Prime Minister Manmohan Singh is set to clear the demands of the armed forces on the sixth pay commission.
Officers of the Lieutenant Colonel rank will now get Rs. 10000 more than the present salary per month.
As per the new provisions, the three star officers will be at par with Director Generals of Police.
It also makes provisions for retiring jawans to continue to get pension equivalent to 70 per cent of their the last pay the draw.
However, the demand for pay parity between military and civilian officers has been rejected.
A ministerial committee, headed by External Affairs Minister Pranab Mukherjee, was set up to look into the armed forces' grievance about pay anomalies. The committee, which also included Antony and Chidambaram, was set up by the Prime Minister on September 25 in the wake of deep resentment in the armed forces, who complained that there were anomalies in the sixth pay commission recommendations and that it had lowered the status of their officers.
(As reported by NDTV)
Monday, December 22, 2008
CPC HBA recommendation not implemented yet
The Economic downturn seems to be delaying the announcement of a new home loan policy for Central Government employees as recommended by the Sixth Central Pay Commission (CPC).
Known as the house building assistance (HBA), it’s a key interest-bearing advance given by the government to its employees to construct/acquire house/flats of their own. The HBA is given to all permanent employees, members of All India Services (IAS, IPS & IFS) deputed to the Central government, public sector undertakings (PSUs) under control of the Centre, international organisations, autonomous bodies etc. The advance is to assist acquiring a plot and constructing a house thereon, building a new house on a plot already owned singly or jointly with spouse, enlarging living accommodation in a house, purchase of a ready built house/flat etc.
According to existing rules, the cost of the house (excluding cost of land) should not exceed 134 times the basic pay (and dearness pay taken together) subject to a maximum of Rs 18 lakh and a minimum of Rs 7.5 lakh. Although this advance is interest bearing, it has an inherent subsidy since interest is has to be paid only after the principal has been repaid and simple interest is chargeable on the advance. The rates of interest, therefore, are somewhat lower than existing market rates.
The Sixth Central Pay Commission in its report said: “It is desirable to provide only for the element of interest subsidy and make available various interest bearing advances to government employees through arrangements with public sector banks. This will not only give the government employee the freedom to approach the specified bank for a loan but would also simplify the existing procedures saving a lot of administrative work which is presently being done in government offices for grant of loans and servicing thereof.” The CPC recommended the government should enter into an agreement with leading PSU banks to extend this facility at pre-determined competitive rates to its employees. The employee shall take the loans/advances directly from the bank with the approval of the sanctioning authority in the government and repay installments directly to the bank.
The Sixth CPC also said: “The eligibility for taking the advances should also be removed because the repaying capacity would, in any case, be consid ered by the concerned bank at the time of pro cessing the loan application. This will also extend to the ceiling of Rs 18 lakh presently prescribed on the cost of house for pur poses of house building advance. Therefore, this ceiling should also be removed.” But this policy has not been implemented till date. The Ministry of Finance in a notification dated October 24 said: “The implementation of the recommenda tions of the Sixth Central Pay Commission relating to interest bearing advances granted to government employees is under consideration of the government. Meanwhile, pending finalisation of the new arrangement, the existing provisions for interest-bearing advances to purchase motor car, motorcycle, scooter, moped and personal computer would continue to be in operation.” But it was silent on the HBA.
(Published in Hindustant Times, Delhi on 22/12/2008)
Known as the house building assistance (HBA), it’s a key interest-bearing advance given by the government to its employees to construct/acquire house/flats of their own. The HBA is given to all permanent employees, members of All India Services (IAS, IPS & IFS) deputed to the Central government, public sector undertakings (PSUs) under control of the Centre, international organisations, autonomous bodies etc. The advance is to assist acquiring a plot and constructing a house thereon, building a new house on a plot already owned singly or jointly with spouse, enlarging living accommodation in a house, purchase of a ready built house/flat etc.
According to existing rules, the cost of the house (excluding cost of land) should not exceed 134 times the basic pay (and dearness pay taken together) subject to a maximum of Rs 18 lakh and a minimum of Rs 7.5 lakh. Although this advance is interest bearing, it has an inherent subsidy since interest is has to be paid only after the principal has been repaid and simple interest is chargeable on the advance. The rates of interest, therefore, are somewhat lower than existing market rates.
The Sixth Central Pay Commission in its report said: “It is desirable to provide only for the element of interest subsidy and make available various interest bearing advances to government employees through arrangements with public sector banks. This will not only give the government employee the freedom to approach the specified bank for a loan but would also simplify the existing procedures saving a lot of administrative work which is presently being done in government offices for grant of loans and servicing thereof.” The CPC recommended the government should enter into an agreement with leading PSU banks to extend this facility at pre-determined competitive rates to its employees. The employee shall take the loans/advances directly from the bank with the approval of the sanctioning authority in the government and repay installments directly to the bank.
The Sixth CPC also said: “The eligibility for taking the advances should also be removed because the repaying capacity would, in any case, be consid ered by the concerned bank at the time of pro cessing the loan application. This will also extend to the ceiling of Rs 18 lakh presently prescribed on the cost of house for pur poses of house building advance. Therefore, this ceiling should also be removed.” But this policy has not been implemented till date. The Ministry of Finance in a notification dated October 24 said: “The implementation of the recommenda tions of the Sixth Central Pay Commission relating to interest bearing advances granted to government employees is under consideration of the government. Meanwhile, pending finalisation of the new arrangement, the existing provisions for interest-bearing advances to purchase motor car, motorcycle, scooter, moped and personal computer would continue to be in operation.” But it was silent on the HBA.
