Apr 28, 2014

Bharat Pensioners Samaj Draft Reply to 7th CPC questionnaire for comments & Suggestions highlighting OROP, FMA, NPS Withdrawal, Merger of DR, Exemption from IT etc.



Ms Meena Agarwal
Secretary  GOI Seventh  Central Pay Commission
Post Box No 4599 Hause Khas
P.O. New Delhi -110016
e.mail: secy-7cpc@nic.in

Madam,

Subject: 7th Questionnaire
Reference: D.O. No 7cpc/15/questionnaire   dated 9th April 2014
‘Bharat Pensioners Samaj’. One of the identified Pensioners Federation by GOI  M/O Personnel,  PG & Pensions-DOPPW and a stake holder. In its capacity as one of the oldest &  largest  Pensioners Organization with over 500 Affiliated associations, submits here under reply to items Nos 10.1 &  10.1.2 under the head ‘Pension’ in the questionnaire
However, as Pension is not independent of Salary suggestions for basic structure are for Salary/Pension.


Item No 10.1 New pension Scheme i.e The retirement benefits of all Central Government employees appointed on or after 1.1.2004 are covered by the New Pension Scheme (NPS). What has been the experience of the NPS in the last decade?

Withdraw New Pension Scheme: for following reasons:
(i) Pension of Govt. employees is a deferred wage. Since wage paid out to them during the course of work tenure is kept low by design, to cater for pension. 
(ii) He/She forgoes with interest 8.33% of govt. matching contribution to PF.
(iii) Pension is a social security measure & cannot be subjected in any way to Market risks (iii) It does not guarantee minimum return & thus lacks the basic fiber of Social Security Scheme (iv). It is in no way better than the existing Scheme (vi)It does not provide guaranteed Family Pension to dependents & disabled siblings which exist in present scheme, even in case of spouse & dependent parents where death of the employee occur in early years of service there is no adequate social security.

Item 10.1.2  i.e.  As for as pre 2004 appointees are concerned, what should be the principles that govern thestructure of pension and retirement benefits?

Basic structure of Pay/ Pension
1. Keeping in view the Socialistic structure of the country , constitutional provisions & to reduce vast  inequality between have & have lots, it is proposed:  The Ratio between maximum & minimum of Salary/ Pension be brought down to  9:1. Ensuring uniformly equal rise in Salary/Pension of all employees/pensioners, irrespective of pre- retiral status. By adopting common multiplication factor for revision of Pension/Pay, as raising the ratio between minimum & maximum of salary/pension to 1:12.85 by 6thCPC  , instead of reducing it,  was  unconstitutional .

In order to cater to the need of talent attraction in all cadres 7th pay commission is requested to  first workout the top most revised salary/pension, divide it by 9 to arrive at the minimum revised salary & then derive a uniform multiplication factor  by dividing minimum of revised Salary/Pension by minimum of pre-revised salary/Pension for  revision of  Pay & Pension with the condition that Pension shall not in any case be less than 65% & family Pension 45% of the last Pay  in Pay Band i.e. Pay in Pay Band+ GP  /Pay scale or of average of last 10 months emoluments (Whichever is more beneficial) as was worked out & recommended by TECS (Tata Economic Consultancy Services)  consultant to Vth CPC (Para 127.9 Vol III 5th CPC report)

Apr 27, 2014

EXPECTED PAY STRUCTURE OF 7TH CPC

EXPECTED 7TH CPC PAY SCALE :-

7th CPC Pay Scale is fast becoming the most mesmerizing phrase among Central Government employees these days. 

Every Central Govt Employee is waiting to find out the changes in their pay scale that the 7th CPC would recommend to the pay structure. Sensing this eagerness, Bloggers have been regularly coming up with their own versions of what the pay structure could be. Do not take those writings seriously sand authentically. 

Based on all the changes right from the 1st CPC, until the 6th CPC, we have predicted a pay structure. Even though we weren’t keen on it, we have been receiving requests by email and comments. At a point, it became unavoidable. We just had to give our own interpretation too. 
Since the basic pay of an ordinary employee has evolved from 260-950-3050-7730, the next change is expected to increase the salary by 2.5 times. Our Projected Pay Scale is expecting an increase of no more than 3 times. 

It could be 260-950-3050-7730-22500..!

More than the hike, everybody is hoping that the Grade Pay would be in proper series. 

