· 2016-12-12 · 4.7.0 thas per 15 indian labour conference 28 ... pb-3 for the aes in cpwd 58...
TRANSCRIPT
CHAPTER PARA DESCRIPTION PAGE
01 1.1.0 PREAMBLE 01
1.2.0 PREVIOUS PAY COMMISSIONS 03
1.3.0 BACKGROUND OF APPOINTMENT OF
7TH
CENTRAL PAY COMMISSION 04
1.4.0 PERMANENT WAGE REVIEW BODY 04
1.5 0 PRINCIPAL TO GOVERN THE STRUCTURE OF
EMOLUMENTS 06
02 2.0.0 INTRODUCTION 09
2.2.0 ROLE OF C.P.W.D. 09
2.3.0 CADRE STRUCTURE OF ENGINEERS IN C.P.W.D. 10
2.4.0 SUBORDINATE ENGINEERING SERVICES 10
03 3.0.0 ASSESSENT OF THE INTRINSIC VALUE OF THE JOB OF
ASSISTANT ENGINEER & EXECUTIVE ENGINEER 12
3.3.0 RECRUITMENTS TO THE SERVICE 13
3.4.0 SKILL NEEDED FOR THE JOB, NATURE OF WORK, THE
WORK ATMOSPHERE & INHERERENT ARDUOUSNESS 17
3.5.0 OFFICIAL CORRESPONDENCE 20
3.6.0 WORKING CONDITIONS 20
3.7.0 RESPONSIBILITIES 21
04 4.0.0 GUIDING PRINCIPLES FOR DETERMINATION
OF PAY SCALES 24
4.3.0 PRINCIPLE OF MINIMUM WAGE AS PER CONSTITUTION OF INDIA 26
4.4.0 EQUAL PAY FOR EQUAL WORK 26
4.5.0 AS PER REPORT OF FAIR WAGE COMMITTEE 26
4.6.0 VERDICTS OF THE HON’BLE SUPREME COURT 27
4.7.0 AS PER 15TH
INDIAN LABOUR CONFERENCE 28
INDEX
4.8.0 VIEW OF NATIONAL COMMISSION ON LABOUR (NCL)
ON MINIMUM WAGE 29
4.9.0 CONCLUSION OF THE ISSUE 29
4.10.0 BHOOTLINGAM COMMITTEE REPORT
(GIST OF RECOMMENDATION NO. 6-9) 30
4.11.0 THE 3RD
CENTRAL PAY COMMISSION (REF. VOL.4) 30
4.12.0 4TH
CENTRAL PAY COMMISSION 31
4.13.0 5TH
CENTRAL PAY COMMISSION 32
4.14.0 6TH
CENTRAL PAY COMMISSION 33
05 5.0.0 ANOMALY IN THE EXISTING PAY STRUCTURE OF 6th CPC 36
5.2.0 MINIMUM SALARY 37
5.3.0 RATIO OF MINIMUM TO MAXIMUM SALARY 38
5.4.0 ARBITRARY AND ERRONEOUS DETERMINATION OF THE START
OF VARIOUS PAY BANDS 38
5.5.0 FAULTY DESIGN OF GRADE PAY 40
5.6.0 ARBITRARY FIXATION OF VARIOUS STAGE OF PRE-REVISED
SCALE UNDER THE SCHEME OF PAY BANDS 41
5.7.0 EROSION OF HIGHER SCALE IN PAY BANDS 42
5.8.0 STUDY DECREASE IN PAY WITH TIME 42
5.9.0 MERGER OF S-9, S-10, S-11 & S-12 IN PB-2 ONLY
AN EYE WASH 43
5.10.0 CONTRADICTORY RECOMMENDATION IN CASE OF
SUBORDINATE ENGINEERS SERVICES 43
5.11.0 PROMOTION MADE LESS ATTRACTIVE UNDER THE SCHEME 44
5.12.0 REVISED PAY FOR VARIOUS STAGES IN PRE-REVISED
SCALES NOTCOMMENSURATE WITH THE CORRESPONDING
FIXATION OF THE BASIS OF 2.5% PROPOSED INCREMENT 45
5.13.0 ANOMALY IN REGARD TO THE SCALE OF RS. 8000-275-13500. 45
5.14.0 ANOMALOUS, AND UNJUST RECOMMENDATION OF
PREVIOUS PAY COMMISSIONS 46
5.15.0 ANOMALIES IN THE PAY SCALES OF JUNIOR ENGINEERS 46
5.16.0 RECONSTRUCTION OF THE PAY BANDS 50
06 6.0.0 PAY SCALE OF ASSISTANT ENGINEERS
(GROUP “B-GAZETTED) 53
6.2.0 THE PRE-REVISED PAY SCALE OF 8000-13500 IN
PB-3 FOR THE AEs IN CPWD 58
07 7.0.0 PROPOSED PAY SCALES FOR ENGINEERING CADRES 62
7.2.0 DR. AKROYD’S FORMULA (APPROACH-I) 63
7.3.0 APPROACH –II (POINT RATING METHOD) 63
7.4.0 APPROACH – III (JOB EVALUATION) 64
7.5.0 APPROACH –IV (INCREMENTAL INCREASE) 66
7.6.0 APPROPRIATE MINIMUM PAY SCALE FOR JUNIOR ENGINEERS 67
7.7.0 THE PROPOSED FORMULATED PAY SCALE FOR
ENGINEERING CADRE OF CPWD 68
7.8.0 PAY SCALES PROPOSED FOR THE ENGINEERING CADRES
OF CPWD 69
08 8.0.0 ASSURED CAREER PROGRESSION 70
09 9.0.0 MATTER RELATING TO PAY FIXATION 79
9.2.0 DATE OF EFFECT 80
9.3.0 FIXATION OF PAY IN PROPOSED SCALES OF PAY 81
9.4.0 INTERIM RELIEF 82
10 10.0.0 ALLOWANCES 83
10.1.0 DEARNESS ALLOWANCE 83
10.2.0 HOUSE RENT ALLOWANCE 85
10.3.0 RESTRORATION OF CITY COMPENSATORY ALLOWANCE 88
10.4.0 PROJECT ALLOWANCE 90
10.5.0 CONVEYANCE ALLOWANCE 92
10.6.0 NON PRACTICING ALLOWANCE 94
10.7.0 CHILDREN EDUCATION ALLOWANCE 96
10.8.0 HILL COMPENSATORY ALLOWANCE 99
10.9.0 DIFFICULT AREA ALLOWANCE 99
10.10.0 TRANSPORTATION ALLOWANCE 100
10.11.0 DESIGN AND PLANNING ALLOWANCE 100
10.12.0 MEDICAL FACILITIES 101
11 11.0.0 PROMOTION 105
12 12.0.0 OTHER ANCILLARY BENEFITS 109
12.2.0 LEAVE TRAVEL CONCESSION (L.T.C.) 110
12.3.0 LEAVE HOLIDAYS AND OTHER FACILITIES 110
12.4.0 WITHDRAWAL OF CEILLING ON EARNED LEAVE 112
12.5.0 LEAVE ENCASHMENT 113
13 13.0.0 RETIREMENT SCHEME 114
13.2.0 VOLUNTARY RETIREMENT 115
13.3.0 PENSION 116
13.4.0 ABOLITION OF NEW PENSION SCHEME 118
13.5.0 AGE RELATED ADDITIONAL PENSION 120
13.6.0 RETIREMENT GRATUITY 121
13.7.0 FAMILY PENSION 122
13.8.0 COMMUTATION OF PENSION 123
13.9.0 D.P. / INTERIM RELIEF 124
13.10.0 MEDICAL FACILITIES 125
13.11.0 L.T.C. 127
13.12.0 SENIOR CITIZEN COUNTER 127
13.13.0 H.R.A. 128
13.14.0 SANCTION TO FINAL INCREMENT EARNED DURING 6 OR MORE
MONTHS OF SERVICE BY THE RETIRING EMPLOYEES. 128
13.15.0 BENEFITS OF THE PAY COMMISSIONS TO THE LAST MID-
NIGHT RETIRING EMPLOYEES 128
ANNEXURE-A CHART SHOWING THE VERTICAL & HORIZONTAL RELATIVITIES
OF PAY SCALES WITH REGARD TO THE CPWD ENGINEERS 130
ANNEXURE-B GRAPICAL REPRESENTATION 131
ANNEXURE-I WHOLE SALE MARKET RATE (PUNJAB KESARI) 132
ANNEXURE-II COMPUTATION OF RETAIL PRICE 134
ANNEXURE-III FIXATION OF MINIMUM WAGES ON AKROYD’S FORMULA 135
ANNEXURE-IV-A MANUAL FOR SYSTEMATIC CATEGORISATION OF JOBS
(POINT RATION METHOD) 136
ANNEXURE-IV-B JOB EVOLUATION OF JUNIOR ENGINEERS IN CPWD 150
ANNEXURE-IV-C JOB EVOLUATION OF CLASS-IV EMPLOYEE 153
ANNEXURE-V ALL INDIA CONSUMER PRICE INDEX FOR INDUSTRIAL
WORKERS 155
ANNEXURE-VI DUTIES AND RECRUITMENT RULES OF JUNIOR ENGINEERS,
ASSISTANT ENGINEERS & EXECUTIVE ENGINEERS ETC. 157
to
189
1
1.1.0 PREAMBLE :
1.1.1 The Govt. of India in its wisdom have appointed the 7th
Central Pay Commission
under the Chairmanship of Hon’ble Justice Shri Ashok Kumar Mathur, retired
Justice of Hon’ble Supreme court of India, shri Vivek Rae, Member and Dr.
Rathin Roy as part time member and Smt. Meena Agarwal as member Secretary
vide Govt. of India’s resolution No. 1/1/2013-EIII(A) Dt.28th
, February, 2014 to
study in-depth about the pay structures, allowances and service conditions etc. of
the Central Govt. employees with the following terms and references :-
(a) To examine, review, evolve and recommend changes that are desirable and
feasible regarding the principles that should govern the emoluments
structure including pay, allowances and other facilities/benefits, in cash or
kind, having regard to rationalization and simplification therein as well as
the specialized needs of various Departments, agencies and services, in
respect of the following categories of employees:-
(i) Central Government employees-industrial and non-industrial;
(ii) Personnel belonging to the All India services;
(iii) Personnel of the Union Territories;
(iv) Officers and employees of the Indian Audit and Accounts Department;
(v) Members of regulatory bodies (excluding the RBI) set up under Acts of
parliament; and
(vi) Officers and employees of the Supreme Court.
(b) To examine, review, evolve and recommend changes that are desirable and
feasible regarding principles that should govern that emoluments structure,
concessions and facilities/benefits, in cash or kind, as well as retirement
benefits of personnel belonging to the Defence forces, having regard to the
historical and traditional parities, with due emphasis on aspects unique to
these personnel,
CHAPTER – 1
2
(c) To work out the framework for an emoluments structure linked with the need
to attract the most suitable talent to Government service, promote efficiency,
accountability and responsibility in the work culture, and foster excellence in
the public governance system to respond to complex challenges of modern
administration and rapid political, social, economic and technological
changes, with due regard to expectations of stakeholders, and to recommend
appropriate training and capacity building through a competency based
framework,
(d) To examine the existing schemes of payment of bonus, keeping in view,
inter-alia, its bearing upon performance and productivity and make
recommendations on the general principles, financial parameters and
conditions for an appropriate incentive scheme to reward excellence in
productivity, performance and integrity,
(e) To review the variety of existing allowances presently available to
employees in addition to pay and suggest their rationalization and
simplification with a view to ensuring that the pay structure is so designed as
to take these into account,
(f) To examine the principles which should govern the structure of pension and
other retirement benefits, including revision of pension in the case of
employees who have retired prior to the date of effect of these
recommendations, keeping in view that retirement benefits of all Central
Government employees appointed on and after 01.01.2004 are covered by
the New Pension Scheme (NPS),
(g) To make recommendations on the above, keeping in view:
i. the economic conditions in the country and need for fiscal prudence;
ii. the need to ensure that adequate resources are available for developmental
expenditures and welfare measures;
iii. the likely impact of the recommendations on the finances of the State
Governments, which usually adopt the recommendations with some
modifications;
3
iv. the prevailing emolument structure and retirement benefits available to
employees of Central Public Sector Undertakings; and
v. the best global practices and their adaptability and relevance in Indian
conditions.
(h) To recommend the date of effect of its recommendations on all the above;
(i) The commission will make its recommendations within 18 months of the
date of its constitution. It may consider, if necessary, sending interim report
on any of the matters as and when the recommendations are finalised.
1.1.2 The All India CPWD Engineers Association feel pleasure to submit this
Memorandum before this august body with a trust and confidence for the
judicious recommendations of Pay scales and other benefits with a real approach
and practical look with respect to the Engineers of CPWD having major
contribution and significant share in a all-round development of our great nation.
1.1.3 In view of their ordous and coherent duties, this Commission is expected to give
the just promising and respectable pay scales to motivate the Engineers for
optimum utilisation of their devoted and dedicated services and bright skill in the
wider interest of the Nation.
1.2.0 PREVIOUS PAY COMMISSIONS :
1.2.1 After the Islington Commission who submitted its recommendation in August
1915, the Union Government provided this opportunity to the Central
Government employees, to hope for better future prospects.
1.2.2 The Government of India appointed the 1st C.P.C. as Vardacharior Commission
on 10th
May 1946 to re-examine the principle of salary determination.
1.2.3 The 2nd
C.P.C. was constituted in 1958 under the Chairmanship of Hon’ble
Justice Das and submitted its report in 1960.
1.2.4 The 3rd
C.P.C. was constituted in 1971 under the Chairmanship of Hon’ble
Justice Raghubar Dayal. The Commission submitted its report effective from
1.1.1973.
1.2.5 The 4th
C.P.C. was constituted under the chairmanship of Hon’ble Justice P.N.
Singhal and submitted its report effective 1.1.1986.
4
1.2.6 The 5th
C.P.C. was constituted on 9th
April 1994, under the Chairmanship of
Hon’ble Justice S.S. pandiyan. This Commission submitted its report during Jan-
1997 to be effective from 1.1.1996.
1.2.7 The 6th
C.P.C. was constituted on 5th
October, 2006 under the Chairmanship of
Hon’ble Justice B.N. Srikrishna and submitted its report effective 01.01.2006.
1.2.8 The 7th
C.P.C. is expected to give effect to its recommendations w.e.f.
01.01.2016 as chronology and propriety demands.
1.3.0 BACKGROUND OF APPOINTMENT OF 7TH
C.P.C. :
1.3.1 The present wage structure of Central Government employees is based on the
recommendations of the 6th
C.P.C. which came in to force with effect from
1.1.2006. Though the earlier Pay Commissions (i.e. 1st, 2
nd & 3
rd) were asked to
recommend the principles of pay, the 4th
Pay Commission was only asked to
examine the present structure of emoluments and conditions of service and to
suggest changes which may be desirable and feasible. This restriction of the
terms of reference was significant. The 4th
Pay commission discussed several
principles, their merits and demerits and concluded that after taking all the
factors into consideration they make their recommendation. In its
recommendation the Commission though did not specify any principle, but
evolved what they called as factors for pay determination for their guidance, and
laid down the scales of Pay etc.
1.3.2 Since 4th
C.P.C. did not evolved any principle and their recommendations were
arbitrary in as much as they were not related to any principle. Hence, it had not
created confidence among the employees as they are not aware as to on what
principle their wages were fixed.
1.4.0 PERMANENT WAGE REVIEW BODY :
1.4.1 On receipt of 4th
Pay Commission’s report & recommendations, the Government
of India through council of Ministers discussed various aspects of the
recommendations. The council of Ministers assured that the Govt. would give
earnest and early consideration to the recommendation of Commission for setting
up of Permanent Wage Review Body as provided in para 29.15 (vol-I) of the
5
Report that the 4th
Pay Commission had suggested for setting up of a wage
body which should be responsible for maintaining and up-dating the basic data
of pay and allowances of Government employees and to review the pay scales,
rates of allowances and other related matters regularly. Not only this they have
quoted/suggested the parallel provisions as it exists in the united Kingdom
which undertakes review of wage structure of both civilian and defence
officers to enable the employees to negotiate wage issues in the Whitely
councils.
1.4.2 But the government did not implement the recommendation of setting up
Permanent Wage Review body. Consequently due to lapse of time and with
fresh wage agreements in other sectors of economy, the wages of Central
Government employees radically eroded and lagged far behind, frustrating the
intention of the 4th
Pay commission in updating the wage structure of Central
Government employees regularly in relation to outside employment.
1.4.3 Although, the Council of Ministers assured that the Govt. would give earnest and
early consideration to the recommendation of the IVth C.P.C. at Para 29.15 of its
report (Vol-I) for setting-up of permanent wage Review Body but this assurance
was not implemented till the appointment and even upto the submission of the
report of Vth C.P.C. which also strongly recommended for setting up of a
constitution Permanent pay Body for Central Govt. employees vide Para 171.8
and 171.10 on pages 2050 and 2051 of its report (Vol.-III). It is however, noted
with dismay that the pretty long period of 28 years is lapsed but the aforesaid
recommendations for setting-up a permanent wage body could not see the light
of the day. We are of the considered opinion that the permanent pay body for
the Govt. employees be constituted without loss of any more time in the wider
interest of the employees and Ex-chequer Govt as well.
1.4.4 Similarly, the Vth C.P.C. vide Para 171.9 of its report recommended for revision
of pay scales every year. The recommendation are as under :
“In fact, the mandate for such a Pay Body should be to suggest revision of pay
scales every year by merger of dearness allowance or with reference to the cost
of living index. This is the procedure being followed in the rest of the world
6
and there is no reason why India should not fall in line with the practice being
followed by other countries. Such a procedure will make for a graduated rise
in the basic pays of central Govt. employees, with consequent impact on
dearness allowances, house rent allowances, retirement benefits etc. While the
employees would have no grievance that their wage levels are static for periods
ranging from 10-13 years at a time, Govt. will also have the advantage of a
gradual increase in expenditure on pay and allowances of its employees. It will
also do away with the present tendency of tradesmen to hike up prices
artificially merely because of the decennial revision of salaries of the Central
Govt. employees.”
1.4.5 The Vth C.P.C. further recommended in Para 171.12 for review to be time bound
for pay revision of Central Govt. employee once in 10 years at least, till the
setting-up of such Permanent Wage Body. Therefore, the recommendations of
the Hon’ble Commission ought to have the effect from 01.01.2016.
1.5.0 PRINCIPLES TO GOVERN THE STRUCTURE OF EMOLUMENTS :
1.5.1 The Vth Central Pay Commission was also directed in its terms of reference “to
evolve the principles which should govern the structure of emoluments and
those conditions of services of Central Govt. employees which have a financial
bearing.
1.5.2 The Vth central Pay Commission found following criteria in addition to the
principles evolved by earlier Pay Commission useful in this approach to pay
determination.
i. Intrinsic value of job which includes the analysis of factors (like skill,
arduousness, the work atmosphere, the qualification, the recruitment
procedure the chances of career progression, the status, the security, the
prestige, the perquisites) in relation to a job encompassing every thing that
is qualifiedle and non qualifiable. (Refer Para 40.25 of Report vol.-I)
ii. The need to link smaller entities to larger entities in order to collect
isolated posts and place them in a cadre, pick up cadres and put them in a
service (para 40.26)
7
iii. The need to delink pay from position in the hierarchy enabling an
employee to avail pay up-gradation in the absence of his rise in hierarchy
in terms of “Assured Career Progression” (Para 40.2)
iv. The need to even handed in justice towards the lowest and highest paid
functionaries (para 40.28) It was however stated in the report vide para no.
40.30 that they had kept the “Capacity of Government” to pay uppermost
in their mind, while determining the pay structure of the employees.
1.5.3 In para 41.37 of its report, the 5th
Pay Commission, while stressing the job
evaluation as the most scientific criteria for fixation of salaries and appreciation
the point rating system for each job evolved by the Govt. of Canada, has inter-
alia stated that the adoption of that technique for job evaluation shall entail an
elaborate exercise for which the fifth C.P.C. did neither have the time nor the
will, like IVth pay commission. The pay Commission had however, though
reluctantly, discarded the criteria of Job evaluation for the time being while
determining the pay structure as stated in its report para 41.37.
1.5.4 The Vth Pay Commission had stated in its report para 40.23 that the central
government is now neither the model employer nor a good employer.
1.5.5 The most significant omission of the above recommendation was the absence of
proper and scientific approach for job evaluation, which the pay commission,
itself had admitted. Further more, the Govt. did not pay any heed to the
recommendations of the Commission in regard to setting up of a Permanent
Wage Body.
1.5.6 The capacity of the Govt. to pay should have not been given uppermost
consideration in view of the facts.
(a) The expenditure on pay and allowances of the civilian employees as a
percentage of revenue receipts, revenue expenditure and GDP, was steadily
declining since 1960-61 (as stated by the Vth Central Pay commission in
para 35.9)
(b) The percentage increase in salaries at various level in govt. between 1.1.86
and 1.1.96 was even lower than the percentage increase of per capita income
during the same period (Para 35.11)
8
(c) Govt. can not ask excuse of lack of resources or stringent budgetary
constraints, when it is confronted with the issue of paying the employees,
what is reasonably due to them, particularly in view of the fact that the Govt.
itself had lifted the lid off the private sector emoluments and it has shown no
circumspection while approaching wage revisions in public sector.
The Vth Central Pay Commission itself admitted that the problem of the yawing
gap between the salaries and benefits available in private sector and the govt. at
all levels if not addressed, it is likely to gradually spell a rot in the system. Not
only this, the flight of talent is an immediate possibility but a tendency towards
corruption is also equally likely.
1.5.7 The Vth Pay Commission like 4th
C.P.C. retained the pretax disparity ratio
between the minimum and maximum at 10.7 (para 42.36), whereas the VIth CPC
vide Para-22.17/page-43 of its report inhumed this ratio as 1 : 12 while this ratio
is abysmally low in other countries as detailed below (para 42.32)
International Disparity Ratio 1995
Country Ratio
Malaysia 3.00
Sweden 4.00
U.S.A. 4.00
Britain 6.00
France 6.6
Indonesia 6.9
Australia 7.7
China 8.00
Thailand 9.00
1.5.8 The recommendations of the 5th
C.P.C. to draw a “national wage policy” in
order to ensure at least the near uniform salary structure in all sector i.e. govt.,
public, private was also ignored by the Govt.
9
2.0.0 INTRODUCTION
2.1.0 ALL INDIA C.P.W.D. ENGINEERS ASSOCIATION :
2.1.1 The “All India CPWD Engineers Association” is duly registered and recognized
body of Engineers in CPWD. The Association was registered on 13.10.98 by the
Registrar of Societies, Govt. of India, N.C.T. Delhi vide No. 33764 of 1998 and
was duly recognized by Govt. of India, Ministry of Urban Development & PA
vide their No. 4/2/99-EC-III/EWI dt. 26.04.01.
2.1.2 This Association represents more than 3500 Gazetted Engineers comprising of
Assistant Engineer (Group-B), Promotee Executive Engineer & Superintending
Engineer (Group-A) working in CPWD. These Engineers are initially recruited
in the department at a Group “B” Non-Gazetted, Non-Ministerial post classified
as General Central Service (Technical) level as Junior Engineer through an
examination “Conducted on all India basis by the S.S.C. There is no direct
recruitment at Assistant Engineer level in CPWD. The whole cadre of Assistant
Engineer is thus created by the promotion from Junior Engineers belonging to
General Central Service (Technical) at group “B”. The minimum qualification
for recruitment at Junior Engineer level is Diploma in Civil, Electrical or
mechanical Engineering.
2.1.3 To have an account of General Conditions of this cadre vis a vis their
qualification, nature of duties, career prospects etc. it would be worth while to
have an idea about the C.P.W.D. to which it belongs.
2.2.0 ROLE OF CENTRAL PUBLIC WORKS DEPARTMENT :
2.2.1 The CPWD under the Ministry of Urban Development is the Principle agency of
Government of India for creation and maintenance of all Central Govt. assets
excluding those belonging to Railways, Defence, Communication, Atomic
Energy, Airports and All India Radio. The origin of this department can be
traced as back as to July 1854.
CHAPTER – 2
10
2.2.2 C.P.W.D. has to it’s credit construction of a number of Prestigious buildings like
Rashtrapati Bhawan, North Block, South Block, Parliament House, Vigyan
Bhawan and many multi storeyed offices, hospitals & residential structures all
over the Country. It has been a major player in the development of infrastructure
for sports, education, health, agricultural research, transport and communication
etc.
2.2.3 C.P.W.D. renders comprehensive services in the field of planning, designing,
construction and maintenance management for all civil as well as engineering
projects with quality assurance and total accountability. It handles a wide range
of projects like housing and office complexes, schools and colleges, hospitals,
work shops and factories, hostels, food grains storage structures, roads (including
National Highways) bridges & flyover & airports, computer centres,
environmental & other utility services.
2.3.0 CADRE STRUCTURE OF ENGINEERS IN C.P.W.D. :
2.3.1 C.P.W.D. has two distinct and parallel cadre structure for handling Civil &
Electrical works respectively under the same head of the Department designated
as Director General.
2.3.2 In both the wings i.e. Civil & Electrical, the cadre structure comprises of the two
services
(1) Subordinate Engineering Services
(2) Central Engineering Services, Direct recruit Class I i.e. C.E.S.(DR) Class I &
Central Electrical Engineering Services Direct recruit class I, i.e. C.E.E &
M.E.S. (DR) Class I
2.4.0 SUBORDINATE ENGINEERING SERVICES :
2.4.1 The Assistant Engineers (Group-B) and Promotee Executive & superintending
Engineers (Group-A) represented by this association form the part of the
Subordinate Engineering Services in CPWD. There is not direct recruitment at
AEs’ level in C.P.W.D. Feeder cadre for Assistant Engineers cadre is the post of
Junior Engineer at a Group ‘B’ Non-Gazetted, non ministerial Post classified as
General Central Service (Technical) level. Direct entry for subordinate
engineering services is at Group “B” level for the post of Junior Engineers. Thus
11
Junior Engineers, Assistant Engineers, promotee Executive Engineers and
superintending Engineers together form one stream which may be called
“Subordinate Engineering Services” in C.P.W.D.
2.4.2 Minimum prescribed qualification for the recruitment at Junior Engineer level is
Diploma in civil, electrical or Mechanical Engineering. 100% posts at Assistant
Engineers level are filled by promotion of the Junior Engineers.
2.4.3 80% of the posts are filled on the basis of seniority cum fitness while the
remaining other 20% posts are filled through “Limited Departmental
Competitive Examinations” from amongst the Junior Engineers having 4 year
experience.
2.4.4 While prescribed eligibility criteria for promotion from Junior Engineer to
Assistant Engineer level on the basis of seniority cum fitness is minimum 5
years. The junior engineer becomes eligible after 4 years of service to compete
through “Limited departmental competitive examination” for next promotion.
2.4.5 The next post in the engineering hierarchy i.e. the post of Executive Engineer is
filled in the following manner.
a. The vacancies at Executive Engineer level are filled in 1:2 ratio from
amongst (i) Assistant Executive Engineers {CES(DR)Group A Service},
C.E. & M.E.S. (DR) Class A with four years Service in the grade. (ii)
Assistant Engineers (Group-B) with seven years service in the grade.
b. While the minimum eligibility criteria for promotion is minimum 4 years in
the case of A.E.E’s it is 7 years in the case of Assistant Engineers.
2.4.6 The subordinate engineering services (comprising of JE’s, AE’s, promotee
Executive Engineers & Superintending Engineers) so created in CPWD are
directly responsible for execution of construction and maintenance works right
from planning to execution at every step they have a definite and well defined
role.
2.5.0 To asses the intrinsic value of Job of the Subordinate Engineers right from
Junior Engineers to Superintending Engineers, we will have to analyse the
governing factors like qualification and skill needed for the job, arduousness,
the work atmosphere, recruitment procedure chances of career progression
etc.
12
3.0.0 ASSESMENT OF THE INTRINSIC VALUE OF THE JOB OF
ASSISTANT ENGINEERS & EXECUTIVE ENGINEERS :
3.1.0 QUALIFICATION :
3.1.1 The Assistant Engineers, being a promotional post for Junior Engineers in
CPWD, have the same qualification as prescribed for the post of Junior
Engineers.
