Comrades,

Today none of the 7th CPC related demands of Central Government Employees are settled. The assurance given by the Group of Ministers to the NJCA leaders regarding increase in Minimum Pay and Fitment formula is in paper even after a lapse of 20 months. Now the Finance Minister has replied in Parliament that “no change in Minimum Pay and Fitment formula is at present under consideration”.

To avert the 11th July CG employees strike the Hon’ble Prime Minster had instructed the group of Hon’ble Ministers including Shri Rajnath Singhji, Hon’ble Home Minister, Shri Suresh Prabhuji , Hon’ble Railway Minister and Shri Arun Jaitelyji , Hon’ble Finance Minister to hold discussions with the Staff Side (JCM) on 30th June 2016 and the Shri Arun Jaitelyji , Hon’ble Finance Minister had published a written assurances in the Government website on 6th July 2016 leading to deferment of the strike .

Pay Commission Objective: It is the endeavour of every pay commission to ensure that the pay and allowances of employees should be ‘fair and reasonable’. The pay structure should also motivate the employees to reasonable levels of performance in the tasks assigned to them, so that the general public derive the benefit of their service as intended.

Our demand of revision of Minimum Pay and Fitment formula is quite justified.

Comparison of earlier wage hike we can observe that the fitment factor of 2.57 times is the lowest comparing to other pay commissions. If we make a study of earlier pay commission.

Comparative picture of pay of Central Government and State Government in regards to minimum wage as on 1.7.2017

Many of the State Governments are following the Central Government pay scales, but a few state Governments have improved upon the Central Government pay scales. The examples are as under:

The financial position of the Central Government is very good. Even the GDP (Gross Domestic Product) has shown increase in last few years which is around 7% , the Indian economy is fastest growing and placed 7th in the world ( which is at 2,250.987 billions of $ ), comparing to wages paid in the world our wages are at lower level. The Government fiscal budget deficit equal to 3.50 percent of the country’s Gross Domestic Product in 2016. Compared to 2008 where the fiscal deficit was at 7.8%, but today the fiscal deficit is contained at 3.5%. This is also a healthy sign of the economic status of the Central Government financial status, the budget fiscal deficit is always below 4%.

Direct tax collections in 2017-18 at Rs 9.95 lakh crore, exceeded the revised budgetary target of Rs 9.8 lakh crore. Also, 6.84 crore income tax returns filed in the year against 5.43 crore in the previous year signalling a rise of 26% . A net of 99.5 lakh new assesses were added to the tax net.

Net collection from corporate tax went up 17.1 per cent while that from personal income tax rose 18.9%.

The revenue collection from Goods and Services Tax (GST) exceeded Rs 1 lakh crore in April 2018, GST revenue collected in April 2018 came at Rs 1,03,458 crore.

With the improved economic climate, introduction of e-way bill and improved GST compliance, GST collections would continue to show a positive trend.

The wage bill of the Central Government on in its employees is less than 10% or 3.4% of the GDP, which is less compared to various countries world wide .

Vacancy of the Central Government is about 15% , more than 4 lakhs vacancies are existing in the Central Government the work load is being carried out by the existing employees. The Government being a model employer should pay for its employees and motivate them to work more for implementation of its policies.

Hence due to the improved revenue earning of the Central Government, as assured to the staff side JCM by the Group of Ministers in respect of increase of Minimum Pay and Fitment formula, the Central Government should increase the Minimum Pay and Fitment formula.

Source: COC Karnataka

The post Central Government should increase Minimum Pay and Fitment formula – Karnataka COC appeared first on CENTRAL GOVERNMENT EMPLOYEES NEWS.

NJCA

Ref: Confdn/Genl/2016-19

Dated: 14.03.2018

To
1. Shri M. Raghavaiyya
Chairman,
National Joint Council of Action of JCM (NC) Staff Side organisations (NJCA) & General Secretary
National Federation of Indian Railwaymen
Leader Staff side NC (JCM)
3, Chelmsford Road, New Delhi – 110055

2. Shri Shiv Gopal Misra
Convenor, NJCA & General Secretary
All India Railwaymen’s Federation (AIRF) & Secretary, Staff side,
National Council (Staff Side) JCM
13- C, Ferozeshah Road, New Delhi – 110001

Dear Comrade,
As you may be aware the Govt. of India, Ministry of Finance, has given the following written reply in Parliament for a question asked to Minister of Finance, regarding our demand – “Increase in Minimum Pay and Fitment Formula”.

