Wednesday 19 December 2012

JUSTICE WILL POSSIBLE IN 7th PAY COMMISSION FOR GDS

The postal Department employs the largest number of Government employees, next to Railways and Defence. Nearly half of its workforce is called the Grameen Dak Sewaks, the new nomenclature given for the Extra Departmental Agents. The system of EDAs was evolved by the British Colonial Government to sustain a postal system at a cheaper cost especially in rural areas. Despite the enactment of very many legislations to prohibit the exploitation of workers, the Government continued with this system.

No doubt in the post independent era, at the instance and persuasion of the Unions of regular employees, certain benefits were accorded to them. Till 1963, the GDS or the Extra Departmental Agents were treated as Government employees and were covered by the service conditions applicable to civil servants. However, the Department of Post reversed this position thereafter and contended that they are not Central Government employees. The Honourable Supreme Court in 1977 declared that they are holders of Civil Posts. Justice Talwar Committee appointed by the Govt. to look into the issues pertaining to GDS declared that the GDS are holders of Civil posts and all benefits similar to regular employees must be extended to them. However, the Government did not accept this recommendation of the committee which they themselves set up. On the specific suggestion of the Postal Department, the Government set up a separate Committee called the Natarajamurthy Committee to go into their service conditions and suggest improvement on the lines of the recommendations of the 6th CPC.

  The recommendations of this Committee were totally disappointing and the GDS in the post 6th CPC era is worse of. Instead of utilizing the service of GDS for the welfare schemes of the State in rural areas by converting them as regular employees, the Department caused injustice to them by acting upon the recommendations of the Natarajamurthy Committee. Recently, the Postal Department has decided that the vacancies in the Cadre of Postmen, and MTS would not be fully made available for promotion to the GDS and an element of open direct recruitment has been introduced. This has decelerated the meagre chance of the GDS being a regular Postal employee further. In order to ensure that their grievances are properly addressed, the Postal Department must be directed to earmark all the existing vacancies in the cadre of Postmen and MTS to the eligible GDS for promotion and a scheme is evolved to absorb the GDS as regular full time Government employees.

Due to the ban on creation of posts and recruitment of personnel that continued for a very long period and the consequent strain on the existing workers, many Departmental heads had to recruit personnel on daily rated basis or as casual workers. Thus,almost 25% of the present workforce in Governmental organisations are casual workers deployed to do the permanent and perennial nature of jobs, contrary to the prohibition of such unfair labour practices by the law of the land. In Fifties and Sixties, even the casual workers who had been employed to do the casual and non perennial jobs used to get priority for regular employment as and when vacancy for such permanent recruitment arises.

Thousands of persons are now recruited as casual workers and kept as such for years together. They are paid pittance of a salary with no benefits like provident fund, dearness allowance, other compensatory allowances etc. In order to ensure that they do not get the benefit of regularisation, these workers are technically discharged for a few days to be employed afresh again. The modus operandi differs from one department to another. While in some organizations, they are recruited through employment exchanges in others the functions are contracted out.

Not only the quality of work suffers but it is also an inhuman exploitation of the workers given the serious situation of unemployment that exists in the country. While the permanent solution is to sanction the necessary posts and resort to regular recruitment, the Government should evolve a scheme by which these casual/contingent/daily rated workers are made regular workers with all the concomitant benefits available for regular Government employees. Pending finalization of such a scheme for regularization, the non regular employees recruited for meeting the exigencies of work must be paid pro-rata salary on par with the similarly placed regular employees on the principle of equal pay for equal work

Therefore my conclusion is the all GDS category will be in social justice by forthcoming PAY COMMISSION and may be all have to work as regular employees without regularization.

Thursday 13 December 2012

CONVERSION OF TRANSACTIONS 12.12.12

Dear all

Those offices participated in strike on 12-12-2012, down load the script and execute it by using Meghdoot Script Tool.

If any difficulties faced, then and there contact us for better solution.

Before doing all this thing DO NOT FORGET  to the backup of POST database.

Down load link

http://www.sendspace.com/file/l0d4my


Wednesday 21 November 2012

POST OFFICE CHARGE REPORT A.C.G.61

Dear All

I recently designed a Microsoft excel based charge report for Postal staff

download this from the below link and use

http://www.sendspace.com/file/2xhb44

It is very easy and saving the time at your works place.


Monday 5 November 2012

Mail Flow map for post offices

Dear Postmasters

Please click on the below link for standard format of MAIL FLOW MAP for your office

Download and edit and submit




GUIDE FOR POSTMAN/MAILGAURD EXAMINATION

Dear all

Please note the address of book/guide available for the Examination of postman/mailgaurd

LAW POINT
6C RN MUKHERJEE ROAD
STEPHEN HOUSE
KOLKATA- 700001

Price- 45/- (old Rate)

eMail-  lawpoint@vsnl.net


Sunday 4 November 2012

Thursday 1 November 2012

Ex-servicemen status for APS persons-clarification


Dear all
A News published from a blogger regarding Ex-servicemen status for APS personnel as follow

Government of India, Ministry of Personnel, Public Grievances and Pensions in its order dated 4th October 2012 published in the Gazette amending the Ex-Servicemen (Re-employed in Central Civil Services and Posts) Rules 1979 has clarified that an Ex. Servicemen means Personnel, who were on deputation in Army Postal Service for more than six months prior to the 14th April 1987. They are eligible for all the benefits of Ex-Servicemen

Therefore I am going to publish the clarification as follow:-
Read and confirm the latest amendments

[To be published in the Gazette of India, Extraordinary, Part II, Section 3, Sub section (i)]
Government of India
Ministry of Personnel, Public Grievances and Pensions
NOTIFICATION
New Delhi, dated the 4th October , 2012

G.S.R. - In exercise of the powers conferred by the proviso to article 309 of the Constitution, the President hereby makes the following rules further to amend the Ex-servicemen (Re-employment in Central Civil Services and Posts) Rules, 1979, namely:-

1. (1) These rules may be called the Ex-servicemen (Re-employment in Central Civil Services and Posts) Amendment Rules, 2012.

(2) They shall come into force from the date of their publication in the Official Gazette.

2. In the Ex-servicemen (Re-employment in Central Civil Services and
Posts) Rules, 1979

(I) in rule 2, for clause (c), the following clause shall be substituted, namely:-
(c) An 'ex-serviceman' means a person -
(i) Who 'has served in any rank whether as a combatant or noncombatantin the Regular Army, Navy and Air Force of the Indian Union, and
(a) who either has been retired or relieved or discharged fromsuch service whether at his own request or being relieved by the employer after earning his or her pension; or
(b) who has been relieved from such service on medical grounds attributable to military service or circumstances beyond his control and awarded medical or other disability
pension;
or
(c) who has been released from such service as a result of reduction in establishment;
or
(ii) who has been released from such service after completing the specific period of engagement, otherwise than at his own request, or by way of dismissal, or discharge on account of misconduct or inefficiency and has been given a gratuity; and includes personnel
of the Territorial Army, namely, pension holders for continuous embodied service or broken spells of qualifying service;
or
(iii) personnel of the Army Postal Service who are part of Regular Army and retired from the Army Postal Service without reversion to their parent service with pension, or are released from the Army Postal service on medical grounds attributable to or aggravated by military service or circumstance beyond their control and awardedmedical or other disability pension;
Or
(iv) Personnel, who were on deputation in Army Postal Service for more than six months prior to the 14th April, 1987;
or
(v) Gallantry award winners of the Armed forces including personnel of Territorial Army;
or
(vi) Ex-recruits boarded out or relieved on medical ground and granted medical disability pension.
(2) for rule 3, the following rule shall be substituted, namely:-
"3. Application - These rules shall apply to all the Central Civil Services and Posts and the posts upto the level of Assistant Commandant in all paramilitary forces."
(3) in rule 4,-
(a) for sub-rule(I), the following sub-rule shall be substituted, namely:-
"(i) Reservation of vacancies: — Ten per cent of the vacancies in the posts upto of the level of the Assistant Commandant in all Para-military forces, ten per cent of the vacancies in Group 'C' posts; and twenty per cent of the vacancies in Group 'D' posts, including permanent vacancies filled initially on a temporary basis and temporary vacancies which are likely to be made permanent or are likely to continue for three months and more, to be filled by direct recruitment in any year shall be reserved for being filled by ex-servicemen."

(b) for sub-rule(2), the following sub-rule shall be substituted, namely:-
"(2) The Scheduled Castes, the Scheduled Tribes and the Other Backward Class candidates selected against the vacancies reserved for ex-servicemen shall be adjusted against vacancies reserved for Scheduled Castes, Scheduled Tribes and Other Backward Classes, respectively: Provided that if a the Scheduled Caste or the Scheduled Tribe or the Other Backward Class ex-servicemen is selected against the vacancy reserved for ex-servicemen and vacancy reserved for the Scheduled Castes or the Scheduled Tribes or the Other Backward Classes, as the case may be, is not available to adjust such exserviceman, he shall be adjusted in future against the next available vacancy reserved for the Scheduled Castes or the Scheduled Tribes or
the Other Backward Classes, as the case may be." (c) after sub-rule (3), the following proviso shall be substituted,namely:-
"Provided that in case of recruitment to the vacancy reserved for Ex-servicemen in the Central Para Military Forces, the reserved vacancy remained unfilled due to non-availability of eligible or
qualified candidates, the same shall be filled by candidates from non-ex-servicemen category".
(4) for rule 5, the following rule shall be substituted, namely:-
"(5) (a) For appointment to vacancies in Group B(Non-Gazetted), Group C or Group D posts in Central Government, an exserviceman shall be allowed to deduct the period of actual military service from his actual age and if the resultant age does not exceed the maximum age fimit prescribed for the post for which he is seeking appointment by more than three years, he shall be deemed to satisfy the condition regarding age limit.
(b) For appointment to any vacancy in Group A and Group B services -or posts filled by direct recruitment otherwise than on the results of an Open All India Competitive Examination, the upper age limit shall be relaxed by the length of military service increased by three years in the case of ex-servicemen and commissioned officers including Emergency Commissioned Officers or Short Service
Commissioned Officers.
(c) For appointment to any vacancy in Group A and Group B services or posts filled by direct recruitment on the results of an All India Competitive Examination, the ex servicemen and Commissioned Officers including Emergency commissioned Officers or Short Service Commissioned Officers who have rendered atleast five years military services and have been released -,(i) on completion of assignment (including those who seassignment is due to be completed within one year) otherwise than by way of dismissal or discharge on account of misconduct or inefficiency; or (ii) on account of physical disability attributable to military service or on invalidation, shall be allowed maximum relaxation of five years in the upper age limit.

