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================ Blog maintained by : P. Radhamohan Nair, Private Secretary to Post Master General, (Retired) Northern Region, Calicut, Kerala Circle=================

Tuesday, April 25, 2017

7th Pay Commission – Final report on allowances in next few days, maximum HRA likely to be Rs 60,000

Post 7th Pay Commission recommendations’ implementation, the new basic pay is Rs 2.5 lakh, for which the HRA would be Rs 60,000, meaning a hike of 122 perce
New Delhi: The Narendra Modi government is likely to bring some good news for over 47 lakh central government employees and 53 lakh pensioners by making a formal announcement on the revised structure for allowances under the Seventh Pay Commission in next few days.
As per media reports, the committee on allowances will submit its final report on Thursday (April 27), when the Finance Minister Arun Jaitley returns to the country after his visit to US and Russia.
The allowances form a sizeable amount of the salary drawn by a government employee.

The committee on allowances headed by Finance Secretary Ashok Lavasa that was set up to review the recommendations of the Seventh Pay Commission is understood to have finalised its report.
The 7th Pay Commission had earlier proposed the rate of House Rent Allowance (HRA) at 24 percent, 16 percent and 8 percent of the Basic Pay for Class X, Y and Z cities respectively.
The Commission had also recommended that the rate of HRA will be revised to 27 percent, 18 percent and 9 percent when DA crosses 50 percent, and further revised to 30 percent, 20 percent and 10 percent when DA crosses 100 percent.
The existing rates of HRA for Class X, Y and Z cities and towns are 30 percent, 20 percent and 10 percent of Basic pay (pay in the pay band plus grade pay). 
Population of City
           DA above
Present Proposed 50% 100%
Above 50 lakh (Class X) 30% 24% 27% 30%
5 lakh to 50 lakh (Class Y) 20% 16% 18% 20%
Below 5 lakh (Class Z) 10% 8% 9% 10%
Assumingly, if the Committee accepts the bare recommendations of A K Mathur-led 7th Pay Commission then the HRA component of central government employees will increase ranging between 106 percent and 122 percent.
Take, for instance, a central government employee at the very bottom of the pay scale, where the basic pay (pay of pay band + grade pay) is now Rs 7,000, would currently be entitled to an HRA of Rs 2,100 in a Class X city. As per 7th Pay Commission, the new entry level pay at this level is Rs 18,000 per month against which the new HRA for a Class X city would be Rs 4,320 per month, that is 106 percent more than the existing level.
Similarly, at the highest level of the pay scale, the Cabinet Secretary and officers of the same rank have a basic pay of Rs 90,000, which means they are entitled to current HRA of Rs 27,000 in Class X towns. After the revised pay scale, the new basic pay is Rs 2.5 lakh, for which the HRA would be Rs 60,000, meaning a hike of 122 percent. 
Existing Basic Pay (6th CPC)  HRA (6th CPC) Proposed Entry Pay as per 7th CPC Proposed HRA as per 7th CPC
Class X Class  Y Class Z
Class X Class Y Class Z
7000 2100 1400 700 18000 4320 2880 1440
13500 4050 2700 1350 35400 8496 5664 2832
21000 6300 4200 2100 56100 13464 8976 4488
46100 13830 9220 4610 118500 28440 18960 9480
90000 27000 18000 9000 250000 60000 40000 20000
 As far as Transport Allowance (TA) is concerned, Pay Commission had proposed no increase.

Indefinite Strike call given by All India Gramin Dak Sevaks Union (AIGDSU) w.e.f. 25.04.2017 for implementation of recommendations of GDS Committee – Deferment of Strike

No. 08-09/2017-SR
Government of India
Ministry of Communication
Department of Posts
(SR Section)

                          Dak Bhavan, New Delhi.                                                                       
                                                                       Dated:   24th April, 2017.


All Heads of Postal Circles.

Subject: Indefinite Strike call given by All India Gramin Dak Sevaks Union (AIGDSU) w.e.f. 25.04.2017 for implementation of recommendations of GDS Committee – Deferment of Strike

Respected Sir/Madam,

In continuation of this Department’s letter of even number dated 19th April, 2017,   I am directed to inform that a meeting was held by the Senior Officers of the Department with the General Secretary of the All India Gramin Dak Sevaks Union (AIGDSU) and Union representatives.  In view of the discussions held therein,   AIGDSU has decided to defer the proposed indefinite strike   w.e.f. 25-04-2017.

2.       The Department will therefore not be operating the control Room w.e.f.  25-04-2017. This may please be given wide circulation at all levels. 

                                                                                            Yours faithfully,

Encl: As stated above                                                                                    sd/-
( Swwaruppa Saraan)
Additional Director General (SR & Legal)
Copy for information to:

1.        Sr.PPS to Secretary (Posts)
2.        PPSs to All Members of Postal Service Board.

Option for pay fixation in the 7th CPC Pay Matrix Level to the Railway employees

New Delhi, dated: 31-03-2017
The General Secretary
National Federation of Indian Railwaymen
3, Chelmsford Road, New Delhi – 56.
Sub: Option for pay fixation in the 7th CPC Pay Matrix Level to the Railway employees promoted during the period 01.01.2016 to 31.12.2016.
Please refer to your letter No.IV/NFIR/7th CPC (Imp)/2016/R.B./Part I dated 06.01.2017, wherein it has been demanded that opportunity for revision of option for those staff promoted after the date of notification of Rs(RP) Rules, 2016 (i.e 28.07.2016) and also for those staff promoted between 01.01.2016 and 31.12.2016 to switch over to 7th CPC Pay Matrix from the date subsequent to date of Railway Board’s notification be provided.
2. In this context it is stated that option for switching over to 7th CPC has been circulated and clearly specified under Rule 5 of Rs(RP) Rules, 2016. Further, instructions for exercising the revised option in respect of officials who had got promotion/financial upgradation and had already exercised the option between the date of effect of recommendation (01.01.2016) and date of promulgation of RS(RP) Rules, 2016 (28.07.2016) has also been issued vide Board’s letter RBE no.124/2016 dated 20.10.2016. It has already been notified under Rule 5 of RS(RP) Rules and further in the option form circulated along with RS(RP) Rules that the employee can elect to continue on Pay Band and Grade Pay of his substantive/officiating post until the date of his next increment/date of any subsequent incrment raising he pay to particular limit or from the date of his promotion/upgradation.
3. Form the above, it can be appreciated that employee can continue such time, till promotion or vacation of the post and no cut off date (like 31.12.2016) mentioned in the reference) has been specified. However, the option exercise is final and one time dispensation has been extended to those promoted between 01.01.2016 and 28.07.2016 can not be extended in other cases. Decision on permitting further revision of option once taken can not be taken unilaterally by Ministry of Railways alone and needs to be taken by Ministry of finance as it is a general policy matter pertaining to all Government employees.
For Secretary,
Railway Board
Source: NFIR

Ms.Suchita Anant Joshi (IPOs - 2002 ) Director, PTC Vadodara will hold additional charge of DPS (HQ) Gujarat Circle