Reply given by Minister of state for Finance:

“The minimum pay of Rs.18000/- p.m. and fitment factor of 2.57 are based on the specific recommendations of the 7th Central Pay Commission in the light of the relevant factors taken into account by it. Therefore, no change therein is at present under consideration”.

From the above it is crystal clear that Govt. has gone back from the assurance given on 30.06.2016 by Group of Ministers including Sri Rajnath Singh, Home Minister, Shri Arun Jaitley, Finance Minister and Shri Suresh Prabhan, then Railway Minister, that Minimum Pay and Fitment formula will be increased and for that purpose a High Level Committee will be appointed to submit report within four months.

Now that Govt. has gone back from its assurance, I on behalf of Confederation of Central Govt. Employees & Workers, which is a constituent organisation of NJCA, request you revive our deferred agitational programmes immediately and for that purpose, if necessary, an urgent meeting of the NJCA may be convened.

Awaiting response,

Yours fraternally,

(M. Krishnan)
Secretary General
Mob: 0944768125
Email: mkrishnan6854@gmail.com

Source: Confederation

The post 7th CPC Minimum Pay and Fitment Factor: Confederation writes to NJCA appeared first on CENTRAL GOVERNMENT EMPLOYEES NEWS.

INCREASE IN MINIMUM PAY AND FITMENT FACTOR

GOVERNMENT OF INDIA
MINISTRY OF FINANCE
RAJYA SABHA
UNSTARRED QUESTION NO-1170

ANSWERED ON-06.03.2018

Increase in minimum pay and fitment factor

1170 . Shri Neeraj Shekhar

(a) whether Government is actively contemplating to increase minimum pay from Rs.18,000/- to Rs.21,000/- and fitment factor from 2.57 to 3, in view of resentment among Central Government employees over historically lowest increase in pay by 7th Central Pay Commission (CPC);

(b) if so, the details thereof and the date from which it would be implemented; and

(c ) if not, the reasons for the callous attitude of Government towards Government Employees?

ANSWER
MINISTER OF STATE FOR FINANCE ( SHRI P RADHAKRISHNAN )

(a), (b) & (c ): The minimum pay of Rs.18,000/- p.m. and fitment factor of 2.57 are based on the specific recommendations of the 7th Central Pay Commission in the light of the relevant factors taken into account by it. Therefore, no change therein is at present under consideration.

Source: http://rajyasabha.nic.in/

The post Increase in 7th CPC Minimum Pay and Fitment Factor – Rajya Sabha Q&A appeared first on CENTRAL GOVERNMENT EMPLOYEES NEWS.

National Council Staff Side Secretary writes to Finance Ministry regarding the exemption of Transport Allowance and Medical Reimbursement from Income Tax

Shiva Gopal Mishra
Secretary

Ph: 23382286
National Council (Staff Side)
Joint Consultation, Machinery
For Central Government Employees
13-C, Ferozshah Road, New Delhi – 110001
E.Mail : nc.jcm.np@gmail.com

No.NC/JCM/2018

Dated: February 2, 2018

Hon’ble Finance Minister,
Ministry of Finance,
(Government of India),
North Block,
New Delhi

Respected Sir,

Sub: General Budget 2018-19

We hope that, standard deduction, up to Rs.40,000 in the Budget (2018-19) announcement, was provided to give some relief to the salaried class, but at the same time, there is serious resentment in the salaried class in general and the Central Government Employees in particular because of non-enhancement of limit of the Income Tax.

We were hopeful that, in this budget, the Central Government would provide Income Tax exemption, if not Rupees Five Lakh, definitely Four Lakh, but nothing has been done, which has resulted in desperation in the Government Employees. Moreover, Education Cess has been increased from 3% to 4%, which will further put additional tax burden on the salaried class. In such a situation standard deduction given by the government will definitely not going to help to any salaried employees.

Not only the above, Transport Allowance and Medical Reimbursement, used to exempt earlier, have also been stopped in this budget, has given another blow to the salaried class.