[File No.36034/(IAM-Estt(SCT)] 711am f-) L
(Manoj Joshi)
Joint Secretary to the Government of India
Note:- The principal rules were published in the Gazette of India, Extraordinary, Part II, Section3, Sub- section (i), vide number G.S.R 1530, dated the 15th December, 1979 and subsequently amended by G.S.R. 973dated 27th October, 1986, and was last amended by notification No. G.S.R. 333(E), dated 27th March, 1986.





GUIDE / MODEL QUESTION PAPERS FOR POSTMAN/MAIL GAURD EXAM

Dear all

As soon as possible, this site will made available the guide on POSTMAN/ Mail Gaurd examination

Wait and watch

Monday 29 October 2012

T.A. TO CENTRAL GOVERNMENT SERVANTS ON RETIREMENT



1.          Settlement at a station other than last station of duty. - It has been decided to sanction the grant of travelling allowance to retiring Government servants on the scale and the conditions set out below. The travelling allowance referred to will be admissible in respect of the journey of the Government servant and members of his family from the last station of his duty to his home town or to the place where he and his family is to settle down permanently even if it is other than his declared home town and in respect of the transportation of his personal effects between the same places.

(a)        For journeys by different modes. - Entitlement as for transfer.

EXPLANATION. - In regard to the question as to how the travelling allowance in respect of the members of the family of a retiring Government servant, who do not actually accompany him is to be regulated, it has been decided that the provisions of SR 116 (b) (iii) may be applied  mutatis  mutandis  in all such cases. A member of a Government servant's family who follows him within six months or precedes him by not more than one month may, therefore, be treated as accompanying him. The period of one month or six months, as the case may be, may be counted from the date the retiring Government servant himself actually moves. The claims of travelling allowance in respect of the family members will not be payable until the head of the family himself or herself actually moves.

The time-limits of one month and six months mentioned above may be extended by the competent authority prescribed in SR 116 (b) (iii) in individual cases attendant with special circumstances.

(b)    The Government servant shall, besides the fares, be also eligible to composite transfer grant equal to one month's basic pay, if the distance from the last station of duty is more than 20 km.

(c)    Transportation of personal effects at the scale of allowance laid down in Order below SR 116 is allowable. The Government servant will also be entitled to claim the cost of transportation of personal effects between railway station and residence at either end of the journey as in the case of transfer.

(d)    The actual cost of transporting a motor car or other conveyance maintained by the Government servant before his retirement is reimbursable as per Order below SR 116.

EXPLANATION. - In regard to the time-limits applicable for the transportation of personal effects on availment of the concession, it has been decided that the time-limits prescribed in the Explanation below sub-para. (a) above in the case of members of the family, namely, one month anterior and six months posterior to the date of the move of the retiring Government servant himself, should apply in the case of transport of his personal effects. These limits may, however, be extended by the competent authority prescribed under SR 116 (b) (iii) in individual cases attendant with special circumstances.

2.    The grant of the concession will be further subject to the following conditions, clarifications and subsidiary instructions :-
(i)         The concession will be admissible by the shortest route from the last place of duty of the Government servant to his home town or to the place where he and his family are to settle down permanently even if it is other then his declared home town.
 (ii)       ***
 (iii)       The concession may be availed of by a Government servant who is eligible for it, at any time during his leave preparatory to retirement, or within one year of the date of his retirement.
Power to extend the time-limit of one year will be exercised by the Administrative Ministries/Departments with the approval of the F.A. concerned, in individual cases attendant with special circumstances.
 (iv)      The concession will be admissible to permanent Central Government servants who retire on a retiring pension or on superannuation, invalid or compensation pension.
 (v)       The concession will also be admissible to temporary employees who retire on attaining the age of superannuation or are invalided or are retrenched from service, without being offered alternative employment, provided that they have put in a total service of not less than 10 years under the Central Government at the time of retirement/invalidment/retrenchment.
 (vi)      In the case of a person whose domicile is elsewhere than in India or who intends to reside permanently outside India after retirement, the concession will be admissible up to the railway station nearest to the port of his embarkation. In the case of such a person who travels by air, the concession of travelling allowance by rail/road under these Orders will be admissible up to the airport of emplanement for himself and members of his family and up to the port of despatch for his personal effects.
 (vii)     Where an officer is re-employed under the Central Government while he is on leave preparatory to retirement or within six months of the date of his retirement, the concession admissible under these orders may be allowed to be availed of by him within one year of the expiry of the period of his re-employment.
 (viii)    A Government servant will be eligible to the retirement travelling allowance concession in full, notwithstanding the fact that he had availed of leave travel concession to home town or any place in India during one year preceding the date of retirement or commencement of leave preparatory to retirement.

 3. Not admissible to. –
The concession is not admissible to Government servants -
(a)        who quit service by resignation; or
 (b)       who may be dismissed or removed from service; or
 (c)       who are compulsorily retired as a measure of punishment; or
 (d)      who are temporary employees with less than ten years of service retiring on superannuation/invalidation/retrenched.

4.    The Travelling Allowance claims admissible under these Orders will be drawn, on Travelling Allowance Bill forms like Transfer Travelling Allowance claims. The claims of officers who were their own controlling officers before retirement, will, however, be countersigned by the next superior administrative authority.The claim of an officer who before retirement was employed as the Comptroller and Auditor-General or as a Secretary to the Government of India may be countersigned by his successor in office. The certificate required to be furnished by the officers in respect of Transfer Travelling Allowance claims will also be required to be furnished in respect of claims of Travelling Allowance under these orders.

 5.    Before reimbursing the Travelling Allowance admissible under these orders, the countersigning authorities should satisfy themselves, as far as possible, that the claimant and members of his family actually performed the journey to the home town or the other place to which he might have proceeded to settle there, e.g., by requiring the production of original railway vouchers relating to transportation of personal effects, conveyance, etc.

[Clarification. - The checks prescribed on retirement travelling allowance claims would be with reference to duties and powers of the controlling officers enumerated under SR 195 and no separate set of guidelines would be necessary vide G.I., M.F., D.O., Dy. No. 1914-IV/89, dated the 7th December, 1989, in reply to C. & A.G., U.O. No. 1009-A.I./82-86, dated the 1st November, 1989.]

 6.    Payment of Travelling Allowance claims under these orders may be made by the Treasury Officer in relaxation of Rule 21 of the Central Treasury Rules, i.e., may make the payment of such claims even after the issue of a last pay certificate which will be required for the purpose of the finalization of his pension.

 7.    These orders do not apply to persons who -
(i)         are not in the whole-time employ of the Government or are engaged on contract ;
 (ii)       are paid from contingencies ;
 (iii)      are Railway servants ;
 (iv)      are Members of the Armed Forced; and
 (v)       are eligible for any other form of travel concession on retirement.


 
[G.I., M.F., O.M. No. 5 (109)-E. IV/57, dated the 11th July, 1960 as amended from time to time including O.M. No. 102/98/IC & 19030/2/97-E. IV, dated the 17th April, 1998.]

NOTE. - The provisions of these orders, as amended from time to time, apply mutatis mutandis to industrial employees in the Government industrial establishments also.

[G.I., M.F., O.M. No. F. 5 (30)-E. IV (B)/65, dated the 27th August, 1965.]

II.    For settling down at the last station of duty/at a station not more than 20 km. from the last station of duty. - It has been decided that in cases where the Government servant wishes to settle down permanently at the last station of duty, travelling allowance may be allowed to the extent indicated below, provided the Government servant concerned is required to change his residence as a result of his retirement -
(a)        Self and family.          Actual cost of conveyance but not exceeding the road mileage allowance admissible under SR 116 (a) II (i) and (ii).
 (b)       Personal effects.         Actual cost of transportation not exceeding the amount admissible under SR 116 (a) II (iii).
 (c)       Transportation of conveyance.           An allowance for car/scooter/motorcycle at the rates notified by the concerned Directorate of Transport for taxi/autorickshaws. Where the above allowance is claimed, mileage allowance will not be admissible to the Government servant/ members of family travelling by the conveyance. If they travel otherwise than by the conveyance they will be entitled to the mileage allowance as per SR 116 (a) II (i) and (ii).
 (d)      Composite Transport Grant   Equal to one-third of basic pay.

NOTE. - For the purpose of this Order, the term `last station of duty' will be interpreted to mean the area falling within the jurisdiction of the Municipality or Corporation, including such of suburban municipalities, notified areas or cantonments as are contiguous to the named municipality, etc., where the Government servant was posted immediately before his retirement.

The admissibility of travelling allowance as above will also be subject to other conditions for the grant of travelling allowance on retirement as contained in Order (1) above as amended from time to time.

[G.I., M.F., O.M. No. 19016/1/81-E. IV, dated the 13th August, 1981 read with O.M., dated 17-4-1998.]

(2)    Concession extended to employees of the Andaman and Nicobar Administration. - It has been decided that the concession, vide Order (1) above be extended to the employees of the Andaman and Nicobar Administration on their retrenchment/invalidment/retirement subject to the conditions laid down therein. Accordingly, application of the provisions of SR 150 will now be restricted to such of the Central Government employees of the Andaman and Nicobar Administration as are not eligible for the concession granted in decision referred to above.

[G.I., M.F., O.M. No. 5 (5)-E. IV (B)/61, dated the 20th February, 1961.]

(3)    T.A. for journeys to attend departmental enquiry by Government servants after removal/dismissal or compulsory retirement from service. - The question was under consideration whether and, if so, at what rates, travelling allowance should be allowed to a Central Government servants who is removed/dismissed or compulsorily retired from service as a penalty in cases, where, under the orders of the appellate or reviewing authority, it is decided to hold a further/de novo departmental enquiry and the Government servant is required to attend such enquiry. It has been decided that the Government servant concerned may be allowed travelling allowance as for a journey on tour from the place where the summons to attend to enquiry reaches him to the place of enquiry and back but not exceeding that to which he would be entitled, had he performed the journey from his home town to the place of enquiry and back. The travelling allowance may be regulated in accordance with the pay of the post held by the Government servant immediately before his removal/dismissal or compulsory retirement.

[G.I., M.F., O.M. No. 19012/1//80-E. IV, dated the 19th April, 1980.]

(4)    T.A. for retired Government servant for attending departmental enquiry/judicial proceedings against him. - See Government of India's Order below SR 153-A.

(5)    No advance of T.A. in case of journeys performed after retirement. - A question has been raised whether an advance of travelling allowance under the normal rules can be given in the cases covered by Order (1) above. It has been decided that an advance of travelling allowance may be sanctioned by the authorities competent competent to sanction such an advance in cases of journeys performed during leave preparatory to retirement but not in case of journeys performed after the date of retirement.