And, everybody wants and hopes for a recommendation that prescribes a uniform Multiplication Factor (6th CPC 1.86) to all categories of employees. 
6th CPC PAY STRUCTURE
EXPECTED PAY STRUCTURE OF 7TH CPC
Pay Band
Pay Bands
Grade Pay
Pay in the Pay Band
Pay Scale
Pay Band
Grade Pay
Pay in the Pay Band
Pay Scale
PB-1
5200-20200
1800
5200
7000
15000-60000
5000
15000
20000
PB-1
5200-20200
1900
5830
7730
15000-60000
5500
17000
22500
PB-1
5200-20200
2000
6460
8460
15000-60000
6500
20000
26500
PB-1
5200-20200
2400
7510
9910
15000-60000
7500
23000
30500
PB-1
5200-20200
2800
8560
11360
15000-60000
8500
26000
34500
PB-2
9300-34800
4200
9300
13500
30000-100000
10000
30000
40000
PB-2
9300-34800
4600
12540
17140
30000-100000
13500
35000
48500
PB-2
9300-34800
4800
13350
18150
30000-100000
15000
40000
55000
PB-3
15600-39100
5400
15600
21000
50000-150000
16500
50000
66500
PB-3
15600-39100
6600
18750
25530
50000-150000
20000
60000
80000
PB-3
15600-39100
7600
21900
29500
50000-150000
23000
70000
93000
PB-4
37400-67000
8700
37400
46100
100000-200000
26000
100000
126000
PB-4
37400-67000
8900
40200
49100
100000-200000
27500
110000
137500
PB-4
37400-67000
10000
43000
53000
100000-200000
30000
120000
150000

Source - 90paisa


Vacancy notification for various posts in Seventh Central Pay Commission

Get details of the posts vacant with the Seventh Central Pay Commission. Information about various posts such as Under Secretary, Systems Analyst, Section Officers, Stenographer, Multi-Tasking Staff, etc. is available. Uses can also get details of the number of vacancies and pay band of each post.

Apr 26, 2014

7th Pay Commission Questionnaire – Ratio of Minimum & Maximum Salary, Grade Pay Suggestion, Increment Date, Determination of HRA and Pension

GOVERNMENT OF INDIA
SEVENTH CENTRAL PAY COMMISSION
9-1 WA, NEW DELHI-110001

Meena Agarwal
Secretary

D.O No. 7CPC/15/Questionnaire

9th April, 2014

Dear ………..,

As you may be aware the Seventh Central Pay Commissions has been constituted by the Government on 28 February 2014 with a view to go into various issues of emoluments’ structure, retirement benefits and other service conditions of Central Government employees and to make recommendations on the changes required. The terms of reference of the Seventh Central Pay Commission are available on the http://7cpc.india.gov.in .

2. A Questionnaire seeking the considered views of all stakeholders is enclosed. The response of your Ministry to this Questionnaire is sought. I shall be grateful if the replies are furnished to the Commission on or before 10th May, 2014, so as to enable the Commission to take them into account as part of its examination of the issues that it is mandated to address. The reply may be sent to Post Box No. 4599, Hauz Khas P.O, New Delhi 110 016, and in the case of email to secy-7cpc@nic.in.

Encl:- As above.

With Regards,

Yours sincerely,
(Meena Agarwal)

To all Secretaries to Govt of India

7th CPC Questionnaire

1. Salaries

1.1 The considerations on which the minimum salary in case of the lowest Group ‘C’ functionary and the maximum salary in case of a Secretary level officer may be determined and what should be the reasonable ratio between the two.

1.2 What should be the considerations for determining salary for various levels of functions falling between the highest level and the lowest level functionaries?

2. Comparisons

2.1 Should there be any comparison/parity between pay scales and perquisites between Government and the private sector? If so, why? If not, why not?

2.2 Should there at all be any comparison/parity between pay scales and perquisites between Government and the public sector? If so, why? If not, why not?

2.3 The concept of variable pay has been introduced in Central Public Sector Enterprises by the Second Pay Revision Committee. In the case of the Government is there merit in introducing a variable component of pay? Can such variable pay be linked to performance?

3. Attracting Talent

3.1 Does the present compensation package attract suitable talent in the All India Services & Group A Services? What are your observations and suggestions in this regard?

3.2 To what extent should government compensation be structured to attract special talent?

4. Pay Scales

4.1 The 6th Central Pay Commission introduced the system of Pay Bands and Grade Pay as against the system of specific pay scales attached to various posts. What has been the impact of running pay bands post implementation of 6th CPC recommendations?

4.2 Is there any need to bring about any change?

4.3 Did the pay bands recommended by the Sixth CPC help in arresting exodus and attract talent towards the Government?

4.4 Successive Pay Commissions have reduced the number of pay scales by merging one or two pay scales together. Is there a case for the number of pay scales/ pay band to be rationalized and if so in what manner?