3.1.2 The Assistant Engineers thus either have a 3 years diploma in Engineering or
Degree in Engineering.
3.1.3 Though the basic qualification for admission in diploma is matriculate yet
according to the survey conducted, more than 80% students seeking admission in
Diploma Courses were found to be qualified to the level of 10+2.
3.1.4 To get a degree in Engineering is even more difficult. One has to compete the
entrance examination like Joint Engineering Entrance Examination after 10+2, to
get admission for degree courses.
3.1.5 It is well known that even to get admission in engineering courses one has to
pass through most cumbersome & highly competitive entrance test. One has not
only to toil a lot but has also to prove that he stands head and shoulders above
others. Number of hours of study put in besides the expenditure incurred in
seeking coaching etc. just for getting through the entrance examination can be
compared with the entrance system for medical profession only.
3.1.6 The engineering courses are thus much superior to the ordinary graduation &
post graduation courses. Even an ordinary B.Sc. / M.Sc. will be found to be
much inferior in comparison to Diploma / Degree courses in engineering.
3.1.7 The 3rd
Pay Commission had treated the Diploma Engineering course equivalent
to B.Sc. while determining pay scales. The relevant Para-42, Vol-I, Page-167 of
3rd
Pay Commission report is reproduced here in below for reference :
CHAPTER – 3
13
Grade Existing
Scale
Proposed
Scale
Qualification
Level-I 325 -
575
550 -900 M.Sc./.B.E./First Class B.Sc. (Hons) or
Diploma in Engineering.
Level-II 210 -
425
425 - 700 2nd
Class B.Sc. (Hons), B.Sc. with not less
than 55% marks in aggt. and Dip. in Engg.
3.1.8 Not only this, while generalists like I.A.S. officers or personnel of Central
Secretariat Services having minimum qualification of simple graduation,
have to compete only once in life at the time of recruitment, the
professionals like engineers have to enter into competition twice, first at the
time of getting admission in professional course and then again at the time
of entering into services.
3.2.0 Since nineties intake of graduate engineers in subordinate engineering services at
Junior Engineer level has increased many times. Among the new entrants at
Junior Engineer level there are about 70% graduate engineers. Many of them are
even post graduate in engineering (M.tech etc.)
3.2.1 The syllabus of the limited departmental competitive examination for promotion
from J.E. to A.E. for 20% posts is more or less equivalent with a degree course in
engineering. The standard of this examination is almost equal to the competitive
examination for Indian Engineering Direct Recruit group “A” Services.
3.2.2 Most of the diploma holder Junior Engineers further enhance their qualification
by enrolling themselves in part-time degree course in order to qualify the limited
departmental competitive examination for promotion thus at Assistant Engineer
level the percentage of diploma holders at AE level get further reduced.
3.3.0 RECRUITMENTS TO THE SERVICE :
3.3.1 It would be appropriate to bring to the notice of the Hon’ble 7th
Central Pay
Commission, the existing engineering cadre structure and method of it’s
recruitment in CPWD.
14
3.3.2 TYPE OF ENGINEERING SERVICES : The structure of Engineering cadre
in CPWD comprises of two services (1) General Central Service (Technical),
Non-Gazetted, Non-Ministerial, Group-B services (2) Central Engineering
Services, Direct recruit, class-I. The method of their recruitment at entry level in
CPWD is detailed as under :
Sl
No
Name of the
Services
Designation Qualification Remark
1 General
Central Service
(Technical),
Non-Gazetted,
Non-
Ministerial,
Group-B post
Junior
Engineer
Diploma in
Engineering
recognized by
Govt. of India
or equivalent/
Degree in
Engineering
By direct recruitment
through S.S.C.
2 General
Central Service
(Technical),
Non-Gazetted,
Non-
Ministerial,
Group-B post
Assistant
Engineer
By promotion
from Junior
Engineer
i) 80% vacancies to be
filled by junior Engineer
with 5 years regular
service in the grade.
ii)20% vacancies to be
filled by Limited Deptt.
competitive Exam. with
4 years regular service in
the grade.
3 Central Engg.
Services,
Direct recruit,
Class-I &
C.E.E. &
M.E.S. (DR)
Class-I
Assistant
Executive
Engineer
Degree in
Engineering
By direct recruitment
through Engineering
services Examination
conducted by UPSC.
15
4 Central
Engineering
Services,
Direct recruit,
Class-I &
C.E.E. &
M.E.S. (DR)
Class-I
Executive
Engineer
i.By
promotion
33⅓ % from Assistant
Executive Engineer in
Pay Band-3 Rs 15600-
39100 + G. Pay of Rs.
5400/- with four years
regular service in the
grade and have
successfully completed
two week course on
Contract Law, e-
Governance, Building
Bye-laws and Building
services.
ii.By
promotion
66⅔ % from Assistant
Engineer in Pay Band-2,
Rs. 9300-34800+Grade
Pay of Rs. 4600 with
Seven years regular
service in the grade and
possessing Degree in
Engg. from a recognized
University or Institution
or any other equivalent
qualification and have
successfully completed
two week course on
Contract Law, e-
Governance Building
bye-laws and Building
services.
Note: The officers in the
16
grade of Assistant
Engineer on the date of
the notification of these
rules and possessing
Diploma in Engg. shall
however, continue to be
eligible on completion
of nine years regular
service for consideration
to the post of Executive
Engineer limited to
33⅓% vacancies arising
in the grade on annual
basis:
Provided that the
Assistant Engineers with
seven years regular
service, who at the time
of recruitment as Junior
Engineer were
possessing Diploma in
Engg. but subsequently
acquired Degree in
Engg. and those
Assistant Engineers with
seven years regular
service, who were
possessing degree in
Engg. at the time of
recruitment as Junior
Engineer shall also be
17
eligible for consideration
to the post of the
Executive Engineer in
case a junior Diploma
holder Assistant
Engineer is considered
for promotion.
Note : All the posts right from the Executive Engineer to the Head of the Deptt. are in
Class I Services and are filled only by promotions on seniority-cum-merit
basis.
3.4.0 SKILL NEEDED FOR THE JOB, NATURE OF WORK, THE WORK
ATMOSPHERE AND INHERERENT ARDUOUSNESS :
3.4.1 This is the most important factor to evaluate the intrinsic value of Job and
accordingly to determine the pay scales and other service conditions of any
cadre. It however appears that this vital point has continuously been ignored by
previous Hon’ble Commissions as due weightage to this factor was not given by
the successive 3rd
, 4th
, 5th
and 6th
Pay Commission. Had this vital point of
immense importance been considered carefully, the pay scales for subordinate
engineering services would have not been recommended so poorly and in-
adequately causing total demoralization, awful humiliation and acute frustration
amongst them, which at times has resulted in strong agitations and confrontations
3.4.2 The Subordinate Engineers like Junior Engineers and Assistant Engineers
provide the base for the Public works organizations. It is at this level from where
the work is initiated and completed. The conditions under which these engineers
work and the risks involved on their job are not difficult to assess.
3.4.3 At the outset to describe about the unlimited duties and the vast responsibilities
of the Subordinate Engineering Services the realistic approach of Dullat
Commission through its popular remark as reproduced below is quite significant
and important :
18
“THEY ARE THE BEAST OF BURDEN IN THE DEPARTMENT”
3.4.4 There is no difficulty in appreciating the key role played by them and the
responsibilities attached to their job in the field of Public Service. No duty hours
are defined for them, as such they are practically always on their toes as per
exigencies of the works and the requirements of the senior officers. Thus, they
remain engaged on field to build :
i) the homes for homeless,
ii) hospitals for the patients,
iii) schools for children,
iv) roads for the traffic,
v) bridges to cross the rivers, railway tracks and drains etc.
vi) canals and tube wells for irrigation to boost agriculture,
vii) dams and barrages for power generation and protective works,
viii) flyovers for safe and fast movement of vehicles.
ix) Network for water supply/drainages/sanitation as essential amenities for
life.
x) electric power houses for electrification,
xi) factories and industries for the prosperity of the nation.
xii) railway lines for fast movement of passengers and commodities.
xiii) aerodrums, ports, light houses, for national development,
xiv) embankment for protection from floods,
xv) wells under sea for exploration of petroleum products and gases etc.
xvi) commercial /official buildings and monuments for trade and administration
and to exhibit and preserve the rich heritage and culture
xvii) border fencing /border roads for the safety and security of the country.
3.4.5 These duties of field engineers i.e. J.E., A.E., and E.E. are discharged in all
weathers vis-à-vis in scorching heat in summer, freezing cold and snow fall in
winter during torrential rains, inaccessible terrains, sprawling deserts, roaring
rivers, deep sea, thick jungles and forests infested with man eaters, high
mountains and deep valleys etc. They have considered no sacrifice too great and
no job too small. Their comforts, privileges, personal difficulties, family worries
19
never put a stumbling block on the way of marching ahead and attending to the
call of the Nation wherever and whenever exigency so demands.
3.4.6 These engineers play the pivotal role in the execution. They are the technical
officer paradoxically placed at the bottom of the hierarchy yet expected and
assigned with stupendous responsibilities. Their function is like the function of
heart in the body.
3.4.7 The Subordinate Engineers are the King pin and back bone of the Departments.
Their duties are ardous and strenuous in nature with higher level of
responsibilities in practice as well as in theory. They have to face the hazards,
ordeals of sun and rain and are subjected to the vagaries of nature. They
transforms and convert the plans on paper into reality on field in the form of
works/ projects by working with, guiding and directing artisans, skilled /semi-
skilled/un-skilled workers.
3.4.8 Therefore, by virtue of the nature of the job performed by them, they are
expected to be well equipped with the skill of ;
i) a surveyor ii) an investigator
iii) a planner iv) a designer
v) an estimator vi) an inventor and innovator
vii) a supervisor viii) an observer
ix) a store keeper x) a clerk-cum-messenger,
xi) a manager, xii) a custodian,
xiii) An administrator.
Indeed, all in one and one in all.
Administrator to handle and have the cadre control of the establishment of
work charged, regular, casual, contract and /or muster roll
labour, skilled /semi skilled & unskilled workers and artisans.
Controller of labour at site to extract optimum out put.
Executor of all works according to specifications and detailed drawings.
Inventor as initiator of projects, of major and minor schemes of roads,
bridges, railways and building projects and other works.
20
Care-taker and manager of all Government buildings, roads, inspection
houses, power houses etc.
Observer of regular running of machines and tools and plants.
Organizer of purchases of all stores
Planner designer and estimator of various works.
Supervisor responsible for quality and quantity of the work
Producer of bills for works done and supplies made.
Recorder of measurements of all works done and materials received.
Custodian of all miscellaneous properties of the Government
3.5.0 OFFICIAL CORRESPONDENCE :
3.5.1 In addition to the above technical duties, they have also to deal with day to day
official correspondence besides number of returns, statements, parliament
questions, replies and queries etc.
3.6.0 WORKING CONDITIONS :
3.6.1 They are required to work under the following conditions :
i) 24 hours attendance at works. They have no defined working hours
ii) Duties at difficult terrain and in remote places, in jungles and hilly places, in
bad weather under the scorching sun, amidst rain and even without transport,
communication and accommodation facilities.
iii) Due to essential nature of the duties under which they are placed, they are
deprived of the legitimate holidays and more often the ordinary privileges
are either denied or postponed.
iv) Lack of educational medical and recreational facilities due to the
headquarters in remote places.
v) They are to determine the real topography of the features, give alignment,
arrange auxiliary costly equipments, machine tools and plants, to organize
labour forces under in hospitable environment like mountaineous terrains,
solitary nook far away of human habitation, dense forests infected with wild
animals and marshy lands, exposure to all sorts of natural calamities, wind
storms, hill storms, snow falls, heavy torrential rains, chilly cold winds, frost
21
bite, deprivation of amenities of social life and improper arrangement of
camp equipages.
3.7.0 RESPONSIBILITIES :
3.7.1 They are required to;
i) exert his devoted energy in all spheres of the construction works starting
from its very inception stage to the infinite stage of maintenance even after
the successful completion of the projects works.
ii) take full responsibilities for collection of authentic data, corroborative
records, documentary history, genuine secret maps, viable points, scrutiny
of proposals, preparation of blue prints, assessment of financial aspects,
thorough investigation of the proposed site for determining the unique
feasibility of all the scheme or projects.
iii) conducts survey works including all investigatory functions of ancillary
works commencing from reconnaissance survey to ultimate position of the
projects as pre-requisite.
iv) devise the ins and outs of the project, prepare detailed reports, suggest ways
and means, adopt suitable measures for framing up balanced and economic
design together with the formulation and incorporation of all other allied
intricate issues which are likely to crop up in the given situation.
v) prepare and cheek detailed plans and estimates of the projects, specify the
quality of materials, insert nomenclature of all items of works, analyses the
rates of items, chalk out the realistic additional clauses of the contract,
prepare tender papers and comparative statements etc. for acceptance of the
tender by the appropriate authorities.
vi) inspect, supervise, instruct, guide, give decision, keep careful watch and
strict vigil over the quality, progress and specifications of works and to
remain present in the field of execution even after duty hours whenever
required in exigency of the situation.
22
vii) remain actually in the place of work often to shoulder full responsibilities to
act as organizer, executor, operator, and to direct unskilled and skilled
personnel, control, watch, handle costly machineries like heavy earth
moving machineries such as bull dozers, road rollers, loaders, cranes, soil
stabilizers, automobiles like tractors, trucks, jeeps, workshop machineries
such as lathes, milling, and shapping and hot mix plants, lifts, generators,
pumps, computers etc.
viii) check all measurements of works/ supplies made by the different agencies
and to account for the transaction of all materials received or issued in the
works.
ix) Check the bills for the supplies made and works done for payment to the
different agencies and suppliers.
x) submit weekly and fortnightly progress/ labour reports of the works
including submission of the completion certificates and completion plans of
the buildings till the finishing stage of the work.
xi) keep detailed accounts of the work quantitatively, consumption of materials
on all works and itemwise expenditures involved thereon in parity with the
allotment of fund and budgetary provisions.
xii) remain alert for regular running of plants and machineries and proper
ancillary functions of the connected maintenance units thereof.
xiii) Present himself in the utmost place of emergency like hospitals, floods,
scarcity of water supplies, security arrangements of VIPs every now and
then regularly, stretching themselves in the odd hours of the night for
keeping careful watch over the operational performance of the lines and all
emergent works totally leaving aside any factor for availing of any public
holiday or normal rest day in the week.
xiv) Stands responsible for guaranteed supply of electrical power within their
jurisdiction to the all inevitable places of emergency continuously for 24
hours.
23
xv) Transact and handle cash running into lacs of rupees in a month as
permanent & temporary imprest and to keep proper accounts thereof for
disbursement of wages to the work charged personnel and mustroll
employees.
xvi) Prepare bill of wages for the work charged/ regular personnel and to keep
their records of attendance, leave, substitute, fixed charge register and
festival medical advances etc.
xvii) Deal with correspondences and issues inrespect of various reports, returns,
statements, etc. on various works.
xviii) Keep himself often in the role of a liaison officer as an authorized
representative of his senior officers before the other department and even
also in front of many other dignitaries coming from the foreign country to
visit India.
xix) Inevitably shoulder the responsibility in respect of the encroachment cases
of government lands which are being very often encroached by the
unauthorized persons in a fraudulent manner. All such cases, are therefore
in the face of all eventual affairs, require to be handled and taken up by the
subordinate engineers with all the higher authorities of all connected
departments.
xx) Perform additional duties very often apart from the assigned duties,
unavoidably to pull on the work of procurement, census, elections, levy
assessment, flood relief, various odd types of miscellaneous enquiries as an
additional burdon of works.
For the ready reference of the Hon’ble Central Pay Commission, the list of
duties extracted from the C.P.W.D. manual is annexed at Annexure- III –
IV–V-VI.
24
4.0.0 GUIDING PRINCIPLES FOR DETERMINATION OF PAY SCALES :
4.1.0 One of the terms of reference of the Hon’ble 7th
Central Pay Commission is to
examine the principles that should govern the emoluments structure including
pay, allowances & other facilities / benefits of the Govt. employees. Therefore,
We place our views in this regard as under :
4.1.1 The Central Govt. employees, in the fifties and upto the implementation of the
recommendations of the 2nd
pay commission were, in terms of emoluments,
much better placed than others. This fact was reported by BHOOT LINGAM
COMMITTEE in its’ recommendation No. 6-9 but this position started to travel
in the reverse direction from 1958-59 onwards gradually and systematically
when wages of Central Govt. employees started sliding down as the time passed.
Today, as it would be seen from subsequent narrations, they are behind not only
from the private sector or most of the public sector employees but from the
employees of state Govt. also particularly the Junior Engineers and Assistant
Engineers. This happened mainly because of wage revision in other organized
sectors. Such revisions in other organized sector of economy taking place more
frequently i.e. after every 3 to 5 years through bilateral negotiations which
provided ample scope for mutual exchange of views and effective bargaining
whereas in case of Central Govt. employees revision are taking place only after
10 to 15 years through the mechanism of Pay Commission i.e. with slower pace
and without the machinery of any collective bargaining. All this has resulted in a
situation where gap in wages of Central Govt. employees and employees of other
organizations are so wide that it has brought in serious demoralization and a
feeling of despair among the Central Govt. employees.
4.1.2 The morale of the employees is an important and vital factor which is also to be
borne in mind. In this context the following observation made by the Priestley
Commission of U.K. applies:
CHAPTER – 4
25
“The process of deterioration arises from a sense of grievance on the part of the
staff, may be a very slow one, in a service with high tradition of the British Civil
Services; and by the time, the tendency manifests itself, irreparable damage may
have been done.”
In the case of Govt. employees that sense of grievance has already crept in and
unless corrective measures are initiated, the situation may turn quite explosive
and irreparable.
4.1.3 The ultimate object in view of any exercise at wage revision ought to be “an
efficient service fairly remunerated”. For, it goes without saying that in the
ultimate analysis any pay structure which does not command confidence of
employees is bound to run the risk of industrial unrest, thus rendering the
exercise of any wage revision futile. The wage structure should be so explicit and
related to the principle evolved that there is no suspicion of it being
arbitrary/biased / discriminatory. Not only this the principle evolved should meet
the test of reason and relevance, endangering a “FELT FAIR” feeling amongst
the employees.
4.1.4 The obligation of the State under the Indian Constitution as mentioned in the
Directive Principles of State Policy, in respect of living wage for workers which
should ensure a decent standard of living, leisure, social and cultural
opportunities is no less important factor for this purpose. This and the
observation made by the 4th
Pay Commission in para 7.15 to 7.22 of Part I of
their report deserve due consideration.
4.1.5 The norms laid down by the 15th
Indian Labour Conference (Tripartite) for fixing
need based Minimum Wage are also relevant in evolving any principle of the pay
structure though these old norms do not meet the real needs in today’s
conditions.
4.1.6 Another factor for determination of wages is a fair comparison with outside
rates, which is generally used in collective bargainings and is considered for
settlement because it removes, to a great extent, the sense of grievance
discrimination.
26
4.2.0 The minimum requirement to recruit and retain the employees in the Govt
Sector, is beautifully defined by the Administrative Reform Commission as
under :-
“The only safe criterion is that Govt. should pay so much and so much only to
their employees as is necessary to obtain recruits of the right stamps and to
maintain them in such a degree of comfort and dignity as will shield them for
temptation and keep them sufficient for the term of their service .”
4.3.0 PRINCIPLE OF MINIMUM WAGE AS PER CONSTITUTION OF INDIA
“Every worker however humble, shall receive enough to enable him to lead a
human life, to marry and to bring up a family and maintain them and himself
with some degree of comfort.”
The wage should be such as to cover the normal needs of the average employees,
at least as average citizen regarded as a human being, living in a civilized
community”.
4.4.0 EQUAL PAY FOR EQUAL WORK :
(Article 39 clause ‘D’ of constitution of India)
“The State in particular directs its policy towards securing ……………………
There is equal pay for equal work for both men and women.
4.5.0 AS PER REPORT OF FAIR WAGE COMMITTEE :
4.5.1 The issue of determination of a minimum remuneration for employees/ workers
in the organized sectors came up only after independence and the Fair Wages
Committee was set up to consider the issue. The Committee was appointed in
1948 and was comprised of representative of Employers, the Trade Unions and
the Government. The Committee was asked to state, interalia, what was to be
understood by a “Minimum Wage”, a “Fair Wage” and “Living Wage”.
4.5.2 The definitions, given by the Fair Wage Committee of the terms minimum wage,
fair wage and living wage have now become classic in Indian Trade Union
Literature and Labour Legislation. As defined by the Committee wage concept is
27
vertically divided in three heads Minimum Wage, Fair Wage and Living Wage.
According to the scheme of C.F.W. (Committee for Fair Wages) (1948), the
minimum wage represents the lowest slab while the living wage was the highest
level of the Fair Wage and the Fair Wage itself was too oscillate between the
Minimum Wage and the living wage. Accordingly, the C.F.W. in defining
Minimum Wage stated that Minimum Wage must provide not merely for the
bare sustenance of life but also for the preservation of the efficiency of the
workers. For this purpose the minimum wage must also provide the workers with
some measures of education medical requirement and amenities. The fair wage
and living wage were so defined that minimum wage was to form as it were the
floor of the fair wage, below which it must never be permitted to sink and the
living wage was to form its ceiling.
4.5.3 While defining minimum wage, the C.F.W. was also conscious that even in spite
of the specific definition, attempts would be made from interested quarters to
avoid the responsibility of paying the Minimum Wage according to the standard
laid by them by raising issues like state of country’s economy etc. In order that
this may too be possible, the Committee discussed the issues and decided that the
minimum wage was not to be bare subsistence. We quote below the relevant
passage from the report of the committee.
4.5.4 “What then should be the level of Minimum Wage that can be sustained by the
present stage of country’s economy ? Most employers and some provincial
Governments consider that the minimum wage can at present be only a bare
subsistence wage. We consider that minimum wage must provide not merely
for the bare sustenance of life but also for the preservation of the efficiency of
the workers”.
4.6.0 VERDICTS OF THE HON’BLE SUPREME COURT :
4.6.1 IN THE CASE OF CROWN ALUMINUM WORKS VS WORKERS (AIR –
1958 SC. 30)
“There is however, one principle of an exception. No industry has the right to
exist unless it is able to pay its workmen at least a bare minimum wage”.
28
4.6.2 IN CASE OF EXPRESS NEWSPAPER LTD. V/S UNION OF INDIA :
“That in the fixation of rates of wages which includes within its compass the
fixation of the scale of wages also, the capacity of the industry to pay is one of
the essential circumstances to be taken into considerations, except in case of
bare subsistence or minimum wage where the employer is bound to pay the
same irrespective of such capacity”.
4.6.3 IN THE CASE REPTAKOO BRETT AND CO. VERSUS OTHERS (REF:
FIFTH CPC PARA 41.7) :
Supreme Court, in 1991, in a judgment opined that the criteria recommended by
the Indian Labour Conference, 1957 may not suffice. It held that an additional
component of children’s Education, Medical Requirements, Recreations
including Festivals / Ceremonies and provisions for old age and marriage should
constitute 25% of minimum wages.
4.7.0 AS PER 15TH
INDIAN LABOUR CONFERENCE :
4.7.1 The standard laid down by the C.F.W. was converted into more concrete forms
by the 15th
Indian Labour Conference on the basis of which minimum wage
could be calculated and it was stated that the minimum wage should be need
based. The I.L.C. set up a sub-committee to go into this question and on the basis
of the report of the committee a resolution was adopted by the 15th
Indian Labour
Conference. The relevant portions of the said resolution are set forth below.
“With regard to the minimum wage fixation it was agreed that the minimum
wage was need based and should ensure the minimum human needs of the
Industrial worker irrespective of any other considerations. To calculate the
minimum wage, the committee accepted the following norms and
recommended that they should guide all wage fixing authorities, including
minimum wage committee, wage boards, adjudicator etc”.
i) In calculating the minimum wage the standard of the working class family
should be taken to consist of 4 consumption units for one earner, the
earnings of women children and adolescents should be disregarded.
29
ii) Minimum food requirements should be calculated on the basis of a net
intake of 2700 calories, as recommended by Dr. AKROYD for an average
Indian Adult of moderate activity.
iii) Clothing requirements should be estimated at percapita consumption of 18
yards per annum which would give for the average workers family of four,
a total of 72 yds.
iv) In respect of housing, the norms should be the minimum rent charged by
Govt. in any area or houses provided under the subsidized Industrial
Housing Scheme for low income group.
v) Fuel, lighting another miscellaneous items of expenditure should
constitute 20 percent of the total minimum wage.
We have calculated the need based minimum wage in accordance with the
above mentioned settled norms as reflected in the relevant chapter ahead.
4.8.0 VIEWS OF NATIONAL COMMISSION ON LABOUR (NCL) ON
MINIMUM WAGE :
4.8.1. NCL mentioned three levels of wages, viz. Living Wage, Fair Wage and
Minimum Wage. Living Wage represented “a standard of living which provided
not merely for a bare physical subsistence but for the maintenance of health
and decency, a measure of frugal comfort including education for the
children, protection against ill health, requirements of essential social needs
and some insurance against more important misfortunes”
4.9.0 CONCLUSION OF THE ISSUE :
4.9.1 We are of the strong opinion that the criteria laid down by the 15th
International
Labour Conference for calculating the minimum wages of Government
Employees should be improved upon, keeping in view the rise in the standard of
living of the country due to overall development, improvement in per capita
income, NNP and comparative wages in the public Sector Undertakings etc.,
besides the additional components rightly mentioned by the Hon’ble supreme
Court of India in its judgments cited above.
30
4.10.0 BHOOT LINGAM COMMITTEE REPORT (GIST OF
RECOMMENDATION NO. 6-9) :
4.10.1 “It would be unrealistic and indeed against the federal concept to think in
terms of complete standardization of emoluments of central and state Govt.
employees. At the same time, continuance of marked difference in emoluments
of the same or similar categories is not desirable. In State capitals and many
other places we have Central Govt. employees getting more than their counter-
parts of the State Govt. engaged on the same kind of work. Clearly therefore,
while standardization is not practicable, some harmonization is necessary in
respect of these common categories”. Now the position is just reverse.
4.11.0 THE 3RD
CENTRAL PAY COMMISSION (REF. VOL. IV) :
4.11.1 “SUMMARY OF RECOMMENDATIONS :
i) “A pay structure, if it is to be sound should satisfy the tests of
inclusiveness, comprehensibility and adequacy. It should be fairly simple
and rational”.
ii) “The central government should formulate its pay policy having regard to
the profound influence that the pay scales adopted by the central govt.
exert on state govt, quasi-governmental institutions etc.”
iii) “The government however, should not ignore the fact that if the organized
private sector is consistently able to offer higher wages and salaries than
those offered by the Govt. for comparable work, then there would be a
progressive deterioration in the quality and caliber of persons entering
government service. The first requirement is an efficient administration
and this will not be secured without a reasonable pay system which reflects
changes in the pattern of remuneration in the outside world. Government
service should attract and retain not only a high proportion of persons of
average caliber but also a sufficient number of persons of capable
leadership and high motivation to strengthen the administrative and
technical machinery”
31
iv) “Too large a disparity between wages and salaries in the Govt. sector and
those in public sector, organized trade and industry, for broadly
comparable work, would not be permitted as it is likely to react adversely
on the efficiency of the public service in the long run. At the start of a
career, the emoluments and other advantages under the government
should approximate fairly closely to what a person with similar
qualification, aptitude and training can obtain from a good employer in
the private sector. A great degree of divergence however, between the total
emoluments in the private sector and under the government would be
feasible and acceptable later in a personʼs career”
v) “The only safe criterion is that govt. should pay so much only to their
employees as is necessary to obtain receipts of the right stamps, and to
maintain them in such a degree of comfort and dignity as will shield them
from temptation and keep them efficient for the term of their service”.
vi) “Even more important is the nature, duty and responsibility of the office,
great stress has been laid on the necessity of enabling the holder of an
office to maintain its status and dignity.”
