Welcome to the official blog of AIPSA. This blog is meant for use by members of All India Postal Stenographers' Association

Blog maintained by : P. R. Nair, Private Secretary to Post Master General, (Retired) Northern Region, Calicut, Kerala Circle (email-parambilmohan@gmail.com)

Friday, December 29, 2017

Interest Calculator Lite for Interest Rates w.e.f. 01.01.2018

POSB - Scheme and Interest Rates from 01.01.2018 to 31.03.2018

POSB - Scheme and Interest Rates from 01.01.2018 to 31.03.2018

PPF Accounts to be closed, interest lowered to 4 per cent if you become an NRI - Gazette Notification

Non Resident Indians are continually looking for investment opportunities in India. A few weeks ago, we blogged about “NRIs for real estate investment in India – Know the simple Rules” The Government of Indian recently announced new rules under which select small savings schemes like Public Provident Fund (PPF) and National Saving Certificates (NSC)will not earn you the same rate if you become non-resident Indians (NRI).
A summary of changes to rules and what it means to NRIs:
NRIs will no longer be permitted invest in small savings schemes like NSC and PPF. In the past they were allowed to retain their PPF account if they had opened it before becoming an NRI.

PPF and NSC currently fetch an interest rate higher than bank savings rates. Some of it is subsidized by the Government of India. (Current rate of PPF is 7.8 per cent while Post Office savings account get 4 %)

PPF accounts would be deemed to be closed prior to maturity in case the holder becomes a non-resident Indian (NRI). The investor will be then paid interest at the rate applicable to Post Office savings accounts till the date the PPF account is closed.

The Indian government notification on PPF dated October 3 states,
“Provided that if a resident who opened an account under this scheme, subsequently becomes a non-resident during the currency of the maturity period, the account shall be deemed to be closed with effect from the day he becomes a non-resident and interest with effect from that date shall be paid at the rate applicable to the Post Office Saving Account up to the last day of the month preceding the month in which the account is actually closed.”

The finance ministry notification adds:
“Provided that if a resident Indian having purchased a certificate, subsequently becomes Non-Resident during the currency of the maturity period, the certificate shall be encashed or deemed to be encashed on the day he becomes a non-Resident, and interest shall be paid at the rate applicable to the Post Office Savings Account, from time to time, from such day and up to the last day of the month preceding the month in which it is actually encashed.”

GDS Committee Recommendations will be implemented soon – Minister replied in Parliament on 27.12.2017

Minister of State (IC) for Communications & Railways, Shri Manoj Sinha, in a written reply to a question on GDS Kamlesh Chandra Committee Report, in Lok Sabha on 27.12.2017 informed that a One Man Committee has been constituted to look into the salary structure, other service matters and problems of Gramin Dak Sevaks under the Chairmanship of Shri Kamlesh Chandra.
The Committee has submitted its report to the Government. The salient features are given in the Annexure.
The recommendations of the Committee have been considered by the Department. After getting the necessary approvals from all concerned, the recommendation of the Committee will be implemented.

