NFIR

No. I/1 1/Part I

The General Secretaries of Affiliated Unions of NFIR Dear Brother,

Sub: Need for revision of hourly rate of Incentive Bonus and Bonus Factor of Workshops/Production Units following implementation of 7th CPC – 3rd meeting of the Committee held on 26/09/2018.

The demand of NFIR vide PNM Item No. 12/2017 was discussed in the Board PNM meeting held on 13th /14th November, 2017. The NFIR’ s Agenda provides detailed background of Incentive Bonus rates from time to time and the need for upward revision of the rates in the wake of implementation of 7th CPC Pay Matrices for Workshops and PU employees on Indian Railways.

3rd Meeting of Committee for recommendation of hourly rates of incentive bonus and bonus factors of Workshops/PUs has been held this day 26th September, 2018 at Rail Bhavan, New Delhi. GS/NFIR assisted by Shri Gobinath SSE/ICF, Perambur have participated in the meeting. During discussion, NFIR has reiterated its point of view demanding revision of rates in accordance with the formula adopted in 1999 and confirmed by the Railway Board to the Ministry of Finance on 19th July, 2005. NFIR also expressed its strong resentment over abnormal delay in finalizing revision of rates and equally upward revision of Incentive Allowance to SSEs to 30% of Pay as the SSEs are presently paid the amount very less in comparison with other lower pay level staff.

After lengthy discussion, the Official Side of Railway Board responded that a draft proposal will be provided to the Staff Side soon i.e. in a fortnight and thereafter another round of discussion may be held to finalize the rates duly taking into account the points brought out by NFIR.

The above is for information of affiliated Unions. A copy of the minutes of second meeting of the Committee held on 04th July, 2018 is also enclosed.

Source: NFIR

The post 7th Pay Commission Incentive Bonus to Railway Employees – NFIR appeared first on CENTRAL GOVERNMENT EMPLOYEES NEWS.

The Terms of Reference (ToR) of the Commission mandate that it examines the existing schemes for payment of bonus and their impact on performance and productivity.

Consultation with Stakeholders was Considered Important: The system of Performance Linked Bonus (PLB) and Ad hoc Bonus have been prevalent in the Central Government for a fairly long time. Therefore, for the replacement of the existing bonus schemes with any other incentive scheme, prior consultation with the stakeholders was considered essential

The Commission feels that there is strong need to create a culture of performance in government – from establishing standards of performance, to measuring, and promoting people based on performance. To emphasize on the culture of performance, the Commission has recommended that all the non-performers in the system should be phased out after 20 years. The Commission has recommended that Performance Related Pay should be introduced in the government and that all Bonus payments should necessarily be linked with productivity.

Bonus Schemes and Performance Related Pay

The Commission feels that any Performance Related Pay (PRP) for Central Government employees should provide a credible framework to drive performance across ministries/departments. Rather than a new system design, the favoured approach should be an incremental adaptation which can operate within the existing framework of rules with minor changes that can enable smooth implementation and operationalization of PRP.

In this backdrop, the Commission recommends introduction of the Performance Related Pay for all categories of Central Government employees, based on quality RFDs, reformed APARs and broad Guidelines, as enumerated above.

The Commission also recommends that the PRP should subsume the existing Bonus schemes. The Commission notes that there could be a time lag in implementing the Performance Related Pay by different departments. Till such time, the existing Bonus Schemes should be reviewed and linked with increased profitability/productivity under well-defined financial parameters.

Bonus Calculation: To illustrate, taking the calculation ceiling of monthly emoluments of Rs. 7000 (where actual average emoluments exceed Rs. 7000), Non-PLB (Ad-hoc Bonus) for thirty days would work out to Rs. 7000×30/30.4=Rs.6907.89 (rounded off to Rs.6908/-).

The post 7th CPC Bonus Recommendations Report appeared first on CENTRAL GOVERNMENT EMPLOYEES NEWS.

