7th PAY COMMISSION - LATEST

REPORT OF SEVENTH PAY COMMISSION HAS BEEN SUBMITTED ON 20TH NOV 2015

1.    REPORT - EXTRACTS DEFENCE SERVICES -    CLICK TO READ. 2.    REPORT - FULL 900 PAGES.    -    CLICK TO READ. 3.     EXECUTIVE SUMMARY - 7 CPC --   CLICK HERE TO REFER  4.     CIVILIAN PAY STRUCTURE AND PENSION - CLICK HERE  5.    HIGHLIGHTS -  the Highlights of Recommendations of Seventh Central Pay Commission are as under :- Recommended Date of implementation: 01.01.2016 Minimum Pay: Based on the Aykroyd formula, the minimum pay in government is recommended to be set at ₹18,000 per month. Maximum Pay: ₹2,25,000 per month for Apex Scale and ₹2,50,000 per month for Cabinet Secretary and others presently at the same pay level. Financial Implications: The total financial impact in the FY 2016-17 is likely to be ₹1,02,100 crore, over the expenditure as per the ‘Business As Usual’ scenario.  Of this, the increase in pay would be ₹39,100 crore, increase in allowances would be ₹ 29,300 crore and increase in pension would be ₹33,700 crore. Out of the total financial impact of ₹1,02,100 crore, ₹73,650 crore will be borne by the General Budget and ₹28,450 crore by the Railway Budget. In percentage terms the overall increase in pay & allowances and pensions over the ‘Business As Usual’ scenario will be 23.55 percent. Within this, the increase in pay will be 16 percent, increase in allowances will be 63 percent, and increase in pension would be 24 percent. The total impact of the Commission’s recommendations are expected to entail an increase of 0.65 percentage points in the ratio of expenditure on (Pay+Allowances+ Pension) to GDP compared to 0.77 percent in case of VI CPC. New Pay Structure: Considering the issues raised regarding the Grade Pay structure and with a view to bring in greater transparency, the present system of pay bands and grade pay has been dispensed with and a new pay matrix has been designed. Grade Pay has been subsumed in the pay matrix. The status of the employee, hitherto determined by grade pay, will now be determined by the level in the pay matrix. Fitment: A fitment factor of 2.57 is being proposed to be applied uniformly for all employees. Annual Increment: The rate of annual increment is being retained at 3 percent. Modified Assured Career Progression (MACP):  Performance benchmarks for MACP have been made more stringent from “Good” to “Very Good”. The Commission has also proposed that annual increments not be granted in the case of those employees who are not able to meet the benchmark either for MACP or for a regular promotion in the first 20 years of their service. No other changes in MACP recommended. Military Service Pay (MSP): The Military Service Pay, which is a compensation for the various aspects of military service, will be admissible to the Defence forces personnel only. As before, Military Service Pay will be payable to all ranks up to and inclusive of Brigadiers and their equivalents. The current MSP per month and the revised rates recommended are as follows: Present Proposed i. Service Officers       ₹6,000 ₹15,500 ii. Nursing Officers       ₹4,200 ₹10,800 iii. JCO/ORs    ₹2,000 ₹  5,200 iv. Non Combatants (Enrolled) in the Air Force ₹1,000 ₹  3,600 Short Service Commissioned Officers: Short Service Commissioned Officers will be allowed to exit the Armed Forces at any point in time between 7 and 10 years of service, with a terminal gratuity equivalent of 10.5 months of reckonable emoluments. They will further be entitled to a fully funded one year Executive Programme or a M.Tech. programme at a premier Institute. Lateral Entry/Settlement: The Commission is recommending a revised formulation for lateral entry/resettlement of defence forces personnel which keeps in view the specific requirements of organization to which such personnel will be absorbed. For lateral entry into CAPFs an attractive severance package has been recommended. Headquarters/Field Parity: Parity between field and headquarters staff recommended for similar functionaries e.g Assistants and Stenos. Cadre Review: Systemic change in the process of Cadre Review for Group A officers recommended. Allowances: The Commission has recommended abolishing 52 allowances altogether. Another 36 allowances have been abolished as separate identities, but subsumed either in an existing allowance or in newly proposed allowances. Allowances relating to Risk and Hardship will be governed by the proposed Risk and Hardship Matrix.       