Annexure : Salient features  of the One Man Committee Report headed by Shri Kamlesh Chandra
The old system of payment of Time Related Continuity Allowance (TRCA) is dispensed with and replaced with a new wage payment system. Under the new wage payment system, 11 TRCA slabs are subsumed into 3 Wage Scales with two Levels each for BPMs and for other than BPMs. One wage scale would be common for both the categories of GDSs.
The minimum working hours of GDS Post Offices and GDSs are increased to 4 hours from 3 hours.
The new working hours for GDS Post Offices will be 4 hours and 5 hours only.
The Level 1 GDS Post Offices / GDSs will have 4 hours as working hours and Level – 2 will have 5 hours as working hours.
The Point System for assessment of workload of BPMs has been abolished.
The new wage payment system is linked to revenue generation of GDS Post Offices. Under the new system, there will be no increase in wages of BPMs from Level -1 to Level -2 on the basis of workload but the same will be increased based on achievement of prescribed revenue norms which is fixed at 100% for normal areas and 50% for special areas.
The GDS Post Offices not achieving the prescribed revenue norm within the given working hours will have to open GDS Post Offices for minimum of additional 30 minutes beyond the prescribed working hours.
The GDS BPMs will be paid Revenue Linked Allowance @10% beyond level-2 wage scale if they will be successful in achieving revenue beyond prescribed norms
The GDS Post Offices has been categorized into A, B; C and D categories based on the revenue generation norms. The GDS Post Office in A category will achieve 100% revenue norm. The Committee has recommended a set of actions for each category of GDS Post Offices.
The six approved categories of GDSs are subsumed into two categories only. One category will be Branch Post Master and all other 5 categories of GDSs are subsumed into one Multi Tasking Category.
The GDSs working in the GDS Post Offices will be known as Assistant Branch Post Master (ABPMs) and those working in the Departmental Post Offices will be known as Dak Sevak (DS).
The minimum wage has been increased to Rs. 10000/- per month and maximum pay to Rs. 35480/- per month.
The rate of annual increase is recommended as 3%.
A Composite Allowance comprising of support for hiring accommodation for GDS Post Offices as well as mandatory residence, office maintenance, mobile and electricity usage charges etc. has been introduced for the first time.
Children Education Allowance @Rs. 6000/- per child per annum has been introduced for GDSs.
Risk & Hardship Allowance @Rs. 500/- per month for GDS working in the special areas has also been introduced.
A Financial up-gradation has been introduced at 12 years, 24 years and 36 years of services in form of two advance additional annual increases.
The Ceiling of ex-gratia gratuity has been increased from Rs. 60,000 to Rs. 5,00,000
The GDS Contribution for Service Discharge Benefit Scheme (SDBS) should be enhanced maximum up to 10% and minimum up to 3% of the basic wage per month, whereas the Department should contribute a fixed contribution of 3% of the basic wage of the GDSs.
The coverage of GDS Group Insurance Scheme has been enhanced from Rs. 50000/- to Rs. 5,00,000/
The contribution of Department in Circle Welfare Fund (CWF) has been increased from Rs. 100/ per annum to Rs. 300/ per annum.
The scope of CWF is extended to cover immediate family members such as spouse; daughters, sons and dependent daughters in law in the scheme.
The Committee also recommended 10% hike in the prescribed limits of financial grants and assistances in the Circle Welfare Funds.
The Committee has recommended addition of Rs. 10,000/ for purchase of Tablet / Mobile from the Circle Welfare in the head “Financial Assistance of Fund by way of loans with lower rate of interest (5%)”.
Provision of 26 weeks of Maternity Leave for women GDS has been recommended.
The wages for the entire period of Maternity Leave is recommended to be paid from salary head from where wages of GDSs are paid.
The Committee has also recommended one week of paternity leave.
Leave accumulation and encashment facility up to 180 days has been introduced.
Online system of engagement has been recommended.
Alternate livelihood condition for engagement of GDSs has been relaxed.
Voluntary Discharge scheme has been recommended.
The Discharge age has been retained at 65 years.
The Limited Transfer Facility has been relaxed from 1 time to 3 times for male GDSs. There will be no restriction on number of chances for transfer of women GDSs. The powers for transfer has been delegated to the concerned Divisional head.
The ex-gratia payment during put off period should be revised to 35% from 25% of the wage and DA drawn immediately before put off.
The Committee has recommended preferring transfer before put off duty.

Thursday, December 28, 2017

Revision of interest rates for Small Savings Schemes from 01.01.2018

Revision of interest rates for Small Savings Schemes from 01.01.2018

Govt cuts small savings interest rate by 0.2 percentage points

Small savings schemes public provident fund (PPF) and national savings certificate (NSC) will now have an interest rate of 7.6% while kisan vikas patra (KVP) will yield 7.3%
New Delhi: The government on Wednesday cut the interest rate on small savings schemes, including public provident fund (PPF), national savings certificate (NSC) and Kisan Vikas Patra, by 0.2 percentage points for the January-March quarter, a move that will prompt banks to lower deposit rates.
Interest rates in the five-year Senior Citizens Savings Scheme, however, has been retained at 8.3%. The interest rate on the senior citizens’ scheme is paid quarterly.
A finance ministry notification said interest rates have been reduced across several small savings schemes but that for savings deposits has been retained at 4% annually.
Since April 2016, interest rates of all small saving schemes have been recalibrated on a quarterly basis, but there was no change in small savings interest rates in the October-December quarter.
As per the finance ministry notification, PPF and NSC will fetch a lower annual rate of 7.6% while KVP will yield 7.3% and mature in 11 months. The girl child savings scheme Sukanya Samriddhi Account will offer 8.1 from existing 8.3% annually. Term deposits of 1-5 years will fetch a lower interest rate of 6.6-7.4%, to be paid quarterly, while the five-year recurring deposit is pegged at 6.9%.
“On the basis of the decision of the government, interest rates for small savings schemes are to be notified on a quarterly basis,” the finance ministry said, adding that rates of small savings schemes would be linked to government bond yields.