Productivity Linked Bonus for the financial year 2017-18 to be paid in the current year 2018

GOVERNMENT OF INDIA
MINISTRY OF RAILWAYS
(RAILWAY BOARD)

No.E(P&A)II-2018/PLB-3

New Delhi, dated: 25.07.2018

The General Secretary,
AIRF,
4, State Entry Road,
New Delhi-110055

The General Secretary,
NFIR,
3, Chelmsford Road,
New Delhi-110055

Subject: Productivity Linked Bonus for the financial Year 2017-18 to be paid in the current year 2018.

On the above mentioned subject, a meeting of the Federations (AIRF & NFIR) with Addl. Member (Staff) and EDPC-I has been fixed for 07.08.2018 at 03.00 P.M. in the Chamber of Addl. Member (Staff), Room No.401, Rail Bhawan, New Delhi.

President and General Secretary of the Federations may kindly make it convenient to attend the meeting.

Yours faithfully,
sd/-
(D.Malik)
Director, Estt/IR

Source: NFIR

The post Productivity Linked Bonus for the financial Year 2017-18 to be paid in the current year 2018 appeared first on CENTRAL GOVERNMENT EMPLOYEES NEWS.

No.7/4/2014-E-IIIA
Government of India
Ministry of Finance
(Department of Expenditure)

North Block, New Delhi
Dated the 29th August, 2016

Office Memorandum

Subject: Grant of Productivity Linked Bonus (PLB) and non-productivity Linked Bonus (Ad-hoc bonus) in case of Central Government employees for the accounting year 2014-15 – enhancement of the calculation ceiling- Regarding.

The undersigned is directed to invite attention to this Ministry’s 0M No.7/24/2007/E-lll.A dated regarding grant of non-productivity Linked Bonus (Ad-hoc Bonus) to the Central Government employees for the accounting year 2014-2015, whereby the calculation ceiling for the purpose of payment of ad-hoc bonus was monthly emoluments of Rs.3500. The Productivity Linked Bonus (PLB) in case of Central Government employees working under certain Ministries/Departments, where such PLB was in operation in 2014-15, was also paid by the respective Ministries/Departments for the accounting year 2014-15 based on the concurrence of this Ministry with the calculation ceiling at monthly emoluments of Rs. 3500.

2. The question of enhancement of the calculation ceiling for the purpose of payment of PLB and non-PLB (ad-hoc bonus), as the case may be, to the Central Government employees has been considered and the President is pleased to decide that the calculation ceiling of monthly emoluments for the purpose of payment of PLB and ad-hoc bonus, as the case may be, shall be revised to Rs.7000 w.e.f. 01.04.2014, i.e., for the accounting year 2014-15.

3. Accordingly, the PLB or ad-hoc bonus, as the case may be, as already paid to the eligible Central Government employees for the accounting year 2014-15 in terms of the above 0M dated 16.10.2015 pertaining to ad-hoc bonus and the respective sanctions issued by the concerned Ministries/Departments in respect of PLB under the respective schemes in operation during 2014-15 based on the specific concurrence of this Ministry, shall be re-worked out based on the calculation ceiling of monthly emoluments of Rs.7000 instead of Rs.3500.

4. While re-working out payment of PLB or ad-hoc orders, as the case  may be, under these orders for the accounting year 2014-15, all the other terms and conditions under which the payment was made shall remain unchanged.

5.  In respect of their application to the employees working in the Indian  Audit and Accounts Departments, these orders are issued in consultation with the office of the Comptroller and Auditor General of India.

6. Hindi version of this order will follow.

sd/-
(Amar Nath Singh)

Director

Click to view the order

Authority: http://finmin.nic.in/

The post Enhancement of Bonus Ceiling for CG Employees – Finmin issued Orders on 29.8.2016 appeared first on CENTRAL GOVERNMENT EMPLOYEES NEWS.

No.I/11/Part I

The secretary (E),
Railway Board,
New Delhi.