Risk and Hardship Allowance: Allowances relating to Risk and Hardship will be governed by the newly proposed nine-cell Risk and Hardship Matrix, with one extra cell at the top, viz., RH-Max to include Siachen Allowance. The current Siachen Allowance per month and the revised rates recommended are as follows: Present Proposed i. Service Officers ₹21,000 ₹31,500 iii. JCO/ORs ₹14,000 ₹21,000 This would be the ceiling for risk/hardship allowances and there would be no individual RHA with an amount higher than this allowance. House Rent Allowance: Since the Basic Pay has been revised upwards, the Commission recommends that HRA be paid at the rate of 24 percent, 16 percent and 8 percent of the new Basic Pay for Class X, Y and Z cities respectively. The Commission also recommends that the rate of HRA will be revised to 27 percent, 18 percent and 9 percent respectively when DA crosses 50 percent, and further revised to 30 percent, 20 percent and 10 percent when DA crosses 100 percent. In the case of PBORs of Defence, CAPFs and Indian Coast Guard compensation for housing is presently limited to the authorised married establishment hence many users are being deprived. The HRA coverage has now been expanded to cover all. Any allowance not mentioned in the report shall cease to exist. Emphasis has been placed on simplifying the process of claiming allowances. Advances: All non-interest bearing Advances have been abolished. Regarding interest-bearing Advances, only Personal Computer Advance and House Building Advance (HBA) have been retained. HBA ceiling has been increased to ₹25 lakhs from the present ₹7.5 lakhs. Central Government Employees Group Insurance Scheme (CGEGIS): The Rates of contribution as also the insurance coverage under the CGEGIS have remained unchanged for long. They have now been enhanced suitably. The following rates of CGEGIS are recommended: Present Proposed Level of Employee Monthly Deduction  (₹) Insurance Amount  (₹) Monthly Deduction  (₹) Insurance Amount  (₹) 10 and above 120 1,20,000 5000 50,00,000 6 to 9 60 60,000 2500 25,00,000 1 to 5 30 30,000 1500 15,00,000 Medical Facilities: Introduction of a Health Insurance Scheme for Central Government employees and pensioners has been recommended. Meanwhile, for the benefit of pensioners residing outside the CGHS areas, CGHS should empanel those hospitals which are already empanelled under CS (MA)/ECHS for catering to the medical requirement of these pensioners on a cashless basis.   All postal pensioners should be covered under CGHS. All postal dispensaries should be merged with CGHS. Pension: The Commission recommends a revised pension formulation for civil employees including CAPF personnel as well as for Defence personnel, who have retired before 01.01.2016. This formulation will bring about parity between past pensioners and current retirees for the same length of service in the pay scale at the time of retirement. The past pensioners shall first be fixed in the Pay Matrix being recommended by the Commission on the basis of Pay Band and Grade Pay at which they retired, at the minimum of the corresponding level in the pay matrix. This amount shall be raised to arrive at the notional pay of retirees, by adding number of increments he/she had earned in that level while in service at the rate of 3 percent. In the case of defence forces personnel this amount will include Military Service Pay as admissible. Fifty percent of the total amount so arrived at shall be the new pension. An alternative calculation will be carried out, which will be a multiple of 2.57 times of the current basic pension. The pensioner will get the higher of the two. Gratuity: Enhancement in the ceiling of gratuity from the existing ₹10 lakh to ₹20 lakh. The ceiling on gratuity may be raised by 25 percent whenever DA rises by 50 percent. Disability Pension for Armed Forces: The Commission is recommending reverting to a slab based system for disability element, instead of existing percentile based disability pension regime. Ex-gratia Lump sum Compensation to Next of Kin: The Commission is recommending the revision of rates of lump sum compensation for next of kin (NOK) in case of death arising in various circumstances relating to performance of duties, to be applied uniformly for the defence forces personnel and civilians including CAPF personnel. Martyr Status for CAPF Personnel: The Commission is of the view that in case of death in the line of duty, the force personnel of CAPFs should be accorded martyr status, at