Since there is all-round resentment in the salaried class, it would be in all appropriateness if the Income Tax Exemption is enhanced to minimum Rupees Four Lakh.

Sir, Government Employees are also very eagerly awaiting for improvement in the Minimum Wage and Fitment Formula as well as announcement of the Guaranteed Pension to the employees covered under the National Pension System(NPS). These also need to be given top priority to keep industrial peace among the Government Employees.

It is also requested that, Transport Allowance and Medical Reimbursement, almost exempted from the Income Tax, should also remain exempted from the Income Tax, to give some relief to the government employees in distress.

With Kind Regards

Sincerely yours
sd/-
(Shiva Gopal Mishra)
Secretary(Staff Side)
National Council(JCM)

Source: NCJCM

The post Exemption of Transport Allowance and Medical Reimbursement from Income Tax – NC JCM Staff Side appeared first on CENTRAL GOVERNMENT EMPLOYEES NEWS.

“Index of rationalization (IOR) of level 12A & 13 of the Defence Pay Matrix has been enhanced from 2.57 to 2.67 for the entry level Pay…”

Message Regarding 7 CPC

1. “GoI, MoD has extended sanction of Operation Rhino for a further period of 3 months with effect from 15/06/2017 to 14/09/2017 or till the termination of Op Rhino whichever is earlier”. Units may publish Part II orders accordingly.

2. “Govt orders have been received vide SRO No 17(E) dated 06/07/2017 notified in Gazette of India No 14 dated 07/07/2017 and acted upon in Aug 2017. As per the orders, index of rationalization (IOR) of level 12A & 13 of the Defence Pay Matrix has been enhanced from 2.57 to 2.67 for the entry level Pay but the multiplication factor is retained as 2.57. In some cases pay fixed on 01/01/2016 as per revised Pay matrix would be less than that fixed earlier as per SRO 12(E) dated 03/05/2017, leading to recovery in August 2017 pay account. A few examples are cited at Annexure “A”.

Source: https://pcdaopune.gov.in/

The post Defence Pay Matrix enhanced from 2.57 to 2.67 for level 12A & 13 appeared first on CENTRAL GOVERNMENT EMPLOYEES NEWS.

Shiva Gopal Mishra
Secretary

National council (staff Side)
Joint Consulative Machinery for
Central Government Employees
13-C, Ferozshah Road, New Delhi-110001
E-Mail : nc.jcm.np@gmail.com

No.NC/JCM/2017

Dated: October 24, 2017

All Constituents of National Council(JCM)

Sub: Brief of the meeting held today with the Cabinet Secretary (Government of India)

Today I met the Cabinet Secretary(Government of India) and shown oru anguish for inordinate delay in finalzation of demands of the Central Government Employees, particularly National Pension System (NPS), Minimum Wage and Fitment Formula.

The Cabinet Secretary said that, he is aware of the problems of the Staff Side(JCM) raised by them from time to time and particularly to this issue and will definitely try to resolve them

Particularly on the issue of National Pension System(NPS) he said that the issue active consideration of the Government of India and we are trying to find out some solution to the problems arisen because of the NPS.

I also persuaded him to fix-up date of the meeting of the National Council(JCM), to which he said that, the agenda came, and some queries have been raised, which are still to be compiled by the DoP&T. He assured that, he will definitely fix-up the date of the meeting within a short period, and said that, before that, he will ask the Secretary(DoP&T) to hold meeting with the Staff Side.

I told to the Cabinet Secretary that, Central Government Employees are agitated because they feel that VII CPC has not done and justice with them and government is also ready to remove the issues pending before them.

This is for your information.

with Faternal Greetings!

Comradely yours,
sd/-
(Shiva Gopal Mishra)
Secretary(Staff Side)

Source: Confederation

The post Brief of the meeting held today with the Cabinet Secretary (Government of India) appeared first on CENTRAL GOVERNMENT EMPLOYEES NEWS.

Minimum wage and fitment formula hike issues

There are various reports in the news media, print media & social media regarding the hike in the minimum wage of Central Government employees from the existing Rs 18,000/-  to Rs 21,000/- and fitment formula from 2.57 to 3.00, which shall be implemented from 1st January 2018. The same shall be announced in the National Anomaly Committee due on 9th of October.