4.5 Is the “grade pay” concept working? If not, what are your alternative suggestions?

5. Increment

5.1 Whether the present system of annual increment on 1 st July of every year uniformly in case of all employees has served its purpose or not? Whether any changes are required?

5.2 What should be the reasonable quantum of annual increment?

5.3 Whether there should be a provision of variable increments at a rate higher than the normal annual increment in case of high achievers? If so, what should be transparent and objective parameters to assess high achievement, which could be uniformly applied across Central Government?

5.4 Under the MACP scheme three financial up-gradations are allowed on completion of 10, 20, 30 years of regular service, counted from the direct entry grade. What are the strengths and weaknesses of the scheme? Is there a perception that a scheme of this nature, in some Departments, actually incentivizes people who do not wish to take the more arduous route of qualifying departmental examinations/ or those obtaining professional degrees?

6. Performance

What kind of incentives would you suggest to recognize and reward good performance?

7. Impact on other organizations

Salary structures in the Central and State Governments are broadly similar. The recommendations of the Pay Commission are likely to lead to similar demands from employees of State Governments, municipal bodies, panchayati raj institutions & autonomous institutions. To what extent should their paying capacity be considered in devising a reasonable remuneration package for Central Govt. employees?

8. Defence Forces

8.1 What should be the considerations for fixing salary in case of Defence personnel and in what manner does the parity with civil services need to be evolved, keeping in view their respective job profiles?

8.2 In what manner should the concessions and facilities, both in cash and kind, be taken into account for determining salary structure in case of Defence Forces personnel.

8.3 As per the November 2008 orders of the Ministry of Defence, there are a total of 45 types of allowances for Personnel Below Officer Rank and 39 types of allowances for Officers. Does a case exist for rationalization/ streamlining of the current variety of allowances?

8.4 What are the options available for addressing the increasing expenditure on defence pensions?

8.5 As a measure of special recognition, is there a case to review the present benefits provided to war widows?

8.6 As a measure of special recognition, is there a case to review the present benefits provided to disabled soldiers, commensurate to the nature of their disability?

9. Allowances

9.1 Whether the existing allowances need to be retained or rationalized in such a manner as to ensure that salary structure takes care not only of the job profile but the situational factors as well, so that the number of allowances could be at a realistic level?

9.2 What should be the principles to determine payment of House Rent Allowance?

10. Pension

10.1 The retirement benefits of all Central Government employees appointed on or after 1.1.2004 a re covered by the New Pension Scheme (NPS). What has been the experience of the NPS in the last decade?

10.2 As far as pre-1.1.2004 appointees are concerned, what should be the principles that govern the structure of pension and other retirement benefits?

11. Strengthening the public governance system

11.1 The 6th CPC recommended upgrading the skills of the Group D employees and placing them in Group C over a period of time. What has been the experience in this regard?

11.2 In what way can Central Government organizations functioning be improved to make them more efficient, accountable and responsible? Please give specific suggestions with respect to:

a) Rationalisation of staff strength and more productive deployment of available staff;

b) Rationalisation of processes and reduction of paper work; and c) Economy in expenditure.

12. Training/ building competence

12.1 How would you interpret the concept of “competency based framework”?

12.2 One of the terms of reference suggests that the Commission recommend appropriate training and capacity building through a competency based framework.

a) Is the present level of training at various stages of a person’s career considered adequate? Are there gaps that need to be filled, and if so, where?
b) Should it be made compulsory that each civil service officer should in his career span acquire a professional qualification? If so, can the nature of the study, time intervals and the Institution(s) whose qualification are acceptable, all be stipulated?
c) What other indicators can best measure training and capacity building for personnel in your organization? Please suggest ways through which capacity building can be further strengthened?

13. Outsourcing

13.1 What has been the experience of outsourcing at various levels of Government and is there a case for streamlining it?

13.2 Is there a clear identification of jobs that can be outsourced?

14. Regulatory Bodies

14.1 Kindly list out the Regulators set up unde r Acts of Parliament, related to your Ministry/ Department. The total number of personnel on rolls (Chairperson and members + support personnel) may be indicated.

14.2 Regulators that may not qualify in terms of being set up under Acts of Parliament but perform regulatory functions may also be listed. The scale of pay for Chairperson /Members and other personnel of such bodies may be indicated.

14.3 Across the Government there are a host of Regulatory bodies set up for various purposes. What are your suggestions regarding emoluments structure for Regulatory bodies?

15. Payment of Bonus

One of the terms of reference of the 7th Pay Commission is to examine the existing schemes of payment of bonus. What are your suggestions and observations in this regard?

Source:http://7cpc.india.gov.in/7cpc_questionnaire.pdf