4.12.0 4TH
CENTRAL PAY COMMISSION :
4.12.1 Out of many, we are reproducing here only the three observations made by the
4th
central pay commission for pay determination. From page 80-para 7.44, 7.45,
7.46
4.12.2 Para 7.44 : “The pay should be sufficient and satisfactory enough to motivate
the employee for the efficient performance of his duties and responsibilities
with a sense of rectitude. Efficiency of an employee often reflects the efficiency
of the administrative wing to which he belongs. It is in government’s interest to
make him content so that he gives his best in his field of service and discharges
his duty honestly. A dishonest employee not only sells his authority away, he
sets a wrong example, undermines the value of his office, does injustice to
others and very often puts government to financial loss for a pittance”.
32
4.12.3 Para 7.45 : “At any rate, the remuneration of the employee should be such as
not to make him dissatisfied or generate a feeling of deep-seated unfairness so
as to drive him to seeking employment else where. He should feel reasonably
satisfied with what he gets and not be restive for a change. A dissatisfied
person will not like to employ himself whole-heartedly in the discharge of his
work and would be wasting some of his time and energy in seeking another
employment. The salary should therefore be satisfactory enough to retain him
in his job and encourage him to seek promotional career in his service”.
4.12.4 Para 7.46. “The salary structure should be coherent and should adequately
reflect the substantial differences in the nature and responsibilities of the
various posts. It would provide satisfactory incentives to performance and
promotion. The classification of posts should therefore be made carefully.
There should be well defined career prospects and employees should feel
reassured that they can look forward to promotions, and that, in the meantime,
or in addition to satisfactory career prospects, they can, where ever possible,
avail of incentives for performance. So when an employee enters service, he
many have something to look forward to. There is aspiration in a new entrant
for brighter prospects and the desire to reach his height would not only prompt
him to put in his best, but also to outshine the others. Moreover the coherence
of the structure would serve to assure him of what would be within his reach.
At the same time, the gradation of the scale on the basis of responsibility of the
post, would make it reasonable and compatible with his work and out put.”
4.13.0 5TH
CENTRAL PAY COMMISSION :
4.13.1 5th
CPC in chapter 41 from Para 41.3 to 41.39 of its report adequately dealt with
the concept of the minimum salary. The job evaluation criteria and parity with
other sectors have been discarded. The minimum basic pay was inflated by the
factor 30.9% by which per capita Net National Product (NNP) was increased
from 1986 to 1996 and to this increased amount the dearness allowance as on
01.01.96 was added. The figure so arrived was further rounded off to next higher
multiple of 10. Thus the minimum salary of Rs. 2440/- had been arrived at just
by an arithmetical exercise.
33
4.14.0 6TH
CENTRAL PAY COMMISSION :
4.14.1 The 6th
Pay Commission vide Para 2.2.15 agreed that the 15th
International
Labour Conference (ILC) are appropriate for computing minimum salary.
Although the Commission, in this Para recommend for a higher minimum salary
keeping in view their emphasis on higher skill level and multi-skilling for Govt.
Job but in reality it was just other way round as would be concluded from the
under mentioned facts.
4.14.2 Minimum Salary : The Commission has prescribed the minimum salary as
6660/- (Rs.4860 as basic pay + 1800 as grade pay) in PB-1 treating it as the
lowest pay band (refer to Para 2.2.15). The lowest Pay Band is however 1S,
which shall remain in operation till all the Group D employees, are absorbed in
PBI. As on 1.1.2006, these employees shall necessarily be placed in 1S Pay
Band, as such the minimum salary works out to be Rs.5740/- as against the
minimum wage of 5479/- as per 15th
ILC norms worked out by the Commission
(Refer Table 2.2.1) as well as against Rs.11900/- demanded by this Association
on the basis of scientific detailed analysis submitted to the commission. The
Commission has further claimed in Para 2.2.15 that the minimum pay as on
1.1.08 shall be around Rs.10,000/- which incidentally corresponds to the
minimum salary demanded by the staff side of JCM once benefit of HRA,
transport allowance and education allowance etc. are included. The Commission
has blissfully ignored the fact that the demand together with the justification was
in respect to 1.1.2006 and the allowances were not included in it even at that
time. Furthermore, the Commission itself has reiterated in Para 1.2.10 that the
recommendations relating to allowances shall take effect prospectively. The
Commission has however, failed to work on any norm or criteria to arrive at its
so called arbitrary minimum salary. In this context it is pointed out that the 5th
Central Pay Commission had increased the emoluments at lowest level by
linking it with 30.9% increase in national productivity during the period 1986-
1995 to provide the handsome start at lower level. The Association demanded
the Pay Band 1S to be modified suitably so as to ensure minimum salary of
Rs.11,900/- as on 1.1.2006 at the initial level of Pay Band of IS.
34
4.14.3 The commissions observation about the family units for minimum salary taken
as 3 instead of 4 on the assumptions and presumptions that the minimum salary
is applicable at the time person Joins the Govt. service which will usually be at
young age when a person may be just married and will not have responsibility of
parents or children’s, is not correct and appropriate in view of the following facts
:
(i) The minimum Salary is not applicable to new entrants only but it is
applicable to all the existing employees too in Group ‘D’ category as is
evident from the terms of reference of the 7th
C.P.C. to implement its
recommendation w.e.f. 01.01.16. It does not mean that minimum wage so
assessed by 7th
CPC shall be applicable only on those employees who would
be recruited on 01.01.2016, whereas it would be evenly applicable for all the
employee of Group ‘D’ level existing in the Govt. service on 01.01.16.
Hence the aforesaid observation of the 6th
CPC is wrong, misconceived,
void, in valid and non est.
(ii) It is also incorrect to assume that a person joining the Govt. at a young age
may be just married and will not have responsibility of parents or children’s.
It is worth to mention here that the Group ‘D’ Employees are generally from
the rural background having the custom of early marriage and children’s at
the time of joining the Govt. service at a later age and the responsibly of
parents cannot also be ruled out due to their domestic commitment and social
obligations. Therefore, such observation cannot be taken as granted but
contrarily the possibility of bearing the responsibilities of the parents are on
higher side in view of their rural and poor back ground. Therefore the family
unit for minimum salary, in no way, can be considered lesser than 4 as
decided by 15th
ILC.
4.14.4 Regarding the concept of exclusion housing allowance, education allowance &
medical facilities etc. as opined by the 6th
CPC it would be appropriate to
conduct the in depth study of the basic pay scales granted to the employees on
which only the H.R.A, Education allowance, medical allowance etc. are based on
percentage basis of the basic pay and nothing is paid on the DA specifically in
35
the absence of the recommendation for the DP by the 6th
C.P.C. Therefore, the
element of these factors shall have to be included in the calculation of minimum
wage etc.
4.14.5 Ratio of minimum to maximum salary :- The Commission in Para 2.2.17 has
stated that the maximum salary has been pegged at Rs.80,000/- maintaining the
minimum to maximum ratio of 1:12 (the ratio which has been stated to be in
consonance with the ratio suggested by staff side). The Commission has
conveniently twisted and distorted both the scales i.e. maximum and minimum
with a view to justify the ratio of 1:12. According to report itself, Rs.90,000/- is
the revised scale of S-34 (Rs.30,000/-) then, why should it not be treated as
maximum scale ? Likewise the scale corresponding to pay band 1S which works
out to be 5740/- should have been treated as minimum scale in all fairness. The
ratio of minimum to maximum thus, works out to be 1:15.68 as against the ratio
of 1:10 maintained by 5th
Pay Commission. This ratio weighs heavily against the
concept of welfare State and does not fit well with the cherished desire and
declared goal of a nation to enrich and strengthen the democratic system and
norms based on justice and equity.
36
5.0.0 ANOMALIES IN THE EXISTING PAY STRUCTURE OF 6TH
CPC
5.1.0 In view of the principles for determination of Pay scales of a cadre, as stated in
the earlier chapter we wish to bring into the notice of this Hon’ble Pay
Commission that since very beginning the Junior Engineers, Assistant Engineers
and Executive Engineers of CPWD are discriminated by the previous Pay
Commissions and huge anomalies were created in the pay scales and service
conditions rather than to eliminate the same. The pay scales of engineers have
been down-graded gradually and systematically. Indeed, they ought to have been
placed in higher pay scales in view of their key role and vital importance in the
national development. But on the contrary, even the principles laid down for the
determination of the pay scales have been grossly violated as is evident from the
under mentioned detailed facts.
(i) Though, it has repeatedly been stated in the report of 6th
CPC that promoting
efficiency, productivity and economy through rationalization of structures
and evolving a system aimed at to lay emphasis on delivery, and end results
have been the guiding principles behind these recommendations, yet even a
cursory glance at the report would establish that the Commission had made
up its mind to ward off the fear of any eventuality of attrition at top echelon
in future by making enormous jump and hike in pays and perks of “All
India Services” and “Central Group A Services” thereby providing these
services the sort of semblance and parity with private sector. Not only this
the Commission was so enamored and infatuated with its new found
enthusiasm and zeal with the above approach that it went to the extent of
suggesting the introduction of contractual appointment for selected posts at
SAG and HAG level giving option to the existing employees to negotiate for
such appointments (Para 1.2.6) . While doing so for Group ‘A’ services, it
ignored the rightful claim of Group B, C & D employees for advancement
in their pay and perks.
CHAPTER – 5
37
(ii) Not with-standing the Commission’s claim to usher in the concept of
delayering to make the Govt. organization less hierarchical by reducing the
number of scales and arresting the pay related anomalies by introducing
the concept of running pay bands and grade pay, the whole exercise has
turned into a complete fiasco in the absence of scientific and rational
approach in determining the pay bands and grade pay, Likewise the concept
of PRIS introduced with much fanfare to lead to holistic, flexible,
empowering and consultative style of working, is bound to proved counter-
productive as the same has been dealt with in vague and casual manner
leaving lot to be decided and desired at Departmental level. The Commission
has played with facts and figures to buttress its claim for minimum salary
and ratio of minimum to maximum pay. Otherwise also the hype generated
in media about general hike of 40% in pay sounds hollow and misplaced in
the light of actual pay recommended for Group B, C & D employees. The
anomalies, shortcomings and misgivings about the report are however
elaborately discussed in the following paras;
5.2.0 MINIMUM SALARY :
5.2.1 The Commission has PB-1 prescribed the minimum salary as 6660/- (Rs. 4860 as
basic pay + 1800 as grade pay) in PB-1 treating it as the lowest pay band (refer
Para 2.2.15). The lowest pay band is however 1S, which shall remain in
operation till all the Group D employees, are absorbed in PB-1. As on 1.1.2006,
these employees shall necessarily be placed in 1S Pay Band, thus the minimum
salary works out to be Rs. 5740/- as against the minimum wage of 5479/- as per
15th
I.L.C. Norms worked out by the Commission (Refer Table 2.2.1) as well as
against Rs. 11900/- demanded by this Association on the basis of detailed
analysis. The Commission has further claimed in Para 2.2.15 that the minimum
pay as on 1.1.08 shall be around Rs. 10,000/- which incidentally corresponds to
the minimum salary demanded by the staff side of JCM once benefit of HRA
transport allowance and education allowance etc. are included. The Commission
has blissfully ignored the fact that the demand together with the justification was
in respect to 1.1.2006 and the allowances were not included in it even at that
38
time. Furthermore, the Commission itself has reiterated in Para 1.2.10 that the
recommendations relating to allowance shall take effect prospectively. The
Commission has further failed to work on any norm or criteria to arrive at the
minimum salary. In this context it is pointed out that the 5th
Central Pay
Commission had increased the emoluments at lowest level by linking it with
30.9% increase in national productivity during the period 1986-1995, thus
providing hand some start at lower level. The Association demanded the pay
band 1S to be modified suitably so as to ensure minimum salary of Rs. 11,900/-
as on 1.1.2006 at the initial level of Pay Band of IS.
5.3.0 RATIO OF MINIMUM TO MAXIMUM SALARY :
5.3.1 The Commission in Para 2.2.17 has stated that the maximum salary has been
pegged at Rs. 80,000/- maintaining the minimum to maximum ratio of 1 : 12 (the
ratio which has been stated to be in consonance with the ratio suggested by staff
side). The Commission has twisted and distorted both the scales in maximum
and minimum with a view to justify the ratio of 1: 12. According to report itself,
Rs. 90,000/- is the revised scale of S-34 (Rs. 30,000/-), why should it not be
treated as maximum scale? Likewise the scale corresponding to pay band 1S
which works out to be 5740/- should have been treated as minimum scale. The
ratio of minimum to maximum thus works out to be 1:15.68 as against the ratio
of 1: 10 maintained by 5th
Pay Commission. This ratio weighs heavily against
the concept of welfare state and does not fit well with the cherished desire and
declared goal of a nation to enrich and strengthen the democratic system and
norms based on justice and equity.
5.4.0 ARBITRARY & ERRONEOUS DETERMINATION OF THE START OF
VARIOUS PAY BANDS :
5.4.1 The various Pay Bands have been framed in arbitrary and erroneous manner,
which can be seen from the facts delineated below;
a) The Pay Commission ignored the fact of merger of 50% DA as Dearness Pay
in 1.4.2006. The emoluments actually received by the employees as on
1.1.2006 were 86% of Basic Pay (treating 50% DA as DP) where as ignoring
39
the fact of DP this Commission has simply determined and decided pay
Bands on the basis of 74% DA as on 1.1.2006 resulting in actual loss of 12%
in emoluments.
b) No consistent, rational and uniform formula has been evolved in determining
the initial start of various Pay Bands. The start of Pay Band 1S i.e. 4440/- is
1.74 times of the minimum of the lowest pre-revised scale S-1 in that Pay
Band i.e. 2550x1.74 = 4437 say 4440. Likewise start of PB1 is 1.767 times
of minimum of pre-revised scale S-4 i.e. 2750x1.767 = 4859 say 4860/-. In
case of PB2 it is again 1.74 times i.e. 5000x1.74 = 8700 whereas for PB3 it
is 1.95 times i.e. 8000x1.95 = 15,600 and for PB4 it is 2.74 times i.e.
14,300x2.74 =39,182 i.e. 39,200/-. Thus, from Pay Band 1S to PB4 the
multiplication factor applied in determining the start of Pay Bands has
increased exponentially (ranging from 1.74 to 2.74). Not only this, the
multiplication factor in case of fixed scales works out to be 80,000/26,000 =
3.08 and 90,000/30,000 = 3.00 respectively. Thus in the scheme of Pay
Commission, the employees covered under Pay Band 1S, PB 1 & PB 2 have
been discriminated and placed at dis-advantageous position as against the
Group A Cadre governed by PB 3 & PB4. Faulty and arbitrary design of Pay
Bands is bound to cause much heartburn among the employees at middle and
lower level.
c) The Pay Band 4 starts (i.e. Rs.39,200) even above where the Pay Band 3
ends (i.e.. Rs.39,100). This is not the case with other pay bands. Creation of
Two Pay bands for Group A services together with the above pattern of PB3
& PB4 is bound to give quantum jump at certain level on promotion from
one pay Band to other Pay Band. As far as the other employees are
concerned, first of all, given the bleak promotional prospects in their case,
they will have hardly any chance to switch over from one band to other. If at
all they ever get such opportunity, there will not be any significant increase
in their emoluments under the existing pattern of PB 1 & PB2 as both the
bands are overlapping. PB1 is significantly subsumed in PB2.
40
5.4.2 Indeed, the Pay Band and Grade Pay system evolved by the 6th
CPC in
implementation of the concept of performance related pay structure in civil
services was a disaster. Having introduced without proper consultation with
stake holders, it did not serve the requisite purpose. The pay band and Grade Pay
structure has not prevented the highly qualified technocrats and professionals to
leave the Government in search of better career avenues in public and private
sectors. The system brought about innumerable anomalies of varied nature,
which could not be addressed by the National or Departmental Anomaly
Committees within the parameters stipulated by the Government. The failure of
these Committees to address the issues which were appreciated by all concerned
as genuine stand testimony of the incorrigible character of the scheme leaving no
alternative except to discard it and to replace by the pay scale structure.
Therefore, this has to be changed lock, stock and barrel. Infact, there is a great
need to revert to the Time Scale pattern of wage structure abandoning the Pay
Band and Grade Pay structure. The Time scale of Pay should have a minimum
pay and annual increment at the rate mentioned in this memorandum ahead in the
relevant chapter but without any maximum to take it as running pay scale. This
will eliminate the phenomena of stagnation.
5.5.0 FAULTY DESIGN OF GRADE PAY :
5.5.1 The Grade Pay Concept is not working at all and must be replaced with the pay
scale structure which was in vogue prior to the implementation of the 6th
CPC.
The purpose for which it had been devised is not specified by the 6th
CPC. It also
did not serve as a fitment benefit. At best the grade pay can only be termed as an
ad-hoc increase which has been allowed over the existing basic pay and DA as
on 1.1.2006
5.5.2 In Para 2.2.11 it has inter-alia been stated that the rates of grade pay have been
generally computed at the rate of forty percent of the maximum of the
corresponding pre-revised pay scale. It has also been placed on record that
Grade pay will determine the status of a post. The Commission has also
admitted in Para 2.2.11 itself that in few cases the ratio of grade pay have been
computed differently. The 40% formula has been borrowed from the fitment
41
benefit granted by the Govt. of India at the time of the revision of scale after 5th
Central Pay Commission. This formula can certainly not be applied to adjudge
the status of a post. The grade pays calculated on the basis of above formula do
not truly reflect the real worth and sanctity of a post on promotion. The monetary
difference between the two successive grade pay is less that the difference
between both the minimum and the maximum of the corresponding pre-revised
pay scales. For example, the difference between the two successive pre-revised
pay scale 6500-200-10500 & 7450-225-11500 works out to be 7450-6500= 950
at initial level and 11,500-10,500 = 1000 at maximum level as against the
difference (4600-4200= 400)between the proposed grade pay for these two
scales.
5.5.3 This is for the first time that in the form of grade pay, this difference has
substantially been marginalized. In the past the gap between two successive
scales were not only used to be maintained on revision but were further adjusted
against the corresponding increase in DA at the relevant point of time. The true
reflection of the posts in grade pay can be achieved by, first fixing the grade pay
of the lowest scale and then adding the difference of the maximum/minimum of
the two successive pre-revised scales after allowing adjustment for increase in
DA i.e. increasing the difference @ 86%. Thus, admitting the Grade Pay for S1
as 1300 the Grade Pay for S2 shall be 1300 +( 60x1.86) = 1411.6 Say 1420/-.
5.6.0 ARBITRARY FIXATION OF VARIOUS STAGES OF PRE-REVISED
SCALES UNDER THE SCHEME OF PAY BANDS :
5.6.1 Though it has been stated that the revised pay for various stages in pre-revised
scales have been fixed by increasing it by 74%, but a cursory look at Table 2.2.2
would reveal that the above formula has not uniformly been followed. Various
stages of S-4 have been fixed in the revised pay band after increasing them from
(81% to 74%). Increase in revised pay of various stages of pre-revised scale of
8000-13500 in PB3 ranges from (95% to 74%). Even some of the stages
like8550 & 8825 have been fixed at the same revised pay of Rs.15990/-, likewise
the stages 9100/- & 9375/- have been pegged at 16,390/- in revised pay.
42
5.6.2 This shows that whole scheme is not only erroneous but has been so arbitrarily
irrationally, illogically and unilaterally designed that no uniform pattern was
possible for fixation of old stages in new Bands.
5.7.0 EROSION OF HIGHER SCALES IN PAY BANDS :
5.7.1 Due to clubbing of various scales in one Pay Band without evolving any rational
formula for determining the initial of various pay bands, the higher scales in Pay
Bands have suffered adversely in terms of increase over the pay drawn as on
1.1.2006. Table I shows that while in case of 5000-8000 in PB2 the increase is to
the tune of 38.70%. All other scales ranging from S-12 to S-15 in same Pay Band
will witness less than 30% increase over the existing pay as on 1.1.2006. The
various stages in these scales stand further eroded as the increase in total
emoluments over the existing pay as on 1.1.2006 under these stages have been
noticed to be confined within 20% only.
5.8.0 STEADY DECREASE IN PAY WITH TIME :
5.8.1 The study reveals that the increase in proposed pay over old pay as on 1.1.2006
gets reduced and neutralized with times. Table 2 shows that against the basic pay
of Rs.8300/- increase in proposed new pay over old pay go on decreasing from
21% as on 1.1.2006 to 13% as on 1.1.2008. Likewise in case of Basic pay of
Rs.10,300/- as on 1.1.2006 the initial increase of 25% gets marginalized to 16%
on 1.1.2008.
5.8.2 From the above facts it can be visualized that the effect of the
recommendations of the 6th
Pay Commission shall get neutralized within next
4 years i.e. by 2012, the pay under new arrangement shall be the same or less
than the corresponding pay under the existing arrangement. There will be the
need for another Pay revision. The life of the recommendation of the 6th
Pay
Commission, thus, cannot be more than 6 years as against the normal life of
10 years for such revisions. In this way, the recommendations of the Hon’ble
7th
CPC need to take effect from 01.01.2012.
43
5.9.0 MERGER OF S-9, S-10, S-11 & S-12 IN PB2 ONLY AN EYE WASH :
5.9.1 The Commission in Para 2.2.19 has announced the merger of the above scales in
order to remove the anomalies. Even after the merger of these scales, the PB2
has been based on the pre-revised scale S-9 (i.e. 8700 being5000x1.74 = 8700
and grade pay 4200 being 40% of 10,500). The Commission has thus itself
further compounded the anomalies by down grading the scale of 6500-10500,
whereas in all fairness the anomalies related to S-9, S-10, S-11 & S-12 ought to
have been addressed by basing the PB2 on S-12.
5.10.0 CONTRADICTORY RECOMMENDATION IN CASE OF
SUBORDINATE ENGINEERING SERVICES :
5.10.1 In chapter 3.4 Para 3.4.7, the 6th
Pay Commission recommends that “All posts in
subordinate Engineering cadres carrying minimum qualification of Diploma
in Engineering for direct recruits and having an element of direct recruitment
should be placed in the running pay bands PB-2 of Rs.8700-34800 alongwith a
grade pay of Rs.4200 corresponding to the pre-revised pay scale of Rs.6500-
10500. Simultaneously all posts in subordinate Engineering cadres carrying
minimum qualification of a degree in engineering and having an element of
direct recruitment should be placed in the running pay band PB2 of Rs.8700-
34800 along with the grade pay of Rs.4600 corresponding to the pre-revised
pay scale of Rs.7450-11500. These posts will form feeder cadre for promotion
to the post in running Pay Band PB3 of Rs.15600-39100 carrying grade pay of
Rs.5400 (pre-revised Rs.8000-13500) in which direct recruitment to Group A
engineering cadre post is made”. Applying the above recommendations to the
conditions of CPWD, it will be established that the JE of CPWD who have
diploma as minimum qualification for direct recruitment with an element of
direct recruitment for the post will be placed in the pre-revised pay scale of
Rs.6500-10500. Since the post of JE forms the 100% feeder cadre for promotion
to post of AE, the pay scale of AE shall be placed in the pre-revised scale of
Rs.8000-13500 (Group ‘A’ Scale).
5.10.2 However, without any study of the conditions, recruitment rules procedure of
appointment and hierarchy of posts in case of subordinate engineering services
44
of CPWD, the Commission very casually stated in Para 7.46.12 that “ All
Diploma holder engineers are placed in the scale of Rs.5000-8000. The post of
JE may therefore be placed in the corresponding pay band and grade Pay”
This statement is in contradiction with the recommendation made in Para 3.4.7
wherein Diploma holder is stated to have been placed in the pre-revised scale of
Rs.6500-10500. In the same breath the Commission contradicting its
recommendations made in para 3.4.7, further held in Para 7.46.12 that since it
has recommended the scale of 7450-11500 for all posts of engineering carrying
minimum qualification of degree in engineering and the post of AE in CPWD
carries these minimum qualification, it must be placed in the scale of Rs. 7450-
11500.
5.10.3 First of all the post of AE in CPWD does not fall under the category of post
carrying minimum qualification of degree and having an element of direct
recruitment as prescribed under Para 3.4.7. There is no direct recruitment at AE
level in CPWD. This is promotional post from the feeder post of JE in CPWD.
Hence the AE of CPWD should have also been placed in the pre-revised pay
scale of Rs.8000-13500 (Group A) according to its own recommendations made
there in the Para 3.4.7.
5.11.0 PROMOTIONS MADE LESS ATTRACTIVE UNDER THE SCHEME :
5.11.1 Large pay bands clubbing number of pre-revised scales therein together with the
fixation of the start of pay band on the basis of the lowest scale in that pay band
has created an anomalous situation rendering promotions to the next post less
attractive. The following example shall describe and make the picture crystal
clear in regard to the above facts. Prior to 1.1.2006 the JE in CPWD was placed
in the Pay Scale of 5000-150-8000 and with the length of 4 years’ service he
could be promoted to the post of Assistant Engineer in the Pay Scale of Rs.
6500-200-10500 through LDCE (Limited Departmental competitive
Examination). Thus, the JE in CPWD with 4 years’ service will be at the stage of
Rs.5600 in the pay scale of Rs.5000-8000 and if on promotion he will be placed
in the Pay Scale of Rs.6500-10500 together with an increment he will be in the
stage of Rs.6700/- making a quantum jump of (6700-5600) = 1100.
45
5.11.2 Under the proposed arrangement of 6th
CPC he will be getting revised pay of
Rs.9750 in the running pay band as a replacement of Rs.5600. Thus, his pay will
be (9750+4200) = 13950/-. On promotion he will get an additional increment
placing him at the pay of (9994+4600) = 14594/- only, providing the financial
benefit of Rs. 14594-13950) = 644/- only on promotion as against Rs.1100/- in
the existing arrangement as stated herein above. The promotion has therefore,
lost its charm under the new dispensation. Moreover, a direct recruit for the post
in the pay scale of Rs.7450-11500 will get total pay as (11280+4600) = 15880 on
the basis of fixation made as per Para 2.2.22(iv) whereas the pay of employee at
this stage in the pre-revised scale shall be fixed as 17570/- as per Table 2.2.2
What can be more anomalous than this situation when the pay of an existing
employee at the stage of 7450-11500 shall be =17570/-, the pay of the direct
recruit in this scale shall be = 15,880 and departmental promotee in this grade
form the lower grade shall get = 14594/- though the stage in pre-revised scale
in each case shall be 7450/-.
5.12.0 REVISED PAY FOR VARIOUS STAGES IN PRE-REVISED SCALES
NOT COMMENSURATE WITH THE CORRESPONDING FIXATION
ON THE BASIS OF 2.5% PROPOSED INCREMENT :
5.12.1 Basic pay for the various stages in the pre-revised scale given in Table 2.2.2
cannot be reached at by adding increments for the corresponding period in
Pay band system particularly for lower scales. For example in case of a scale
of 5000-150-8000 the stage of 5600/-is reached after 4 years and the revised
pay for this stage in Table 2.2.0 is shown Rs.9750/-. A new recruit in this
scale shall by way of increments after 4 years of service reach at
Rs.8700x(1+2.5/100) = 9603/- only. This imbalance has happened due to
yearly increment proposed at lesser rate of 2.5%.
5.13.0 ANOMALY IN REGARD TO THE SCALE OF RS.8000-275-13500 :
5.13.1 It is ironical and ridiculous that the same scale has been treated in two different
forms. Throughout the history of public services no single scale has been
identified with two groups by giving it different treatment. According to the
recommendations, for Group B employees, the same scale shall lie in PB2 while
46
for Group A services this shall be the initial scale in PB3. So much so, for the
delayering as claimed to have been pursued by Commission, instead of subsiding
and merging class identities it is bound to rekindle class consciousness thereby
stirring the feeling of discrimination and deprivation among the group B & C
employees. Hitherto before transition and up-gradation on promotion to a
corresponding stage in a scale has always been smooth without bump,
unevenness and class barriers. The same grade pay signifies the same level of
post as has been envisioned by the Commission in its scheme of grade pay,
yet the scale has been treated differently resulting in discriminatory
treatment to the same level of post, which is not only preposterous and
absurd but smacks of the high handedness of the Commission in dealing
with the service conditions and career aspects of Group B, C & D
employees.