Clarification on family pension admissible to NPS employees on their death attributable to Govt. service – CPAO OM dated 11.12.2017

Md. Shahid Kamal Ansri, ICAS
Assistant Controller of Accounts

Government of India
Ministry of Finance, Department of Expenditure
Central Pension Accounting Office
Trikoot-II, Bhikaji Cama Place, New Delhi-110066
Tel.:011-26103074, Fax: 011-26167326
dated 11th December 2017
Subject: Clarification on family pension admissible to NPS employees on their death attributable to Govt. service – regarding.

I am to enclose herewith the OM No. 1/5/2017-P&PW (F) dt. 12/09/2017 regarding clarification on family pension admissible to NPS employees on their death attributable to Govt. service for information and further necessary action please.
Encl: As above
(Md. Shahid Kamal Ansari)
(Asstt. Controller of Accounts)
Ph. No. 011-26103074

All Pr CCAs/CCAs/Cas/AGs and Administrators of UTs (As per list)
No. 1/5/2017-P&PW (F)
Ministry of Personnel Public Grievances and Pensions
Department of Pension and Pensioners Welfare
3rd Floor, Lok Nayak Bhawan
Khan Market, New Delhi-110 003
Dated the 12th September, 2017
Subject: Clarification on family pension admissible to NPS employees on their death attributable to Govt. service – regarding.
The undersigned is directed to refer to CPAO d.o. letter No. CPAO/NPS CRPF-BSF/2017-18/89 dated the 24th July 2017 on the above cited subject. As per this Department’s OM No. 38/41/2006-P&PW(A) dated 5 th May 2009, Government servants covered under National Pension System (NPS) on their death, attributable to Government service are provisionally entitled for benefits under CCS(EOP) Rules 1939. 

2. The benefit of family pension under CCS (Pension) Rules and CCS(EOP) Rules has been extended to the employees under NPS, vide OM dated 05.05.2009. On death of an NPS employee, the family is, however not paid the benefit from NPS accumulations. The entitlements of the family on death of an NPS employee, are at par with the employee borne on a pensionable establishment, both under CCS(Pension) Rules and CCS(EOP) Rules. Therefore, in case of death of an NPS employee, the family should be entitled to family pension under EOP Rules at the rate of 60% of the basic pay and not at the rate of 40% of basic pay applicable on death of holder of a non-pensionable post. 
(Sujasha Choudhury)
Tel: 24635979
Central Pension Accounting Office, 
(Shri Subhash Chandra, Controller of Accounts) 
Trikoot-II, Bhikaji Cama Place, 
New Delhi – 110065.