par with the defence forces personnel. New Pension System: The Commission received many grievances relating to NPS. It has recommended a number of steps to improve the functioning of NPS. It has also recommended establishment of a strong grievance redressal mechanism. Regulatory Bodies:  The Commission has recommended a consolidated pay package of ₹4,50,000 and ₹4,00,000 per month for Chairpersons and Members respectively of select Regulatory bodies. In case of retired government servants, their pension will not be deducted from their consolidated pay. The consolidated pay package will be raised by 25 percent as and when Dearness Allowance goes up by 50 percent. For Members of the remaining Regulatory bodies normal replacement pay has been recommended. Performance Related Pay: The Commission has recommended introduction of the Performance Related Pay (PRP) for all categories of Central Government employees, based on quality Results Framework Documents, reformed Annual Performance Appraisal Reports and some other broad Guidelines. The Commission has also recommended that the PRP should subsume the existing Bonus schemes. There are few recommendations of the Commission where there was no unanimity of view and these are as follows: The Edge: An edge is presently accordeded to the Indian Administrative Service (IAS) and the Indian Foreign Service (IFS) at three promotion stages from Senior Time Scale (STS), to the Junior Administrative Grade (JAG) and the NFSG.  is recommended by the Chairman, to be extended to the Indian Police Service (IPS) and Indian Forest Service (IFoS). Shri Vivek Rae, Member is of the view that financial edge is justified only for the IAS and IFS. Dr. Rathin Roy, Member is of the view that the financial edge accorded to the IAS and IFS should be removed. Empanelment: The Chairman and Dr. Rathin Roy, Member, recommend that All India Service officers and Central Services Group A officers who have completed 17 years of service should be eligible for empanelment under the Central Staffing Scheme and there should not be “two year edge”, vis-à-vis the IAS. Shri Vivek Rae, Member, has not agreed with this view and has recommended review of the Central Staffing Scheme guidelines. Non Functional Upgradation for Organised Group ‘A’ Services: The Chairman is of the view that NFU availed by all the organised Group `A’ Services should be allowed to continue and be extended to all officers in the CAPFs, Indian Coast Guard and the Defence forces. NFU should henceforth be based on the respective residency periods in the preceding substantive grade. Shri Vivek Rae, Member and Dr. Rathin Roy, Member, have favoured abolition of NFU at SAG and HAG level. Superannuation: Chairman and Dr. Rathin Roy, Member, recommend the age of superannuation for all CAPF personnel should be 60 years uniformly. Shri Vivek Rae, Member, has not agreed with this recommendation and has endorsed the stand of the Ministry of Home Affairs. The full report is available in the website, http://7cpc.india.gov.in. For authenticity here is the link http://pib.nic.in/newsite/erelease.aspx?relid=131719 For quick read, reproduced below - quelling all rumours.  Vijay Raheja 09810631945 ___________________________________________________ As per news reports 7th pay commission is going to submit its report on 20th November 2015 and 15 % average hike is recommended The Pay Commission, if it followed the methods adopted by previous pay commissions to compute the increase to be recommended for revision of pay and allowances of government servants, minimum 40% increase can be recommended. But According to the Medium-Term Expenditure Framework Statement tabled by Finance Minister Arun Jaitley in Parliament said “The salary outgo of central government employees will go up by 9.56 per cent to Rs 1,00,619 crore in current fiscal.The pace will increase further in 2016-17 at 15.79 per cent to Rs 1.16 lakh crore with the likely implementation of the 7th Pay Commission award” So there are two possibilities for calculating Fitment Formula 1. As per the Finance Minister Statement the increase will be 15 % 2. All the Federations demanded for 40 to 60 % hike, but minimum 30 % increase is expected. Accordingly The Fitment formula for the above two estimates is worked out below Present DA = 119% Expected DA from from January 2016 =6% Total Da =125 % DA has to be neutralized to arrive Revised Pay from 1.1.2016, if so Multiplication factor will be 2.25 If 30% increase is recommended- The