information and then act. We will not take any responsibility for the losses incurred due to errors.

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7th CPC Pay Fixation Increment Benefit Option – Ready Reckoner Grade Pay – 2000

Disclaimer: We had done our best to get you the right value, however there could be errors. We request the readers to validate the information and then act. We will not take any responsibility for the losses incurred due to errors.

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7th CPC Pay Fixation Increment Benefit Option – Ready Reckoner Grade Pay – 2400

Disclaimer: We had done our best to get you the right value, however there could be errors. We request the readers to validate the information and then act. We will not take any responsibility for the losses incurred due to errors.

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7th CPC Pay Fixation Increment Benefit Option – Ready Reckoner Grade Pay – 4200

Disclaimer: We had done our best to get you the right value, however there could be errors. We request the readers to validate the information and then act. We will not take any responsibility for the losses incurred due to errors.

Via govtempdiary

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7th CPC Pay Fixation Increment Benefit Option – Ready Reckoner Grade Pay – 2800

Disclaimer: We had done our best to get you the right value, however there could be errors. We request the readers to validate the information and then act. We will not take any responsibility for the losses incurred due to errors.

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7th CPC Pay Fixation Increment Benefit Option – Ready Reckoner Grade Pay – 5400 (PB 2)

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