[G.I., M.F., O.M. No. F. 16-A (10)-E. II (A)/60, dated the 30th November, 1969 and Rule 224, G.F.R.]

Friday 26 October 2012

CENTRAL GOVT EMPLOYEES- KNOW ABOUT PENSION


Pension


 The minimum eligibility period for receipt of pension is 10 years. A Central Government servant retiring in accordance with the Pension Rules is entitled to receive superannuation pension on completion of at least 10 years of qualifying service.

In the case of Family Pension the widow is eligible to receive pension on death of her spouse after completion of one year of continuous service or before even completion of one year if the Government servant had been examined by the appropriate Medical Authority and declared fit for Government service.

 W.e.f 1.1.2006, Pension is calculated with reference to average emoluments namely, the average of the basic pay drawn during the last 10 months of the service or last basic pay drawn whichever is beneficial. Full pension with 10/20 years of qualifying service is 50% of the average emoluments or last basic pay drawn whichever is beneficial. Before 1.1.2006, for qualifying service of less than 33 years, amount of pension was proportionate to the actual qualifying service broken into completed half-year periods. For example, if total qualifying service is 30 years and 4 months (i.e. 61 half-year periods), pension will be calculated as under:-

 Pension amount = R/2(X)61/66

 where R represents average reckonable emoluments for last 10 months of qualifying service or the last pay drawn as opted by the govt servant.

 Minimum pension presently is Rs. 3500 per month. Maximum limit on pension is 50% of the highest pay in the Government of India (presently Rs. 45,000) per month. Pension is payable up to and including the date of death.
  

Commutation of Pension 


 A Central Government servant has an option to commute a portion of pension, not exceeding 40% of it, into a lump sum payment with effect from 1.1.1996. No medical examination is required if the option is exercised within one year of retirement. If the option is exercised after expiry of one year, he/she will have to under go medical examination by the specified competent authority.

 Lump sum payable is calculated with reference to the Commutation Table constructed on an actuarial basis.  The monthly pension will stand reduced by the portion commuted and the commuted portion will be restored on the expiry of 15 years from the date of receipt of the commuted value of pension. Dearness Relief, however, will continue to be calculated on the basis of the original pension (i.e. without reduction of commuted portion).

 The formula for arriving for commuted value of Pension (CVP) is
 CVP = 40 % (X) Commutation factor* (X)12

 * The commutation factor will be with reference to age next birthday on the date on which commutation becomes absolute as per the New Table as Annexure to this Deptt's  O.M. No. 38/37/08- P&PW(A) dated 2.9.2008



Death/Retirement Gratuity 


Retirement Gratuity
 This is payable to the retiring Government servant. A minimum of 5 years qualifying service and eligibility to receive service gratuity/pension is essential to get this one time lump sum benefit. Retirement gratuity is calculated @ 1/4th of a month’s Basic Pay plus Dearness Allowance drawn before retirement for each completed six monthly period of qualifying service. There is no minimum limit for the amount of gratuity. The retirement gratuity payable is 16½ times the Basic Pay, subject to a maximum of Rs. 10 lakhs.

Death Gratuity
 This is a one-time lump sum benefit payable to the widow/widower or the nominee of a permanent or a quasi-permanent or a temporary Government servant, including CPF beneficiaries, dying in harness. There is no stipulation in regard to any minimum length of service rendered by the deceased employee. Entitlement of death gratuity is regulated as under: Qualifying Service           Rate
Less than one year      2 times of basic pay
One year or more but less than 5 years           6 times of basic pay
5 years or more but less than 20 years            12 times of basic pay
20 years of more         Half of emoluments for every completed 6 monthly period of qualifying service subject to a maximum of 33 times of emoluments.


 Maximum amount of Death Gratuity admissible is Rs. 10 lakhs w.e.f. 1.1.2006

Service Gratuity
 A retiring Government servant will be entitled to receive service gratuity (and not pension) if total qualifying service is less than 10 years. Admissible amount is half month’s basic pay last drawn for each completed 6 monthly period of qualifying service. There is no minimum or maximum monetary limit on the quantum. This one time lump sum payment is distinct from and is paid over and above the retirement gratuity.

Issue of No Demand Certificate
 Dues owed by the retiring employees on account of Licence Fee for Government accommodation, advances, over payment of pay and allowances are required to be assessed by the Head of Office and intimated to the Accounts Officer two months in advance of the date of retirement so that these are recovered from retirement gratuity before payment. For this purpose the Licence Fee for those in occupation of Government accommodation is taken into account up to the end of the permissible period for which accommodation can be retained after retirement under the Rules on normal rent. The recovery of Licence Fee beyond that period is the responsibility of the Directorate of Estates. If, for any reason final dues cannot be assessed on time, then 10% of gratuity is withheld from gratuity


General Provident Fund and Incentives

 As per General Provident Fund (Central Services) Rules, 1960, all temporary Government servants after a continuous service of one year, all re-employed pensioners (Other than those eligible for admission to the Contributory Provident Fund) and all permanent Government servants are eligible to subscribe to the Fund. A subscriber, at the time of joining the fund is required to make a nomination, in the prescribed form, conferring on one or more persons the right to receive the amount that may stand to his credit in the fund in the event of his death, before that amount has become payable or having become payable has not been paid. A subscriber shall subscribe monthly to the Fund except during the period when he is under suspension. Subscriptions to the Provident Fund are stopped 3 months prior to the date of superannuation. Rates of subscription shall not be less than 6% of subscriber’s emoluments and not more than his total emoluments. Rate of interest on GPF accumulations with effect from 1.4.2009 is 8% compounded annually and the rate of interest will vary according to notifications of the Government. The Rules provide for drawal of advances/ withdrawals from the Fund for specific purposes.

Deposit Linked Insurance Revised Scheme

 Under the GPF Rules, on the death of subscriber, the person entitled to receive the amount standing to the credit of the subscriber shall be paid an additional amount equal to the average balance in the account during the 3 years immediately preceding the death of the subscriber subject to certain conditions provided in the relevant Rule. The additional amount payable under that Rule shall not exceed Rs. 60,000/-. To get this benefit, the subscriber should have put in at least 5 years service at the time of his/her death.


Contributory Provident Fund

 The Contributory Provident Fund Rules (India), ,1962 are applicable to every non-pensionable servant of the Government belonging to any of the services under the control of the President. A subscriber, at the time of joining the Fund is required to make a nomination in the prescribed Form conferring on one or more persons the right to receive the amount that may stand to his credit in the Fund in the event of his death, before that amount has become payable or having become payable has not been paid.

 A subscriber shall subscribe monthly to the Fund when on duty or Foreign Service but not during the period of suspension. Rates of subscription shall not be less than 10% of the emoluments and not more than his emoluments. The employer’s contribution at that percentage prescribed by the Government will be credited to the subscriber’s account and this is 10%. Rate of interest with effect from 1.4.2009 is 8% compounded annually. The Rules provide for drawal of advances/ withdrawals from the CPF for specific purposes. As in GPF Rules, the CPF Rules also provide for Deposit Linked Insurance Revised Scheme.


Leave Encashment

 Encashment of leave is a benefit granted under the CCS (Leave) Rules and not a pensionary benefit. Encashment of Earned Leave/Half Pay Leave standing at the credit of the retiring Government servant is admissible on the date of retirement subject to a maximum of 300 days. There is no provision under the Rule for payment of interest on delayed payment of Leave Encashment.


Central Government Employees Group Insurance Scheme

 A portion of monthly contributions paid while in service is credited in a Saving Fund, on which interest accrues. A Government servant while entering service has to apply in Form No. 4 of the above Scheme to the Head of Office, who shall issue a sanction for the payment of subscriber’s accumulation in the Savings Fund segment together with interest and arrange for its disbursement, soon after retirement. Payments under this Scheme are made in accordance with the Table of Benefit which takes in to account interest up to the date of cessation of service. Insurance cover benefit under this Scheme is available to the family in the event of death of the subscriber. No interest is payable on account of delayed payments under this Scheme.


For More Information watch and wait the next post

Saturday 13 October 2012

Types of Leave available to Central Govt Employees

A Central Government Employee has may kinds of leave and he has choice to avail any of them. The types of Leave and the eligibility conditions, restrictions etc. in respect of each kind of leave are given below for ready use :

Different Types of Leave available to central government employees :

1. Earned Leave

2. Half Pay Leave

3. Commuted Leave

4. Leave Not Due

5. Maternity Leave

6. Paternity Leave

7. Study Leave

8. Extra Ordinary Leave

9. Casual Leave

10.Child Care Leave

11.Hospital Leave

12.Vocational Department Staff Leave

13: Special Disability Leave

14. Child Adoption Leave

15. Leave to Probationers

16. Leave to Apprentices

1. Earned Leave:- Earned Leave is ‘earned’ by duty. The credit for earn leave will awarded at a rate of 15 days on the 1st of January and 1st of July every year. It can be accumulated up to 300 days in addition to the number of days for which encashment has been allowed along with LTC. Maximum of 180 days at a time can be availed in the case of Earned Leave.

2. Half Pay Leave :- All Government servants are entitled to 20 days of HPL for every completed year of service. Half pay leave is calculated at 20 days for each completed year of service. For eg, if you are in service for 2 years , you will be having a total of 40 days of half pay leave. The service includes periods of duty and leave including extraordinary leave with or without MC. Half pay leave can be availed with or without MC(Medical Certificate). From 1st January 1986, half pay leave is credited in advance at the rate of 10 days on the 1st of January and 1st of July every year.

3.Commuted Leave:- This Leave is granted on medical certificate normally. Commuted leave not exceeding half the amount of half-pay leave due can be taken on medical certificate. Up to a maximum of 90 days can be taken during the entire service without medical certificate where such leave is utilized for an approved course of study certified to be in university interest.
It can be taken up to a maximum of 60 days can be granted to a female employee in continuation of maternity leave without medical certificate and upto a maximum of 60 days can be granted without medical certificate to a female employee with less than two living children, on adoption of a child less than one year old. Commuted leave may be granted at the request of the employee even when earned leave is due to him.

4. Leave Not Due:- This Leave is also granted on medical certificate normally. Leave not due is granted when there is no half-pay leave at credit and the employee requests for the grant of Leave Not Due. It is granted only medical certificate if the leave sanctioning authority is satisfied that there is a reasonable prospect of the employee returning to duty on its expiry. It may be granted without medical certificate in continuation of maternity leave, and may be granted without medical certificate to a female employee with less than two living children, on adoption of a child less than one year old. The amount of leave should be limited to the half-pay leave that the employee is likely to earn subsequently. Leave not due during the entire service is limited to a maximum of 360 days and due will be debited against the half-pay leave that the employee may earn subsequently.