Fitment formula = 2.25 + (2.25×30/100) = 2.92 Minimum Basic will be Rs.7000 x 2.92 = Rs.20440 If 15% increase is recommended- The Fitment formula = 2.25 + (2.25×15/100) = 2.58 Minimum Basic will be Rs.7000 X 2.58 = Rs.18060 Minimum Pay to be recommended according to the above estimates by 7th Pay commission will be either Rs.20000 or Rs.18000 However, we have to wait to know the exact increase recommended by 7th pay commission till the date of the report is made public. --------------------------------------------------- The Budget presented by the FM on 28th Feb 2015  is  gravely silent on fund allocations for the Seventh Pay Commission award, due for implementation in 2016.  The budgetary documents are stressing upon likely burden from the report of the 7th Pay Commission.  However the funds are allocated for Commission'ss establishment.  The extract of budgetry documents which are related to 7th CPC are mentioned below:- Speech of Finance Minister - Heading Fiscal Roadmap para 23:-February 28,  2015 Fiscal Roadmap 23. I want to underscore that my government still remains firm on achieving the medium term target of 3% of GDP.  But that journey has to take account of the need to increase public investment.  The total additional public investment over and above the RE is planned to be `1.25 lakh crore out of which `70,000 crore would be capital expenditure from budgetary outlays.  We also have to take into account the drastically  reduced fiscal space; uncertainties that implementation of GST will create; and the likely burden from the report of the 7th Pay Commission.  Rushing into, or insisting on, a pre-set time-table for fiscal consolidation pro-cyclically would, in my opinion, not be pro-growth.  With the economy improving, the pressure for accelerated fiscal consolidation too has decreased.  In these circumstances, I will complete the journey to a fiscal deficit of 3% in 3 years, rather than the two years envisaged previously.  Thus, for the next three years, my targets are: 3.9%, for 2015-16; 3.5% for 2016-17; and, 3.0% for 2017-18.  The additional fiscal space will go towards funding infrastructure investment. 12. However, it is pertinent to note that the resource base of the Centre will be constrained following the implementation of the FFC. With steep jump in the sharing pattern of tax revenues, the revenues of the States, which is surplus in most of the cases, will be further augmented on one side and the Centre will face resource crunch in one of the difficult phases of consolidation underway. While, the revenues are constrained in the FY 2015-16, it would continue over the medium term framework in FY 2016-17 and 2017-18. Moreover, the 7th Pay Commission impact may have to be absorbed in 2016-17. The phase of consolidation, extended by one year, will be also be spanning out in the period. Thus, in the medium term framework the fiscal position will continue to be stressed. However, with necessary corrections on the Plan side under the new paradigm of Centre-State fiscal relationship and reforms on the subsidies, with better targeting and policy initiatives, it is expected that over the medium framework much of the fiscal correction would have taken shape, leaving room for building up better fiscal management thereupon. The change is monumental; and needs dextrous manoeuvring in this initial phase. 42. The expenditure on pension payments of the Central Government includes both defence as well as civil pensions. Pension payment, in nominal terms was estimated at ` 74,076 crore in RE 2013-14 and at the year-end it was accounted at ` 74,896 crore. In BE 2014-15, pension payment in nominal terms was estimated at ` 81,983 crore. In RE 2014-15, it has been revised at ` 81,705 crore. The pension payment of Central Government for the past few years has been growing faster than the salary expenditure. The main reason for this is that there is an increase in number of pensioners due to higher retirements and increased life expectancy. In view of the likely impact of VII Pay Commission, Pension payment of the Government likely to be about 0.7 per cent of GDP in FY 2016-17 and FY 2017-18 respectively *** In document to study Medium Term Fiscal Policy Statement for further 2 years: Expenditure Management Commission: 37. While Government has managed to control the expenditure through rationalization in the fiscal consolidation phase, quality of expenditure remains an area that needs to be addressed. The ongoing fiscal consolidation has