5.14.0 ANOMALOUS, AND UNJUST RECOMMENDATIONS OF PREVIOUS
PAY COMMISSIONS :
5.14.1 Before arriving at the final conclusions in the matter of Pay Scales, Allowances
and other service conditions, the Hon’ble 7th
Pay Commission is expected and
needs to examine in depth the anomalies and injustices inflicted upon by the
previous Pay Commissions in general and by of the 6th
CPC in particular in
respect to the subordinate engineers of CPWD and set right the same judiciously
in the interest of equity and fair-play.
5.14.2 We shall first discuss the anomaly in determination of the Pay Scale of Junior
Engineers, being lowest in the hierarchy of engineering services. The Justified
and rational up-gradation in the pay scale of Junior Engineers, will automatically
result in the up-gradation of the scale of Assistant Engineers, Executive
Engineers and above.
5.15.0 ANOMALIES IN THE PAY SCALES OF JUNIOR ENGINEERS :
5.15.1 The cadre of Junior Engineers together with the cadre fed by it, constitutes about
85% of the total Engineers in C.P.W.D., hence the pay package and career
prospects of Junior Engineers play vital role in the functioning of the
47
organizations. It is a fact that good numbers of the selected candidates do not
prefer to join the Government departments and equally numbers of candidates
who join the department leave it subsequently after looking to the poor pay
scales and poor career prospects in comparison to the pay structure and career
prospects of private and public sector organizations. This exodus of the engineers
particularly from the Junior Engineers cadre of the Govt. departments is
seriously and adversely affecting the working of the departments.
5.15.2 The Junior Engineers of CPWD, were being given the initial Pay scale of
Rs. 5000-8000, Rs. 5500-9000 (after 5 years) and Rs. 6500-10500 (after 15
years) as per 5th
CPC. Subsequent to the introduction of the ACP scheme, the
scale of Rs. 5500-9000 was withdrawn and the majority of the J.E’s placed in
this scale were brought back and placed in the scale of Rs. 5000-8000 to
facilitate the grant of 1st ACP scale of Rs. 6500-10500 for AEs (after 12 years)
and 2nd
ACP scale of Rs. 10000-15200 for EE (after 24 years). The 6th
CPC had
maintained that the grant of Rs. 5000-8000 scale for Junior Engineers was not
anomalous, however with a view to remove certain anomalies, the 6th
CPC
merged the scale of S-9, S-10, S-11 & S-12 into one and proposed a
corresponding pay band PB-2 of Rs. 9300-34800 along with a grade pay of Rs.
4200 to the J.Es deceptively showing the merger of corresponding pre-revised
scale of Rs. 6500-10500.
5.15.3 The merger of various scales by placing them at a common grade pay in the
same pay band needs revision. The pay band for such merged scale has been
calculated and fixed by adding 40% to the maximum stage of the existing higher
scale merged. Instance under consideration is merger of S-9 (Rs. 5000-8000), S-
10 (Rs. 5500-9000), S-11 (Rs. 6500-6900) and S-12 (Rs. 6500-10500) in PB-2.
The pay band width is Rs. 9300-34800 with grade pay of Rs. 4200 for all the
merged scales. This, in a way, means not merged, but withdrawal of S-10, S-11
and S-12 scales and placement in S-9 scale. For effective merger, the Pay Band
should be based on S-12 (Rs. 6500-10500) instead of S-9 (Rs. 5000-8000) but
the formula adopted for this purpose by the 6th
CPC is just reverse and awfully
detrimental to the employees being arbitrary, injurious, discriminatory and ultra
virus the cardinal principle of the 6th
CPC itself.
48
5.15.4 As per recommendations in Para 2.2.19 (vii) of the report of the 6th
CPC, the four
scales Rs. 5000-8000, Rs. 5500-9000, Rs. 6500-6900 and Rs. 6500-10500 are
stated to be merged into one scale to bring parity between field officers, the
Secretariat, the technical post and the work shop staff. The apparent anomaly
between the principle enunciated in this Para vis-à-vis the implementation of the
same is that the merger has to be in the pay scale of 6500-10500 according to this
recommendation itself but while placing these scales into the pay band, the
calculation is based on the minimum of the lowest pay scale of all the merged
scales in total contravention to the letter and spirit of the contents of this Para
which is reproduced as under-
“This merger has been done by extending the existing minimum prescribed
for the highest pay scale with which the other scales are being merged”-
Thus, the pay band of these merged pay scales ought to have been as under :
Rs. 6500 + 86% (DA) = 12090 + Grade Pay, instead of taking into account the
minimum of lowest Pay Scale i.e. Rs. 5000 + 86% (DA) = 9300 + Grade Pay.
5.15.5 Obviously, the above calculated scale of Rs. 12,090/- is to be placed in the next
available Pay Band of PB-3 i.e. Rs. 15,600 – 39,000 + Grade Pay. But
consciously it has been slashed down in the Pay Band of PB-2 against all the
canons of justice and fair play.
Besides above, the other serious and grave anomalies are mentioned as under :-
a) The another significant anomaly in the Pay Scales of J.E is created with
respect to the pay scales of staff nurse subsequently vide section-II Part-B
Item No.-xii (i) and xvii (iii) of gazette of India GSR-622(E) Dt. 29.8.2008.
The staff nurses (Diploma holders) were given the pay scale of Rs. 5000-
8000 by the 5th
CPC. The scale of Rs. 5500-9000 was a promotional scale to
them. The qualifications, duties, responsibilities of the junior Engineers are
more arduous in nature in comparison to that of the staff nurses. The 6th
CPC
has now proposed a pre-revised notional pay scale of Rs. 7450-11500 and
placed the nurses in PB-2 with the grade pay of Rs. 4600 (i.e. equivalent to
class-ii Gaz. Officers) as against Rs. 4200 granted to the JEs.
49
b) Similar is the case with respect to the trained graduate teachers who were
erstwhile placed in the pay scale of Rs. 5000-8000 at par with the J.Es but
are now granted with the new pay scale on the basis of a notional upgraded
scale of Rs. 7450-11500 having the Grade pay of Rs. 4600 (i.e. equivalent to
class-II Gazetted officers) as against Rs. 4200 for J.E.
c) The Job Evolution Committee appointed in CPWD by the Ministry of Urban
Development, Govt. of India has submitted a report wherein, the duties &
responsibilities of the JE’s of CPWD were stated as more complex and
arduous than those of Draftsman Grade-II of CPWD. The report was
accepted by the Govt. and the same was also proclaimed in the Parliament
but the 6th
CPC has placed both these cadres at par in PB-2 with Grade Pay
of Rs. 4200.
d) Subsequent to the 6th
CPC report, the Directorate General of All India Radio,
vide office Order F.No.3120/2008-SIV-A, dated 16.01.2009 placed all the
Engineer Assistants in the Pay Band PB-II with Grade Pay of Rs. 4600/-
corresponding to the pre-revised pay scale of Rs. 7,450-11,500/-
e) Department of Atomic Energy, Govt. of India placed all the Junior Engineers
i.e. Scientific Officers in the Pay Band PB-II with Grade Pay of Rs. 4800/-
and also Department of Space, G.O.I placed all the Diploma Engineers i.e.
Technical Assistants ‘A’ in the Pay Band PB-II with Grade Pay of Rs. 4800/-
f) Similarly, the Govt. of Punjab vide Order No-5/138/09-3FPI/881 dated
01.12.2011 and Union Territory of Chandigarh, vide Order No.7000/1/n/09-
F&P.O(7) dated 28.02.2012 also placed Junior Engineers in the Pay Band
PB-II with Grade Pay of Rs. 4800/-.
g) The Govt. of Uttarakhand vide Order No.-571/XXVII(7)27(14)/2012 dated
06.06.2013 also placed the Junior Engineers in the Pay Band PB-II with
Grade Pay of Rs. 4600/- and after the service of three years Rs. 4800/-.
h) The attention is also drawn to the clause-7 of the resolution of Govt. of India
issued vide No.1/1/208-1C dated 29.08.2008 for implementation of the 6th
CPC recommendations, which read as under:-
50
“Clause-7:- Department specific recommendations which are not included
in this resolution shall be processed by the Department/Ministry concerned
and approvals of the Govt. obtained in consultation with the Ministry of
Finance and Department of Personnel and Training”
(i) When compared to many analogous posts like Office Assistant in CSS,
Stenographers in CSS, Nurses and Primary Teachers etc. who have been
placed in PB-II with Rs. 4600/- Grade Pay, the initial pay scale of Junior
Engineers of CPWD have been placed in the Grade Pay of Rs. 4200/-. This
goes against the principle of 6th
CPC itself which claimed parity of pay
between officers working in Secretariat and field officers which was ensured
as absolute up to Assistant level by the CPC in Para 3.1.3 of the report.
5.15.6 Taking an isometric view of these heavily disturbed horizontal and vertical
relativities within and outside the department and to make this entry level cadre
of JEs more attractive to the young talented engineers, it is just and fair that
considering a pre-revised minimum scale of Rs. 7500-12000 for the Junior
Engineers their revised scale ought to have been in PB-2 with grade pay of Rs.
4800 and accordingly it is strongly urged upon the 7th
CPC to consider this base
for new scale for JEs.
5.15.7 In view of the above glaring anomalies, the recommendations of the 6th
Pay
Commission deserve to be reviewed and modified incorporating therein the
concept and demands detailed and described here as under with full
justifications. The Hon’ble 7th
CPC is therefore requested to set right these
anomalies first so as to arrive at the right, rational and appropriate conclusions of
its recommendations in the interest of justice and equity.
5.16.0 RECONSTRUCTION OF THE PAY BANDS :
5.16.1 Pay Bands in existing form are anomalous as detailed in the foregoing paras and
are not acceptable to Group B, C & D employees. Pay Bands therefore needs to
be recast by incorporating the factor of 50% DP and 40% fitment benefit. In this
way they will truly be representative of the conditions as obtained on date as well
as meet out the demand in regard to the application of multiplying factor of
2.625 as raised by the staff side in JCM.
51
For example PB-1 can be redesigned in the following manner :
Initial of lowest pay scale in PB-1 = 2750/-
Add 50% DP = 1375/-
Total = 4125/-
Add 24% DA = 990/-
------------------
5115/-
Add 40% Fitment benefit = 2046/-
------------------
7161/-
Thus the PB1 should at least start at 7170/-
5.16.2 RATIONALIZATION OF GRADE PAY :
5.16.2.1 As has been explained in the preceding Para’s the Grade Pay in its present form
does not truly reflect the existing preeminence and predominance of senior posts
over lower feeder posts. The gap between the start of the two consecutive scales
has reduced by 40% due to defect in the formula adopted for the determination of
Grade Pay. For example, in case of two consecutive scale of 6500-10500 &
7450-11500 the initial difference (7450-6500) = 950 has reduced to 40% i.e.
950 × 0.40 = 380 say 400 in the Grade Pay for the two scales i.e. (4600 - 4200) =
400. The correct formula would be to assign the notional Grade Pay to the lowest
scale and then increasing it by the difference between the minimum of
consecutive scales for next higher scale after allowing for the difference in DA
so worked out. This way accepting the Grade Pay of 1300/- for S-1, the Grade
Pay for S-2 would be 1300 + (2610-2550) x 1.86 = 1411.6 say 1420
5.16.3 PLACEMENT OF PRE-REVISED PAY SCALE 8000-13500 IN PB3 ONLY
5.16.3.1 Lot has been said about it in the preceding Para’s. This scale 8000-13500 should
be removed from PB-2 and the entire group B & C employees promoted to this
scale must be promoted from PB-2 to PB-3.
52
5.16.4 PB-2 TO BE DESIGNED ON THE BASIS OF THE PRE-REVISED PAY
SCALE 6500-10500
5.16.4.1 There is no logic to design PB2 on the basis of the pre-revised pay scale of
5000-8000, even after the merger of the above scales. The PB2 must
therefore be redesigned taking 6500-10500 as the lowest pay scale. The
redesigned PB2 shall thus start at ((6500+3250) x 1.24 ))x 1.40 = 16926/-
taking into consideration the Grade Pay of 8670/- the total pay for this scale
works out to be 25596/- as against 26000/- demanded by this Association
considering the revised scale of 6500-10500 for JEs in CPWD.
53
6.0.0 PAY SCALE OF ASSISTANT ENGINEERS (GROUP ‘B’─ GAZETTED) :
6.1.0 ANOMALIES IN THE PAY SCALE OF ASSISTANT ENGINEERS
6.1.1 The Pay scale of Assistant Engineers in CPWD granted by the previous Pay
Commissions in general and by the 6th
CPC in particular is grossly anomalous on
several counts as detailed below. The discriminatory functioning and callous
attitude of the Department and Pay Commissions towards the promotee Assistant
Engineers deprived them of the justice since quite long as is evident and
highlighted at a glance in a CHART annexed herewith and marked as
ANNEXURE-A & B.
6.1.2 The recommendations of the 5th
and 6th
Pay Commissions were against the
directive principles of the Constitution of India and in gross violations of the
Ruling of the Hon’ble Supreme Court, time and again, i.e. “Equal Pay for Equal
Work”.
6.1.2.1 On the above principle, the promotee Assistant Engineers and the directly
recruited Assistant Executive Engineers, doing the same works with the same
duties, responsibilities, financial and statuary powers, are eligible for the same
pay scale. The seniority list of both categories is also one soon after the
promotion to the grade of Executive Engineer. But the Commission itself
deviated from the principle as would reveal from the following facts:
6.1.2.2 Sub-Divisional officers as Sub-Divisional officers as
promotee AEs directly recruited AEEs
As per 5th
CPC = Rs. 6500-10500 = Rs. 8000-13500
As per 6th
CPC = PB-2 + 4600 (GP) = PB-3 + 5400 (GP)
6.1.2.3 Such discrimination should not be applicable in Engineering Departments.
Therefore, now we request this Hon’ble Commission to do justice and grant
the same pay scale for both viz. to promotee Assistant Engineers and directly
recruited Assistant Executive Engineers.
CHAPTER – 6
54
6.1.3 The 5th
Central Pay Commission instead of bridging the gap, aggravated the
situation by further widening the difference between the scale of Group ‛Bʼ
Engineers and Group ‛Aʼ Engineers (JTS). It placed the Group ‛Bʼ Engineers at
the scale of 6500-10500 and decided the scale of 8000-13500 (JTS) for AEEs.
6.1.4 In fact, the 5th
Pay Commission first arbitrarily fixed the scale of Direct Recruit
Group A services at JTS level as 8000-13500 and subsequently realizing that the
difference between the minimum of the two scales i.e. (8000-6500) = 1500 has
widened abnormally, created unilaterally one intermediate scale of 7500-12000
for 50% AEs and 6,500-10,500 for remaining 50% AEs at “Group B” level to
give some sort of semblance of harmony with the approach of the previous Pay
Commissions. It is noteworthy that the existing gap between the two grades on
the basis of recommendations of 4th
Pay Commission was merely of Rs. 200/-,
which by applying the broad multiplier as decided by the 5th
Pay Commission to
frame the new Scales, would have been, at the most, as 200 x 3.25 = 650/-
between the minimum of two scales.
6.1.5 The 5th
Pay Commission created two grades at Group “B” level i.e.
Assistant Engineer Grade –I 7500-12000 (For 50% senior AEs)
Assistant Engineer Grade –II 6500-10500 (For remaining 50% AEs)
6.1.6 The bifurcation and introduction of two scales at Group ‛Bʼ level created further
horizontal disparity and anomaly in the scale of Assistant Engineers of the
various Engineering Departments of Central Govt. as can be seen from the
following facts :
a. In A.I.R. (Prasar Bharati) and Door Darshan, all the Assistant Engineers
were placed in the pay scale of 7500-12000 only.
b. In Central Electricity Authority the AEs Scale was fixed at 8000- 13500
6.1.7 There are severe and glaring anomalies in the pay scale of Assistant Engineers
with respect to the other categories and cadres of Central Govt. created by the 4th
,
5th
and 6th
CPC as would be established categorically from the following Table.
55
TABLE – 1
SHOWING ANOMALIES WITH RESPECT TO THE OTHER CADRES
IN CENTRAL GOVERNMENT
Anomalies created by 4th
, 5th
and 6th
Pay Commissions with Assistant Engineers
Sl.
No
Ministry/
Deptt.
Pay Scales recommended by CPC
Posts 3rd
4th
5th
6th
1 Deptt. of
Rural
Development
- Directorate
of marketing
& Inspection
i) Asstt.
Marketing
officer
ii) Officer
inspection
550-
900
650-
1200
2200-
3500
2200-
4000
6500-
10500
6500-
10500
PB-2 G.Pay-
4600
PB-2 G.Pay-
4600
2 N.C.C. Civilian,
Inspector
650-
900
2200-
4000
8000-
13500
PB-2 G.Pay-
4600
3 M/o Ext.
Affairs
P.R.O. in
Passport Office
650-
1200
2200-
4000
8000-
13500
PB-2 G.Pay-
4800
4 M/o Food &
Civil Supplies
Department
of Food
Lecturer 650-
1200
2200-
4000
8000-
13500
PB-2 G.Pay-
4600
5 M/o Food &
Civil Supplies
Deptt. of
Food
Physician 650-
1200
3000-
4500
10000-
15200
PB-3 G.Pay-
6600
6 -do- I.S.M/
Homeopathic
Physicians.
650-
1200
2200-
4000
8000-
13500
PB-2 G.Pay-
5400
7 M/o Home
Affairs
Assistant
Company
Commander
650-
960
2000-
3500
6500-
10500
PB-2 G.Pay-
5400
8 C.I.S.F. i) Assistant.
Commandant
ii)
Superintendent
of Police
650-
1200
650-
1200
2200-
3500
2200-
3500
8000-
13500
8000-
13500
PB-3 G.Pay-
5400
PB-3 G.Pay-
5400
9 CPWD Assistant
Engineer
650-
1200
2000-
3500
6500-
10500
PB-2
G.Pay-4600
6.1.8 In all the State Govt. Departments like U.P., Bihar, Haryana and Punjab, the
Assistant Engineers irrespective whether promotee or directly recruited were in
the same pay scale of Rs. 8000-13500 and are granted the same Pay scales at
present too, as would be established from the following Table:-
56
TABLE-2
SHOWING THE HIGHER PAY SCALES OF ASSISTANT ENGINEERS
IN STATE GOVERNMENTS THAN CPWD, A CENTRAL GOVT. DEPTT
S.
No
Name of the State Pay Scale by 5th
CPC
Pay Scale by 6th
CPC
1 Arunachal Pradesh 8000 – 13500 PB-3 + G. Pay – 5400
2 Madhya Pradesh 8000 – 13500 PB-3 + G. Pay - 5400
3 Maharasthra 8000 – 13500 PB-3 + G. Pay - 5400
4 Mizoram 8000 – 13500 PB-3 + G. Pay - 5400
5 Nagaland 8000 – 13500 PB-3 + G. Pay - 5400
6 Rajasthan 8000 – 13500 PB-3 + G. Pay - 5400
7 Tamil Nadu 8000 – 13500 PB-3 + G. Pay - 5400
8 Utter Pradesh 8000 – 13500 PB-3 + G. Pay - 5400
9 Uttrakhand 8000 – 13500 PB-3 + G. Pay - 5400
10 West Bengal 8000 – 13500 PB-3 + G. Pay - 5400
11 Jammu & Kashmir 8000 – 13500 PB-3 + G. Pay - 5400
12 Punjab 7880 – 13500 PB-3 + G. Pay - 5400
13 Himachal Pradesh 7880 – 13500 PB-3 + G. Pay - 5400
14 G.O.I. (C.P.W.D) 6500 – 10500 PB-2 + G. Pay - 4600
6.1.9 The Hon’ble Commission is therefore requested to maintain the principle of
Equal Pay for Equal work and consider the same Pay Scale of Rs. 8000-13500
which is revised as PB-3 + G. Pay of Rs. 5400 for AE/AEE both as on 1.1.1996
and 01.01.2006 respectively as a bench mark for the conversion of the new pay
scale of the Assistant Engineers / Assistant Executive Engineers w.e.f
01.01.2006 and then on the basis of so arrived scale of PB-3 + 5400, the new
scale should be decided in the interest of justice, equity and fair play.
6.1.10 It was also brought to the notice of the Hon’ble 6th
Central Pay Commission that
during the year around 2002-03, about 400 Junior Engineers of A.I.R. were
declared surplus and were merged in C.P.W.D. Most of them were already
granted the scale of Assistant Engineer in A.I.R. i.e. the scale of 7500-12000 as
the 1st up-gradation under ACP Scheme. Though no such scale was prevalent in
CPWD at that time, yet the scale of 7500-12000 given to these Junior Engineers
who came from A.I.R. on redeployment and merged in CPWD was protected.
Thus, while the Junior Engineers directly recruited in CPWD are placed in the
pay scale of 6500-10500 on 1st up-gradation under ACP scheme, these new
Junior Engineers, came in C.P.W.D. in 2002-03 on redeployment from AIR are
57
availing the 1st up-gradation scale of 7500-12000. This unprecedented
discrimination has caused heart burning, discontentment, strong resentment and
frustration among the J.E.s and A.Es of CPWD.
6.1.11 The Assistant Architects in CPWD, who were originally in the pay scale of
2000–3500 as per recommendations of 4th
Pay Commission and were further
placed in the pay scale of 6500- 10500, at par with the scale of Assistant
Engineers by 5th
Pay Commission were, unilaterally placed in the pay scale of
7500-12000 by the department creating the glaring anomaly by discriminating
the Assistant Engineers against the Assistant Architects who were hither-to
before placed at the same scale as of the Assistant Engineers.
Thus, the equals in the scale have arbitrarily been treated unequally by the
department creating the horizontal anomaly.
6.1.12 The myth that Central Govt. employees should be placed and always are placed
at better scale than the State Governments has broken down in the matter of the
pay scales of the Assistant Engineers and now they are the lowest paid
employees in respect to the scales of their counterpart in States.
6.1.13 The 6th
Central Pay Commission has further aggravated the situation to its peak
with their totally unjust, unfair, grossly discriminatory, illogical, awful and
unprecedented recommendations in respect of pay for the AEs of CPWD as
placed below with reasons and grounds:-
6.1.13.1 According to the new pay scale, the difference in the pay scale of the JEs
(Group-C posts) and AEs (Group-B posts, Gazetted) is left only of Rs. 400/-
(4600-4200 GP) and now in case of the next higher post of EE it has been
enhanced to [(15,600 + 6,600 G.Pay)-(9,300 + 4,600 G.Pay)] = Rs. 8300/- viz.
1:20.75 which hitherto before was Rs 1500/- and Rs. 3500/- respectively i.e.
1:2.33. This sole example is an eye opener to expose the wrong policies, ill
designs and distorted doctrine of pay scales in the form of the new pay scale for
AEs introduced by the 6th
CPC and an unparalleled step motherly treatment
extended to this class of Engineers. Indeed, the AE’s must be placed in
consideration with the pre-revised scale of Rs. 8000-13500 and then accordingly
58
in the Pay Band of PB-3 with the Grade Pay of Rs. 5400 in the interest of justice
and equity.
6.1.13.2 A chart at ANNEXURE-A & B showing the vertical and horizontal relativities in
the Pay Scales of JE/AE/EE/SE is enclosed herewith highlighting the anomalies
and discriminations particularly with respect to the AEs of CPWD right from the
3rd
CPC to 6th
CPC. This is a self-explanatory document and hardly needs any
further elaboration in this regard.
6.1.13.3 Though in the report of 6th
CPC, it has repeatedly been stated that promoting
efficiency, productivity and economy through rationalization of pay structures
and evolving a system aimed at to lay emphasis on delivery and end results have
been the guiding principles behind these recommendations, yet even a cursory
glance at the report would establish that the Commission had made up its mind to
ward off the fear of any eventuality of attrition at top echelon in future by
making enormous jump and hike in pays and perks of “All India Services” and
‘Central Group “A” Services’ thereby providing these services the sort of
semblance and parity with private sector. Not only this, the Commission was so
enamored and infatuated with its new found enthusiasm and zeal with the above
approach that it went to the extent of suggesting the introduction of contractual
appointment for selected posts at SAG and HAG level giving option to the
existing employees to negotiate for such appointments (Para 1.2.6). While doing
so for Group “A” services, it ignored the rightful claim of Group B. C & D
employees for advancement in their pay and perks and ruthlessly crushed the
Assistant Engineers specifically while deciding the Pay Scale for them against all
sort of justice.
6.2.0 THE PRE-REVISED PAY SCALE OF 8000-13500 IN PB3 FOR THE AES
IN CPWD
6.2.1 In its memorandum submitted to the Hon’ble 6th
Pay Commission the
Association demanded for the up-gradation of the scale of AEs in CPWD to
bring about the parity with AEEs on the following grounds
i) For both, the next promotional post is of EE in the scale of 10000-15800
ii) AEEs and AEs perform the same duties
59
iii) In most of the States the AEs and AEEs are placed at the same scale of 8000
- 13500
iv) Since the scale of AEs in CPWD is deteriorated with passage of time
disturbing horizontal and vertical relativities with other similarly placed
cadres as contained in the chart at ANNEXURE-A & B.
6.2.2 The Commission however, recommended the pre-revised pay scale of 7450-
11500 for AEs in CPWD. The Pay Commission thus did not pay any heed to our
just and rational demand. While upgrading certain posts placing them at 8000-
13500 as against the existing scale of 7500-12000, it should have taken note of
the fact that 5th
Pay Commission had recommended the scale of 7500-12000 for
50% of posts at AE level in CPWD and accordingly this cadre also deserved up-
gradation to the scale of 8000-13500. The Commission further rubbed this cadre
in the wrong way by disturbing the horizontal and vertical relativities as would
be evident from the following ;
i) Posts of Appraiser/Supdt. (preventive)/equivalent in CBEC, ITO/equivalent
in CBDT earlier placed at 6500-10500 now stand up-graded to 7500-12000
since 2004 (Refer P331, Para 7.15.14)
ii) Sr. Divisional Accounts Officer with existing scale of 7500-12000 has now
been recommended to be placed at (8000-13500) (Refer Para 7.56.13 P.459).
Likewise post of AAO used to be lower than AE till 4th
Pay Commission was
placed at 7450-11500 by 5th
Pay Commission and now they have been
considered by the 6th
CPC on the basis of pay grade of 7500-12000.
iii) The Group B Services UT Civil Service (DANICS) and UT Police Service
(DANIPS) with existing scale of Rs.6500-10500 have been placed in the pay
scale of 7500-12000 (Refer Para 7. 19. 70 Page 333),
iv) The Nursing sisters have been upgraded from 5500-9000 to 7500-12000 and
Asstt. Nursing Supdt. in the existing scale of 6500-10500 have now been
allowed the grade pay corresponding to 8000-13500 in PB-3. Deputy
Nursing Supdg., which is promotional as well as entry level post for
degree nurses has also been upgraded from 7500-12000 to 8000-13500 in
PB-3 meaning thereby that all those posts in nursing services hitherto before
60
placed either at 6500-10500 or at 7500-12000 have now been up-graded to
8000-13500 in PB-3. In case of Degree Engineers the Pay Commission has
recommended the scale of 7450-11500 less than even the existing scale of
7500-12000 for Degree Nurses (now upgraded to 8000-13500 in PB3). It is
also very relevant to point out that 5th
Pay Commission had recommended
both the above scales for AEs in CPWD. The AEs accordingly should also
have been upgraded to 8000-13500 in PB-3.
v) In case of Teachers the Primary school Teachers Grade I have been upgraded
from 6500-10500 to 7500-12000, TGT Gd.II from 6500-10500 to 7500-
12000, and Grade I from 7500-12000 to 8000-13500 (PB3), Vice Principal
Gd. II from 7500-12000 to 8000-13500 (PB3). Till 4th
Pay Commission PGT
Gd...III was lower than AE and Vice principal was treated at par with AEs.
Thus, all the above posts were comparable with AEs of CPWD in terms of
their existing pay scales. Now these posts have been upgraded ignoring the
claim of AEs of CPWD for similar treatment While making the above
recommendations, the Pay Commission seems to have been very much
influenced with the sole criteria of qualification in determination of pay for
various posts. Whereas the educational qualification may be one parameter
for such analysis, the other factors like nature of jobs, responsibility, skill
needed to perform the duties, element of innovation and technical input
needed for a job, the risk factor etc. equally weigh and be given due
consideration in designing the scale of a post which the 6th
Pay Commission
has awfully overlooked. The Commission has also erred in treating a simple
art graduate or science graduate at par with professional graduates, which is
evident from its recommendations.