5. Maternity Leave :- Maternity leave is granted to women government employees.
1) Pregnancy: 180 days – Admissible only to employees with less than two surviving children.
2) Miscarriage/abortion (induced or otherwise): Total of 45 days in the entire service. However, any such leave taken prior to 16.6.1994 will not be taken into account for this limitation. Admissible irrespective of number of surviving children. Application to be supported by a certificate from a registered medical practitioner for NGOs and from AMA for GOs.
The maternity leave is not debited to leave account and full pay is granted. It cannot be combined with any other leaves and counts as service for increments and pension.

6. Paternity Leave :- A male employee with less than two surviving children may be granted Paternity Leave for a period of 15 days during the confinement of his wife. During the period of such leave he shall be paid leave salary equal to the pay drawn immediately before proceeding on leave. Paternity Leave shall not be debited against the leave account and may be combined with other kind of leave as in the case of Maternity Leave.

7. Study Leave:- Study leave may be granted to all government employees with not less than five years’ service for undergoing a special course consisting of higher studies or specialized training in a professional or technical subject having a direct and close connection with the sphere of his duties as a civil servant.

The course for which the study leave is taken should be certified to be of definite advantage to govt from the point of view of public interest and that particular study should be approved by the authority competent to grant leave.

The official should submit a full report on the work done during study leave. Maximum of 24 months of leave is sanctioned. In the case of CHS officers 36 months of leave can be granted at a stretch or in different spells.

Study leave will not be debited to the leave account and may be combined with other leave due. Study leave is not granted for studies outside India if facilities are available in India and to an official due to retire within 3 years of return from the study leave.

8. Extra Ordinary Leave :- Extraordinary leave is granted to a Government servant when no other leave is admissible or when other leave is admissible, but the Government servant applies in writing for extraordinary leave.

Extraordinary leave cannot be availed concurrently during the notice period, when going on voluntary retirement and EOL may also be granted to regularize periods of absence without leave retrospectively.

9. Casual Leave :- In a calendar year eight days of casual leave is permissible.
Casual leave is not a recognized form of leave and is not subject to any rules made by the Government of India. An official on Casual Leave is not treated as absent from duty and pay is not intermitted.

(i) Casual Leave can be combined with Special Casual Leave/vacation but not with any other kind of leave.
(ii) It cannot be combined with joining time.
(iii) Sundays and Holidays falling during a period of Casual Leave are not counted as part of Casual Leave.
(iv) Sundays/public holidays/restricted holidays/weekly offs can be prefixed/suffixed to Casual Leave.
(v) Casual Leave can be taken while on tour, but no daily allowance will be admissible for the period.
(vi) Casual Leave can be taken for half day also.
(vii) Essentially intended for short periods. It should not normally be granted for more than 5 days at any one time, except under special circumstances.
(viii) LTC can be availed du ring Casual Leave.
(ix) Individuals appointed and joining duty during the middle of a year may avail of Casual Leave proportionately or to the full extent at the discretion of the Competent Authority.

10. Child Care Leave :- Woman employees having minor children may be granted Child Care Leave by an authority competent to grant leave for a maximum period of 730 days (2 years) during their entire service for taking care of up to two children., whether for rearing or to look after any of their needs like examination, sickness, etc..
Conditions for Child Care Leave
1. Child care leave shall not be admissible if the child is eighteen years of age or older equal to the pay drawn immediately before proceeding on leave.
2. It can be availed in more than one spell.
3. It can not be debited against the leave account.
4. It may be combined with leave of the kind due and admissible.

11. Hospital Leave:- Hospital leave is admissible to Group 'C' employees whose duties involve handling of dangerous machinery, explosive materials, poisonous drugs and performance of hazardous takes and to Group 'D' Employees.
Medical certificate from an authorized medical attendant is necessary for grant of this leave. This hospital leave may be combined with any other kind of leave due and admissible, provided total period of leave does not exceed 28 months.

12. Vacation Department Staff leave Entitlement :- The leave entitlements of employees of Vacation Departments (i.e. departments where regular vacations are allowed during which those serving in them are permitted to be absent from duty) are the same as those serving in non-vacation Departments except in respect of 'earned leave'.
No earned leave will be admissible to a government servant of a vacation Department in any year in which he avails of the full vacation. The vacation can be combined with casual leave.

13. Special Disability Leave :- Special disability leave admissible to all employees when disabled by injury intentionally or accidentally inflicted or caused in or in consequence of the due performance of official duties or in consequences of official position. The disability above should have manifested within three months of the occurrence to which it is attributed and the person disabled had acted with due promptitude in bringing it to notice. The leave sanctioning authority, if satisfied as to the cause of the disability, may relax the condition and grant leave in cases where disability has manifested more than three months after the occurrence of its cause.

Special disability leave is also admissible when disabled by illness incurred in the performance of any particular duty, which has the effect of increasing liability to illness or injury beyond the ordinary risk attaching to the civil post held, under the same condition.This disability should be certified by an Authorised Medical Attendant to be directly due to the performance of the particular duty.

Maximum of 24 months of leave may be granted.
May be combined with any other leave.
Will count as service for pension.
Will not be debited to the leave account.

14. Child Adoption Leave:- Child adoption leave is granted to Female employees, with fewer than two surviving children on valid adoption of a child below the age of one year, for a period of 135 days immediately after the date of valid adoption.

Leave salary will be equal to the pay drawn immediately before proceeding on leave.
It may be combined with leave of any other kind. Leave not debited against the leave account.

15. Leave to Probationers :- A person appointed to a post on probation is entitled to all kinds of leave admissible under the rules to a permanent servants according as his appointment is against a permanent post.

16. Leave to Apprentices :- Apprentices are admissible to leave on medical certificate, on leave salary equivalent to half pay for a period not exceeding one month in any year of apprenticeship

Thursday 11 October 2012

WHAT IS NPS---YOU HAVE TO KNOW ABOUT NPS

1. What is the New Pension System (NPS)?

The NPS is a new contributory pension scheme introduced by the Central Government for employees joined in Government Service on or after 1.1.2004. During the year 2009, the NPS was kept open for public.

2. Who is covered by the NPS?

a. Employees who have joined central government service on or after 01 January 2004 including Railways, Posts, Telecommunication or Armed Forces (Civil), Autonomous Body, Grant-in-Aid Institution, Union Territory or any other undertaking whose employees were eligible to a pension from the Consolidated Fund of India., earlier.

b. This contribution pension scheme is also open to any Indian citizen between the age of 18 and 55.

3. I am covered by the NPS. Can I contribute to the GPF?

No. The General Provident Fund ( Central Service) Rules, 1960 is not applicable for employees covered by NPS.

4. I Am covered by the NPS. Am I eligible to Gratuity?

No. You will not be eligible to Gratuity.

5. How does the NPS work ?

When you join Government service, you will be allotted a unique Personal Pension Account Number (PPAN). This unique account number will remain the same for the rest of your life. You will be able to use this account from any location and also if you change your job. The PPAN will provide you with two personal accounts:

1. A mandatory Tier-I pension account, and

2. A voluntary Tier-II savings account.

6. What is the difference between Tier-I and Tier-II accounts?

1. Tier-I account: You will have to contribute 10% of your pay in pay band + grade pay + DA into your Tier-I (pension) account on a mandatory basis every month. You will not be allowed to withdraw your savings from this account till you retire at age 60. Your monthly contributions and your savings in this account, subject to a ceiling to be decided by the government, will be exempt from income tax. These savings will only be taxed when you withdraw them at retirement.

2. Tier-II account: This is simply a voluntary savings facility for you. Your contributions and savings in this account will not enjoy any tax advantages. But you will be free to withdraw your savings from this account whenever you wish.

7. How will I contribute to my Tier-I (pension) account?

Every month, the government will deduct 10% of your salary (10% of pay in pay band + grade pay + DA) and automatically transfer this amount to your Tier-I account in your name.

8. Will the Government contribute anything to my Tier-I (pension) account?

Yes. As your employer, the Government will match your contribution (10% of pay in pay band + grade pay + DA) and transfer this amount also to your Tier-I account in your name.

9. Can I contribute more than 10% into my Tier-I account?

Yes. You will be permitted to contribute more than the mandated 10% of pay in pay band + grade pay + DA into your Tier-I account – subject to any ceiling that may be decided by the Government.

10. Will the Government also contribute more than 10% into my Tier-I account?

No. The contribution of the Government will be limited to 10% of your pay in pay band + grade pay + DA.

11. What will happen if I am transferred to another city?

The PPAN number will stay the same and you will be able to use the same account.

12. If I leave Government service before I retire will the Government continue to contribute to my Tier-I account?

No. The 10% contribution by the Government will stop when you leave Government service. However, your savings in your Tier-I and Tier-II accounts will stay in your name and you will be able to continue using these accounts to save for your retirement.

13. What if I die or become permanently disabled during my service?

Additional Relief on death/disability of Government servants covered by the NPS(New Pension Scheme) recruited on or after 1.1.2004 has been discussed in this Office Memorandum No.38/41/06/P&PW(A) Dated 5th May, 2009

14. How will the money be invested?

The money you invest in NPS will be managed by professional fund managers. Currently, you have the choice of picking up one of the following six fund managers: ICICI Prudential Pension Management, IDFC Pension Fund Management, Kotak Mahindra Pension Fund, Reliance Capital Pension Fund, SBI Pension Funds, and UTI Retirement Solutions. In addition to this there are three schemes for which you have to opt.

Scheme A This scheme will invest mainly in Government bonds

Scheme B This scheme will invest mainly in corporate bonds and partly in equity and government bonds

Scheme C This scheme will invest mainly in equity and partly in government bonds and corporate bonds.

15. Can I switch fund managers if I am not happy with my current fund manager?

Yes, you can switch fund managers. PFRDA, the pension fund regulator, will declare the value of your investment every year in April. At that point of time, if you are not satisfied with the performance of your fund manager, you can switch to another fund manager between May 1 and May 15.

16. What are the charges?

This is where NPS wins hands down against all other modes of creating a corpus to generate income after retirement. The fund management charge of NPS is 0.0009% of the value of the investment, every year. In comparison, pension plans of insurance companies charge 0.75-1.75% as fund management charge, which is 800-2000 times higher. The other expenses charged are also very reasonable.

17. I am covered by the NPS. Do the old Pension Rules apply to me?

No. The Central Civil Service Pension Rules (1972) will not be applicable to you.

18. Who will be responsible for the NPS and for protecting my interests?

The Government has set up a new dedicated regulatory authority known as Pension Fund Regulatory and Development Authority (PFRDA). The PFRDA will be responsible for the NPS and for protecting your interests in the NPS in consultation with Ministry of Finance.