Comrades,

We cannot confirm this news, comrades we should concentrate on struggle path as the Confederation has given the series of programs , I hope the Government will implement the hike in minimum wage for CG employees and revise the fitment formula also from the existing 2.57 to 3.00 even though the Staff side JCM has demanded Rs 26,000/ as minimum wage and fitment formula of 3.56 , this hike should be from 1/1/2016 not 1/1/2018 as per media reports.

In fact the Central Government has to take the political decisions on the wage hike , in fact the group of ministers of the Central Government have agreed to raise the minimum wage for CG employees on 30th June 2016 . I hope the commitment of the union minsters shall be honoured now.

Secondly the economy of the country which was going very well during past three years has showed down ward trend in last one year as the GDP which was at 9.1 in 2015-16 has reduced to 5.7 in 2017-18 .The economic activity has to take place, it is also observed during the past one year, in spite of economic recessions, the Government revenue collection has increased considerably. To improve the economic activity of the country and increase the GDP the Central Government should spend its funds which is available with them .

If the Central Government increases the minimum wage and fitment formula for its employees, the Central Government employees gets back 40% of the wage increase through the Income Tax and GST . So hardly a Government servant is left out with 60% wage hike , here also he spends the amount credited to him , as such an economic activity is induced in the public which will help to create more demand and employment activity.

I hope the Central Government takes a political decisions on increase of minimum wage hike and fitment formula for more than one crore employees which will also benefit the public and the CG employees.

Issued by COC Karnataka

The post 7th CPC Minimum wage and fitment formula hike issues – CoC Karnataka appeared first on CENTRAL GOVERNMENT EMPLOYEES NEWS.

Secretary Staff Side writes to Home Minister for early redressal of Minimum pay and Fitment factor issues

Shiva Gopal Mishra
Secretary

Ph.: 23382286
National Council (Staff Side)
Joint Consultative Machinery
Central Government Employees
13-C, Ferozshah Road, New Delhi – 110001
E Mail : nc.jcm.np@gmail.com

No.NC/JCM/7th CPC/2016

Dated: 26th July 2016

Shri Rajnath Singh,
Hon’ble Minister for Home Affairs,
(Government of India)

North Block,
Central Secretariat,
New Delhi-110 001

Respected Sir,

We solicit your kind attention towards the discussion we had with your goodself on 30.06.2016, wherein Hon’ble Finance Minister, Shri Arun Jaitley, Hon’ble Minister for Railways, Shri Suresh Prabhakar Prabhu, and Hon’ble Minister of State for Railways, Shri Manoj Sinha, were also present.

In the background of issuance of the Notification by the Government of India today (26.07.2016) to give effect to the recommendations of the 7th CPC as per 29th June, 2016 Cabinet decision, we request you to expedite action for setting up the proposed “High Level Committee” to review Minimum Wage and Fitment Multiplication Factor as was promised in the 30th June, 2016 meeting, which paved way for deferment of “Indefinite strike” which was commenced to be held from 11th July 2016.

We shall be grateful, if necessary orders are issued for setting up the said committee without further delay.

With Kind Regards!

Comradely yours,
sd/-
(Shiva Gopal Mishra)
Secreary(Staff Side) NC/JCM & Convener

Source: NC JCM Staff Side

The post NC JCM insists to setting up High Level Committee to review Minimum Wage and Fitment Multiplication Factor appeared first on CENTRAL GOVERNMENT EMPLOYEES NEWS.

7th CENTRAL PAY COMMISSION

REPLY OF THE FINANCE MINISTER IN RAJYA SABHA

Dear Comrades,

We are reproducing below the reply given by the Hon’ble Finance Minister Shri Arun Jaitley in the Rajya Sabha on 19-07-2016 

The Finance Minister has made it clear that “the government is responsive to the concerns of the Employees’ Associations and it would be the endeavor of the Government to ensure that the eventuality of a strike does not arise.”