Source: http://confederationhq.blogspot.in/2017/12/blog-post_24.html

Important Supreme court Judgement – MACP should be given effect from 01.01.2006

Union of India and Ors.
—– Appellant(s)
Balbir Singh Turn & Anr.
—– Respondent(s)
DIARY NO.4546 OF 2017
DIARY NO.11491 OF 2017
DIARY NO.11871 OF 2017
DIARY NO.13664 OF 2017
DIARY NO.13665 OF 2017
DIARY NO.13666 OF 2017
DIARY NO.18186 OF 2017
DIARY NO.18048 OF 2017
DIARY NO.18045 OF 2017
DIARY NO.18185 OF 2017
DIARY NO.22593 OF 2017
DIARY NO.30116 OF 2017
DIARY NO.23164 OF 2017
DIARY NO.11493 OF 2017
DIARY NO.28798 OF 2017
Deepak Gupta, J. 
1. Applications for condonation of delay in filing and refiling the appeals are allowed.
2. This bunch of appeals is being disposed of by a common judgment since similar questions of law are involved.
3. The 6th Central Pay Commission was set up by the Government of India to make recommendations in matters relating to emoluments, allowances and conditions of service amongst other things. The Pay Commission also made recommendation with regard to armed forces personnel. On 30th August,2008, the Central Government resolved by a resolution of that date to accept the recommendation of the 6th Central Pay Commission (CPC for short) with regard to the personnel Below officer Rank (PBOR) subject to certain modifications clause (i) of the Resolution reads as follows:-
“(i) Implementation of the revised pay structure of pay bands and grade pay, as well as pension, with effect from 01.01.2006 and revised rates of allowances (except Dearness Allowance/Relief) with effect from 01.09.2008”.
clause 9 of the Resolution reads as follows:-
“(ix) Grant of 3 ACP up-gradation after 8,16 and 24 years of service of PBORs;”
4. Under the recommendations made by the 5th CPC there was a provision for Assured Career Progression (ACP). Vide this scheme, if an employee was not promoted he was entitled to get the next higher scale of pay after completion of 12/24 years of service. The 6th CPC recommended the grant of benefit of ACP after 10 and 20 years of service. The Union of India, however decided to grant 3 ACP upgradations, after 8, 16 and 24 years of service to PBORs, as per Clause (ix) extracted above. However, it would be pertinent to mention that the 6th CPC did away with the concept of pay scales and reduced the large number of pay scales into 4 pay bands and within the pay bands there was a separate grade pay attached to a post.
5. For the purpose of this judgment we are dealing with the facts of civil appeal diary No.3744 of 2016. It would be pertinent to mention that all the petitioners before the Armed Forces Tribunal (AFT for short) who are respondents before us are persons below officer rank. The respondents in this case retired after 01.01.2006 but prior to 31.08.2008. They claim that the benefit of the Modified Assured Career progression (MACP for short) was denied to them on the ground that the MACP was made applicable only with effect from 01.09.2008. The respondents approached the AFT praying that they are entitled to the benefit of MACP w.e.f 01.01.2006, i.e., the date from which the recommendation of the 6th CPC with regard to pay and benefits were made applicable. The stand of the Union of India was that the MACP was applicable only w.e.f. 01.09.2008 and, therefore, the respondents who had retired prior to the said date were not entitled to the benefit of the MACP. The AFT vide the impugned order dated 21.05.2014 held that the benefit of ACP granted to an employee is part of the pay structure which not only affects his pay but also his pension and, therefore, held that the ACP is not an allowance but a part of pay and, therefore, in terms of Clause (i) of the Government Resolution the MACP was payable w.e.f. 01.01.2006.
6. The question that arises for decision is whether the benefit of MACP is applicable from 01.01.2006 or from 01.09.2008.
7. The answer to this question will lie in the interpretation given to the Government Resolution, relevant portion of which has been quoted hereinabove. A bare perusal of Clause(i) of the Resolution clearly indicates that the Central Government decided to implement the revised pay structure of pay bands and grade pay, as well as pension with effect from 01.01.2006. The second part of the Clause lays down that all allowances except the Dearness Allowance/relief will be effective from 01.09.2008. The AFT held, and in our opinion rightly so, that the benefit of MACP is part of the pay structure and will affect the grade pay of the employees and, therefore, it cannot be said that it is a part of allowances. The benefit of MACP if given to the respondents would affect their pension also.
8. We may also point out that along with this Resolution there is Annexure-I. Part-A of Annexure-I deals with the pay structure, grade pay, pay bands etc., and Item 10 reads as follows :-
Assured Career Progression Scheme for PBORs.

The Commission recommends that the time bound promotion scheme in case of PBORs shall allow two financial upgradations on completion of 10 and 20 years of service as at present. The financial upgradations under the scheme shall allow benefit of pay fixation equal to one increment along with the higher grade pay. As regards the other suggestions relating to residency period for promotion of PBORs Ministry of Defence may set up an Inter-Services Committee to consider the matter after the revised scheme of running bands is implemented (Para 2.3.34)