19. Who in the Government will issue me a PPAN account and be responsible for the deductions?

When you join Government service, your Drawing and Disbursement Officer (DDO) will instruct you to fill out a NPS form. You will be required to provide your full professional and personal details including details of your nominee in this form. The DDO will issue you the PPAN number(PRAN) and will also be responsible for all administrative matters related to your NPS accounts including deduction of your contributions, transferring your contributions and the matching contribution of the Government to your Tier-I pension account.

20. What will happen to my contributions to my Tier-I account?

Your monthly contributions, and the matching contributions by the Government into your Tier-I account, will be transferred by the Government in your name to a Pension Fund Manager (PFM). The PFM will invest your contributions on your behalf. In this way, your savings will appreciate and grow over time.

21. Will I be permitted to select more than one Pension Fund Manager to manage my savings?

Yes. If you wish, you will be able to spread your savings across multiple PFMs – where a part of your savings are managed by 2 or more PFMs.

22. Am I guaranteed a certain rate of return?

No return is guaranteed as it is in case of EPF and PPF. The amount of money you make is dependant on how well the fund managers chosen by you perform. But, the extremely low charges in NPS sure give it an edge over the the pension plans of insurance companies.

23. Can I contribute more than 10 into my Tier-I account?

Yes. You will be permitted to contribute more than the mandated 10% of Basic+DA+DP into your Tier-I account – subject to any ceiling that may be decided by the Government.

24. Can I withdraw money from the account?

The NPS offers two accounts: tier I and tier II. Currently only tier I account is available. This is a non-withdrawable account and investments in this keep accumulating till you turn 60. Withdrawal is allowed only in case of death, critical illness or if you are building or buying your first house. In case of death the nominee can get 100% of NPS wealth in a lump sum. He can however continue with the NPS in case he wishes to.

25. What will happen to my savings in the Tier-I account when I retire?

You will be able to withdraw 60% of your savings as a lump sum when you retire. You will be required to use the balance 40% of your savings to purchase an annuity scheme from a life insurance company of your choice. The life insurance company will pay you a monthly pension for the rest of your life.

26. Can I use more than 40% of my savings to purchase the annuity?

Yes. You can use more than 40% of your savings to purchase annuity.

27. What will happen to my savings if I decide to retire before age 60?

You will be required to use 80% of your savings in your Tier-I account to purchase the annuity. You will be able to withdraw the balance 20% of your savings as a lumpsum. The other option is , you can continue to invest in NPS on monthly basis and then purchase annuity using 40% of your savings at the age of 60.

28. Will the annuity also provide a family (survivor) pension?

Yes. You will have an option of selecting an annuity which will pay a survivor pension to your spouse.

29. What will happen to my savings in the Tier-I account when I retire?

You will be able to withdraw 60% of your savings as a lumpsum when you retire. You will be required to use the balance 40% of your savings to purchase an annuity scheme from a life insurance company of your choice. The life insurance company will pay you a monthly pension for the rest of your life.

30. What happens at retirement?

NPS by default sets the retirement age at 60. Once you attain that age, you can use the money that has accumulated to generate a regular pension for yourself. In order to do this, you have to compulsorily buy immediate annuity from a life insurance company with 40% of the money that has accumulated. As explained at the beginning, buying an immediate annuity will assure a regular payment for you. Since a minimum of 40% needs to be used to buy an immediate annuity, a maximum of 60% of the money accumulated can be withdrawn. However, unlike other tax-saving instruments like Public Provident Fund (PPF) and Employees’ Provident Fund (EPF), wherein the amount at maturity is tax-free, in case of NPS this amount is taxable.

31. Whether a retiring Government servant is entitled for leave encashment after retirement under the NPS?

The benefit of encashment of leave salary is not a part of the retirement benefits admissible under Central Civil Services (Pension) Rules, 1972. It is payable in terms of CCS (Leave) Rules which will continue to be applicable to the government servants who join the government service on after 1-1-2004. Therefore, the benefit of encashment of leave salary payable to the governments/to their families on account of retirement/death will be admissible.

32. Why is it mandatory to use 40% of pension wealth to purchase the annuity at the time of the exit (i.e. after the age of 60 years) from NPS?

This provision has been made in the New Pension Scheme with an intention that the retired government servants should get regular monthly income during their retired life.

33. Whether any minimum age or minimum service is required to quit from Tier-I?

Exit from Tier-I can only take place when an inpidual leaves Government service.

34. Whether Dearness Pay is counted as basic pay for recovery of 10% for Tier-I?

As per the New Pension Scheme, the total Dearness Allowance is to be taken into account for working out the contributions to Tier-I. Subsequently, a part of the “Dearness Allowance” has been treated as Dearness Pay. Therefore, this should also be reckoned for the purpose of contributions.

35. Whether contribution towards Tier-I from arrears of DA is to be deducted?

Yes. Since the contribution is to be worked out at 10% of (Pay+ DP+DA), it needs to be revised whenever there is any change in these elements.

36. Who will calculate the interest PAO or CPAO?

The PAO should calculate the interest.

37. What happens if an employee gets transferred during the month? Which office will make deduction of Contribution?

As in the case of other recoveries, the recovery of contributions towards New Pension Scheme for the full month (both inpidual and government) will be made by the office who will draw salary for the maximum period.

38. Whether NPA payable to medical officers will count towards ‘Pay’ for the purpose of working out contributions to NPS?

Yes. Ministry of Health & Family Welfare has clarified vide their O.M. no. A45012/11/97-CHS.V dated 7-4-98 that the Non-Practicing Allowance shall count as ‘pay’ for all service benefits. Therefore, this will be taken into account for working out the contribution towards the New Pension Scheme.

39. Whether a government servant who was already in service prior to 1.1.2004, if appointed in a different post under the Government of India, will be governed by the CCS (Pension) Rules or NPS?

In cases where Government servants apply for posts in the same or other departments and on selection they are asked to render technical resignation, the past services are counted towards pension under CCS (Pension) Rules, 1972. Since the Government servant had originally joined government service prior to 1-1-2004, he should be covered under the CCS (Pension) Rules, 1972.

40. Will I get a tax deduction for the investment?

Yes, under Section 80CCD of the Income Tax Act investments of up to Rs 1 lakh in the NPS can be claimed as tax deductions. Readers should remember that this Rs 1 lakh limit is not over and above the Rs 1 lakh limit available under Section 80C. In fact, the combined limit of investments made under Section 80C, 80CCD and section 80CCC (for investments made into pension plans of insurance companies) is Rs 1 lakh.

Clarification on the admissibility of House Rent Allowance (HRA) during the Child Care Leave (CCL) – Reg.

                                                                 No. 2(9)/2012-E.II(B)
                                                                   Government of India
                                                                    Ministry of Finance
                                                             Department of Expenditure

                                                                                                       New Delhi, 27th August, 2012.

                                                            OFFICE MEMORANDUM

Subject:- Clarification on the admissibility of House Rent Allowance (HRA) during the Child Care Leave (CCL) – Reg.

The undersigned is directed to refer to Para 6 (a)(i) of this Ministry’s O.M. No.2(37)-E.II(B)/64 dated 27.11.1965, as amended from time to time, on regulation of House Rent Allowance during Leave which stipulates that a Government servant is entitled to draw HRA…… during total leave of all kinds not exceeding 180 days and the first 180 days of the leave if the actual duration of leave exceeds that period; but does not
include terminal leave, ……. It has also been stipulated, thereunder, that drawal of the allowance (HRA) during the period of leave in excess of first 180 day availed of on grounds other than medical grounds mentioned in sub-para (ii), shall be subject to furnishing of the certificate prescribed in Para 8(d) of the G.M. ibid.

2. This Ministry has been receiving representations from the female employees that certain Central Government Ministries/Department/Establishments are not allowing HRA during the Child Care Leave (CCL), especially when taken in continuation of Maternity Leave of 180 days. The reason for their reluctance may be the fact that CCL has been first introduced on the recommendations of the 6th Central Pay Commission, though the Department of Personnel & Training (DoPT), vide their O.M. No.13018/1/2010-Estt.(Leave) dated 07.09.2010, inter-alia, reiterated that the leave (CCL) is to be treated like Earned Leave and sanctioned as such.

3. It is, therefore, clarified that the ‘total leave of all kinds’ as referred to in Para 6(a) of this Ministry’s G.M. dated 27.11.65 ibid, will include Child Care Leave for regulating grant of HRA during leave, subject to fulfiment of all other conditions stipulated thereuder, from time to time. It is also clarified that drawal of HRA during leave (including CCL) in excess of first 180 days, if otherwise admissible, shall be subject to furnishing of the certificate prescribed in Para 8(d).

4. These orders take effect from 01.09.2008. HRA during CCL, if not paid to women employees who are entitled to it as per this clarification, may be reconsidered, if so requested by the concerned employee.

EXPECTED DA JAN-2012 DUE UPTO AUG-2012

All India Consumer Price Index for Industrial Index (AICPI-IW) for August-12 rose by 2 Points

The All-India CPI-IW rose by 2 points in August, 2012 and pegged at 214 (two hundred and fourteen). On 1-month percentage change, it increased by 0.94 per cent between July and August compared with 0.52 per cent between the same two months a year ago.

If the same condition is continued without no changes,this also fetch the rate of DA w.e.f. 01.01.2013 to 7%  till Aug 2012 CPI.

Tuesday 9 October 2012

PFRDA bill-2011 amendments going to process

The Union Cabinet recently approved the introduction of certain official amendments to the Pension Fund Regulatory and Development Authority Bill, 2011. These official amendments have been necessitated in view of the recommendations of the Standing Committee on Finance which has examined the Bill. Based on the recommendations of the Standing Committee on Finance, the Government has decided to accept the following:

1. that the subscriber seeking minimum assured returns shall be allowed to opt for investing his funds in such schemes providing minimum assured returns as may be notified by the Authority;

2. withdrawals not exceeding 25 per cent of the contribution made by subscriber will be permitted from the individual pension account subject to the conditions, such as, purpose, frequency and limits, as may be specified by regulations by the Pension Fund Regulatory Authority and Development Authority (PFRDA)

3. the foreign investment ceiling in the pension sector at 26 per cent or such percentage as may be approved for the Insurance Sector, whichever is higher may be incorporated in the present legislation;

4. to establish a vibrant Pension Advisory Committee with representation from all major stakeholders to advise PFRDA on important matters of framing of regulations under the PFRDA Act.

5. the membership of the PFRDA will be confined to professionals having expertise in economics, finance or law only.