(Published in Hindustant Times, Delhi on 22/12/2008)
Wednesday, November 12, 2008
Revenue Officials agitating over 'Raw Deal'
(Times of India, New Delhi Edition 12/11/08)
At a time when the government is facing an economic downslide with lower or negative tax collection, it is facing serious unrest in the ranks of departments assigned the job of mopping up resources with thousands of customs, central excise and income tax officials being up in arms against anomalies in their pay scales and bleak promotional avenues.
Thousands of customs officials struck work on Tuesday and took to the streets against the delay in their promotions, in what can set back government’s already difficult task to realise the revenue target. Customs and central excise officials from across the country gathered at Jantar Mantar in the Capital on Tuesday, to march up to barricades raised at Parliament Street police station.
The protest comes even as income tax officials, another revenue gathering arm, have already resorted to a ‘go slow’ to insist on removal of pay anomalies and for better prospects of promotion
There has been no official announcement yet. But officials of the income tax department, sources say, have been dragging their feet on the surveys that are crucial for detecting tax evasions and tax collection. Sources said all field formations of income tax have stopped sending Central Action Plan (CAP) dossiers since August to the Central Board of Direct Taxes (CBDT).
The CAP is a vital report generated on a monthly basis that gives a summary of scrutiny assessments, demands raised and collected, arrears collection and manpower deployment, besides helping in collection of data for micromanagement of the economy.
Sources said revenue secretary P V Bhide has called a meeting of all 18 chief commissioners of I-T at North Block on Wednesday to deliberate on the slowdown in the tax collection. With a few CBDT members having already raised the issue of discontentment in the rank and file over the pay anomalies and its impact on the tax mop up, the revenue department boss is likely to address the matter.
The discontentment over the ‘alleged’ raw deal from the 6th pay commission is not only restricted to the IRS cadre officers, but spread even to the ranks of inspectors, superintendents and promotee assistant commissioners who feel they have been ignored. The lower rungs feel discriminated even from their top bosses in the Central Board of Excise and Customs (CBEC) and CBDT.
Ravi Malik, an office-bearer of the All-India Association of Central Excise Officers which organised the march, alleged that the higher-ups in the CBEC had deliberately delayed promotions for superintendents and others eligible to be promoted in Group A. “Even when promotions are granted, they are in the Junior Group A level and many of those promoted remain without a posting for a long time,” he said.
At a time when the government is facing an economic downslide with lower or negative tax collection, it is facing serious unrest in the ranks of departments assigned the job of mopping up resources with thousands of customs, central excise and income tax officials being up in arms against anomalies in their pay scales and bleak promotional avenues.
Thousands of customs officials struck work on Tuesday and took to the streets against the delay in their promotions, in what can set back government’s already difficult task to realise the revenue target. Customs and central excise officials from across the country gathered at Jantar Mantar in the Capital on Tuesday, to march up to barricades raised at Parliament Street police station.
The protest comes even as income tax officials, another revenue gathering arm, have already resorted to a ‘go slow’ to insist on removal of pay anomalies and for better prospects of promotion
There has been no official announcement yet. But officials of the income tax department, sources say, have been dragging their feet on the surveys that are crucial for detecting tax evasions and tax collection. Sources said all field formations of income tax have stopped sending Central Action Plan (CAP) dossiers since August to the Central Board of Direct Taxes (CBDT).
The CAP is a vital report generated on a monthly basis that gives a summary of scrutiny assessments, demands raised and collected, arrears collection and manpower deployment, besides helping in collection of data for micromanagement of the economy.
Sources said revenue secretary P V Bhide has called a meeting of all 18 chief commissioners of I-T at North Block on Wednesday to deliberate on the slowdown in the tax collection. With a few CBDT members having already raised the issue of discontentment in the rank and file over the pay anomalies and its impact on the tax mop up, the revenue department boss is likely to address the matter.
The discontentment over the ‘alleged’ raw deal from the 6th pay commission is not only restricted to the IRS cadre officers, but spread even to the ranks of inspectors, superintendents and promotee assistant commissioners who feel they have been ignored. The lower rungs feel discriminated even from their top bosses in the Central Board of Excise and Customs (CBEC) and CBDT.
Ravi Malik, an office-bearer of the All-India Association of Central Excise Officers which organised the march, alleged that the higher-ups in the CBEC had deliberately delayed promotions for superintendents and others eligible to be promoted in Group A. “Even when promotions are granted, they are in the Junior Group A level and many of those promoted remain without a posting for a long time,” he said.
Monday, September 29, 2008
Babus' getting first 6th CPC salary today
Babus' in Delhi are today going to get their first increased salary after implementation of Sixth Pay Commission recommendations. Most of the detpartments have made fixation as per guidelines provided by the Ministry of Personnel. Babus' are laughing all the way to the bank.
As festivial season is near, Corporate sector is eying this increased salary and arears that Babus' are going to get.
As festivial season is near, Corporate sector is eying this increased salary and arears that Babus' are going to get.
Saturday, September 27, 2008
Govt. Setup committee for Armed Forces
The government has finally responded to Army's continued displeasure over the pay hike.
The decision was taken after PM was consulted in the US on the issue.
All pending issues of Army on pay hikes will be addressed and resolved latest by October end.
All service headquarters - Army, Navy and Air Force - will issue notification on Monday to hand out the revised payscale according to the Sixth Pay Commission.
The proposed committee will look into the grievances of the Armed Forces related to the remuneration being offered to them in the Sixth Pay Commission.It has decided to form 3-member committee headed by External Affairs Minister Pranab Mukherjee. The committee will also have Defence Minister AK Anthony and Finance Minister P Chidambaram as its members.
The decision was taken after PM was consulted in the US on the issue.
All pending issues of Army on pay hikes will be addressed and resolved latest by October end.
All service headquarters - Army, Navy and Air Force - will issue notification on Monday to hand out the revised payscale according to the Sixth Pay Commission.
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