6.2.3 In Para 3.8.3 (C) of the report of 6th
CPC it has inter-alia been stated that it has
upgraded the pay scale for constables in Delhi Police CPMFS to improve the
delivery mechanism. It has also asserted that disturbance of any of the existing
relativities on this account is a conscious decision. Obviously, the Commission
itself has accepted to have disturbed the relativities. In Para 3.8.3 (d) the up
gradation of the scale of teachers has been justified on account of their role in the
formation of society. In Para 3.8.3 (e) justifies the scale of Nurses in view of the
61
arduous nature of their duties. In Para 3.8.3 it has been emphasized that the focus
of the report is to ensure better delivery mechanism for the citizens of this
country. The constables and the Nurses have been said to be the most frequent
interface of the common man with the Government. But the delivery mechanism,
risk, hazards, arduous nature of duties, greater responsibilities, high skill, all
India transfers, key role in national development and in building the essential
important commodities etc. have been totally ignored and overlooked in case of
engineers.
6.2.4 In regard to above findings it may well be said that in a Govt. organization there
is a hierarchical system and proper chain for delivery. By strengthening the
chain at isolated points the delivery system cannot be improved. What if
Doctors are inefficient and careless, can the Nurses assume the role of
Doctors? Are the Engineers not the part of delivery system? Is the development
of infrastructure like Roads, Railways, Bridges, Hospitals, Schools, and
Generation of Water & Power etc. of no use for citizen. It is rather other way
round. These infrastructures provide for the basic needs of the citizen and at
times the performance of the Govt. of the day has been measured by the
infrastructure development only. They not only help directly to the citizens but
eliminate poverty as well by enhancing the scope for all type of commercial
activities and employment.
6.2.5 If, however, the posts at these level only are the interface of the citizen with the
Govt. then why so much pampering of posts at SAG & HAG level who are only
indirectly and remotely connected with the problems of the common man in the
existing dispensation ?
6.2.6 The presumption and assumption of the Commission are thus erroneous and
should be discarded in toto. The horizontal and vertical relativities should be
maintained evenly at any cost and accordingly the demand of this Association
that the AEs be placed first at 8000-13500 and then resultantly in PB-3 with
Grade Pay of 5400 be accorded so that a reasonable, logical and rational pay
scale could be arrived at by the Hon’ble 7th
Pay Commission as on 01.01.2014.
62
CHAPTER - 7
63
7.0.0 PROPOSED PAY SCALES FOR ENGINEERING CADRES
7.1.0 Various approaches to arrive at first on the initial Pay Scale of Junior
Engineers and then for the higher cadres of the engineers.
The Association is hopeful and confident that the Hon’ble 7th
Central Pay
Commission shall evolve some logical and just formula to determine the rational
pay scales of the employees. We have the sanguine hope that the justice shall be
imparted for the technical potential like junior engineers, Assistant Engineers and
Executive
Engineers who have been awarded the minimum of even lowest replacement Pay
Scales by the 4th
, 5th
and 6th
Central Pay Commission. Therefore, we have placed
the facts and arguments with authentic statistics and reliable datas before the
Hon’ble Pay Commission in detail to pave the path for judicious
recommendations.
7.1.1 However, to arrive at the scales proposed by the Association for the Junior
Engineers we have considered and based our calculations on few approaches
already in-vogue since long. The basic consideration to the calculations of pay of
Junior Engineers and of the engineering hierarchy in CPWD have been made
with the lowest paid employees in view of the formula derived by Hon’ble
justice M.V. Rajadhyakshya. He opined in his report on dispute for fixing wage
ratio between low paid employees and middle class employees in P&T
Department. The proportion of the relative cost of the living of the working
class family to that of a middle class family of four consumption units is 35 :
63 i.e., cost of living of middle class family is 80% higher than that of working
class family. The first Central Pay Commission has adopted the above principle
of Hon’ble justice Mr. Rajadhyakshya in its recommendations.
7.1.2 The middle class-co-efficient factor as mentioned above and adding 30%
weightage for technical qualification and supervisory nature of duties and the
skill of high degree being require to perform the heavy duties, as per the report of
15th
I.L.C. and the verdict of Supreme Court, a simple arithmetical calculation
brings forth the minimum pay of the JUNIOR ENGINEERS as under and then
64
arrived at the Pay Scales of further higher categories of the engineers for which
the calculations are given in this chapter ahead.
APPROACH –I
(As per Need Based Minimum Wage)
7.2.0 DR. AKROYD’S FORMULA
According to Dr. Akroyd’s formula the need based minimum wage to a lowest
paid employee based on the prevailing market rates at Delhi.
Rupees
As per details attached separately vide Annexure –III 25,400
For junior Engineers pay
Add 80% for middle class Group as per report 20,320
of Justice Mr. Rajadhakshya ------------------
Total 45,720/-
Add 30% weightage for technical qualification super-
visory nature of duties and a skill of high degree
required to perform the enormous duties
of junior Engineers (in fact it is 55% but we
have adopted the minimum of 15th
I.L.C.) 13,716
-------------------
59,436
In round figure Say Rs. 59,400
The initial scale of Junior Engineers comes to Rs. 59400/-
APPROACH – II
(on the basis of point rating)
7.3.0 Point Rating Method :
7.3.1 The Various factors regarding the working service conditions of Junior
Engineers viz. method of recruitment, qualification, training required, experience
involved, degree of skill, duties and responsibilities, mental and physical
requirements, disgruntleness of the jobs, hazard attendance on the works, transfer
policy, fatigue involved, dealing with public, inadequate avenues of promotions
65
etc. have already been dealt in detail in previous chapters. Now we are placing
below the job evaluation of the Junior Engineers on the basis of Point Rating
Method.
7.3.2 The Annexure – IV-A contains the details of Point Rating Method and the
Annexure –IV-B contains the job evaluation of Junior Engineers. The job
evaluation of Class IV employees (peon) is given in Annexure –IV-C. Which
got 104 points and the Junior Engineers 466 as per Annexure IV-B The
minimum pay recommended by 6th
C.P.C. to class IV employees was Rs.
4400+1300, which was enhanced by the Govt. as 5200 + 1800. Inview of this
comparison of Point Rating Method with respect to minimum pay for class IV
employees, the basic pay of Junior Engineers ought to have been fixed by the 6th
Central Pay Commission as on 1.1.2006 as per details below :
7.3.3 According to the above parameters:
Minimum pay scale of Junior Engineer works out to
7000 × 466
-------------------- = Rs. 31365.38
104 (Say Rs. 31365.00)
The pay scale of Junior Engineer w.e.f. 01.01.2014 :
31365 × 237 (C P I as on 1.1.2014)
------------------------ = Rs. 62,466
119 (C P I as on 1.1.2006) (Say Rs. 62,500)
According to this approach the new pay scale for Junior Engineers comes to
Rs. 62,500/- as initial on 1.10.2014
APPROACH –III
(on the basis of consideration of ‘Job evaluation’ as a major factor)
7.4.0 Job evaluation :
7.4.1 It is an admitted fact that the doctrine of job evaluation plays vital and significant
role in establishing the vertical and horizontal relativities in deciding the pay
structure of various cadres.
66
7.4.2 The job evaluation, on Point Rating method as worked in Annexure IV-B & IV-
C enclosed comes to be 466 & 104 for Junior Engineer and peon respectively.
7.4.3 Being a substantive factor, besides the element of need based emoluments in a
pay structure, the Job evaluation require to be given due weightage as adopted by
the 15th
I.L.C. for technical qualifications and supervisory nature of duties etc.
7.4.4 i) Point Rating of Job evaluation of J.E. = 466
(as per Annexure-IV-B)
ii) Point rating of Job evaluation of class IV employee (Peon) = 104
(as per Annexure-IV-C)
7.4.4.1 a) Comparative weightage of job evaluation on point rating basis in a pay
scale (taking 30% weightage as adopted by 15th
I.L.C.) for technical
qualification and supervisory nature of duties etc. qualified by point rating
method
0.30 × 466
------------- = 1.344
104
b) Minimum need based salary for class IV (peon) = 25,400/-
(As per Annexure-III)
c) Pay scale including viable accommodation of the element of job
evaluation in the minimum pay scale = 25,400 × 1.344 = Rs. 34,137.60
Say = Rs. 34,140(A)*
d) Add 80% for middle class category as recommended by Justice
Mr. Rajadhakshya to arrive at the reasonable scale for Junior Engineers
(34,140 × 80)
------------------ = 27,312/- (B)*
100
(Rs. 34,140 + 27,312)
Total (A)* + (B)* = Rs. 61,452/-
Say = Rs. 61,500/-
The initial pay scale of the Junior Engineer acceding to this Approach
= Rs. 61,500/-
67
APPROACH -IV
(on the basis of percentage incremental increase in the pay scales from 1st
CPC to 6th
CPC)
7.5.0 Incremental increase
7.5.1 Though the recommendations of various Pay Commissions set up in the past in
regard to the determination of minimum pay scale was based on various different
parameters prevailing at the relevant time, yet a pattern of incremental increase is
noticed in the minimum pay scales as under:
Pay commission 1st 2
nd 3
rd 4
th 5
th 6
th
Minimum Pay
Fixed 55/- 80/- 196/- 750/- 2550/-
5200+1800
= 7000/-
Percentage
increase over the
previous scale
-- 45.45% 145% 282.65% 240% 174.51%
7.5.2 Ostensibly, there has been incremental increase in the minimum salary till the
recommendations of 4th
Pay Commission. However, the 5th
& 6th
Pay
Commissions failed to release this trend and caused the anomalous detrimental
increase over the past scale. It was expected and justified, at least to maintain the
percentage increase at the level of 4th
Pay Commission, if not more.
7.5.3 Similarly the scales fixed by the 4th
, 5th
& 6th
Pay Commission in respect of the
Junior Engineers were not at all justified, as would be seen from the fact that 4th
Central Pay Commission had placed the JEs in the pay slab of 1400-2300, as
against the scientific data based justification for 2000-3500. The 5th
Pay
Commission, however recommended the scale for J.Es as 5000-8000 having
considered the pre prevised pay scale of 1600-2660 and 6th
Pay Commission
recommended the scale of JE as 9300 – 34,800 + 4,200 (Grade Pay) which too
was much inferior than due on account of its faulty and illogical calculations of
merging the four scales of S-9, S-10, S-11 & S-12 but based it on the lowest
scale of S-9. Indeed, it was an arbitrary, discriminatory and totally unjustified
scale. Exactly the same fate is meted out to the Assistant Engineers by the 6th
CPC. Rather, they were treated in much more harsher and insulted manner by the
68
6th
CPC in the matter of Pay Scale. Even then a trend is quite visible in the pay
structure of the Junior Engineers decided by various Pay Commissions as under :
Pay Commission 1st 2
nd 3
rd 4
th 5
th 6
th
Pay Scale of J.Es 100/- 180/- 425/- 1600/-* 5000/- 9300+4200
=13,500
Percentage
increase over the
previous scale
--- 80% 136% 276% 212% 170%
* 1600/- is considered as a base by 5th
Pay Commission for new scale.
7.5.4 From the above, it would be further noted that there was a pattern of incremental
increase in the pay structure of Junior Engineer till 4th
Pay Commission. The 5th
& 6th
Pay Commissions however again failed to recognize this trend and reversed
it without assigning any reason and justification whatsoever.
7.5.5 Even, adopting the increase of 276% over the pay scale fixed by 4th
Pay
Commission, the 5th
Pay Commission ought to have recommended the scale of
1600 × (1+2.76) = 6016 Say Rs. 6000/- (A) and similarly 6th
Pay Commission
ought to have recommended the scale of 6000 × (1+2.76) = Rs. 22,560 (B).
7.5.6 Considering the same percentage incremental increase applied by the 4th
Central
Pay Commission over the 3rd
Central Pay Commission was the proposed scale is
worked out to be 22560 × 3.76 = Rs. 84825/-
7.5.7 Thus, the justified and rational minimum pay of the Junior Engineer on the
above projection works out to = Rs. 84825/-
7.6.0 APPROPRIATE MINIMUM PAY SCALE FOR JUNIOR ENGINEERS
7.6.1 We have derived the pay scales through various approaches in this chapter for
Junior Engineers as on 1.1.2014, which are as under :
APPROACH –I Based on need based min. wage and on
Dr. AKROYD’S FORMULA – Initial Pay - Rs. 59,400/-
APPROACH –II Point Rating Method – Initial Pay - Rs. 62,500/-
APPROACH –III On the basis of Job Evaluation – Initial Pay - Rs. 61,500/-
APPROACH –IV On the basis of percentage incremental increase in
pay scale 1st CPC to 6
th CPC – Initial pay - Rs. 84,825/-
69
7.6.2 Out of four initial Pay Scales arrived at from the various formulae of the
aforementioned scientific and data based Approaches, we have taken the
minimum of the four i.e. Rs. 59400/- as the initial pay scale. Thus, the
appropriate Pay Scale of Junior Engineers (Net without the element of
Income Tax) is proposed as Rs. 59,400-3000 (increment @ 5%)
7.7.0 THE PROPOSED FORMULATED PAY SCALES FOR ENGINEERING
CADRE OF CPWD (Net without element of Income Tax) AS ON 01.01.2014
7.7.1 Minimum salary worked out (Need based) as per
Dr. Akroyd’s Formula (Refer Annexure- III) = Rs. 25400
7.7.2 The minimum salary of Junior Engineer worked out
at Para-7.6.2 above = Rs. 59400
7.7.3 The calculations to arrive at the pay scales for the engineering cadres of CPWD
contained in a chart ahead are based on the percentage increases for all the posts
in accordance with the minimum percentage increases as per 3rd
CPC to 5th
CPC
in view of the fact that the percentage increases adopted by the 6th
CPC are
discriminatory, abrupt, absurd, illogical, unscientific and ultra-vires the cardinal
principles of the pay structure, as is evident from the percentage increases over
the previous post viz. 3% in cases of AE & CE each and 108% in case of the SE.
Hence, these do not consist any merit and are not fit for consideration to workout
the proposed scales of these posts being improper, unreliable and unjust. Thus,
proposed pay scales for engineering cadres of CPWD as on 01.01.2014 (Net
without element of Income Tax) are given is a separate chart attached herewith :
70
71
8.0.0 ASSURED CAREER PROGRESSION
8.1.0 Every Pay Commission did try to evolve a formula to provide reasonable
promotion opportunities ranging from 2 to 4 in an employee’s career.
8.1.1 While the 2nd
and 3rd
Pay Commission gave precedence to the functional
requirement of public service over the career prospect of the employees for
determining the cadre structure of services, the 4th
Pay Commission had
suggested provision of a rational cadre structure & elongated pay scales as
solutions.
8.1.2 The 5th
Central Pay Commission after going through the different types of
promotion schemes in different departments meant to provide an assured career
progression or in situ promotion on personal basis as well as various existing
time bound promotion schemes in different States, had proposed the
revolutionary scheme of ACP to cater to the promotional aspirations of the Govt.
employees at least in terms of financial up-gradations, which had provided
historical relief to the Group B, C & D employees who were otherwise destined
to rot and stagnate at same level in the face of the abysmally poor promotion
prospects for these groups of employees. The proposed scheme is an improved
version of “flexible complementing scheme” introduced in 1983 in scientific
services on the recommendation of 3rd
Central Pay Commission.
8.1.3 Some of the basic features of the A.C.P. Scheme as proposed and illustrated
by the 5th
CPC in Annexure 22.1 to para 22.31 Vol. I, are as under.
In Para 22.13 Vol. I the 5th
Pay Commission had inter-alia stated
“…………..a comprehensive and coherent promotion scheme should be
evolved which could assure adequate career progression in a reasonable time
frame to all categories of employees………….” The recommended ACP
scheme aims at providing a minimum of two promotions to each group B, C &
D employees and three promotions to each group ‘A’ employees in their entire
career span after appointment in grade on direct recruitment basis. The
CHAPTER - 8
72
proposed promotion under the scheme shall, however be restricted to financial
up-gradation in the pay scale alone and shall not be linked to the availability of
a post on a higher grade on functional basis.
Para-V “The highest pay scale upto which the proposed financial up
gradation shall be available will be Rs. 4500-
5700………………………………….”
Para-VI “……………………….. a person recruited in Junior time scale will
be able to attain the level of senior time scale in 5th
year, Junior
Administrative grade in the 9th
year and N.F.S. Grade in the 14th
year
……………………….”
Para-VII “ In case of groups “B” “C” and “D” employees first financial up
gradation shall be available on the completion of 8th
, 10th
and 12th
year of service respectively………………………… the 2nd
up-
gradation in case of group “B” “C” “D” employees shall be given on
completion of a further period of 16, 20 and 24 years respectively.
8.1.4 Eligibility period recommended by 5th
Central Pay Commission for various
category of employees are as under :
Group of
Employee
1st Up-gradation 2
nd Up-gradation 3
rd Up-gradation
“A” 5th
9th
14th
“B” 8th
16th
------
“C” 10th
20th
------
“D” 12th
24th
------
8.1.5 From the above table it is seen that the recommendations of the Pay Commission
had inherent infirmities and suffered from certain constraints and limitation, as
detailed here in under :
i. Whereas the Group A employees were recommended to have at least three
up-gradations in addition to open opportunities of further promotions, the
Group B, C & D employees were allowed only two up-gradation s and
almost no chance of further promotion.
73
ii. Different eligibility periods for different group of employees were bound to
create the heart burning and discontentment among the various group of
employees besides causing confusion and anomaly in case where-ever the
method of recruitment to any group involved direct recruitment as well as
promotion from the lower group
iii. Almost in all the services the eligibility criteria for regular promotion to the
next grade as provided in respective recruitment rules is less than the
aforesaid 12 & 24 Yrs of service. Like in the CPWD, the eligibility criteria
for promotion for J.E. to A.E. is 5 years, from A.E. to E.E. is 7 years and
from E.E. to S.E. is 9 Yrs. But the requisite minimum eligibility taken for
ACP is too high to justify.
iv. The group ‘A’ employees were to get two up-gradations by the 9th
year of
their service where as the group C & D employees could have not been
eligible for even their 1st up-gradation.
8.1.6 The Central Govt. however restricted the introduction of A.C.P. Scheme to
Group B, C & D employees only and instead of following the different eligibility
periods for different group of employees, as recommended by the 5th
Central Pay
Commission, fixed the uniform criteria of 12 & 24 years from the date of direct
recruitment for 1st & 2
nd up-gradation respectively
8.1.7 Even the Central Govt. did not do justice to all the sections of employees by
formulating the A.C.P. Scheme in a partisan manner as would be seen from the
following :
i) Group ‘A’ employees were excluded from the ACP Scheme despite the
recommendation of the 5th
CPC.
ii) The only two up-gradations granted, were too inadequate and not motivating
enough. The eligibility period of 12th
& 24th
year for 1st & 2
nd up-gradation
was too illogical and harsh. The 5th
Central Pay Commission had
recommended it only for Group ‘D’ employees.
74
iii) Even in some of the States, as it exists on date there is the provision of at
least 3rd
up-gradations to the employees with lesser eligibility period as
would be seen from the following table.
States 1st MACP 2
nd MACP 3
rd MACP
Initial
Pay
After
years Scale
After
years Scale
After
years Scale
Punjab
10,300-
34,800
Pay-
4,800
10
15,600-
39,000
G. Pay-
,400
20
1,600-
39,100
G. Pay-
6,600
25
One
Additional
Increment
U.P.
9,300-
34,800.
Pay-
4,200
10
9,300-
34,800
G. Pay-
4,800
16
15,600-
39,100
G. Pay-
5,400
26
15,600-
39,100
G. Pay-
6,600
Uttra-
Khand
9,300-
34,800
G. Pay-
4,200
3
9,300-
34,800
G. Pay-
4,600
13
15,600-
39,100
G. Pay-
5,400
24
15,600-
39,100
G. Pay-
6,600
M.P
9,300-
34,800
G. Pay-
4,200
10
9,300-
34,800
G. Pay-
4,600
20
15,600-
39,100
G. Pay-
5,400
28
15,600-
39,100
G. Pay-
6,600
Chhatti-
sgarh
9,300-
34,800
G. Pay-
4,200
10
9,300-
34,800
G. Pay-
4,400
20
15,600-
39,100
G. Pay-
5,400
28
15,600-
39,100
G. Pay-
6,600
Maha-
rashtra
9,300-
34,800
G. Pay-
4,200
5
9,300-
34,800
G. Pay-
4,300
17
15,600-
39,100
G. Pay-
5,400
29
15,600-
39,100
G. Pay-
6,600
T.N
,300-
34,800
G. Pay-
4,400
10
Addi-
tional 6%
incre-
ment
20
Addi-
tional 6%
incre-
ment
30
Additional
3%
increment
Gujarat
9,300-
34,800
G. Pay
– 4,600
12
9,300-
34,800
G . Pay-
4,800
24
15,600-
39,800
G. Pay-
5,400
CPWD
9,300-
34,800
G. Pay-
4,200
10
9,300-
34,800
G. Pay -
4,600
20
15,600-
39,800
G. Pay-
4,800
30
15,600-
39,800
G. Pay-
5,400
8.1.8 As is evident from the above table, the 6th
CPC has smashed the very spirit and
purpose of the ACP scheme by replacing it with the MACP scheme in
75
01.09.2008 by granting the up-gradations after 10,20 & 30 years in the
successive Grade Pay instead of hierarchical promotions pay scales already in
vogue hither to. This new scheme has added fuel to the fire and created a strong
sense of frustration and discontentment amongst the employees.
8.1.9 The 6th
Pay Commission has however under the guise of the “Modified ACP
Scheme” has obliquely proposed the death Knell of the whole concept and
philosophy of the Assured Career Progression. By recommending the next higher
grade pay in the hierarchy of revised Pay Bands at the time of financial up-
gradation under ACP, it has not only limited the scope of ACP but has
advertently tried to revert back to the old system of time scales. The
revolutionary concept of ACP propounded by 5th
Pay Commission and accepted
by the Govt. of India has turned into retrograde and regressive system of time
scales at the hand of the 6th
Pay Commission. Thus the Commission has
endeavored to bring the situation back to square one and make the scheme
analogous to old system of time scales.
8.1.10 MACPs have resulted in net financial loss and great discontent to the subordinate
engineers of CPWD. Many court cases for review of the MACPs have cropped
in. Not only this, introduction of MACP has created an awful discrimination and
anomaly in the cadre. The table placed herein below makes it explicitly evident
that how a JE recruited in CPWD on or after 01.09.1984, even after availing
all the three up-gradations under MACPs will not be able to reach at the level
otherwise available to him under ACP scheme (Implemented in 1999) after two
up-gradations only.
ACPs
(Implemented in 1999)
MACPs
(Implemented w.e.f. 1.9.2008)
Post Years’ of
service
Financial Up-
gradation
Years’ of service Financial up-
gradation in
grade pay
Junior
Engineer
in CPWD
10 Years 4600 in PB-2
12 Years 4600 in PB-2
20 Years 4800 in PB-2
24 Years 6600 in PB-3
30 Years 5400 in PB-2
76
8.1.11 A JE recruited in CPWD on or before 31.08.1984 and who had availed all the
up-gradation under ACPs before implementation of MACPs effective form
01.09.2008, have also been granted grade pay of Rs. 7600 defying their claim to
be placed in grade pay of Rs. 8700 according to their promotional hierarchy. The
MACPs thus brought with it the discrimination of worst order even within the
cadre for the basic reason that the ACPs with promotional hierarchy was already
in vogue and employees were at various stages of up-gradation, the MACPs with
new percepts completely delinked with the erstwhile ACPs was bound to cause
discrimination and dissatisfaction amongst the employees. The claim “to have
introduced the MACPs with an aim to bring in uniformity in financial up-
gradation” as made in para 6.1.1.5 of 6th
pay Commission report thus stands
belied.
8.1.12 The Commission wishfully forgot the fact that conventionally in public services;
the term career progression connotes the upward movement in hierarchical order
of posts. There are number of cases in which the Courts have adjudicated that in
the meaning and context of ACP the up-gradation means and is taken to be the
next promotional scale. In F.C. Jain Vs Union of India CWP No. 4664 of 2001
the Hon’ble Delhi High Court had held “that the scale of 7500-12000 is a
fitment scale which does not fit into the scheme of ACP in case of AEs of
CPWD and accordingly on 2nd
up-gradation they are entitled to be given the
scale of EE i.e. 10,000-15200.”
8.1.13 Besides above, many Court cases for review of MACP scheme have cropped in
and the judgments there upon are the land mark judgments as are mentioned here
in under :-
i) Hon’ble CAT, Chandigarh in OA No. 1038/2010 has allowed grant of
financial up-gradations under MACPs in promotion hierarchy in its order
dated 31.05.2011. This order was upheld by Hon’ble High Court of
Chandigarh in CWP No. 19387 of 2011 (O&M) by order dated 19.10.2011.
The SLP filed by the Govt. in the Hon’ble Supreme Court challenging orders
dated 19.10.2011 was also dismissed by the order dated 15.04.2013.
77
ii) Hon’ble CAT, Principal Bench New Delhi in OA No. 904/2012 has allowed
grant of financial up-gradations under MACPs in promotional hierarchy in
its order dated 26.11.2012.
iii) Hon’ble CAT, Ernakulam Bench in OA No. 816/2012 has allowed grant of
financial up-gradations under MACPs in promotional hierarchy in its order
dated 29.01.2013.
iv) Hon’ble CAT, Principal Bench New Delhi in OA No. 864/2014 has allowed
grant of financial up-gradations under MACPs in promotional hierarchy vide
its order dated 12.03.2014. The para 3 & 4 of the judgment explicitly
provides as under:
Para 3. “In our considered view, once an order has been passed by this
Tribunal and it has also been upheld at the level of the Supreme Court,
there is no question of waiting for an approval from any Govt. Department
for implementation of the same. The respondents, therefore, should have
considered the representations of the applicants on merits”.
Para 4. “In view of the above position, we dispose of this OA at the
admission stage itself with the direction to the respondents to consider the
representations of the applicants in the light of the judgment of Punjab
and Haryana High Court in CWP No. 19387/2011 (supra) as upheld by the
Apex Court in SLP (CC) No. 7467/2013 (supra) and decide their cases
under intimation to them. The aforesaid exercise shall be completed within
a period of one month from the date of receipt of a copy of this order.
There shall be no order as to costs”.
v) Hon’ble CAT, Calcutta Bench in OA No. 1341 of 2013 has allowed grant of
financial up-gradations under MACPs to 56 applicants (JEs & AEs) of
CPWD in light of the decisions rendered in OA 904/12 and OA
1038/CH/2010 and the judgment of Hon’ble High Court of Punjab &
Haryana in CPW No. 19387/11 and if they are found to be similarly
circumstanced as the applicants in the said OAs, and found entitled,
appropriate orders be passed for grant of appropriate relief to the individual
78
applicants, within three months from the date of receipt of the individual
representations.
8.1.14 From the above, it would be seen that there is a great need to re-examine the
scheme which has not only created imbalances in number of cadres including
subordinate engineering cadre of CPWD but has also been disowned by the
employees in general in respect of subordinate engineers.
8.1.15 It is also worth to point out that though the Commission has emphasized on
delayering in its report, yet by proposing the grade pay in hierarchy on up-
gradations it has only contributed towards strengthening the existing order of
multi-layers.
8.1.16 As pointed out by the Association in its Memorandum submitted to 6th
C.P.C.
only two up-gradations are too inadequate and less encouraging and motivating.
The eligibility period of 12th
& 24th
years for 1st & 2
nd up-gradation is also quite
illogical and harsh. As against the existing provision of two up-gradations for
group B, C & D employees in their whole service career, the 6th
Pay Commission
in Para 3.3.12 has recommended grant of higher pay scale on non-functional
basis to the officers belonging to the organized group A services to maintain the
conventional edge of two years between IAS and other AIS/Central Group A
Services. The organized Group A services will thus get at least six up-gradations
in their entire service career. It is illogical and irrational to have only two up-
gradations for B, C & D employees as against at least six up-gradations available
to Group ‘A’ services. It will therefore be more equitable and rational besides
dispensing much sought after relief to these categories of employees, if the
demand of five up-gradations under ACP is met with.