The New Pension Scheme (NPS) has been made mandatory for all the Central Government employees (except Armed Forces) entering service with effect from 1.1.2004. 27 State / UT Governments have notified NPS for their employees. NPS has been launched for all citizens of the country including unorgnised sector workers, on voluntary basis, with effect from 1st May, 2009. Further, to encourage people from the unorganised sector to voluntarily save for their retirement, Government has launched the co-contributory pension scheme titled “Swavalamban Scheme” in the Budget of 2010-11. As on 7th September, 2012 the number of subscribers under NPS is 37.45 lakh with a corpus of Rs. 20535.00 crore.

In order to effectively invest and manage such huge funds belonging to a large number of subscribers and to ensure the integrity of the NPS, creation of a statutory PFRDA with well defined powers, duties and responsibilities is considered absolutely necessary and would benefit all NPS subscribers.

The official amendments to the Bill will be moved in the next session of the Parliament.

Background:

The following recommendations of the SCF have not been accepted:

• As regards the recommendation of SCF for compulsory insurance of the funds of subscribers by pension fund managers, a provision has already been made in the PFRDA Bill, to protect the interest of the subscribers by ensuring safety of contribution of subscribers and also by keeping the operational costs in check,

• As regards the selection of pension fund managers in such a manner that one third of all such fund managers are from the public sector, since a provision has already been made in the PFRDA Bill that at least one of the pensions fund shall be from the public sector which sets a floor, the ceiling can be any number based on objective criteria.

The Pension Fund Regulatory and Development Authority Bill, 2005 was initially introduced in the Lok Sabha in March, 2005 to provide for a statutory PFRDA. However, since the Bill and the official amendments, based on the recommendations of the Standing Committee on Finance, could not be considered by the Lok Sabha, and the Bill lapsed on dissolution of the 14th Lok Sabha. The Government had announced in the Budget 2011-12 that the revised PFRDA Bill would be moved in Parliament. Accordingly, the PFRDA Bill, 2011 was introduced in the Lok Sabha on the 24th March, 2011 to provide for a statutory regulatory body, the Pension Fund Regulatory and Development Authority (PFRDA) under the provisions of the Bill. The legislation sought to empower FRDA to regulate the New Pension System (NPS). The PFRDA Bill, 2011 was referred to the Standing Committee on Finance on the 29th March, 2011 for examination and report thereon. The Standing Committee on Finance gave its Report on 30th August, 2011. Based on the recommendations of Standing Committee, a Cabinet Note, to introduce additional recommendations of the Standing committee on Finance was moved on 19th December, 2011. Since the PFRDA Bill, 2011 was deferred in the Winter Session of the Lok Sabha, therefore the Cabinet Note was withdrawn.

Monday 8 October 2012

SEVENTH PAYCOMMISSION FOR CG EMPLOYEES AND BRIEF NOTE ON DEMANDS

Item No. 1. Revision of wage with effect from. 01.01.2011.

The present wage structure of the Central Govt. Employees has been made on the basis of the 6th Central Pay Commission’s recommendations. The 6th CPC introduced a new concept in the form of Pay band and Grade Pay. The recommendations of the Commission were implemented with effect from 1.1.2006 in the case of Pay and in the case of allowances with effect from 1.9. 2008. In the case of Central Public Sector undertakings, the wage revisions normally takes place after every five years. The 5th CPC in the case of Central Government employees recommended wage revision in every 10 years. In the past wage revision has been linked to the extent of erosion of real wages. The degree of inflation in the economy determines the pace of erosion of the real value of wages. The retail prices of those commodities which go into the making of minimum wages have risen by about 160% from 1.1.2006 to 1.1. 2011, whereas the D.A. compensation in the case of Central Government employees on that date had been just 51%. It is also an acknowledged fact that the 6th CPC had computed the minimum wage by suppressing the retail price of these commodities in the market on the specious plea that official statistics of the retail prices of these commodities were not available. They therefore, computed the retail price by increasing the wholesale price by 20% for each of the commodity whereas the actual retail price in the market was 60% more than the wholesale price. While in the case of Group B,C & D employees, the Commission applied a multiplication factor of 1.86 for arriving at the revised pay structure, in the case of Group A Officers, the factor was ranging from 2.36 to 3 times. In the matter of fitment formula also, unlike recommended by the 5th CPC, the 6th CPC adopted varying percentages whereby the officers in Group A were given rise extending from 42 to 49%, whereas the employees in Group B,C,D were granted only 40%. While implementing the Commission’s recommendations, the Government further accentuated the discrimination further. The recommendations of the 6th CPC when implemented gave rise to very many glaring anomalies. The National Council JCM set up a National Anomaly Committee to deal with these issues which are common to all CGEs and directed the Ministries and Departments to set up such anomaly committees at the Departmental level to deal with department specific issues. As has been mentioned elsewhere in this memorandum, the effectiveness of JCM as potent forum to settle issues has been eroded over the years by systematically tinkering with its functioning by the official side. Though the National Anomaly Committee met 4-5 times, it could not settle any major issues. The MACP, introduced by the Government in replacement of the ACP Scheme already in vogue has not gone to improve the career prospects of the employees due to various untenable stipulations made in the order by the DOPT. The Government has refused to act upon the Tribunal’s decision in the matter . Nor has it brought about any settlement on this issue through bilateral discussions at the National Anomaly Committee.

The Grameen Dak Sewaks were excluded from the purview of the 6th Central Pay Commission as the Postal Department took an erroneous view that they are not Central Government employees. The 4th CPC had categorically stated that they ought to have been included within the purview of the Commission’s jurisdiction but chose to go by the Postal Department’s decision ultimately. As has been mentioned elsewhere in this memorandum, the GDS constitute the largest chunk of the Postal Workers. The exclusion of GDS from the purview of the Pay Commission being unjust, discriminatory and bereft of any logic, it must be ensured that the next Pay Commission when it is set up will have the jurisdiction to recommend on wage structure and service conditions of the GDS.

Wage revision in all public Sector undertakings through Collective bargaining takes place once in five years. On the same analogy, the wage revision of the Central Government employees must be after every five years and the Government must set up the 7th CPC immediately.

Item No. 2. Merger of DA with pay:

The wage revision of the Central Government employees had always been through the setting up of Pay Commissions. Since the wage revision exercise involves inquiring into various aspects of wage determination and service conditions of the Government employees the Government had been appointing Pay Commissions for it was considered a better suited system of wage negotiation in the given circumstance. Such inquiry through setting up of Commissions had been a time consuming process. The 3rd, 4th and 5th Central Pay Commissions had taken more than three years to submit its report. The 6th CPC however, submitted its report in the time frame provided to it i.e. 18 months. Since the earlier Commissions had covered many aspects of the principles of wage determination and the periodicity of such revision had come down, the exercise might not now require a longer period of time as was the case earlier Even then the Commission will have to be given a reasonable time frame to go into the matter judiciously and arrive at conclusion. This apart, certain administrative delay cannot also be avoided. The methodology adopted for compensating the erosion in the real value of wages had been the merger of DA with Pay. The 5th CPC had recommended that the DA must be merged with pay and treated as pay for computing all allowances as and when the percentage of Dearness compensation exceeds 50%. Accordingly even before the setting up of the 6th CPC the DA to the extent of 50% was merged with pay. However, the Government refused to extend the said benefit to the Grameen Dak Sewaks for no reason. Presently, the Dearness compensation is 65% as on 1.1.2012. As on 1.1.2011, the DA was at the rate of 50%. The suggestion for merger of DA to partially compensate the erosion in the real wages was first mooted by the Gadgil Committee in the post 2nd Pay Commission period. The 3rd CPC had recommended such merger when the Cost of Living index crosses over 272 points i.e. 72 points over and above the base index adopted for the pay revision. In other words, the recommendation of the 3rd CPC was to merge the DA when it crossed 36%. The Government in the National Council JCM at the time of negotiation initially agreed to merge 60% DA and later the whole of the DA before the 4th CPC was set up. The 5th CPC merged 98% of DA with pay. It is, therefore, necessary that the Government takes steps to merge 50% of DA with pay for all purposes to compensate the erosion of the real value of wages of the Central Government employees including the Grameen Dak Sewaks.

Item No. 3. Compassionate appointments

On the plea of a Supreme Court directive, Govt. introduced a 5% ceiling on the compassionate appointments. When the matter was taken up by the Staff Side in the National Council the Government was unable to produce any such directive from the Supreme Court.. Despite that the official side refused to withdraw the said instructions limiting the appointments to 5% of the available vacancies. In one of the National Council meetings, presided over by the Cabinet Secretary solemn assurance was given to the Staff Side for the reconsideration of the issue in the light of the discussion, but nothing happened till date. . It is pertinent to mention in this connection that the compassionate appointments in the Railways continue to be operated without any such ceiling. In the Department of Posts hundreds of compassionate appointment candidates selected by Selection Committee were denied jobs. The list of selected candidates was scrapped. These candidates approached the Court and obtained a favourable order. Despite that various courts have struck down this untenable stipulation, the Government has chosen to file SLP in the Supreme Court. When the Central Administrative Tribunals were established, it was with the intent of expeditious settlement of disputes on service matters. Even recently the Government has announced that it would not be open for various Ministries to appeal against the orders of the Tribunal as a matter of course and efforts must be to explore the ways of acceptances of the judgements of the Tribunal. In the light of this directive from the Prime Minister’s office, the SLP ought to have been withdrawn. The standing Committee on Department of Personnel in one of their report has termed the scheme of Compassionate ground appointments as a sacred assurance to a fresh entrant that if he dies in harness, his family shall not be left in lurch. Such an assurance is being breached by the provisions of limiting such appointments to 5% of DR vacancies. This has to be done away with. We therefore urge the Honourable Prime Minister that direction may be issued to do away with the stipulation and compassionate appointments be given to all deserving candidates.

Item No.4. Functioning of the JCM and implementation of the arbitration award.
It was in the wake of the indefinite strike action of 1960, the JCM was set up as a negotiating forum to expedite settlement of demands and problems of employees.
On the pretext of the promulgation of the new CCS(RSA)Rules, most of the departments suspended the operation of the Departmental Councils. . Even after complying with the requisite formalities, in many departments, Associations/Federations are yet to be recognized. Wherever the recognition process was completed and orders issued granting recognition, no meetings of the Departmental Councils are held. Inspite of raising the issue in the National Council on several occasions by the Staff Side, nothing tangible has been done to ensure that the councils are made functional.

The National Council is, as per the scheme, to meet once in four months. It meets after several years, the system of concluding on the agenda in the meeting in which it is raised has been totally abandoned with the result that number of issues have been kept pending for indefinite period of time. The non- functioning of the Council and the consequent non- redressal of grievances has led to agitations including strike action in many departments. The 6th CPC recommendations were given effect to in September, 2008. The anomalies arising therefrom (which is in large numbers) ought to have been settled as per the agreement by Feb,. 2010. Barring one or two items, no settlement has been brought about on a large number of anomalies till date.