Dear Sir,

Sub: Need for revision of hourly rates of incentive bonus and incentive allowance in favour of staff of Workshops/Production Units under CRJ Pattern/GIS- reg.

• Incentive Bonus earnings under GIS Pattern on the basis of V CPC structure was arrived at by multiplying minimum pay of pay scale X 1.3 times (in the year 1999).
• Incentive Bonus earning under GIS pattern on the basis of VI CPC was arrived at by just doubling the values & fixing it a 100% earning level (in the year 2009).
• In case of Hourly rates earning under CRJ pattern, the Hourly rate values of V CPC were just doubled and fixed as hourly rate earnings after implementation of VI CPC.

Source: NFIR

The post Need for revision of hourly rates of incentive bonus and incentive allowance in favour of Railway Staff: NFIR appeared first on CENTRAL GOVERNMENT EMPLOYEES NEWS.

GOVERNMENT REJECTED DEMAND FOR RAISING OF BONUS PAYMENT CEILING TO CENTRAL GOVERNMENT EMPLOYEES

To,

Sh.Shiva Gopal Mishra
Secretary (Staff-side)
Joint Consultative Machinery(JCM)
13-C, Ferozshah Road,
New Delhi-110001.

Subject: Raising of bonus payment ceiling to Central Government employees.

Sir,

I am directed to refer to your L.No. NC-JCM-2015-S.C dated 11.1.2016 on the subject mentioned above and to say that the issue raised therein has been considered.

2. At the outset, till now there has not been a complete parity between Payment of Bonus Act, 1965 and the bonus for Central Government employees in regard to the two different ceilings, one relating to the calculation and the other relating to eligibility. While the calculation ceiling has been the same, the eligibility ceiling has been different and even the revised eligibility ceiling of Rs. 21,000 under the amended Payment of Bonus Act, 1965 is not higher than that in case of the Central Government employees where all non-gazetted employees are eligible for bonus. This being so, a complete parity for the purpose of calculation ceiling of Rs. 7000 p.m., that too, from 1.1.2014, is not justifiable.

3. Most importantly, the 7th Central Pay Commission, which has gone into the issue of bonus scheme in detail in respect of the Central Government employees, has felt that instead of bonus, there should be introduced the Performance related Pay (PRP) for all categories of Government employees and this PRP should subsume the existing bonus scheme.

The Commission has further recommended that since there would be a time log in implementing the PRP, the existing scheme should be reviewed and linked with increased profitability/productivity under the well-defined parameters. The recommendations of the Commission are separately being examined and an appropriate view would be taken as and when the Government decision on the recommendations of the 7th Central Pay Commission is known. Till such time, therefore, it may not be possible to revisit the issue of calculation ceiling in case of Central Government employees for the purpose of PLB/ad-hoc bonus.

4. This has the approval of the Finance Secretary

Source: Confederation

The post Central Government Rejected Demand for Raising of Bonus Ceiling appeared first on CENTRAL GOVERNMENT EMPLOYEES NEWS.

The post Raising of Bonus Payment Ceiling to the Central Government Employees – NC JCM Staff Side appeared first on CENTRAL GOVERNMENT EMPLOYEES NEWS.

The Payment of Bonus (Amendment) Bill, 2015 notified:Increase in the Eligibility Limit under clause (13) of Section 2 and Calculation Ceiling under Section 12 of the Payment of Bonus Act, 2015

The Payment of Bonus (Amendment) Bill, 2015 was passed by the Parliament in the just concluded Winter Session of the Parliament. The Payment of Bonus (Amendment) Act, 2015 has been published in the Gazette of India, Extraordinary on 1st January, 2016 as Act No. 6 of 2016. The provisions of the Payment of Bonus (Amendment) Act, 2015 shall be deemed to have come into force on the 1st day of April, 2014.