Regarding increasing of the multiplication factor, the Finance Minister replied that:

“no such proposal is under consideration of the Government, at present’

The assurance given to the NJCA leaders by the Group of Ministers (including Finance Minister) on 30-06-2016 is that enhancement in minimum pay and fitment factor (multiplication factor) will be considered favourably by the Government, once the proposal in this regard is submitted to Government by the proposed “High Level Committee” within four months. Hence, the matter will come for the “consideration” of the Govt. only after submission of the report by the High Level Committee.

In that sense, technically, the reply of the Finance Minister that “at present” there is no such proposal under consideration of the Government, may not be taken in a different manner and we need not jump into the conclusion that multiplication factor will not be increased.

However, giving due importance to the concerns expressed by many of our comrades and grass-root level leaders, the NJCA will discuss this issue shortly and take appropriate decision. NJCA is keenly observing the move of the Govt. and any going back from the assurances given by the Group of Ministers or any betrayal of 33 lakhs Central Govt. Employees and 40 lakhs pensioners by the NDA Govt., shall result in revival of the deferred strike by the NJCA and Government will be solely responsible for all consequences.

M.KRISHNAN
Secretary General
Confederation

Source: Confederation

The post We need not jump into the conclusion that multiplication factor will not be increased – Confederation appeared first on CENTRAL GOVERNMENT EMPLOYEES NEWS.

The demand to increase the 2.57 Fitment Factor along with the hike of 14.29 percent is growing among the Central Government Employees

The 900-page long report of the 7th Pay Commission was submitted to the government on November 19. One of the most important recommendation on the report is the Fitment Factor. It is the most important factor deciding the hike of salaries of the Central Government employees.

Fitment Factor is used to calculate the revised basic pay of existing employees with effect from the implementation of 7th CPC. The new revised basic pay of a Central Government employee is calculated by multiplying his/her current (Pre-revised) basic pay with the Fitment Factor.

The 7th Pay Commission has recommended a uniform Fitment Factor of 2.57 for all. The actual raise/fitment recommended by the Commission is 14.29 percent only. The report says that the fitment includes a factor of 2.25 on account of DA neutralisation, assuming that the rate of D.A. would be 125 percent at the time of implementation of the new pay.

The 7th Pay Commission has evolved a new pay fitment table by merging the existing Grade Pay and Pay Bands for all group of Central Government employees, which is called as Pay Matrix Table. The Pay Matrix comprises two dimensions. It has a “horizontal range” in which each level corresponds to a ‘functional role in the hierarchy’ and has been assigned the numbers 1, 2, 3, and so on till 18. The “vertical range” for each level denotes ‘pay progression’ within that level. These indicate the steps of annual financial progression of three percent within each level. The starting point of the matrix is the minimum pay which has been arrived based on 15th Indian Labour Congress (ILC) norms or the Aykroyd formula.

On recruitment, an employee joins at a particular level and progresses within the level as per the vertical range. The movement is usually on an annual basis, based on annual increments till the time of their next promotion. When the employee receives a promotion or a non-functional financial upgrade, he/she progresses one level ahead on the horizontal range.

The Pay Matrix chart has included a number of Fitment Factors. 6 types of Fitment Factor, including 2.57, 2.62, 2.67, 2.72, 2.78, and 2.81, have been listed. Under the heading of ‘Index,’ all the Central Government employees have been divided into 18 categories. Since different Fitment Factors have been used for all these categories, it leads one to believe that the new factor will apply for the existing employees too.

Criticism has come from all the circles over the addition of a mere 14.29%, leading to 2.57, while the employees were currently drawing a dearness allowance of 125% of their basic pay. The minimum wages have been decided on this criterion alone (the 6th Pay Commission had fixed the minimum wages as Rs.7000. The 7th CPC minimum wages of 18,000 has been arrived at by multiplying the previous number by 2.57).

One might remember that similar requests were presented at the time of the 6th Pay Commission too. The commission had recommended the Fitment Factor of 1.74, but, due to constant pressure from the NC JCM Staff Side members, it was increased to 1.86. The demand to increase the 2.57 Fitment Factor along with the 14.29 percent hike is growing among the Central Government employees.

Source: 7thpaycommissionnews.in

The post Demand of Central Government Employees to increase the Fitment Factor recommended by 7th CPC appeared first on CENTRAL GOVERNMENT EMPLOYEES NEWS.