Three ACP upgradation after 8, 16 and 24 years of service has been approved. The upgradation will take place only in the hierarchy of Grade Pays, which need not necessarily be the hierarchy in that particular cadre.
Part-B of Annexure-I deals with allowances, concessions & benefits and Conditions of Service of Defence Forces Personnel. It is apparent that the Government itself by placing MACP in Part-A of Annexure-I was considering it to be the part of the pay structure.
9.The MACP Scheme was initially notified vide Special Army Instructions dated 11.10.2008. The Scheme was called the Modified Assured Career Progression Scheme for Personnel Below Officer Rank in the Indian Army. After the Resolution was passed by the Central Government on 30.08.2008 Special Army Instructions were issued on 11.10.2008 dealing with revision of pay structure. As far as ACP is concerned Para 15 of the said letter reads as follows:-
“15. Assured Career Progression. In pursuance with the Government Resolution of Assured Career Progression (ACP), a directly recruited PBOR as a Sepoy, Havildar or JCO will be entitled to minimum three financial upgradations after 8, 16 and 24 years of service. At the time of each financial upgradation under ACP, the PBOR would get an additional increment and next higher grade pay in hierarchy.
xx xx xx”
Thereafter, another letter was issued by the Adjutant General Branch on 03.08.2009. Relevant portion of which reads as follows:-
“…….The new ACP (3 ACP at 8, 16 and 24 years of service) should be applicable w.e.f. 1 Jan 2006, and the old provns (operative w.e.f. the Vth Pay Commission) would be applicable till 31 Dec. 05. Regular service for the purpose of ACP shall commence from the date of joining of a post in direct entry grade.
xx xx xx”
Finally, on 30.05.2011 another letter was issued by the Ministry of Defence, relevant portion of which reads as follows:-
“5. The Scheme would be operational w.e.f. 1st Sep. 2008. In other words, financial up-gradations as per the provisions of the, earlier ACP scheme (of August 2003) would be granted till 31.08.2008.”
Therefore, even as per the understanding of the Army and other authorities up till the issuance of the letter dated 30.05.2011 the benefit of MACP was available from 01.01.2006.
10. As already held by us above, there can be no dispute that grant of ACP is part of the pay structure. It affects the pay of the employee and he gets a higher grade pay even though it may be in the same pay band. It has been strenuously urged by Col. R. Balasubramanian, learned counsel for the UOI that the Government took the decision to make the Scheme applicable from 01.09.2008 because many employees would have lost out in case the MACP was made applicable from 01.01.2006 and they would have had to refund the excess amount, if any, paid to them. His argument is that under the old Scheme if somebody got the benefit of the ACP he was put in the higher scale of pay. After merger of pay scales into pay bands an employee is only entitled to higher grade pay which may be lower than the next pay band. Therefore, there may be many employees who may suffer.
11. We are only concerned with the interpretation of the Resolution of the Government which clearly states that the recommendations of 6th CPC as modified and accepted by the Central Government in so far as they relate to pay structure, pay scales, grade pay etc. will apply from 01.01.2006. There may be some gainers and some losers but the intention of the Government was clear that this Scheme which is part of the pay structure would apply from 01.01.2006. We may also point out that the Resolution dated 30.08.2008 whereby the recommendation of the Pay Commission has been accepted with modifications and recommendations with regard to pay structure, pay scales, grade pay etc. have been made applicable from 01.01.2006. This is a decision of the Cabinet.
This decision could not have been modified by issuing executive instruction. The letter dated 30.05.2011 flies in the face of the Cabinet decision reflected in the Resolution dated 30.08.2008. Thus, administrative instruction dated 30.05.2011 is totally ultra vires the Resolution of the Government.
12. Col. R. Balasubramanian, learned counsel for the UOI relied upon the following three judgments viz. P.K. Gopinathan Nair & Ors. v. Union of India and Ors. 1 , passed by the High Court of Kerala on 22.03.2017, Delhi Urban Shelter Improvement Board v. Shashi Malik & Ors.2, passed by the High Court of Delhi on 01.09.2016, K.K. Anandan & Ors. v. The Principal Accountant General Kerala (Audit) & Ors3 passed by the Central Administrative Tribunal, Ernakulam Bench, Kerala on 08.02.2013. In our view, none of these judgments is applicable because the issue whether the MACP is part of the pay structure or allowances were not considered in any of these cases.
13. In this view of the matter we find no merit in the appeals, which are accordingly disposed of. All pending applications are also disposed of.
(Madan B. Lokur)
(Deepak Gupta)
New Delhi
December 08, 2017 

Employment News : 23 December to 29 December 2017


Name Of Post : Forex Officer and Integrated Treasury Officers
No.of Vacancies : 100
Last Date :13.01.2018

Name Of Post : Tradesman ‘B’
No.of Vacancies : 40
Last Date :05.01.2018

Name Of Post : Material Assistants, LDC, Fireman etc
No.of Vacancies : 818
Last Date :21 Days After Publication

Name Of Post : Senior Residents
No.of Vacancies : 193
Last Date :30 Days After Publication

Name Of Post : Cook, Water Carrier etc
No.of Vacancies : 707
Last Date :16.01.2017

Name Of Post : Skilled Work Assistant
No.of Vacancies : 57
Last Date :29.12.2017
 Source : http://employmentnews.gov.in/