The Payment of Bonus (Amendment) Act, 2015 envisages enhancement of eligibility limit under section 2(13) from Rs.10,000/- per month to Rs.21,000/- per month and Calculation Ceiling under section 12 from Rs. 3500 to Rs.7000 or the minimum wage for the scheduled employment, as fixed by the appropriate Government, whichever is higher. The Payment of Bonus (Amendment) Act, 2015 also mandates previous publication of draft subordinate legislations, framed under the enabling provisions under the said Act, in the Official Gazette for inviting objections and suggestions before their final notification.

The Government has been receiving representations from trade unions for removal of all ceilings under the Payment of Bonus Act, 1965. It is also one of the demands made by them during the country-wide General Strike held in February, 2013 and September, 2015. As the last revision in these two ceilings were made in the year 2007 and was made effective from the 1st April, 2006, it was decided by the Government to make appropriate amendments to the Payment of Bonus Act, 1965.

These changes in the Payment of Bonus Act, 1965 will benefit thousands of work force.

PIB

The post Changes in the Payment of Bonus Act will benefit thousands of Central Government employees appeared first on CENTRAL GOVERNMENT EMPLOYEES NEWS.

The Gazette of India
EXTRAORDINARY
PART II — Section 1
PUBLISHED BY AUTHORITY

(i) for the words ‘‘three thousand and five hundred rupees’’ at both the places where they occur, the words ‘‘seven thousand rupees or the minimum wage for the scheduled employment, as fixed by the appropriate Government, whichever is higher’’ shall respectively be substituted;

(ii) the following Explanation shall be inserted at the end, namely:—

‘Explanation.—For the purposes of this section, the expression ‘‘scheduled employment’’ shall have the same meaning as assigned to it in clause (g) of section 2 of the Minimum Wages Act, 1948.’.

The post Payment of Bonus Act Amendment Gazette Notification appeared first on CENTRAL GOVERNMENT EMPLOYEES NEWS.

PAYMENT OF BONUS ACT, 1965 & AMENDMENTS THEREOF

• 
  Minimum bonus 8.33% of the salary/wage of an employee.
• Maximum bonus including productivity linked bonus shall not exceed 20% of the salary/wage of an employee.
• Previous amendment of 2007 was notified on 13 December 2007 and made effective from 1st April, 2006.
• Minimum bonus of 8.33% of (Rs. 3500/- X 12= Rs. 42,000/-) is approximately Rs. 3500/-.
• 20% of above referred Rs. 42,000/- is Rs. 8,400/-. However, the limit is given as Rs. 8,300/-.

Details of amendments to the Payment of Bonus Act, 1965:

a) The output for a year is reckoned by the equated net tonne kilometres by adding together:-

i) Total goods revenue net tonne kilometres.

ii) Non-suburban passenger kilometres converted by a factor of 0.076.

iii) Suburban passenger kilometres converted by a factor of 0.053.

b) The input is taken as the non-gazetted staff strength (excluding
RPF/RPSF personnel), increased by the incremental increase/decrease in
capital (over average of last three years) during the year.

C) Highest PLB amount of 78 days’ wages was paid for the financial years 2010-11, 2011-12, 2012-13, 2013-14 and 2014-15.

d) The wage calculation ceiling prescribed for payment of PLB to the
eligible non-gazetted railway employees is 3500/- p.m. The maximum
amount payable per eligible railway employee is Rs. 8975 for 78 days.

• Amount paid as bonus never shown meaningful increase over last 15 years.
• Only between 2006-07 and 2007-08 there was a visible increase in bonus amount.
• If bonus is linked with inflation at the rate of average 12% per
  year from 2001-02, it should have become Rs.24000 now, even without
  considering any productivity improvement.
• 
  Bill passed in Lokshaba is a very late action taken by the Government.
• Railways should not try to put any rider on this very late action.

Source: IRTSA

The post Payment of Bonus Act & PLB to Railway Employees – A Brief Note By KV Ramesh appeared first on CENTRAL GOVERNMENT EMPLOYEES NEWS.