8.1.17 In view of the above pitfalls we propose the following improvements in the
existing ACP Scheme to achieve the real purpose of motivation and incentives to
the employees.
i. Promotion scale should be the only base of up-gradation in ACP scheme
available in the hierarchy and the eligibility period must be uniform for
employee of Group B, C and D. The total available service years must be
taken into account while determining the eligibility period criteria.
79
ii. The Group ‘A’ employees should also be covered under ACP Scheme.
iii. At least five financial up-gradations should be applied evenly to all groups
of employees
iv. The eligibility period should be modified to 7th
, 14th
, 21th
, 28th
& 33rd
years
for 1st, 2
nd, 3
rd, 4
th, & 5
th up-gradation respectively
v. Thus, the Junior Engineer of CPWD should be accorded the following up-
gradations under ACP Scheme in promotional hierarchy.
a. After 7 years of service ─ A.E’s Scale as 1st up-gradation
b. After 14 years of service ─ E.E’s Scale as 2nd
up-gradation
c. After 21 years of service ─ S.E’s Scale as 3rd
up-gradation
d. After 28 years of Service ─ C.E’s Scale as 4th
up-gradation
e. After 33 years of Service ─ ADG’s Scale as 5th
up-gradation
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9.0.0 MATTER RELATING TO PAY FIXATION
9.1.0 RATE OF INCREMENT
9.1.1 One of the very important aspects of satisfactory nature of the pay scales is the
rate of increment. Apart from the promotional prospects, a worker after taking a
job looks forward for progression in the service through the rate of increment.
9.1.2 On perusal of the statistical datas regarding the different rate of increments
recommended by the 4th
& 5th
Central Pay Commissions, it would be seen from
the following table that rate of increment of about 1.6 to 3.6% and 2.16 to 3.44 of
minimum stage have been provided in the pay scales respectively for Group ‘B’,
‘C’, ‘D’ and ‘A’ employees.
Sl
No
In
Group
Minimum Stage of
Pay Scales as per
Rate of Increment
recommended by
Increment in
percent
4th
CPC 5th
CPC 4th
CPC 5th
CPC 4th
CPC 5th
CPC
1 ‘D’ Pay
Scales
750 2550 12 55 1.6 2.16
800 2650 14 65 1.75 2.45
950 3050 20 75 2.1 2.45
1150 3150 25 75 2.2 2.45
2 ‘C’ Pay
Scales
1200 4000 3. 100 2.5 2.5
1400 4500 40 125 3.0 2.78
1600 5000 50 150 3.0 3.0
3 ‘B’ Pay
Scales
2000 6500 60 200 3.0 3.08
2200 8000 75 275 3.4 3.44
2800 8000 100 275 3.6 3.44
4 ‘A’ Pay
Scales
2200 8000 75 275 3.4 3.44
2800 8000 100 275 3.6 3.44
3500 12000 125 375 3.6 3.125
4500 14300 150 400 3.3 2.8
5900 18400 200 500 3.4 2.72
9.1.3 The 6th
CPC recommended vide Para 2.2.11 a completely new scheme where
annual increment was payable on a percentage basis without any fixed quantized
CHAPTER – 9
81
stage. 80% of the employees were recommended increment @ 2.5% and
remaining 20% on high performance at the rate of 3.5%. No criteria were
suggested for assessing the high performance. The Govt. did not accept the
variable increment proposal and allowed common increment for all categories of
employees @ 3%. The recommended annual increment of 2.5% is even lesser
than the increments available in number of the existing scales. For example, it
works out to 3.18% in S-10, 3.08% in S-12, 3.33% in S-14, 3.44% in S-15 and
3.25% in S-19. Lesser amount of increment shall create anomalies at the time of
promotions or fresh recruitment in a grade as pointed out in earlier paragraphs.
From the perusal of the aforementioned rates of increments in the pre-revised
scales of S-10, S-12, S-14, S-15 & S-19 it is amply clear that the then rate of
increments were more than 3% (as accepted now by the Govt.), as such this
figure of 3% is also irrational and unjust.
9.1.4 Our submission has been that the ratio of increment and minimum stage pay in
all the pay scales should be identical, without, any discrimination at any level.
We are therefore, of the considered view that the incremental rates in all the pay
Scales should bear nearly same ratio with the minimum stage so that the rate at
which any employee progresses in his pay scale is not slower than the other one
merely on account of his status. Therefore, we suggest the rate of increment @
5% for all categories of employees uniformly without any discrimination.
There is, as a matter of fact, ample justification for keeping even still higher
rate of increment in Group ‘B’ ‘C’ & ‘D’ pay scales where the promotional
prospects are few and for but we are restraining from proposing this.
9.2.0 DATE OF EFFECT
9.2.1 The 5th
CPC very categorically recommended in it’s report vide Para 171.8 for
setting up a constitutional Permanent Wage Body, vide para 171.9 for revision of
pay scales every year and vide Para 171.12, the Commission suggested an
alternative till the constitutional permanent wage body is set-up that the Govt.
should concede the right of Central Govt. employees to have a complete Pay
revision once in 10 years and in Para 171.13 it is recommended that the pay
revision should be in certain conditions within a period of 5 years.
82
9.2.2 In our views, the revise pay structure (i.e. pay, allowances, pensions, dearness
etc.) should be made applicable from the same day on which the Commission
was setup.
9.2.3 We have based our proposals regarding the pay scales, allowances, pension etc.
linked to 12 months average of All India Consumer Price Index we therefore,
propose that the revised pay scales, pension, allowances etc. be implemented
from 01.01.2014 since the appointment of the 7th
CPC was decided and declared
during the month of December, 2013 and was notified also in the Gazette of
India on 28th
Feb 2014.
9.3.0 FIXATION OF PAY IN PROPOSED SCALES OF PAY
9.3.1 Having regard to various considerations and after having studied the various
formula adopted for fixation of pay in the revised scales of pay by the earlier
Commissions, we are of the strong opinion and it is indeed a fact that senior
employees have not been adequately benefited. Only the fresh entrants really got
the benefit of revisions. We, therefore, plead that the formula for fixation of pay
should be such that it would grant equal benefits to all. The only way to secure
this objective is to provide for point-to-point fixation in the proposed (revised)
scales of pay. Accordingly we, propose that fixation of pay in the proposed scale
of pay should be on the point-to-point basis so that number of increments earned
in the pre-revised scale of pay are granted in the revised pay scales too.
9.3.2 We also suggest that benefits of FR. 23 should be available to employees
allowing them to opt for the revised pay scale on any date on which he earns an
increment in the pre-revised scale of pay.
9.3.3 (i) An amount equal to 50% in the form of fitment benefit of the basic pay in the
pre-revised scale should be added to the emoluments as on 01.01.2014 as the
D.A does not compensate the Dearness fully.
(ii) Interim Relief if any should also be added in the basic pay of the pre-revised
pay scale.
(iii) N.N.A, special pay or allowances if any should be added in the basic pay in
the above said manner.
83
9.4.0 INTERIM RELIEF
In the terms of reference already notified, the Government specified the time
limit of 18 months to the Commission for the process of their all works for
submission of report. Watching over the actual performance of the present
Commission, it is our apprehension that finally it will be a belated procedure in
bringing out the complete report of the Pay Commission. Further, the
Government will take its own time to implement it finally. In such unforeseen
and indefinite situations no employee can sit lightly viewing at mutely and
passing through the acute economic hardship due to the spiral increase in market
prices of all essential commodities. Hence to neutralize the adverse effect of
price hike as well as time lag involved in process of finalization of scales, we
demand for an interim relief @ 40% of the basic pay to be recommended for all
Govt. employees.
9.4.1 The first National Judicial Pay Commission had evolved following principle for
determination of quantities of interim relief :
“The Commission has worked out a formula for determining the interim relief
for the judicial officers of different States. The Commission first calculated the
difference between the mean pay of existing pay scales with dearness
allowance as available on 1st January 1996 and the mean pay of near
corresponding pay scales of the 5th
CPC. An approximate percentage of the
said amount at the lowest pay scale of the judicial officers in each state has
been taken into consideration for determining the Interim Relief”
On the same analogy and pretext we hereby raise a demand for an Interim
Relief to the tune of 40% of (Basic Pay + D.A.) w.e.f. 01.01.2014.
9.4.2 The Interim Relief to be granted of equivalent amount half yearly i.e. on every 1st
Jan. & 1st July of the year till the implementation of the report of the Central Pay
Commission by the Govt. of India.
84
10.0.0 ALLOWANCES
10.1.0 DEARNESS ALLOWANCE
10.1.1 The grant of dearness allowance is directly linked with the issue of cost of living
index or price index. If these indices are not properly and correctly compiled,
there is the scope of the employees and workers being deprived of their due and
legitimate wages.
10.1.2 Unfortunately, in our country, the employers have developed the tendency of
introduction of fabricated faulty data’s and frauds in the compilation of the
indices and thereby to misappropriate the legitimate share of the worker’s wage.
We would request the Hon’ble Pay Commission to kindly examine this aspect in
relation to the indices that are compiled and to suggest remedial measures if any
to detect and to eliminate the chances of so called faulty and fabricated data’s.
The arguments that are generally offered to resist the demand of the employees
and workers for grant of dearness allowance are mainly.
i) Grant of D.A. gives rise to inflation.
ii) Cause in the rise of prices should be material factor in deciding whether
compensation should be made or not.
iii) Compensation should be made in the greater interest of the nation and even
where DA is admissible according to some accepted norms or formula that
should be impounded in the greater interest of the country.
10.1.3 All these arguments are obsolete, irrational, illogical, unconvincing and
insignificant and as such require refutation. These arguments are either,
theoretically bad, as evolved only to safeguard the interests of capitalist or are
shattered to pieces when put hit on the anvils of the real happenings.
CHAPTER – 10
85
10.1.4 We however, place below our views in this regard more rationally :
i) The employees and the workers are not responsible for the price rise. Price
rise in the interest of the exploiters and because of the failure of the
Government in checking the anti-social activities of those exploiters.
Therefore, there is no question that the employees and workers should suffer
on this score.
ii) While price rise invariably leads to fall in the standard of living it is really
preposterous as to why demand for restoration of the fall is resisted even by
the Government when the declared and accepted policy of Government is to
raise the standard of living of the people. This is particularly true in case of
the low paid Government employees who already lead to life of poverty. In
this connection we wish to bring to the notice of the Hon’ble Commission
the bare fact that the demand of grant of dearness allowance for
compensation of the price rise is not a demand for pay increase but merely
it is just a demand to get back what has been eroded away.
iii) Whatever be the causes of price-rise, it is immaterial for the employees and
workers. Two facts remain intact before them. One is that they are in no way
responsible for the price rise and the other is that price rise hits them without
any consideration for the cause of price rise. When price of an article of daily
commodity rises, for whatever reasons, the wage earner has to pay the
increased price, the compensation of payment of enhanced pay in no way
depends on the cause of the price-rise.
iv) The movement of the price rise curve since independence in our country has
demonstrated beyond all doubt that grant of Dearness Allowance has never
been responsible for price rise. In fact, grant of D.A. to compensate price rise
never creates additional purchasing power. The purchasing power that was
lost is only restored.
10.1.5 As a sequel to the stiff trend of rise in market prices of all the commodities in all
spheres the ‘real wage’ of the employees automatically begins to fall down.
Hence it is obligatory on the part of the employer concerned to compensate the
86
losses so affected due to the prime cause of price rises of all essential
commodities by way of instantaneous grant of the Dearness Allowance.
10.1.6 The Reserve Bank of India, nationalized Banks, LIC and other organization of the
Public Sector have already methodically formulated a definite D.A. formula
which, to some extent, in accordance with the scientific quantum of the
increasing rate of the Dearness Allowance automatically corresponding to the rise
in Market Price has been determined. It is most unfortunate that no such formula
to determine the rational increase in D.A. automatically exists for the Central
Government employees.
10.1.7 In all fairness of the above cognizable facts we demand that the grant of dearness
allowance be governed on the following principles :-
i) The basic pay as already demanded by us corresponds to the price index 237
as on 01.01.2014 on the basis of 2001 as 100 New.
ii) This Association reiterated that the National Statistical Commission should
be asked to explore the possibility of specific survey covering Govt.
employees exclusively, so as to construct a consumption basket
representative of Govt. employees exclusively, and formulate a separate
index which may rightly compensate the Dearness.
iii) There should always be thorough review of the price rise at the regular
intervals of three months. If during the period of 3 months, the CPI goes up
by 3 points on an average, the DA be granted accordingly @ 3% of the basic
pay per month to meet with the cent-percent neutralization of rise in price of
the commodities and should be placed outside the net of the Income tax as
the DA is not an Income but a compensatory allowance for Dearness.
10.2.0 HOUSE RENT ALLOWANCE :
10.2.1 It should be the solemn policy of the Government to extend accommodation
facility to its employees free of cost but hardly 20% houses are available for the
employees. It is on the record that almost eight thousand quarters are required
annually in the next 20 years to accommodate 70% employees deployed at Delhi
and 50% on stations other than Delhi.
87
10.2.2 The share of investment in housing sector as compare to gross investment has
decline to 9% in the Seventh Plan as compared to 34% in the first plan period.
10.2.3 Obviously, it is clear from the above that the employees shall have to depend on
the rented accommodation.
10.2.4 In spite of the accommodations leasing, there are employees who still have to
hire private accommodations by themselves. Such employees have to be
compensated through House Rent Allowance. The present amounts of House
Rent Allowance were worked out long ago by 5th
Central Pay Commission which
is too in-adequate to meet with the requirements. Moreover, these amounts of
HRA have not been revised even once during the last 8 years i.e. from
01.01.2006. These norms of house rent allowance have since then become
completely out dated and inadequate with the sky rocketing house rents of today.
The HRA is not paid on DA but remain constant @ 30% of the pay. As such, the
present dearness on the House rent, considering @ 100% DA as on 01.01.2014,
is to be computed in the calculations of the minimum wage and further for the
other categories of the employees.
10.2.5 In big cities, town and industrialized centers, where there is no Government
residential accommodation available and where even availability of private
accommodation is also scarce, it is absolutely necessary and just to compensate
the heavy rent prevailing all over the country.
10.2.6 5th CPC in its report Para 122.36 have clearly said “a comparisons of HRA
rates for an ‘A’ class city with approximate rent charged by the landlord in
Delhi indicates that HRA paid to employees is merely 10% to 13% of the
market rents”.
10.2.7 The 6th
CPC in its recommendation in para 4.2.58 have said “this is not adequate
for meeting the expenditure towards house rent in these cities.” It is further
said “….while the housing remains costly in metro cities the house rent in the
smaller cities and towns have galloped on account of economic development as
well as a dearth of residential accommodation… The problem is more acute in
very small town having population of below 50,000 that presently carry the
classification of unclassified.”
88
10.2.8 For justifying the facts mentioned above, we are enclosing herewith a
comparative calculations, showing on abnormal difference between the average
market rate of house rent being paid by the employees and the HRA paid by the
Govt.
TABLE
MARKET RATES OF HOUSE RENTS IN MEGA CITIES
S.
No
City Monthly rent of
1-Room set
Monthly rent of
3-Room set
At center
of the city
At sub
urban area
At center
of the city
At sub
urban area
1 Delhi 12,622.24 7,786.20 31,641.33 19,317.12
2 Kolkata 8,777.78 4,595.24 22,894.74 12,309.52
3 Chennai 10,759.26 6,892.16 28,548.98 17,000.00
4 Bangalore 12,569.89 7,805.56 33,151.69 20,379.12
Average Rent 11,192.29 6,769.79 29,059.19 17,251.44
Avg. house rent
(city area+sub-
urban area)
8,981.04 23,155.10
Note:- One room set having area 28sq.m is permissible to the Group – D
employee and 98.68 sq.m i.e. three room set is allowed to Junior
Engineers.
TABLE
HOUSE RENT PAID BY THE GOVT.
S.
No
Post Held Pay
Band
Grade
Pay
Total HRA @
30%
Market
Rate
Difference
1 Group - D 5200-
20,200 1,800 7,000 2,100 8,981
(-) 6,881
327%
2 Junior
Engineer
9300-
34,800 4,200 13,500 4,050 23,155
(-) 19,105
472%
It is crystal clear from the above table that the rent paid to the Group ‘D’
employees is hardly 23% of market rent and it is 17% of market rent charged by
landlord in metro cities in case of Junior Engineer.
89
TABLE
CLASSIFICATION OF CITIES/TOWNS
Classification of Population Rates of HRA as a
percentage of Basic Pay
A-1 50 lakhs and above 30%
A
B-1
B-2
20-50 lakhs
10-20 lakhs
5-20 lakhs
20%
C
Unclassified
50,000 to 5 lakhs
Below 50,000 15%
10.2.9 Keeping all relevant facts in mind this Association would suggest to allow House
Rent as detailed underneath :
(1) Since the rates of house rent increases constantly and regularly, the DA
must therefore be paid on the House Rent and should be net of Income
Tax.
(2) The House Rent Allowance being an outgoing expenditure should not be
included in the taxable income.
10.3.0 RESTORATION OF CITY COMPENSATORY ALLOWANCE
10.3.1 The 6th
Pay Commission has recommended to abolish the CCA and contended
that increased rate of HRA and Transport allowance shall subsume the element
of CCA (Para 4.2.8). Elsewhere in the same Para the Commission has further
asserted that larger cities and towns have much better facilities than smaller
place. As such no rational exist for compensating any other factor than the
accommodation and transportation in order to meet the high cost of living in big
cities.
10.3.2 The findings of the 6th
Central Pay Commission are self-contradictory as could
be seen from the following :-
i) If the transportation allowance and HRA are the only parameters governing
the cost of living in a city, then why the concept of CCA was developed at
first place and continued for such a long period.
90
ii) If the better facilities compensate the cost of living in big cities then the
smaller and medium cities where such facilities are not available should have
been given CCA at higher rates.
iii) Commission itself accepts that the cost of living in larger cities is high.
However it limits the cost of living to transport and accommodation only
which is erroneous and faulty.
iv) The Commission overlooked that the education, health services, social
relations and activities and entertainment etc. all are the factors which cost
differently in different cities.
10.3.3 Every city of this country has its own history and it culturally subsumed in its
living style. The socio-economic norms, psychological factors, societal values
etc., all added to the cost of living. A person isolated from his roots and socially
cut off from his bearings while living in bigger cities feels himself
psychologically insecure and drained. Though such loss are never really
compensated yet the CCA can be taken to be an effort in that direction,
envisaged long ago to assuage the hurt, loss and hardship caused to Govt.
employees by way of his posting being away from his social and cultural roots.
Besides in today’s worlds everything costs, be its education, health care, social
events and entertainment. All these factors might have necessarily been
considered while evolving the concept of CCA.
10.3.4 Thus, limiting the relationship of CCA to mere the cost of transportation and
housing will not only be an error of judgment but shall belittle such a benign and
benevolent concept evolved and practiced in public services.
10.3.5 The City compensatory allowance is imparted to the employees by Central
Government in order to meet the high cost of living and peculiar requirements of
the cities.
10.3.6 Due to abrupt increase in the population, the cities and towns have expanded in
area geographically in leaps and bounds. For instance Delhi, Kolkata, Chennai
and Mumbai have been spread over 4 times in area within a decade only
resulting in the extra expenditure incurred by the employees in conveyance for
offices, duties, marketing, Railway stations, Bus stops, etc. etc. Similarly the
91
prices are also enhanced proportionately for all the commodities which are to be
bought from greater distances than compact city.
10.3.7 The 5th
Central Pay Commission has indeed reduced the amount of CCA by
introducing the scheme of fixed amount instead of percentage basis as was
suggested. This is in fact, very bad in principle being fixed amount, as no
benefit/ increase is available to the employees on the annual increments and
Dearness Pay etc. besides the fixed amounts are unchanged for more than 11
years defeating the very purpose of the allowances.
10.3.8 The Association therefore demands the restoration of CCA and fixation of the
same on percentage basis as detailed below :
i) 25% of basic pay for Class ‘A’ Cities
ii) 20% of basic pay for Class ‘B-1’ Cities
iii) 15% of basic pay for Class ‘B-2’ Cities
iv) 12% of basic pay for Class ‘C’ Cities
10.4.0 PROJECT ALLOWANCE :
10.4.1 The 6th
Pay Commission has summarily rejected this demand of the Engineers
(Para 7.46.13). Whereas, very convincing and cogent reasons were given by this
Association in support of the above demand in our memorandum.
10.4.2 It was inter-alia stated in the memorandum that projects carry with them the
specific goal to be achieved in time bound manner needing extra efforts besides
causing mental strain. A person posted in projects does not have the defined
hours of duty. He remains mentally and physically associated with the project, its
specifics and defined targets etc. all through 24 hours.
10.4.3 Nowadays construction projects are taken in a big way throughout the country in
order to boost growth in infrastructure sector. These projects are compressed
with time to meet out the need of infrastructure development. Like the event of
Common Wealth Games held in 2010 in Delhi, it has compressed the projects
worth thousands of crore with the limited time frame of 1000 days. The extra
efforts were therefore needed to carry out such huge projects not only in terms of
long working hours, but also in respect to the mental and physical strains, loss of
social life which need to be compensated in big way. Hence we demand for the
92
project allowance to the tune of 20% of pay in our memorandum. The same may
kindly be accorded to and accepted by Hon’ble 7th
Pay Commission.
10.4.4 The engineers engaged on Project works are stationed and work in the inferior
and out of way places, forests, hilly areas, bad climate areas, etc. which are not
easily accessible and where there is scarcity of amenities, lack of
communication, medical and educational facilities. They are also deprived of
town life and they would have double establishments for the betterment of his
family and children.
10.4.5 For the construction of road, culverts and bridges, canals, boarder fencing, dams,
water reservoirs, buildings, power houses, tunnels, factories etc. for around
development of the country it becomes an indispensable for engineers to go and
work in the interiors.
10.4.6 So, unless there is some incentive to go and work in such difficult areas the
engineers would feel distressed and dejected and no enthusiasm can be injected
into them resulting adversely for the development activities.
10.4.7 Of late, it is the general practice in CPWD and other Central Engineering
Departments that most of the works/ projects are of extra –ordinary nature, of
extreme urgency, time bound are executed through the project teams. It has also
been further noted that the time left for the completion of such projects is too
inadequate to meet with the challenges of the task and the works are undertaken
for 24 hours.
10.4.8 The engineers are compelled to sacrifice all their comforts, domestic/ social/
religious obligations for the cause of the Project to which they are attached to, as
they are to be on the project for all 24 hours. On such project the Engineer is to
work not less than 16 to 18 hours daily. It would also be seen that a project
which would take double time for its completion in normal circumstances are
completed within just half time resulting in clear cut saving of 100% in the coast
and the establishment charges. The glaring examples to certify the above facts
are the sprawling Nehru Stadium, I.G. Stadium, Vigyan Bhawan Project,
Yamuna Bridge Project, Parliament Library Project and I.B. Projects, the
prestigious flyovers, National Stadium, Hall of Nations at Pragati maidan and
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UNIDO Hospitals etc. The credit goes to the hard work of the engineers
primarily who toiled day & night on all working days and holidays to complete
such projects well before the time which has been appreciated by the Hon’ble
Minister of Urban Development in his inaugural speech. What is more important
is the fact that these works have been executed very economically. In this way
normal establishment expenditure of Rs. 2 cores of Nehru Stadium alone would
be Rs. 175 lakhs but it has been restricted to Rs. 120 lakh in this case.
10.4.9 It is a matter of utter surprise and regret that the engineers though expected to be
the extreme sincere, dedicated, devoted, loyal, patriot and hard worker, but are
not compensated suitably even after extra labour and time devoted to these
projects.
10.4.10 We, therefore, demand implementation of the project allowance @ 30% of pay
for all the engineers along with all other categories of the field staff attached to
all such major projects to compensate the extra difficulties, troubles, dangers,
the financial losses and hardships sustained by double establishments etc. this
should be paid from the date of start of Project.
10.5.0 CONVEYANCE ALLOWANCE :
10.5.1 In pretty old days, a man who used to ride on a horse was an engineer. The
engineers require a high degree of mobility to perform their duties efficiently. He
attends the site at off-place where the Government conveyance is not available
and apart from his executive duties he has to visit stores, workshops,
laboratories, market and laborer camps etc. Thus, the nature of duty of an
engineer compels him to move from one site to another at scattered places to
monitor pace and quality of the work in the interest of Government.
10.5.2 The study team in CPWD recommended on page 46 vide Para 4.11.1 of its
reports 1965.
“Transportation of Supervisory Staff : By the very nature of their duties
Junior Engineers, Assistant Engineers, Assistant Executive Engineers and
Executive Engineers of CPWD require transport facilities to enable them to
move about expeditiously with the sphere of their duties. When Govt. transport
94
cannot be provided the officers are encouraged to purchase motor cars, motor
cycles and scooters for which purpose they can take advances from
Government offices performing field duties and accorded priority in the
allotment of vehicle from the Government quota.”
10.5.3 The recommendation is self-explanatory and no further elaboration is needed. A
field engineer on field duty has to travel over 600 KM a month on an average
and work more than 12-14 hours a day and has also to carry good number of vital
importance records, like note book, measurement books, registers, and level
books etc. for the execution of government works.
10.5.4 It is a universally accepted fact that from time immemorial, it is inevitable for the
Junior engineers and Assistant Engineers to have their own conveyance without
which he could not discharge his duties efficiently as his work attracts sufficient
moving about. In the absence of such conveyance, the Junior Engineers and
Assistant Engineers shall have to spend half of the time in waiting at the bus
stops in addition to the time of journey.
10.5.5 The cost of conveyance such as scooter and motor cycles etc. is too exorbitant to
own and is not within the easy reach of a Junior Engineer / Assistant Engineer.
The cost of maintenance of the conveyance is also now a day very high and is
nearly about more than 10000/- per month including depreciation. For the better
utility of services of the Junior Engineers/ Assistant Engineers to the society and
the country, it is absolutely necessary and worth while to provide a scooter/
motor-cycle owned by Government, to every Junior Engineers and Govt. jeeps to
the Assistant Engineer similar to the ones being given to the inspector of police,
in forest department and jeeps and car available to the Executive Engineer and
above in Engineering Departments. It is for the efficient performance of their
duties. Alternatively, interest free advances for the purchase of conveyance with
suitable conveyance allowance of practical magnitude without insisting for
mileage may be granted to the engineers owing to their conveyance like scooter/
motor cycles @ Rs.5000/- per month. This suggestion of 5000/- per month as
conveyance allowance is the minimum possible based on prevailing market rates.
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10.5.6 The existing rates of the different conveyance allowance as sanctioned by the
Government from time to time in the course of different arguments for the
engineers now need be thoroughly revised in consideration of the fact that those
rates, were fixed during the old times and the present market price in all spheres
have gone excessively high, which is explicit from the above calculations.
10.5.7 We, therefore request the Hon’ble Pay Commission to recommend the
conveyance allowance commensurate with the minimum cost of maintenance
irrespective of the office of work or jurisdiction as Rs. 5000/- P.M. to
engineers.
10.6.0 NON PRACTICING ALLOWANCE :
10.6.1 While denying non practicing allowance to engineers, the 6th
Pay Commission in
para 4.2.32 and 4.2.53 went ahead to cite the grounds and reasons on the basis of
which the doctors were granted non practicing allowance by successive
Commission. The Commission has inter-alia stated that NPA to Doctors is paid
not only for the loss of private practice but also to compensate for longer
durations of studies, longer working hours, nature of duties and to compensate
for the relatively lesser promotional prospects. Besides the loss of practice, all
the above grounds equally apply to engineers also. They have erratic working
hours, arduous nature of duties and almost minuscule opportunities of
promotions. The construction activities going on in various projects site
including Delhi Metro Projects in and around Delhi would prove it amply and
vey explicitly that there are no normal working hours for engineers. At times the
activities at these sites can be seen to be going on throughout the night.