been successful in taming the fiscal deficit; however there is still imbalance in the public finance on the revenue side. As discussed in earlier section, concerted efforts are required to accomplish the target set for the revenue deficit and effective revenue deficit in the new FRBM regime. This entails structural changes in the Plan spending and definitive measures to contain Non-Plan spending within sustainable limits. Moreover, in the medium term, award of VII Pay Commission and XIV Finance Commission pose significant downside risk to Public Finance. Thus, time has come to look into the places where Government spends money and output achieved from it. Government will constitute an Expenditure Management Commission, which will look into various aspects of expenditure reforms to be undertaken by the Government. MEDIUM TERM FISCAL POLICY STATEMENT (c) Pensions 39. The expenditure on pension payments of the Central Government includes both defence as well as civil pensions. Pension payment, in nominal terms was estimated at ` 74,076 crore in RE 2013-14 and at the year end it was accounted at ` 74606 crore, marginally above the RE figure. In BE 2014-15, pension payment in nominal terms estimated at `81,983 crore. The pension payment of Central Government for the past few years has been growing faster than the salary expenditure. The main reason for this is that there is an increase in number of pensioners due to higher retirements and increased life expectancy. Accordingly, keeping past trend in view the Pension Expenditure of the Government has been projected to grow at 10.4 per cent in FY 2015-16. In view of the likely impact of VII Pay Commission, higher growth is assumed in FY 2016-17. Details of funds allocated for Establishment of 7th CPC:- (In crores of Rupees) Major Head Actual 2013-2014 Budget 2014-2015 Budget 2015-2016 Revised 2014-2015 Plan Non-Plan Total Plan Non-Plan Total Plan Non-Plan Total Plan Non-Plan Total Other Administrative Services 6. Seventh Central Pay Commission 2070 ... 0.22 0.22  ... 11.91 11.91 ... 10.76 10.76  ... 11.54  11.54 *   BUDGET 2015-16 WILL DECIDE 7TH CPC REPORT IMPLEMENTATION *  IESM had interaction with 7th CPC on 24th Sep 2014, report availble under IESM Sec BELOW. *     4,000-PAGE JOINT SERVICES MEMORANDUM (JSM) SUBMITTED BY THE THREE CHIEFS TO THE 7TH PAY COMMISSION.  *     Bharat Pension Samaj also had detailed discussion while presenting their memoranda to 7th CPC.    Details for 2 & 3 are available below  4,000-PAGE JOINT SERVICES MEMORANDUM (JSM) SUBMITTED BY THE THREE CHIEFS TO THE 7TH PAY COMMISSION  Parity with civil servants, tax-free risk allowance and attractive entry-level pay, are some of the demands jointly sought by the armed forces from the seventh central pay commission (CPC). The demands form a part of a 4,000-page Joint Service Memorandum (JSM) submitted by the three service chiefs to the CPC this week. Interestingly, One Rank One Pension(OROP) — a demand since 1982 — has been dropped as the forces “consider it approved” as announced by the government on the floor of Parliament.Considering “application of civilian pay structure to services despite differential cadre structure, rank structure and promotional prospects,” as the prime fault line, the JSM seeks extension of Non-Functional Upgradation (NFU) to armed forcespersonnel. The NFU, which has so far been applicable only to IAS officers and other class A services, entitles them to the pay scale of the highest promoted officer of their respective courses. “Thus, even if an officer is not promoted, he gets the pay of a higher grade by virtue of another officer of his batch reaching higher rank. The same is applicable to IPS, IFS and other such services. We have asked for extension of NFU to the armed forces,” an Army official said.While civil servants retire at 60, the retirement age of officers of the armed forces can vary with their rank. “Also, a major general equivalent picks up the rank after 32 years of service whereas a joint secretary reaches the pay scale in 18 years of service. We have sought “concordance of status” based on length of service and not rank,” the official said.Besides tax exemption from risk pay the recommendations also include an “edge in entry level pay to improve attractiveness of defence services” and “incentives for selection grade ranks.Headed by justice A K Mathur CPC will be submitting its recommendations to the government by January 2016.**BACK HOME**

 