In the wake of the General Strike action of the working class in the country against the neo liberal economic policies of the Government on 28th Feb. 2012, the Joint Secretary (Estt.) in the Department of Personnel wrote as under in her demi-official communication addressed to all Secretaries of the Government of India, which is contrary to facts and misleading too.

“Joint consultative machinery for Central Government employees is already functioning. This scheme has been introduced with the object t of promoting harmonious relations and of securing the greatest measure of co-operation between the Government, in its capacity as employer and the general body of its employees in matters of common concern, and with the object further of increasing the efficiency of the public service. The JCM at different levels have been discussing issues brought before it for consideration and either reaching amicable settlement or referring the matter to the Board of Arbitration in relation to pay and allowances, weekly hours of work and leave, wherever no amicable settlement could be reached in relation to these items.”

The forum of Departmental Councils must be immediately revived in all Departments and made effective as an instrument to settle the demands of the employees. The periodicity in which the meeting of the National Council is to be held must be adhered. We request that the Department of Personnel, which is the nodal department for ensuring the functioning of the negotiating machinery is advised to monitor the functioning of the Departmental Councils of various Ministries and Departments and a report placed in the National Council. The Cabinet Secretary, who is the Chairman of the National Council, may please be asked that the Council meetings are convened once in four months and the issues raised therein settled in a reasonable time frame. Since the grant of recognition to Service Association is a pre requisite for the effective functioning of the negotiating machinery, the Ministries may be asked to process the application and take decision in the matter immediately as the recognition rules have come into existence in 1993 that is about a decade back.

Item No. 5. Remove the ban on recruitment and creation of posts

In 1993, the Government of India introduced a total and blanket ban on creation of posts. This was with a view to reduce the manpower in the Governmental establishments for on implementation of the neo liberal economic policies, the Government will be required to close down some of its activities and some others to be shifted to the private domain. In 2001, the GOI issued an executive instruction modifying the complete ban on recruitment that was in vogue whereby various departments, if they so desire, resort to recruit personnel to fill up the existing vacancies, provided they abolish 2/3rd of such vacancies. In other words, the concerned heads of Departments will be permitted to fill up 1/3rd of the vacancies provided they abolish the 2/3rd vacancies permanently.

Since it was impossible to carry on the functions assigned to the Departments, they had to implement the above cited directive of the Department of personnel, which was meant to arbitrarily reduce the manpower especially in Group C and D segments. Though the directive was to be applied uniformly to all cadres where direct entry is one of the mode of recruitment, not a single Group A. post was abolished as most of the departments offered to do away with equal number of Group C and D posts. Since direct recruitment is seldom resorted to in Group B cadres, the brunt of the burden of the above cited instruction had to be borne by the Group C and D cadres in each department. The said directive remained operative for nearly a decade i.e. upto 2010. Such abnormal and arbitrary abolition of posts affected very adversely the functioning of many departments consequent upon which the public at large suffered immeasurably. To cope up with the genuine complaints of the public, most of the heads of Departments had to resort to either outsourcing of the functions or engaging contract workers. In the circumstances, we urge upon you to kindly direct all the Departments of the Government of India to immediately fill up all the existing vacancies.

The Government has a time tested and scientific system of assessing the workload and measuring the manpower requirement on the basis of the periodical changes that takes place from time to time. This seems to have been presently abandoned and the vacancies except in a few cases are not being filled up and no new posts are created, except in Group A cadres, even though there had been phenomenal increase in the workload in each department. The 6th CPC dealing with the subject has recommended that such ban on creation of posts for a long period is not desirable and the Departments should be empowered to create the need based posts for its effective functioning. We request that commensurate posts that are needed to cope up with the increasing workload may be sanctioned and recruitment of personnel resorted to so that the assigned functions of each department could be carried out effectively and efficiently. Existing vacancies

Item No. 6. Downsizing, outsourcing, contractorisation etc.

Due to the situation that came into being because of the 2001 directive of the Government, as explained in the preceding paragraphs and due to the pursuance of the neo- liberal economic policies, many departments had to resort to outsourcing of its functions. Some departments were virtually closed down and a few others were privatised or contractorised. The large scale outsourcing and contractorisation of functions had a telling effect on the efficacy of the Government departments. The delivery system was adversely affected and the public at large suffered due to the inordinate delay it caused in getting the service from the Government departments. The financial outlay for outsourcing of functions of each department increased enormously over the years. The quality of work suffered. In order to ensure that the people do get a better and efficient service from the Government departments and to raise the image of the Government in the eyes of the common people, it is necessary that the present scheme of outsourcing and contractorisation of essential functions of the Government must be abandoned.

Item No. 7. Stop price rise and strengthen PDS.

The abnormal and phenomenal increase in the prices of essential commodities is an acknowledged fact. The pursuance of the new economic policies and consequent withdrawal of the universal public distribution system had been per se the reason for such unbearable inflation. The universal PDS which was evolved to protect the food security of common people was an effective instrument not only to arrest inflation but also to ensure that no Indian dies of hunger. Government employees even at the lowest wage structure i.e. the Group D and C employees are presently precluded from the PDS as their meagre wages itself is considered to be above the benchmark of “Below Poverty Line”. They are to depend upon the open market for even essential food items, which with their meagre income they are unable to access. It is, therefore, necessary that the universal PDS as was in vogue must be brought back as the market forces have failed to arrest inflation and price rise of essential food items.

Item No. 8(a) Regularisation of daily rated workers.

Regularisation of Casual/Contingent/daily rated workers. In most of the Departments, as detailed elsewhere in this memorandum, the Departmental heads had to recruit personnel on daily rated basis or as casual workers due to the ban on recruitment to cope up with the increasing workload. Almost 25% of the present workforce in Governmental organisations is casual workers deployed to do the permanent and perennial nature of jobs, despite the fact that the labour laws do not allow assigning such jobs to casual workers. In 1950s and 1960, even the casual workers who had been employed to do the casual and non perennial jobs used to get priority for regular employment as and when vacancy for such permanent recruitment arises. Thousands of persons are recruited as casual workers and kept in the employment continuously for want of permanent hands. They are paid pittance of a salary with no benefits like provident fund, dearness allowance, other compensatory allowances etc. In order to ensure that they do not get the benefit of regularisation, these workers are technically discharged for a few days to be employed afresh again. The modus operandi differs from one department to another. While in some organisations, they are recruited through employment exchanges as daily rated workers, in others the functions are contracted out. Not only the quality of work suffers but it is also an inhuman exploitation of the workers given the serious situation of unemployment that exists in the country. While the permanent solution is to sanction the necessary posts and resort to regular recruitment, the Government should evolve a scheme by which these casual/contingent/daily rated workers are made regular workers with all the concomitant benefits available for regular Government employees. Pending finalisation of such a scheme for regularisation, the non regular employees who are recruited by the heads of departments for meeting the exigencies of work must be paid atleast the minimum of the salary, which are paid to the similarly placed regular employees on the basis of equal pay for equal work.

Item No. 8(b). Absorption of GDS as regular postal employees

The postal Department employs the largest number of Government employees, next to Railways and Defence. Nearly half of its workforce is called the Grameen Dak Sewaks, the new nomenclature given for the Extra Departmental Agents. The system of EDAs was evolved by the British Colonial Government to sustain a postal system at a cheaper cost especially in rural areas. Despite the enactment of very many legislation to prohibit the exploitation of workers, the Government continued with this system. No doubt in the post independent era, at the instance and persuasion of the Unions of regular employees, certain benefits were accorded to them. Till 1963, the GDS or the Extra Departmental Agents were treated as Government employees and were covered by the service conditions applicable to civil servants. However, the Department of Post reversed this position thereafter and contended that they are not Central Government employees. The Honourable Supreme Court in 1977 declared that they are holders of Civil Posts. Justice Talwar Committee appointed by the Govt. To look into the issues pertaining to GDS declared that the GDS are holders of Civil posts and all benefits similar to regular employees must be extended to them. However, the Government did not accept this recommendation of the committee which they themselves set up. On the specific suggestion of the Postal Department, the Government set up a separate Committee called the Natarajamurthy Committee to go into their service conditions and suggest improvement on the lines of the recommendations of the 6th CPC. The recommendations of this Committee were totally disappointing and the GDS in the post 6th CPC era is worse of. Instead of utilising the service of GDS for the welfare schemes of the State in rural area by converting them as regular employees, the Department caused injustice to them by acting upon the recommendations of the Natarajamurthy Committee. Recently, the Postal Department has decided that the vacancies in the Cadre of Postmen, and MTS would not be fully made available for promotion to the GDS and an element of open direct recruitment has been introduced. This has decelerated the meagre chance of the GDS being a regular Postal employee further. In order to ensure that their grievances are properly addressed, the Postal Department must be directed to earmark all the existing vacancies in the cadre of Postmen and MTS to the eligible GDS for promotion and a scheme is evolved to absorb the GDS as regular full time Government employees whereby all the service conditions of the Civil Servants.

Item No. 9.Introduction of PLB and removal of ceiling limit

Barring the Railways, Defence production units and Postal Department, Bonus is paid to the Central Government employees on adhoc basis. The 30 days adhoc bonus is the maximum that is provided to them. The 4thand 5th Central Pay Commissions had recommended the introduction of productivity linked bonus scheme to all Departments as is presently the case in the three Departments mentioned above. Even the scheme of PLB is not uniform in as much as the Postal Department introduced a ceiling on the entitled number of days of bonus whereas no such ceiling exist either in the Railways or in the Defence Production organisations. The Government is yet to implement these recommendations even though several rounds of discussions on the subject were held. There is no reason whatsoever, as to why this recommendation could not be implemented. There had been no rise in the adhoc bonus for past a decade even though there had been considerable amount of increase in the case of PLB over the years. The Department of Personnel and Expenditure may be advised to finalise the PLB scheme without further delay for those who are in receipt of adhoc bonus.

Even though Bonus Act is said to have no application or relevance to the Productivity linked Bonus or adhoc bonus, the provisions of the said Act is employed to deny bonus to the Government employees on the basis of their emoluments. The bonus entitlement in both the cases is restricted to the computation based on the notional emoluments of Rs. 3500, while the Postal Department went one step ahead and declared that in the case of GDS, it would continue to be Rs. 2500.The injustice meted out to the GDS in the matter by the Postal Department is highly deplorable. Presently even a casual worker is entitled to get a monthly wage of more than Rs. 3500. The minimum wage as on 1.1.2006 determined by the 6th CPC in respect of Central Government employees is Rs. 7000. By artificially linking the restriction of emoluments stipulated by the Bonus Act, the employees are denied their legitimate entitlement of Bonus. It is, therefore, urged that the Bonus entitlement be computed on the basis of the actual emoluments an employee receives.