10.6.2 As far as the private practice is concerned, there is no less role and opportunity
for the same available in engineering professions. The advancement in
technology and construction practices has led to the revolution in the
architectural and design aspect of structures. Consultancy services have entered
in a big way in this field opening up new vistas for private practices. With
emphasis on optimum use of land and other resources in order to cater to the
infrastructure need of a developing nation as well as to meet out the rising
demand of housing for majority of the homeless population of this country in a
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time bound manner, the construction technology has not remained as simplistic
as it used to be a while ago. Further, the massive destruction to life and property
during natural calamities like Tsunami and earthquake etc. has wisened and
awakened the Govt. to initiate and evolve the method, procedure and system for
disaster management. The need of strict adherence of building code even in
private construction has also been realized. The National Building Codes are
being developed and laws are being framed to enforce the strict application of
these codes in private construction. The role of private practice and consultancy
in construction has thus not only been accepted but being formalized as well by
registrations of private practitioners. The Association therefore in its
memorandum had demanded either the grant of permission for private practice
for engineers or the non-practicing allowance @ 20% in lieu thereof. The
demand of the Association must be accepted and they must accordingly be
compensated by allowing NPA @ 20% to them.
10.6.3 The engineers are undergoing similar types of pre-professional training and
practices like doctors and therefore the rules should be equally applied to all the
professions. It is a fact that unlike the engineers, the doctors can improve their
emoluments in a better way through their private practice by contributing their
skill to the community.
10.6.4 Now, the enlightenment of the present day, the society demands engineers too, in
seeking their advice with regard to the estimating, planning, Design, Layout,
construction, supervision, payments and repairs to the building both residential
and non-residential including selection of sites, assessment of properties etc. only
engineer of experience could handle such type of job needed by the community
which is at present being handled by the unqualified person, to the detriment of
efficiency, time and national resources except for a few consulting Architects
and Engineers, available at present who could not cope up with the volume of
works.
10.6.5 The Association therefore, proposes that in the absence of permission for
private practice, an allowance for non-practicing @20% be granted to the
engineers.
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10.7.0 CHILDREN EDUCATION ALLOWANCE
10.7.1 Although the Government of India, State Governments, Public undertakings,
Corporations and Banking houses etc. have been providing educational facilities
for the children of the employees in different forms. The existing benefits are
evidently quite nominal and reimbursement is made in case of children studying
in the Government Schools only. Besides tuition fees, the non-government
institutions also charge development fees, games fees, fan fees, examination fees
etc. Therefore, the reimbursement of mere tuition fees at the rate prevalent in
Government Schools does not help the low paid government employees to meet
out the expenses for the education of their children. To make this benefit real, the
existing provision for reimbursement should be revised thoroughly and the
reimbursement of cost of books, stationary and essential equipment should be
introduced so as to enable him/her to get the incurred expenses for education of
the children and dependent brothers and sisters. With this background we suggest
the improvement of educational allowance as follows :
i) The family of the government employees for the purpose of entitlement to
educational allowance should include all sons and daughters of the
employees as well as their dependent brothers and sisters.
ii) Tuition fees for children and dependent brothers and sisters for their
education upto graduation (in all faculties) including professional courses of
engineering, medical, computer, I.T. accountancy, journalism and
management etc. should be reimbursed in full to Government employees.
The tuition fees should include session fees, games fees examination fees
and other allied authorized charges to be paid actually periodically or at a
time for the education of the children. In case both the husband and wife are
in service, the reimbursement of tuition fees will be admissible to one of
them only.
iii) The 6th
CPC recommend the reimbursement of limited amount for children
education given here under:-
(a) Rs. 1000/- per child per month.
(b) Rs. 3000/- hostel subsidy per child per month
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(c) The limit would automatically rise by 25% every time the D.A goes up
by 50%.
The above said benefits are extended to employees in respect of small
children only. In the present era of globalization the children’s are interested
in acquiring higher educational. It is normal in practice now a day therefore
with the above extended benefits employees shall get hardly any support
from the amount so doled by the 6th
CPC. Further no recommendation has
been suggested for higher education especially for those employees who are
low paid.
iv) For cost of books and essential equipment’s, the rates of reimbursement per
annum should be as follows:
a) Upto Class IV Rs. 2,000/- per student/annum
b) Class V & VI Rs. 4,000/- -do-
c) Class VII & VIII Rs. 6,000/- -do-
d) Class IX & X Rs. 8,000/- -do-
e) Class IX & XII Rs. 10,000/- -do-
f) For degree courses in
science, Art & Commerce Rs.20,000/- -do-
g) For Diploma in Engg. Rs.24,000/- -do-
h) For Degree Course in Engg.,
Technical, Medical, I.T,
Computer Management
and similar other faculties Rs. 60,000/- -do-
Total reimbursement at the above rates should be available to all employees and
the reimbursement as in (ii) and (iii) above may not however, be admissible to
the student who fails and reads in the same class for more than two years.
10.7.2 The above benefits should also be available to employees whose children and
dependents are studying in other countries.
10.7.3 SPECIAL EDUCATION ALLOWANCE /HOSTEL SUBSIDY FOR THE
DEPENDENTS OF THE GOVERNMENT EMPLOYEES POSTED IN
SCHEDULED PLACES :
Some Government employees are posted in Scheduled places particularly in
forest areas where the facility of schooling is practically nil. Naturally, it
becomes obligatory for those government employees to keep their boys, girls,
99
dependent brothers and sisters in hostel for their education. But, in reality, the
government employees particularly the low-paid ones can hardly afford to pay
for the hostel expenses cannot arrange for the education of their dependents. To
enable such employees to get their dependents educated, at least a portion of the
hostel expenses should be borne by the government. This benefit should be
proportionately higher for low paid employees and in that context we suggest the
special education allowance at the under mentioned rates.
a) For Employee drawing Rs. 3000 Per student per month subject to
Pay upto Rs. 20,000 a maximum of Rs. 9000
(in the existing scales) (for three students.)
b) For employees drawing Rs. 4000/- per month subject to
pay over Rs. 20,000 a maximum of Rs. 12000/-
(in the existing scales) (for three students.)
Free educational facilities should be made available to the children and
dependents of all the employees’ upto acquiring college degree and professional
courses. The Association also suggest the following alternatives :
10.7.4 ALTERNATIVES
1. The Commission be pleased to graciously recommend that tuition and all
other fees should be realized from Government not from the wards. The
institution may take the same from the centralized department of the
Government for this purpose as in case of medical bills of private hospitals
being sent and charged directly to the concerned ministry of health.
2. The Commission may also recommend that in lieu of (1) above, a suitable
amount as suggested below be paid to the Govt. employees.
Upto middle school Rs. 1000 per month per Child
Upto Secondary School Rs. 1600 - - -do-
Upto Degree Class Rs. 2000 - - -do-
Upto Professional Courses
(Medical I.T., Computer science,
management and Engg. courses etc.) Rs. 5000 - - -do-
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10.8.0 HILL COMPENSATORY ALLOWANCE
10.8.1 The 6th
CPC has recommended Hill Allowance @ 6000/- per month for the
employees in the Grade Pay of Rs. 5,400/- and above and @ 4,800/- per month
for those other than above. This amount is inapt keeping the problems of the
employees who faces them.
10.8.2 It is submitted that life is more costly and cumbersome in certain hill areas than
that on the plains. Further, they have to face difficulties and inconveniences like
of which are absent in plain areas. Therefore, employees working in hill areas are
required to be compensated suitably. We suggest that these employees may be
granted hill Compensatory Allowance @30% of pay per month.
10.9.0 DIFFICULT AREA ALLOWANCE
10.9.1 The engineers posted in very remote areas to implement the Government
schemes, constructions and projects, to extend the progress of development to
those neglected area, which are deprived of all facilities and amenities of life.
They do not get the facilities of schools, colleges, hospitals, market etc. and are
forced to live virtually without any society. They are forced to live alone far
away from their family members and they are to maintain a separate
establishment to keep their family in nearby Muffasil or Town.
10.9.2 With this separate and double establishment the engineers posted in remote and
difficult places are crippled financially. They are to spend much more money
than what they would spend, had they been posted in any place, other than these
remote places.
10.9.3 The 6th
Pay Commission have renamed this allowance as Remote Locality
Allowance and paid keeping the degree of remoteness of the area concerned. The
amount recommended varied from 400 to 2600 in case of employee in the Grade
Pay of Rs. 5,400 and above and Rs. 320 to 2000 in case of the others.
10.9.4 Under the above consideration, it is requested to grant an allowance @30% of
the pay. D.A should also be paid on this allowance as in vogue till date.
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10.10.0 TRANSPORTATION ALLOWANCE
10.10.1 The 5th
CPC recommended in para 107.13 on page – 1601 of it’s report vol III as
under:
“Accordingly we recommend that Executive, Supervisors and the category of
supporting and auxiliary staff may be given transport allowance at the monthly
rates or Rs. 800, Rs. 400 and Rs. 100 respectively in place classified as A1 and
A cities. In all other places transport allowance at the rate of Rs. 400 for
Executive, Rs. 200 for supervisors and Rs. 75 for Support and Auxiliary staff
may be granted.”
10.10.2 The above Transport Allowance was recommended for commutation from
residence to work place and back. This was accepted by the Govt. and is in
vogue since 1.1.1997. Not with standing, the abnormal increase in the cost of
fuel, maintenance, taxes, insurance and exorbitant prices of the vehicles
including spare parts and repairs etc. has occurred. This casued a slow but severe
evaporation in this allowance converting it futile and ineffective.
10.10.3 The 6th
CPC no doubt increased the allowance and also allowed additional
benefit of DA was also added to it but withdrew the CCA side by side. Had it be
on percentage basis, these benefits would be inbuilt according to the increase in
the pay of the employees. As such, we propose that the Transport Allowance @
25% of the basic pay may be granted uniformly and the D.A be added there on.
10.11.0 DESIGN & PLANNING ALLOWANCE :
10.11.1 In Para 3.4.4 the Commission has expressed its finding on planning & design
allowance in following word. “in consonance with the general policy followed,
the existing rate of these allowance shall be doubled”. The Commission failed
to realize the significance of design and planning works in engineering projects.
Nowadays, such works are out sourced at astronomically high cost i.e. at least
3% to 7% of the total project cost. Our own engineers do not have any
motivation to undertake such design and planning works in view of the fact that
they are paid only a paltry sum of 300 to 160 (now proposed to be doubled to
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600 to 320) as against exorbitant amount of 3% to 7% of project cost usually
paid to private consultants for such works.
10.11.2 Even otherwise during 1961-62 these allowances used to be Rs 40/- & 25/-
respectively which use to be 40% & 25% of the then basic pay of Rs. 100/-. With
time however these allowances have eroded as increase in them was not
commensurate to keep pace with the rate of enhancement in scales.
10.11.3 In today’s context, these allowances would work out to be even less than 5% of
the basic pay. By just doubling these allowances the Commission has done gross
injustice to the cadres of engineers. The Commission neither realized the
importance of design & planning works nor the prevalent value and cost of such
works in the open market. There are several examples when the poor designing
and Planning led to the failure of whole projects as such. The questions and
doubts being raised nowadays in regard to BRT project at Delhi shows as to how
in the absence of proper design and planning a project can go haywire. The cost
of such works in open market necessarily entails the need of proper increase in
these allowances for engineers. The demand of the Association to raise these
allowances to the tune of 40% & 25% respectively must therefore be accepted.
10.11.4 The various Engineering departments are already paying planning allowance to
the engineers. There is therefore, hardily any necessity to emphasize the need for
sanction of this allowance. Association however, submits that the quantum of
this allowance is too meager and is, therefore, ridiculous.
10.11.5 Subsequently, this ratio has, however, been bidden goodbye and the
enhancement was not made in proportionate to the enhancement in pay.
10.11.6 In view of above, the Association suggests that the design and planning
allowance @ 40% and 25% of basic pay respectively must be granted to the
engineers posted in planning units in accordance with the laid down principle
adopted at the time of sanction of this allowance as back as in 1961-62.
10.12.0 MEDICAL FACILITIES :
10.12.1 It has been observed by the Association that the medical facilities for the
employees of the Govt. of India are most unsatisfactory. The CGHS Dispensaries
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wherever available are ill-equipped with medicines and the medical as well as
Para-medical staff.
10.12.2 There are long queues on the CGHS Dispensary windows and crowd of patients
in front of Doctors rooms. The facilities for laboratory clinical tests are also not
available as considered necessary. The patients have to travel long distances for
getting the medical tests conducted. For certain tests there are long waiting list.
The services of the specialists are also not adequate. Consequently, in most of
the cases the patients are forced to seek the services of private clinics/ hospitals
and buy medicines from outside. The reimbursement for the purchase of
medicines from outside is also very tedious and time consuming formalities. In
some cases the patients forgo their claim on expenses on purchasing the
medicines.
10.12.3 The formalities regarding reimbursement of the expenses incurred by the Govt.
servants during emergency and urgency for getting treatment in private hospitals
are also too complicated. There are only a few hospitals where the expenditure
on medical treatment is reimbursable. In case of certain diseases the Govt.
employees or/ and their dependents have to be in queue along with the general
public and thus they have to waste their time and energy besides awaiting for
proper treatment well in time. There are still many places in the country where
the CGHS Dispensaries are not at all available. The situation of the Govt.
employees at such places is aweful.
10.12.4 In view of above, the Association submits that the Hon’ble 7th
Central Pay
Commission may kindly submit a detailed recommendation to bring about
revolutionary changes in the medical care of the Central Govt. employees by
improving the conditions of CGHS Dispensaries, hospitals, providing more
specialists, making hassle free treatments and tests in pathological labs to be
made available with most of the dispensaries if not is all and ensuring
reimbursement on account of purchase of medicines or/and private hospitals
services without problems and without delay, is made early, further ensuring
more dispensaries in the country as well as recognizing the local Govt./ private
hospitals in larger number and making them available for the Central Govt.
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employees on the lines of CGHS Dispensaries existing in big towns of the
country.
10.12.5 The 5th
CPC in their report published on the expenditure report of the Ministry of
Health & Family Welfare, showing the annual expenditure for the year 1986-87
to 1993-94, incurred for C.G.H.S beneficiaries, which amounts to approx 17% of
the total employees.
Year No. of
Cards
No. of
Beneficiaries
Average
Per Card
(3/2)
Annual
Expenditure
(in Cores)
Average per
beneficiary
(5//3)
1986-87 750599 3287260 4.4 37.16 Rs. 113.04
1987-88 769818 3510018 4.6 43.42 Rs. 123.71
1988-89 819494 3619290 4.4 55.20 Rs. 152.52
1989-90 852876 3833397 4.5 57.29 Rs. 149.25
1990-91 898035 3957730 4.4 70.47 Rs. 178.06
1991-92 935381 4122763 4.4 80.56 Rs. 195.48
1992-93 872272 3992854 4.6 88.58 Rs. 221.83
1993-94 894455 4000528 4.5 188.87 Rs. 297.14
The total expenditure incurred in 1993-94 was 118.87 crores. 4 times increase as
on today which comes to 118.87 × 4 = 475.48 say Rs. 500 crores. It is not an
unbearable burden on the Govt. It should be continued and other sources should
also be evolved.
10.12.6 The 5th
CPC had recommended Rs. 100/- per month for OPD expenses.
The 6th
CPC did not take this issue seriously any more. They forgot even to
comment on raising the fixed medical allowance. The Commission did not take
into their consideration the decision delivered by the Supreme Court (AIR 1995
SC-922) and Article 39, 41, 43 & 48A of India.
10.12.7 The Health Insurance Scheme recommended for introduction is incomplete and
yet not implemented by the Govt.
10.12.8 In the situation described above this Association suggest as under:-
1. All the employees and Pensioners be provided cashless and hassle free
health care facilities. The detail of the scheme may be finalized in
consultation with the employees’ and pensioner’s Associations/unions.
2. Smart card should be issued and made valid for whole life in.
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a. All Govt. Hospitals
b. All NABH accredited multispecialty hospitals across the country which
have been allotted land at concessional rates or given any aid or
concession by the Central or State Govt.
c. All C.G.H.S, empanelled hospitals across the country.
3. No referral should be insisted in case of medical OPD with empanelled
hospitals.
4. For the purpose of reference or hospitalization and reimbursement of
expenditure there on, in other than emergency cases, C.M.O.s/Doctors/M.O.s
should be Authorized as Medical attendants.
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11.0.0 PROMOTION
11.1.0 Views of few Eminent Persons regarding promotions of employees are as under :
Sir Winston Churchill
“While Seniority is a reality the examination is a fiction”
11.1.2 Dr. L.D. White
“To give suitable incentive is to maintain a tradition of devotion to duty and
this is an indeed of sound employment situation and a positive means of
building up an efficient organization. Therefore, it is not fair, in the interest of
the department which also means the interest of the individual concerned to
bring in people fresh from college”
11.1.3 Prof.W. PROCTOR
“Lack of suitable promotion system frequently causes the better type of worker
to leave the public services for work in the field of private enterprises. It makes
difficult the maintenance or goodwill and enthusiasm, throughout the
Government establishment. As a result, it renders difficult the maintenance of
a high standard of morale”.
11.1.4 1ST
CENTRAL PAY COMMISSION
“The opportunities for promotion do necessarily weigh consideration in choosing
public service as career. It is legitimate aspiration for the employees to expect
promotion to higher grade at reasonable intervals during the period of their
service. If such opportunities are not provided in adequate proportion in any
service and the employees concerned are detained to retire in the same grade in
which they are recruited, the work becomes monotonous and charmless and the
employees naturally lose interest and energy therein.”
11.1.5 Shri S. Ranganathan Chairman of Committee to Revise CPWD Code.
Shri S. Ranganathan, former Comptroller and Accountant General (Ex. MP) in
Chapter-I, Page-5 of his report states.
CHAPTER – 11
107
“For this it should build up an adequate organizational structure with
appropriate career prospects affording job satisfaction and contentment to its
staff.”
11.1.6 Vide Para 1.8 of the Report
“At preset adequate attention is not paid to the career planning and to career
prospects of different groups of staff and also not able to impart continuing
education to various levels of staff due to inadequacy of the organizational
arrangement for training. In other words, there is no personnel management
as such. The administration is restricted to mere postings and transfers. The
committee would like the department including training, career planning,
career development etc. with regard to its staff at different levels and of all
disciplines. It should also have inadequate and regular system for assessing
and evaluating the work of the staff.”
11.1.7 Administrative Reforms Commission –Govt. of India
“Promotion means movement of a worker to a position of higher responsibility
and consequential improvement in his emoluments. It is a reward for his hard
work and an incentive to give his best to the employer. It also serves to
maintain the requisite morale amongst workers. Promotion provides
stimulation to the employees to cultivate the qualities that are necessary for
advancing in life. Such encouragement is important in the public sector, where
the management finds for reasons explained elsewhere, that it cannot reward a
worker in other ways.”
11.1.8 Varadachari Commission – Page -504
“We should recommend that the claims of the competent men already in service
should be recognized and satisfied to the fullest extent possible. If such men are
promoted to responsible posts fairly early in their career they will bring all the
benefits of practical experience without the disadvantages entailed by them.”
11.1.9 From the above comments and observations, it can be established that prospects
of advancement in career at reasonable interval are the real motivative force for
an employee to be devoted to his work with all sincerity and to give his best
performance under each and every situation. Bright career prospects help in
developing such qualities, which places one class apart from others.
11.1.10 In CPWD the posts of the Executive Engineers are filled in following manner :
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i) 33⅓% from AEE (Direct recruit class A) (JTS) with 4 years regular service
ii) 66⅔% from Assistant Engineers with eight years regular service in the grade
and possessing diploma in engineering.
11.1.11 From the above it can be seen that though the eligibility period for promotion for
Assistant Engineers is 7 years of regular service & 9 years of regular service for
degree holder Assistant Engineer & diploma holder assistant engineer
respectively, yet ground reality is that the Assistant Engineer with more than 22
years of regular service (both degree holder and diploma holders) are still
awaiting for their promotion, while no. AEE after 4 years of regular service in
the grade has to wait any further for his promotion.
11.1.12 Thus, while the eligibility criteria of 4 years is religiously honored in case of
promotion of AEEs, the eligibility criteria of 7 & 9 years provided in above
recruitment rules for promotee Assistant Engineers gets doubled to 14 to 18
years in practice creating heart burn, dissatisfaction and discontentment among
the Assistant Engineers.
11.2.1 The seeds of this harmony are rotted in the promotion rules which suffers from
following infirmities.
i) The sanctioned strength of the AEEs in the Department is 100(Civil) + 25
(Elect) = 125 only as against the sanctioned strength of AEs as 2200 (Civill)
+ 890 (Elect.) = 3090 which forms the ratio of 1 : 25 whereas the quota of
AEEs in promotion vis-à-vis promotee Assistant Engineers is 1:2, thus the
above rules are unevenly dispose towards AEEs.
ii) The promotee Assistnat Engineer have not been recognized as a class they
have further been subdivided as degree holders & diploma holders allocating
seprate quota to htem. This is akin to create a quota within the quota
The above subdivision created an unprecedented and ominous situation
recently when junior diploma holder Assistant Engineers superseded degree
holder Assistant engineers senior to them in the grade. This has resulted in
number of court cases filed by the degree holder Assistant Engineer against
injustices inflicted on them
11.2.2 The Association pleads the honorable 7th
Pay Commission to look in to the
modifications sought in the recruitment rules by the Association, placed here
as under.
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11.2.3 I) The quota of Direct recruit class I AEEs as against that of the promotee
Assistant Engineers should be in the ratio of 15 : 85 which is commensurate with
their respective strength.
II) 85% quota of promotee Assistant Engineers should not be further sub divided
between degree & diploma holder Assistant Engineers
III) Eligibility period of eight years & 10 years in respect of degree holder &
diploma holder Assistant Engineer respectively should be maintained.
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12.0.0 OTHER ANCILLARY BENEFITS
12.1.0 EXEMPTION OF INCOME TAX
12.1.1 The wages and Pay scales of the Govt. employees are always based on certain
formulae and calculation by the Pay Commission/ wage committee. It would be
seen that nowhere in any calculation the factor of Income tax has been added
rather the minimum of all the formulae is adopted for the determination of the
Pay Scale or wages of the employees with the result that the employees remain
hard pressed financially as many of their needs are left over in such calculations.
It is against the principle of natural justice to recover the Income tax from the
Govt. employees particularly in the absence of this element from the calculations
of their emoluments. Such situation heavily slashes down the emoluments of the
employees.
12.1.2 The emoluments of the employees are excluding the ingredients of Income tax.
The payment to the employees is for the services rendered by them as such
cannot be treated as profit/ income for the purpose of Income Tax. In fact this is
a gross turn-over of the employees and not the net taxable income.
12.1.3 The 5th
C.P.C. recommended in its Report vide Para 167.10 to 167.12 for the
exemption of levy of Income Tax from the Govt. employees but the Govt. did
not accept it. Thus, the only alternative is to add the ingredient of income tax
in the pay scales to be recommended.
12.1.4 It is therefore suggested that :
i. No income tax should be levied on the employees particularly in view of
the present pay structure.
ii. Alternatively, the factor of Income tax @ 25% for group –C and 30% for
group –B and group-A to be added to their emoluments.
CHAPTER – 12
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12.2.0 LEAVE TRAVEL CONCESSION (L.T.C.)
12.2.1 The Govt. has provided L.T.C. facilities to its employees to be availed once in a
block of 4 years. This facility is being given to its employees biannually in
Public Sector; Govt. undertakings and Banks etc. On the same analogy the
duration of LTC to the Central Govt. employees to be kept as biannual.
12.2.2 It is also pointed out that only railway fare from head quarter to the declared
destination by shorter route is being given to the employees as LTC whereas it
would be appreciated that the employees have to incur huge expenditure on such
journey by incidental charges during the journey, Hotel expenditure, meals, local
transport and other miscellaneous expenditure i.e. entry tickets of monuments,
museums, historical place, and other sights etc. With the present system, the
Govt. has treated the LTC only for one place, whereas once the family is on tour
it is obvious that other places of historical, archeological, religious importance
and tourist are to be visited near by the declared destination and /or on the way.
Extra expenditure is involved in local journeys by various methods to visit such
places.
12.2.3 It is imperative to mention here that no consideration of such expenditure is
taken into account while determining the pay structure of the employee which
causes acute hardship and financial stringent to the employees.
12.2.4 It is therefore proposed that the Pay Commission should recommend in its
report to reimburse at least 80% of the total expenditure incurred by the
employees on such tour or alternatively, it may be paid to the employees
including the pensioners as a lump sum grant of one month pay every year, in
order to facilitate them to chalk out their own schedule of tour in accordance
with the available finance.
12.3.0 LEAVE HOLIDAYS AND OTHER FACILITIES
12.3.1 REDUCTION OF GAZETTED HOLIDAYS
12.3.2 There is the murmuring and heart burning amongst the various section of the
society on account of Gazetted holidays granted by the Govt. of India and
therefore a growing tendency in our country to demand the Gazetted holidays on
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the basis of religious and social functions exists. Being the secular country, no
preference is desirable and proper to any particular community or/and
religion in the matter of holidays by the Govt. As such to eradicate the
discriminatory situation in this regard, it is absolutely essential to bring about the
radical changes. Hence, in the larger national interest, integrity, output and
efficiency, the Association proposes that the number of Gazetted holidays be
limited to the following national holidays only.
i. 26th
January – Republic Day
ii. 15th
August – Independence Day
iii. 2nd
October – Birthday of the father of the Nation MAHATMA
GANDHI
12.3.3 By this, 14 Gazetted holidays will be spared which at the moment are being
granted to all the employees on account of one or the other festival of one or the
other religion. These 14 holidays plus two restricted holidays should be included
/added to the casual leaves in vogue as already granted to the employees. This
will make the total number of casual leaves to 28. The 12 number of casual
leaves were reduced to 8 only by the 6th
CPC unjustifiably which needs to be
restored to 12. Un-utilized casual leaves in the year should be credited to the
earned leave of the employee.
12.3.4 Doing so, the Govt. shall avoid a lot of criticism by restricting the number of
holidays and the employees are not going to lose anything on this account as the
total number of holidays plus casual leave shall remain the same as before and
they may avail those according to their needs and exigencies instead of
compulsory holiday or off. The public at large is going to be highly benefited by
this scheme of reduced holidays as the officers will remain open even on these
holidays on account of those employees attending the office who are not availing
holidays and the efficiency and the output of offices shall be enhanced leap and
bound.
12.3.5 We submit this proposal to the 7th
C.P.C. in the greater interest of the nation. It
however gives us ample contentment that the 5th
CPC having taken the
cognizance and appreciating those proposals did recommend the same in their
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report vide Para 118.8 page 1706 of its repot Vol.III and the 6th
CPC also in Para
4.5.6 of its report have repeated this similar recommendation but the Govt.
probably due to extraneous considerations did not accept the same without any
base, cause and reason. It is once again stressed on this vital important proposals
and we appeal this Hon’ble CPC to kindly again recommend it in more
convincing and effective manner to the Govt. in their report for their acceptance
and implementation for the sake of broad and better interests of the nation and
employees as well.
12.4.0 WITHDRAWAL OF CEILLING ON EARNED LEAVE
12.4.1 As per the standing rules and instructions of the Govt. there is a ceiling on the
accumulated earned leave of the employee upto 300 days only. Obviously, this is
a great injustice to the sincere and devoted employees who do not want avail
leave but devote and dedicate themselves for Govt. works. It has been observed at
the moment that those who have after accumulation of more than 300 days earned
leave are compelled to go on earned leave even if the same are not required by
them as any further accumulation of eared leave to their credit will be lapsed.
This causes unnecessary wastage of man hours which could otherwise be
profitably utilized for Govt. works.
12.4.2 In view of above, the Association suggests that there should be no ceiling on
accumulation of earned leave of the Govt. employee, on the lines of medical
leaves.
12.4.3 The whole purpose behind this proposal of withdrawal of ceiling of earned leave
is reflecting from the name itself, the leaves are earned by the employees and as
such it become his legal right to avail the same or to encash without any ceiling at
the time of needs or at the retirement. Besides, energy and time of a Govt.
employee at his prime youth shall be utilized for Govt. works, which shall go a
long way in enhancing the National productivity which may not be available in
the same degree of capacity and potentiality at the time of his retirement and can
be compensated only in the terms of cash benefit to him.
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12.5.0 LEAVE ENCASHMENT
12.5.1 There is a provision in the State Governments that their employees can have
leave encashment at any time which they do not avail but the same is deducted
from their account, subject to the condition that 60 days must remain in balance
at every point of time.