Brief feedback on BPS Preliminary meeting with 7th CPC on 23rd July 2014

Bharat Pensioners Samaj

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Posted: 24 Jul 2014 12:20 AM PDT Friends, BPS and BCPC were the first Pensioners’ organizations to be called for preliminary meeting with 7thCPC on 23rd to discuss the reply to questionnaire, the Memorandum & the allied issue submitted by them. 0nly 45 minutes were given to each organization. S.C.Maheshwari G.S. BPS /Chairman BCPC had the opportunity to discuss the issues from both the Forums: Following issues were discussed & explained to the full satisfaction of the Chairman & the members of 7th CPC who were very receptive, patient & themselves actively participated in deliberations which ensued. At the end Chairman remarked that NCJCM Memorandum is very exhaustive, includes most of the issues raised today & that he will take it as a base for consideration. 1.New Pension Scheme: Response of commission was negative. Commission was apprised of the back ground, its failure in other countries & the fate of EPS 95.They were also informed that it will be acceptable if 50% of last drawn is ensured. 2.Reasonable ratio to be maintained between maximum & minimum salary & Pension and adoption & adoption of common multiplication factor for revision 3.Ratio between maximum & minimum paid to be 5:1 for Defense Personnel and re-employment of ex servicemen as well as raising status of defense civilian pensioners to ex servicemen. 4.Inclusion of full DA in emoluments for calculating Pension. There was a very lively discussion on the issue in which the entire penal of 7th CPC participated & cross examined Secy. Genl BPS. Finally they agreed to BPS point of view. 5.100% neutralization of inflation : It was explained to the Commission that 100% neutralization is illusionary and DA is not sufficient, as the very system of calculation is faulty & unrealistic, 6. Payment additional pension to start from the age of 65 years. Chairman agreed that age of 100 years for Pensioners was illusionary. 7. Parity in Pensions :It was explained to the commission that full parity exists for High Court Supreme Court Judges, Govt. has agreed to OROP in case of Defence pensioners & Sr Bureaucrats (S32 & above ) have achieved it through modified parity formula of 6th CPC but for others who too are citizens of same category & same country even the formula for parity given by 5th CPC & accepted by Govt. is not being honored. 8. Pension to BSNL pensioners. It was submitted that since they are governed by CCS(Pension) Rules 1972. They be treated at par with C.G.Pensioners for the purpose of revision of Pension, Chairman advised to submit separate Memorandum 9. Discrimination in medical facilities to pensioners of Postal department & merger of 33 Postal dispensaries with CGHS. 10. Medical facilities. To Pensioners following issues raised in BPS memorandum were discussed in detail & the Chairman was agreeable to BPS views. (i) “Health is not a luxury” and “not be the sole possession of a privileged few”. It is a Fundamental Right of all present & past Employees! To ensure hassle free health care facility to Pensioners/family pensioners, Smart Cards be issued irrespective of departments to all Pensioners and their Dependents for cashless medical facilities across the country. These smart cards should be valid in • all Govt. hospitals • all NABH accredited Multi Super 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 govt. • all CGHS,RELHS & ECHS empanelled hospitals across the country. <!--[if !supportLists]-->· <!--[endif]-->Medical attendants. For reimbursement of bills for treatment & for hospitalization . No referral should be insisted in case of medical emergencies. For the purpose of reference for hospitalization & reimbursement of expenditure thereon in other than emergency cases Doctors/Medical officers working in different Central/State Govt. department dispensaries/health units should be recognized as Authorized medical attendant. The enjoyment of the highest attainable standard of health is recognized as a fundamental right of all workers in terms of Article 21 read with Article 39for a, 41, 43, 48A and all related Articles as pronounced by the Supreme Court in Consumer Education and Research Centre & Others vsUnion of India (AIR 1995 Supreme Court 922) The Supreme court has held that the right to health to a worker is an integral facet 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 a worker while in service or post retirement is a