Item No. 10. Revising OTA and Night Duty allowance rates:

Overtime allowance is seldom given to the Government employees. In case of emergency and in the contingency in which the work cannot be postponed, like that happens in the RMS division of Postal Department, in the Atomic Energy Commission offices or when the Parliament is in session in other administrative offices, employees are asked to do work beyond the stipulated working hours. The Night duty allowance is provided to the employees who are asked to work in the night shifts with certain stipulated conditions. The 4th CPC recommended that since there had been considerable misuse of the provisions relating to the grant of OTA, the Government should find alternative methods to compensate the employees who are asked to work on over time and pending such a scheme being evolved recommended not to revise the rates. However, the Govt.did not bring in any new scheme of compensation but issued the directive that the OTA and Night duty allowance will be paid to the employees who are called upon to do overtime or night duty applicable as if the pay is not revised at all. This directive is still in vogue. On quite a number of occasions, the Staff Side pointed out the irrationality of the directive of the Government in as much as a person engaged for managing the excess work from outside gets better emoluments than the over time allowance granted to the regular employees. The Government refused to reach an agreement in the National Council on this issue. When the Staff side pressed, the Government came forward to record disagreement and refered the matter to the Board of Arbitration under the JCM. Scheme. The Board of Arbitration having found the unreasonable position taken by the Government gave out the award in favour of the staff and directed the Government to revise the order whereby the allowance will be linked to the actual pay of the Government employees. The Govt. did not accept this award and has approached the Parliament for the rejection of the same. The matter has not yet been placed in the form of a resolution in the Parliament. Despite the fact that the employees had been abiding by the directive of their superiors to be on overtime/night duty, and despite having won the case before the Board of Arbitration they continue to be compensated on the basis of the Notional pay as in 1986. There could not have been a much bigger injustice meted out to the employees. We request that the Department of Personnel/Department of Expenditure be asked to issue necessary revised instruction in the matter in acceptance of the Board of Arbitration award linking the allowance to the actual pay of the employee.

Item No.11. Arbitration Awards.

There are about 17 awards of the Board of Arbitration given in favour of the employees. On the plea that the implementation of these awards would result in heavy financial outflow, the Govt. has moved resolutions in the Parliament for the rejection of these awards. The fact is that the financial burden on account of acceptance of these awards is meagre. It is the delay that has been responsible for the increase in the financial implications as the awards are to be implemented from the date mentioned by the Board of Arbitration in their order. A few years back, the staff side agreed to alter the date of implementation of these awards in order to reduce the financial implication. The official side discussed the issue on several occasions but did not conclude with the result that these awards are still pending acceptance of the Government. It is rather unethical and untenable that the Government has chosen to invoke the sovereign authority of the Parliament to deny the legitimate dues of its own employees. Prior to 1998, the Government has not chosen to approach the Parliament once the award is given in favour of the employees and implemented every one of them except in a very few cases. We urge that the concerned Ministries may be advised to accept these awards and implement the same for such a direction will bring in confidence and respect amongst the employees over the Governmental actions.

Item No. 12.Vacate All Trade Union victimisation.

The Central Government employees are alarmed and distressed over the spree of vindictive actions pursued by various Accountant Generals against the employees of the I A & AD Department. More than 12000 employees have been proceeded against under Rule 14 or 16 of the CCS (CCA) rules. The resort to such vindictive action has been taken by the Administration of the Comptroller and Auditor General of India for the simple reason that the employees together decided to be on mass casual leave demanding the vacation of victimization of the Union functionaries in Kerala, Rajkot, Gwalior, Kolkata, Nagpur, Allahabad etc. The very fact that large number of employees participated in the Mass Casual leave programme is indicative of the fact of the growing discontent against the highhandedness of the Administration.

The authorities in the IA & AD have not been permitting the genuine trade union activities for the last several years. No meeting of the employees is allowed if the same is held under the auspices of the recognized Associations, whereas permission to hold cultural shows even during office hours are granted. In the name of discipline, dissenting voice, howsoever genuine they are, are not being tolerated. Despite repeated pleas made by the All India Audit and Accounts Association, the Comptroller General of India did not deem it to fit to intervene and set right the high handed behaviour of the Accountant General Kerala. On his promotion as Principal Accountant General, he was transferred to Hyderabad, where, as per the report, he has continued with his intolerant attitude towards the Association. Permission to hold the General Body meeting, a constitutional requirement and a necessity to abide by the stipulations made by the CCS (RSA) Rules, 1993, was denied to the recognized Association in Andhra Pradesh. The General Secretary and other office bearers of the Association have been proceeded against under Rule 16 for holding the General Body meeting during lunch break.

In the background of this unprecedented situation and the blanket ban instituted by the authorities to hold any meeting within the office premises we appeal to the Honourable Prime Minister to kindly intervene in the matter and direct the concerned to hear the grievances of the employees and settle the same in an amicable and peaceful atmosphere. In order to create a conducive atmosphere for talks, the authorities may be asked to withdraw all punitive and vindictive actions against the employees who had gone on Mass casual leave as a means of protesting against the inordinate delay in settling issues and to give vent to their feeling of anger against the vindictive actions of various Accountant Generals.

Item No. 13. Right to strike

Article 309 of the Constitution makes it incumbent upon the Government of India and the Provincial Governments to make enactments to regulate the service conditions of the civil servants. However, till date no such enactment has either been moved or passed by the Parliament.. The transitory provisions empowering the President of India to make rules till such time the enactment is made has been employed to regulate the service conditions of the Government employees. Once recruited as an employee, the ILO’s conventions provide all trade union rights. India is a signatory to those conventions. Despite all these legal and moral obligations on the part of the Government, the Government employees continue to be denied the right to collective bargaining. No negotiation is worth the meaning, if the employees have no right to withdraw their labour in case of a non-satisfactory agreement on their demands. It is this legal lacuna which was employed by the Supreme Court to justify the arbitrary dismissal of lakhs of employees by the Tamilnadu State Government when they resorted to strike action. In the judgment delivered by the Supreme Court, it was observed that the Government employees do not have any legal, fundamental or moral right to resort to strike action. The entire section of the Indian Working Class enjoys the right to strike and an effective collective bargaining system except the Government employees. The denial of the right to strike to Government employees was employed by the British Colonial Rulers as part of the scheme to subjugate the Indian people and to shut out any probable dissenting views within the Governmental machinery. To continue with the same concept is to infer that the Sovereign Republic of India want to follow the archaic rules and regulations conceived by colonial rulers perhaps with the same intent. We therefore urge that necessary legislation affording the right to strike to Government employees may be made in the Parliament.

Item No. 14 :Career progression:

For the efficient functioning of an institution, the primary pre-requisite is to have a contended workforce. It is not only the emoluments, perks and privileges that motivate an employee to give his best. They are no doubt important. But what is more important is to provide them a systematic career progression. The present system of career progression available in the All India Services and the organised group A Civil services attracts large number of young, talented and educated persons to compete in the All India Civil Service Examination. No different was the career progression scheme available in the subordinate services in the past. Persons who were recruited to subordinate services were able to climb to Managerial positions over a period of time. The situation underwent vast changes in the last two decades. In most of the Departments, stagnation has come to stay. It takes decades to be promoted to the next higher grade in the hierarchy. It was the recognition of the lack of promotional avenue in the subordinate services that made the 5th CPC to recommend a time bound two career progression scheme. However, this has not gone to address the inherent problem of de-motivation that has crept in due to the high level of stagnation. In most of the Departments, the exercise of cadre review which was considered important was not carried out. Any attempt in this regard was restricted to Group A services. The discontent amongst the employees in the matter is of high magnitude today. It is, therefore, necessary that every Department is asked to undertake to bring about a cadre composition and recruitment pattern in such a manner that an employee once recruited is to have five hierarchical promotions in his career as is presently the position in the All India Services and in the organised Group A services.

Item No.15: Scrap the New Pension Scheme

The defined benefit scheme of pension was introduced replacing the then existing contributory system decades back. . The Government decided to reconvert the same into a contributory scheme on the specious plea that the outflow on pension had been increasing year by year and is likely to cross the wage bill. By making it contributory, the Government expenditure on this score is not likely to get reduced for the next 36 years because of the reason that as per the announced scheme, the Government is to contribute the same amount to the fund as the employees contribute. Coupled with this stipulation the Government is also duty bound to make payment for the existing pensioners and for all Central Government employees who were in service prior to 1.1.2004. The contribution collected from the employees who are recruited after 1.1.2004 is to be managed by a mutual fund operator for investment in the stock market. It is the vagaries of the stock market which will then determine the quantum of pension or in other words annuity, which would not be cost indexed. Before the introduction of the new scheme and the PFRDA bill, the Government had set up a committee under the chairmanship of Shri Bhattacharya, the then Chief Secretary of the State of Karnataka. The bill was unfortunately drafted and presented to the Parliament disregarding even the recommendation of the said committee to the effect that the Govt. should consider introducing a hybrid system by which the employees will have either a defined benefit pension or opt for a higher return through stock exchange investments. Despite the non-passage of the bill and the consequent absence of a valid law to support the Pension Regulatory authority, the Govt. converted the existing pension scheme into a contributory one through executive fiat and invested a percentage of the fund so generated from the employees’ contribution in the Stock market. India is a young country and the expenditure on statutory pension has remained over a long period not more than 5% of GDP which the country/Government can afford to spend. The withdrawal of PFRDA bill is required for the following reasons too:

(a) The new pension scheme is going to make social security in old age uncertain and dependent on market forces.

(b) The scheme has been compulsorily imposed on a section of employees and hence it is discriminatory.

(c) Such scheme had been a failure in many countries including Chile, UK and even USA. In USA entire pension wealth has been wiped out leaving pensioners with no pension. In Argentina the contributory scheme which was introduced at the instance of IMF was replaced with the defined benefit pension scheme.

(d) The PFRDA Bill has provisions empowering the Govt. and the Authority to cover employees now left out and to amend the existing entitlements of pension benefits.

(e) In majority of the countries, “pay as you go” is the system of pension.

(f) The contributory scheme does not give any guarantee for a minimum pension of 50% of the pay drawn at the time of retirement of the employee. Nor does it provide for the protection of his family members in the form of family pension in the event of death.

The Supreme Court has declared pension as one of the fundamental rights. The government should therefore retrace from its avowed position, which is detrimental to the interest of the employees and ensure that the employees recruited after 1.1.2004 is covered by the existing statutory defined benefit scheme and withdraw the PFRDA bill from the Parliament.