12.5.2 The Hon’ble Pay Commission is requested to recommend the same facility of
encashment of leave at any time even before the retirement as and when
needed and without any ceiling what so ever to all the Central Govt. employees
too.
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13.0.0 RETIREMENT SCHEME
13.1.0 AGE OF SUPER ANNUATION – 65 YEARS
13.1.1 Age of retirement of Govt. employee is governed by the factors like life
expectancy, physical health and capacity to work, Labourers market conditions,
stage of economic development, financial implications and social dimensions.
13.1.2 The 5th Central Pay Commission had recommended the retirement age for
Central Govt. Employees as 60 years, which was later on accepted by the Central
Govt. and at present the retirement age for Central Govt. employees is 60 years.
13.1.3 Many Govt. of India Undertakings/Autonomous bodies and State Governments
including Govt. of Chhattisgarh have already enhanced the retiring age of their
employees from 60 to 62 years.
13.1.4 A Chart showing age of retirement at global level is given here under for
consideration of the Commission.
CHART SHOWING AGE OF RETIREMENT
Sl.
No
Name of
Country Retirement Age
Sl.
No
Name of
Country Retirement Age
1 Japan 55-65 11 New
Zealand
65
2 Singapore 65 12 Austria 65
3 Iceland 67 13 Germany 65
4 Italy 66 14 Greece 67
5 Australia 65-67 15 Belgium 65
6 Sweden 61-67 16 U.K 65
7 Switzerland 65 17 U.S.A 62-67
8 Spain 65 18 Saudi
Arabia
62
9 France 62 19 India 60
10 Israel 67
CHAPTER – 13
116
13.1.5 The age of Superannuation however needs to be increased in view of the
following factors :
i. Life expectancy has increased upto 70 years in India due to improved living
conditions, advancement in medical science & improved health services. A
person remains healthy & hearty at the age of sixty years and generally does
not suffer from any disability and does not feel headache in performing the
duties with the same vigour & capacity.
ii. All over the world the trend is to rise the age of superannuation to 65 years.
Even in India, in many universities there is a practice of re-employing
personnel’s upto 62-65 year. In private sectors the age of retirement ranges
from 62 to 65 years.
iii. The impact of increase in the age of retirement on employment situation
would be only marginal. Moreover it would be bad economics to remove
unemployment by retrial people before they cease to be productive.
iv. There would be massive saving on the Govt. expenditures on account of post
payment of retrial benefits for 5 years if the age of superannuation is
increased upto 65 years considering the aforesaid facts and their impact.
v. The increase in retirement age to 65 years will be an added advantage to the
Govt. as the rich experience & wisdom of senior employees shall be easily
available economically on the age of superannuation. It is therefore proposed
to rise the age of retirement to 65 years.
13.2.0 VOLUNTARY RETIREMENT
13.2.1 Whereas Rules 48-A, 48(1) a, 56(k) of CCS (Pension)Rules provide for
voluntary and premature retirement of Govt. employee, the rules 48(1) b and
FR56(I) provides the Govt. with a corresponding right of premature retirement of
the Govt. Servant in public interest.
13.2.2 In an era of liberalization and globalization the employee has got an inalienable
right to choose. He can not be restrained from turning elsewhere to seek greener
pastures. In order to make the better career prospect, one is entitled to switchover
from Govt. to private sector and vice versa. Even otherwise by encouraging this
inter-mobility between the Govt., public and private sector, all the three sectors
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shall be benefited in terms of enhancement of professionalism, experience &
efficiency.
13.2.3 The Scheme for voluntary retirement therefore is needed to be further eased
and liberalized. Accordingly it is proposed to: –
i) Reduce the qualifying service for seeking voluntary retirement to 10 years
with existing weightage of 5 years in qualifying service.
ii) Commute 100% of their pension on seeking such voluntary retirement
iii) The period of service rendered earlier should be counted for pension
provided the pension system be in vogue in the department where joining.
13.3.0 PENSION
14.3.1 RIGHT TO PENSION
Grant of Pension to the retired Govt. employee is their statuary, in allegeable and
legally enforceable right. It is not sort of alms to be doled out to beggars. It
should therefore be fixed revised, modified and changed not entirely dissimilar to
the salaries granted to serving employees.
13.3.2 The Hon’ble Supreme Court of India, in the land mark judgment of “D.S. Nakara
and others Vs. U.O.I” laid down the following guiding principle for framing the
pension scheme.
“A pension scheme consistent with available resources must facilitate the
pensioner to be able to live”
(i) with decency, independence self respect and free from want;
(ii) at a standard equivalent at the preretirement level.
13.3.3 Pension is, thus, not an ex-gratia payment but a payment for past service
rendered. It is an obligation on the part of the employer to provide socio-
economic justice to their employees in old age who in the hey day of their life
ceaselessly toiled for their employer.
13.3.4 It is therefore demanded that the aforesaid scheme should be reviewed and
reconsidered by 7th
Central Pay Commission with all its pros. & cons to bring
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about a modified, revised and improved version of the same, most akin and near
similar to the existing “defined benefit pension scheme”
13.3.5 The 5th Central Pay Commission though had not suggested any change in
pension formulae (i.e. 50% of average emoluments for 33 years of service) yet
they had propounded the idea of creation of a National Pension fund, to enable
the Govt. to meet out the pension liability of the employees. The corpus of this
fund was to be created by the contribution from the employees (new entrants)
and the Govt. While the employees’ contribution was to be fixed @6.5% of their
salary, the Govt’s contribution to this fund was to be @17.73%. According to the
findings of the Commission, in this arrangement, the employees would also be
benefited with additional 20% pension over the existing 50% pension i.e. 70% of
the last pay drawn.
13.3.6 The 5th Pay Commission had entrusted the task of “assessing the post retirement
income requirements after taking into consideration the position as obtained then
in private and public sector” to “TATA Economic Consultancy Services”
(TECS)
13.3.7 The TECS had worked out post retirement income requirements to be about 65%
of the pre retirement gross income in 1996. They had also suggested about the
Supplementary Pension Scheme which could be contributory in nature in
addition to the component of non contributory pension in order to meet the rising
post retirement economic needs of retired personnel’s.
13.3.8 It is also realized that since 1996 there has been continuous and study decrease in
interest rates on savings. The decrease in the interest rates has adversely affected
and caused scouring effect on the income of the retired persons quite severely.
13.3.9 The retired personnel’s, at times are found to be solely dependent on this pension
only for their sustenance. As the age advances, the capacity decreases and it
becomes very difficult for them to devise other ways & means for their
livelihood. The old age has the telling effect on the health and general well-being
of the retirees, resulting in exponential increase in medical expenses and social
obligations.
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13.3.10 In view of the above facts it would be more rational and justified to;
i) increase the full pension to the tune of 70% of last pay drawn after 30
years of qualifying service.
ii) existing provision of the average of last 10 months emoluments should
be done away with and pension should be fixed only on the basis of last
pay drawn.
iii) since 70% pension has been justified for 33 years of service i.e. about
2% pension for each year service rendered by the employee, it is
therefore further stressed that additional pension @1% for every six
months of additional service over and above 33 years, subject to
maximum pension @80% be granted to govt. employees after
retirement
13.3.11 One rank one pension should positively be considered for the old age pensioners
and family pensioners, as is propose to the defence personnel.
13.3.12 IMPROVEMENT IN THE EXISTING DEFINED BENEFIT PENSION
SCHEME
At present, minimum qualifying service for eligibility to pensions is 20 years
and full pension is admissible on completion of 33 years of qualifying service.
Full pension is fixed at 50% of the average emoluments drawn during the last
six months of service. Taking the age of superannuation as 65 years qualifying
service for full pension must be brought down to 30 years, keeping, in mind the
age of recruitment being raised by the Central Government to 35 years.
13.4.0 ABOLITION OF NEW PENSION SCHEME
13.4.1 The contributory Pension Scheme is produced since 1.1.04. In India Central
Govt. employees are covered by CCS (Pension) Rules 1972. However, vide
notification dt. 23.12.03 issued by Ministry of Finance, Department of Economic
Affairs, ECB & PR division, the Govt. of India introduced a new “defined
contribution pension system effective from 01.01.04, replacing the existing
defined benefit pension system” for new entrants to the Central Govt. services.
Under the new system the employee shall make monthly contribution to the tune
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of 10% of the salary to the pension fund. The Govt. shall also contribute with
matching amount towards that fund under this system of the scheme. The old
pension scheme based on defined benefit pension scheme and covered by CCS
(Pension) Rules 1972, shall however continue and remain effective for the pre
1.1.04 employees.
13.4.2 In most of the countries the Pension schemes for public servants are unfunded
i.e. based on the Pay-As-You Go Principle (PAYG)and the pension is fully
financed by the Govt. prevailing pension scheme in other countries are tabulated
here as under .
T A B L E
Country Maximum
Pension of last
salary drawn
Individual’s
Contribution in as %
of Salary
Govt.
Contribution
Bangladesh 60% NIL Total Cost
Belgium 67% NIL Total Cost
France 75% - 80% 6% Remainder
Germany 75% NIL Total Cost
Indonesia 75% 4.75% Remainder
Mexico 95% 6% 6%
Myanmar 60% NIL Total Cost
Pakistan 70% NIL Total Cost
Srilanka 80-90% 4% Remainder
Sweden 65% 9.45% 25%
U.K 50% 9% 13%
13.4.3 From the above table it is seen that even in countries like Bangla Desh, Belgium
Germany, Myanmar and Pakistan though the Pension of the public servant
ranges from 60 to 75% of the last pay drawn, the individual’s contribution
towards the pension is NIL. The pension in these countries is wholly financed by
the Govt. In the countries where however the contributory pension scheme has
been introduced, only part of the pension obligation has been converted into a
funded contributory scheme. Not only this, the pensioners get benefited in these
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countries ranging from 65 to 90 % of the last pay drawn. Like in Sweden, though
the pension is fixed at 65% of the last salary, yet individual’s contribution
towards pension scheme is only 9.45% as against the Govt.’s contribution of
25%.
13.4.4 The new contributory pension scheme introduced since 1.1.04 for new entrants
has been opposed by the staff side in National council of J.C.M. and it was
argued that the scheme should have been placed before 6th
Central Pay
Commission for their consideration before its introduction since 1.1.04 and the
new entrants to the Govt. Services (Post 1.1.04) should have not been deprived
of the benefit of the existing pension scheme based on “defined benefit pension
system” covered under CCS (Pension) Rule 1972 at least to the tune of existing
50% pension as also recommended by the 5th Pay Commission
13.4.5 Even the 5th Central Pay Commission had recommended (refer Para 133.57
/Vol. III) that the Govt. may set apart 17.33% of the salary of every new entrant
in service from the financial year 1997-98 so that their pension liability is wholly
met out of the proposed pension fund.”
According to above recommendations an employee was required to contribute
6.5% of their salary as against the Govt.’s contribution o 17.73% towards the
pension fund in order to receive the pension on retirement @70% of the last pay
drawn.
13.4.6 The alternate scheme introduced since 1.1.04 for new entrants is therefore not
only fallacious but also is unfavorably disposed towards the new entrants. It is
therefore demanded that the N.P.S in present from should be abolished and
this Pay Commission should bring out some modified revised & improved
version of the Pension scheme which may really benefit the employees.
13.5.0 AGE RELATED ADDITIONAL PENSION
13.5.1 We have always been demanding a better deal for the older pensioners because
of their old age need especially those relating to health care, care taking etc.
The 6th
CPC had recommended increase in the age related quantum of pension
as under:-
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On attaining the Age of (In Years) Additional Quantum of Pension
80 20%
85 30%
90 40%
95 50%
100 100%
13.5.2 Govt. of Punjab have granted additional quantum of age related pension to their
employees as under:-
On attaining the Age of (In Years) Additional Quantum of Pension
65 5%
70 10%
75 15%
80 25%
13.5.3 The Commission is requested to take note of the following facts :-
i) Life expectancy in India in case of Male is 67 years and in case of Female
in 73 years.
ii) Pensioners alive beyond the age of 100 years can be counted on finger tips.
iii) The hike in pension or the older persons should be based on “more age
more pension”
iv) Bearing the above facts and figures in mind we suggest the followings
proposals for consideration before the 7th
CPC.
On attaining the Age of (In Years) Additional Quantum of Pension
65 10%
70 20%
75 30%
80 40%
85 50%
90 100%
13.6.0 RETIREMENT GRATUITY
13.6.1 At present the rate of retirement gratuity is half month’s emoluments for every
years of service put in subject to the maximum of 16.5 month’s emoluments.
Further the gratuity however cannot exceed the monetary limit of 10 lacs.
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13.6.2 The 5th
Pay Commission had recommended the removal of cash ceiling and
computation of gratuity on pay plus dearness allowance on the date of retirement
which has been accepted and implemented by the Central Govt.
13.6.3 The 6th
CPC while recommending for gratuity did not take note of the followings
points:
1. The 6th
CPC neglected those who may have rendered more than 33 years
service.
2. The maximum age limit of recruitment in Central Govt. services have been
raised to 35 years. Such group of employees shall be eligible for 12.5 months
gratuity without any fault of their own because such employees shall retire
after completion of service of 25 years only.
13.6.4 It is therefore reiterated that –
1. The Gratuity should be calculated @ 20 days emolument for every year of
service rendered by an employee.
2. There should be no limit of maximum of 33 years of service for calculation
of emolument of the Gratuity.
3. The ceiling on the amount of the Gratuity should all together be done
away.
13.7.0 FAMILY PENSION
13.7.1 The 5th
Central pay Commission had recommended the uniform rate of 30% of
pay for family pension for all categories of employees.
13.7.2 The existing rate of family pension which are linked to the last pay drawn by the
employee at the time of death is quite in-adequate. It is also pertinent to point out
that the needs of the family of the deceased or the cost of establishment of the
family does not get reduced substantially and the family continues to spend
almost at the same rate to meet its’ requirements even after the demise of the
bread earner.
13.7.3 In view of the above it would be appropriate and justified to raise the family
pension to 50% of the last pay drawn.
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13.7.4 In case of death of pensioners or a Govt. employee in harness, family pension is
paid at the enhance rate of 50% of the last pay drawn for a period of 10 years
subject to maximum age of 67 years whichever is earlier.
13.7.5 The retirement age of the Govt. employee, keeping the life expectancy 70 years
in mind, should be raised to 65 years. Keeping this extended age of retirement in
view it is reiterated that the age restriction of present 67 years for payment of
enhance family pension should be extended to 65 + 10 = 75 years which is
rationale and justified.
13.8.0 COMMUTATION OF PENSION
13.8.1 At present the Central Govt. Employees are permitted to commute upto 40% of
their pension. The commuted portion of the pension is restored after 15 years.
13.8.2 The officers and the personnel below the officer’s ranks in the Armed Service
are permitted to commute upto 45 percent of their pension.
13.8.3 The Judges of Supreme court & high courts are provided with a facility to
commute upto 50% of their pension.
13.8.4 The Association therefore is of the strong opinion and suggest for the 50%
commutation of the pension for all the Govt. employees.
13.8.5 Restoration of Commuted portion of Pension in 10 years.
13.8.5.1 The 5th
Pay Commission had recommended the restoration of commuted portion
of pension after 12 years.
13.8.5.2 Commutation value in respect of employees superannuating at the age of 60
years between 01.01.1996 and 31.12.2005 and commuting a portion of pension
within a period of 1 year would be equal to 9.81 years purchase, After adding, a
further period of 2 years for recovery of interest in terms of observation of the
Supreme Court in their judgment in Writ Petition no-395-61 of 1983 decided in
Dec-1986, it would be reasonable to restore commuted portion of pension is
(9.81 + 2 = 11.81) i.e. 12 years.
13.8.5.3 In case of persons superannuating at the age of 60 years on or after 01.01.2006
and seeking commutation with in a period of one year, number of purchase year
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have further reduced to 8.194 (i.e. 16.15 % lesser). Also the mortality rate of 60
+ Indians has reduced to 20 per thousand (source Ministry of Statistics, G.O.I.)
ever since Supreme Court judgment in 1986. It would thus, be justified to restore
the commuted portion of pension in (8.194 + 2.00 = 10.194) i.e. 10 years.
13.8.5.4 At the time of superannuation age of 58 years, the restoration period of the
commuted portion of the pension was 15 years, meaning thereby, it was restored
at the age of 73 years. Since the superannuation age is enhanced to 60 years, the
restoration period comes to 13 years only in such case.
13.8.5.5 The life expectancy stands at 70 years in India this will reduced financial bearing
on the Govt. considerably. Hence the restoration of the commuted portion of
pension should be kept at 10 years which is fare and justified.
13.9.0 D.P. / INTERIM RELIEF
13.9.1 The concept of 100% neutralization against increase in prices should be
established because price rise affects pensioners much more than serving
employees. The income of pensioners is already reduced and all perquisites such
as subsidized residential accommodation, LTC, HRA, CCA, medical facilities
and transportation etc. disappear with the retirement. It should therefore be
mandatory to off load the pensioners from the burden of price rise by allowing
them. The neutralization 100% DA on the last pay drawn, the D.A. is
fundamentally based on the concept to compensate the increased cost of
commodities to the employees in the form of an allowance. It is not the
emolument for the work done by the employees. Being a welfare State, the Govt.
extends relief to its employees to meet the enhanced expenditure by way of
various types of allowances. The D.A. is reduced by 50% for an employee just
next day of his retirement. No dearness is reduced for him at any rate Since the
D.A. is a compensatory allowance having no bearing with the work and being
the welfare state the quantum of D.A. needs to be maintained in fact at the same
rate as before his retirement to meet the ends of justice.
13.9.2 Since interim relief only represents provisional arrangement during an
intervening period and is intended to provide a sort of relief to employees
pending a comprehensive determination of their salary and the pension is also up
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graded on the basis of revision in pay, hence the pensioners should also be given
interim relief on the same scale and on the same quantum as of the serving
employee
13.10.0 MEDICAL FACILITIES
13.10.1 “Health is not a luxury” and “not to be the sole possession of a privileged few”.
The enjoyment of the highest attainable standards of health is recognized as a
fundamental right of all workers in terms of Article-21 read with Article 39(C),
41, 43, 48A and all related Articles as pronounced by the Supreme Court in
consumer education and Research Centre and others v/s union of India (AIR
1995 Supreme Court 922)
13.10.2 The Supreme Court has held that the right to health to a worker is an integral part
of meaningful “Right to Life” to have not only a meaningful existence but also
robust health and vigour. Therefore the “Right to Health” medical aid to protect
the health and vigour of employee while in service or post retirement is a
fundamental right to make life of a employee meaningful and purposeful with
dignity of person.
13.10.3 All the pensioners irrespective of their pre retrial class and cadre be treated as
similar category of citizen and of the same homogenous group and should be
provided with the health care & services as under-
i. All pensioners be provided cash less & hassle free health care facilities.
ii. Smart cards should be issued and made valid for whole life in;
1. All Govt. Hospitals.
2. All NABH accredited multi specialty hospitals across the country which
have been allotted land at concessional rate or given any aid or
concession by the central or the state government.
3. All C.G.H.S empanelled hospitals across the country.
iii. No referral should be insisted in case of medical emergency and OPD in all
the empanelled hospitals.
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iv. For the purpose of reference or the hospitalization and reimbursement of
expenditure there on, in other than emergency cases, Doctor/medical officers
should be treated as authorized medical attendants.
13.10.4 All the C.G.H.S. dispensaries are to be converted as modern with the latest
equipments, machines, doctors, specialists, Para medical staff and testing
laboratories etc. regularly to provide the best treatment and facilities to the Govt.
employees (working & retired) with a view to save them from running from
pillar to post in the huge crowd of the Govt. hospitals etc.
13.10.5 FIXED MEDICAL ALLOWANCE (F.M.A)
a. Department of Pension & Pensioners welfare had recommended a lump sum
payment of Rs. 250/- per month for ailments not requiring hospitalization.
b. The 5th CPC had recommended fixed medical allowance @ Rs. 100/- per
month for meeting the day to day medical expenses.
c. Govt. of Punjab, Haryana & Himachal Pradesh has granted fixed medical
allowance @ Rs. 500/- per month to their employees as well as the
pensioners.
d. Ministry of Health & Family Welfare for their serving employees had
assessed the total cost per card per annum in 2007-08 is Rs. 16,435 (i.e. Rs.
1370/- per month) for OPD. Adding the net inflation (@ 76.89 %) as on
01.01.2014 after 01.04.2008 the figure today is well over Rs. 2400/- per
month.
e. Ministry of Labour & Employment Govt. of India vide its letter no-G-
25012/2/2011 dated 07.06.2013 has already enhanced F.M.A to Rs. 2000/-
per month for EPFO beneficiaries.
f. O.P.D. through insurance will cost much more.
g. Adequate rise in F.M.A will encourage a good no. of employees to opt out of
O.P.D. which will reduce overcrowding in the hospitals.
13.10.5 The revised F.M.A upto Rs. 2400/- for the serving employees and pensioners is
justified and financially viable.
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13.10.6 The F.M.A should be exempted from Income Tax.
13.10.7 Hospital Regulatory Authority should be established to ensure proper care and
treatment to the patients and ensure desired control over the functioning of all
the NABH (National Accredited Board for Hospitals) & NABL (National
Accredited Board for Laboratory).
13.11.0 L.T.C.
13.11.1 The serving employees hardly find time for tours due to their presuming
commitments towards their services as well as family affairs, but the pensioners
has their leisure after retirement.
13.11.2 The pensioner has the same right as of the working employees to acquaint
themselves from the rich heritage and culture of the country. Therefore, the
facilities of LTC to the pensioners be granted on the same pattern as to the
serving employees.
13.11.3 The developed countries allows free Air / Train / Bus / Metro passes to their
senior citizens to undertake journeys at their freedom, which causes robust health
and vigour in them. This reduces the medical bill on the Govt. exchequer
considerably.
13.11.4 It is therefore submitted that :
a) The pensioner should be allowed free Air/Rail/Metro/Bus passes to
undertake free journey
b) Minimum of 10 National / International reimbursable journeys should be
granted to all the pensioners.
13.12.0 SENIOR CITIZEN COUNTER
13.12.1 Keeping the ailing health condition and inability for frequent walking and
standing in queues for hours for booking Train, Bus tickets, medical checkups,
tests and getting money etc. from the crowded banks and other services like
payments of various bill (telephone, electricity, house tax, mobile phone etc.)
become a gigantic task for the pensioners.
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13.12.2 It is therefore essential to open separate windows for elderly citizens at railway
stations, bus stations, post officers, hospitals, banks and other offices as well.
13.13.0 H.R.A.
13.13.1 Pensioner also needs the roof over his head. His housing needs are not gone with
the retirement. Most of the Govt. employees do not get enough in their service
life to manage a house of their own and are made to live in rented
accommodation after retirement.
13.13.2 It is therefore justified and reasonable to restore the H.R.A. admissible at the
time of retirement.
13.14.0 SANCTION OF FINAL INCREMENT EARNED DURING 6 OR MORE
MONTHS OF SERVICE BY THE RETIRING EMPLOYEE
13.14.1 The 6th
CPC in Para 2.2.11 had recommended the following benefits to the
serving employees-
1. Annual Increment to be granted on 1st of July every year.
2. Employees completing 6 months and above in the scale as on July 1st will be
eligible for increment.
3. The above recommendations have been accepted by the Govt.
13.14.2 Employees completing service for 6 months or more in the last lap of his service
tenure should be granted one increment as per the above recommendation. But
the employees are deprived from the final increment only because they have
retired on 30th
June or last day of previous month.
13.14.3 It is therefore reiterated that employees completing service of 6 months or
more in the last lap of his service tenure should be allowed one increment and
should be taken into account for the purpose of computing pension & other
benefits.
13.15.0 BENEFITS OF THE PAY COMMISSIONS TO THE LAST MID NIGHT
RETIRING EMPLOYEES
13.15.1 Employees retiring on previous night of implementation of recommendation of
the pay commission are not allowed to enjoy the benefits recommended by the
Commission.
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For Example: Employees retiring on 31.12.1985, 31.12.95 & 31.12.2005 were
not allowed any benefit of the recommendation of 4th
, 5th, & 6th
Pay
Commission respectively.
13.15.2 The Employee concerned performs their duties till mid night of the last decade
preceding the day of implementation of the recommendation of the Pay
Commissions. It is heart breaking and gross injustice to deprive such retired
employees from the benefits being recommended by the Pay Commission w.e.f.
the just next hour of the retirement.
13.15.3 It is therefore reiterated to allow the benefits of fixation and other ancillary
recommendations to the employees those retired on just previous day of
implementation of recommendations of the Pay Commission.
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ANNEXURE-II
COMPUTATON OF RETAIL PRICES OF THE COMMODITIES / Articles
AS ON 01.01.2014
Items *Wholesale
market rates/kg.
(In Rupees.)
**30% of
wholesale
rate/kg.
(In Rupees)
Retail
price/kg.
(In Rupees)
Reference
Rice/Wheat 30.90 9.27 40.00 *Wholesale
market rates are
based on news
daily "Punjab
Kesari"
dated. 26.12.2013
** Element of
30% has been
added to cover the
increase in the
cost of retail sale
which includes the
transportations,
octroi and profits
of middle men i.e.
commission agent
and hawkers etc.
Dal
(Toor/Urad/Moong) 62.67 18.80 81.00
Raw Veg. 35.00 10.50 46.00
Greenleaf Veg 34.00 10.20 44.00
Other Veg. 32.00 9.60 42.00
Fruits 60.00 18.00 78.00
Milk
-- --
4
4.00/lt.
Sugar and Jaggery (40+53)/2 = 46.50 13.95 60.00
Edible Oil/G.nut oil 100.00 30.00 130.00/lt.
Fish -- -- 300.00
Meat -- -- 400.00
Egg -- -- 5.00/each
Detergents etc. -- -- 400/month
Clothing -- -- 200/meter
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ANNEXURE-III
FIXATION OF MINIMUM WAGE on akroyd’s formula
AS ON 01.01.2014 AS PER 15TH ILC NORMS
Items Per Day
PCU
(In gms)
Per
Month
4CU
(In kg)
Price/kg.
as per
prevailing
rates
(In Rs.)*
Total
Cost
(In Rs.)
→
→→→
Remark
* (As per Annex.-II)
Rice/Wheat 475.00 57.00 40.00 2280.00 ** Since Govt.
accommodation is
not allotted to the
new entrants at the
time of joining the
service, difference
between M.R. of
house rent – H.R.A.
paid is worked out
as under:-
i. Minimum wage
granted by Central
Govt. as on 1.1.2006
= 7000/-
ii. The virtual house
rent of the resdl.
accommodation as
on 1.1.2006 = 30%
of H.R.A. +
10% employee’s
contribution = 40%
i.e. 7000/- × 40% =
2800/-
iii. House rent as on
1.1.2014 = 2800/- +
100% (Existing DA
@ 100%) = 5600/-
iv. Net difference =
5600-2100 (30% of
7000) = Rs. 3500
Dal
(Toor/Urad/Moong)
80.00 9.60 81.00 777.60
Raw Veg. 100.00 12.00 46.00 552.00
Greenleaf Veg 125.00 15.00 44.00 660.00
Other Veg. 75.00 9.00 42.00 378.00
Fruits 120.00 14.40 78.00 1123.20
Milk 200.00 24.00 44.00 1056.00
Sugar and Jaggery 56.00 6.70 60.00 402.00
Edible Oil/G. nut oil 40.00 4.80 130.00 624.00
Fish 3.30 300.00 990.00
Meat 6.70 400.00 2680.00
Egg 120 Nos. 5.00 600.00
Detergents etc.
Rs. 400 /
Month
400.00
Clothing 7.30/Mtr. 200.00 1460.00
House Rent ** (M.R–HRA) 3500.00
Total 17482.80
Misc. @ 20% for expenses on fuel, electricity, water
etc.
3496.56
Addl. Exp @ 25% as decided by the Hon’ble Supreme
Court in the case of Reptako Brett & Co. v/s Others in
1991 for items like shoes, festivals, lighting,
maintenance and social cum-religious expenditures.
4370.70
Grand Total :-
The minimum wage for 4 consumption units family as
per norm recommended by the 15th
International Labour
Conference (ILC).
Say Rs.
25350.06
25400.00
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141
142
143
144
145
146
147
148
149
150
151
152
153
154
155
156
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