fundamental right-to make life of a worker meaningful and purposeful with dignity of person. Thus health care is not only a welfare measure but is a Fundamental Right. We suggest that, all the pensioners, irrespective of pre-retiral class and status, be treated as same category of citizens and the same homogenous group. There should be no class or category based discrimination and all must be provided Health care services at par . (ii). Hospital Regulatory Authority: To ensure that the hospitals do not avoid providing reasonable care to smart card holders and other poor citizens, a Hospital Regulatory Authority should be created to bring all NABH-accredited hospitals and NABL-accredited diagnostic Labs under its constant monitoring of quality, rates for different procedures & timely bill payments by Govt. agencies and Insurance companies. CGHS rates may be revised keeping in mind the workability as per market conditions. (iii).Fixed Medical allowance (FMA): As is recorded in Para 5 of the minutes of Committee of Secretaries (COS) held on 15.04.2010 (Reference Cabinet Secretariat, Rashtrapati Bhavan No 502/2/3/2010-C.A.V Doc No. CD (C.A.V) 42/2010 Minutes of COS meeting dated 15.4.2010) which discussed enhancement of FMA. “CGHS card estimates for serving Personnel: Since estimates are not available separately for pensioners M/O Health & Family Welfare had assessed the total cost per card p.a. in 2007-2008 = Rs 16435 i.e. Rs.1369 per month for OPD”. Adding to it inflation, the figure today is well over Rs 2000/- PM. Ministry of Labour & Employment, Govt. of India vide its letter no. G-25012/2/2011-SSI dated 07.06.2013 has already enhanced FMA to Rs 2000/- PM for EPFO beneficiaries. Thus, to help elderly pensioners to look after their health, Adequate raise in FMA will encourage a good number of pensioners to opt out of OPD facility which will reduce overcrowding in hospitals. OPD through Insurance will cost much more to the Govt. As such the proposal for raising Fixed Medical allowance to Pensioners is fully justified and is financially viable. We suggest that FMA for all C.G. Pensioners be raised to at least Rs 2000/- PM without any distance restriction linking it to Dearness Relief for automatic further increase. We further suggest that FMA be exempted from INCOME TAX. Fixed Medical Allowance (FMA) is a compensatory allowance to reimburse the medical expenses. As Medical Reimbursement is not taxable, FMA should also be exempted from Income Tax. 11. DA /DR merger commission did not agree to discuss the issue as it is not covered byTOR 12.Interim relief Commission response did not appeared to be very positive on our stressing the issue they said they will look into. 13. 6thCPC anomalies. Chairman asked for submission of detailed list through supplementary memorandum. 14.Plight of those born on 1.1.1938/46: Commission said, they will look into. 15. Plight of those retiring on 30June Commission said, they will look into. 16. Restoration of Commutation in 12 years: commission said thy will look into the details provided. 17. Grievance redressed. Chairman was critical of the functioning of the system already existing & remarked “ you will not be benefited. Court is the only alternative” Friends, BPS has done its duty well, issues raised by us has received due attention from NCJCM as well as the 7th CPC. S.C.Maheshwari Secy Genl BPS

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  *** MEMORANDUM ON PENSION AND OTHER RETIREMENT BENEFITS - as submitted by BCPC to the 7th pay commission is brought to you for your information.  ****************************************************** 7th Pay Commission has initiated online Survey through survey.nic.in – Will be open until 15th June 2014
7th Pay Commission has started a survey calling for opinion and suggestions from all stake holders such as Associations, Groups, organisations and individuals concerned with 7th Pay Commission. The Questions are very same with the one mentioned in the 7th Pay Commission Questionnaire circulated to all stake holders manually.
The last Date for online reply to 7th CPC Survey has been fixed as 15th June till 17.00 hrs.
The online survey of 7th CPC will taken into consideration for the purpose of examination of Central Government Employees Pay Structure and allowances, Retirement Benefits of Central Government Pensioners and service conditions of employees.
Click here to reach 7th Pay Commission Online Survey
 

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