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    Tuesday, 9 February 2016

    7TH CPC REPORT - MAIN ISSUES OF MULTIPLE FACTOR, ALLOWANCES: MEMORANDUM SUBMITTED BY IRTSA

    Memoranda submitted by IRTSA to Cabinet Secretary, CRB & Members Empowered Committee for higher Pay Level & Group B to Technical Supervisors & on other demands.

    INDIAN RAILWAYS TECHNICAL SUPERVISORS ASSOCIATION 
    (Estd. 1965, Regd. No.1329, Website http://www.irtsa.net )

    M. Shanmugam, Harchandan Singh,
    Central President, IRTSA General Secretary, IRTSA,
    # 4, Sixth Street, TVS Nagar, Padi, C.Hq. 32, Phase 6, Mohali,
    Chennai - 600050. Chandigarh-160055.
    Email- cpirtsa@yahoo.com Email: gsirtsa@yahoo.com
    Mob:09443140817 (Ph:0172-2228306, 09316131598)


    No:IRTSA/7th CPCEC/2016-5
    Date: 8-2-2016
    Shri Pradeep Kumar Sinha 
    Cabinet Secretary, Government of India & Chairman,
    Empowered Committee on 7thCPC Report,
    39-A North Block, New Delhi-110001.

    Respected Sir,

    Subject: 7th CPC Report - Main issues of Multiple Factor, Allowances & major injustice and Reg. Pay Level & Classification of Technical Supervisors on Railways 

    Central Government employees in general and Technical Supervisors on Railways in particular are seriously aggrieved by extremely adverse& unjust Report of the Seventh Pay Commission and appeals to the Empowered Committee on 7th CPC Recommendations topleasesuitably modify the recommendations especially in respect of the following major issues including those of the major injustice Reg. Pay Level and Classification of Posts of Technical Supervisorson Indian Railways and Reg. Fitment Factor, Allowances etc.

    1.PAY LEVEL OF TECHNICAL SUPERVISORS ON RAILWAYS(Para 11.40.104 of7thCPC Report): 

    7th CPC initially observed that Technical Supervisors on Indian Railways play a vital role in the safe and efficient running of trains, but the Pay Level 6 & 7 recommended for this vital category is not commensurate with their duties, responsibilities, accountabilities and job requirements especially keeping in view the following factors: 

    i) Need for higher Pay scales for Technical Supervisors in Indian Railways has been grossly ignored by the Pay Commission – in spite of their higher Recruitment Qualifications, Training, Job Requirements, onerous Nature of Duties, and increase in their Responsibilities due to modernization and introduction of high speed trains. Relativity against other non-technical cadres like Accounts etc. has been further disturbed. 

    ii) As per established law, an equal cannot be over an equal and that Promotion implies advancement to a higher grade & Supervisor should be in a scale higher than Supervised whereas the JEs (Junior Engineers) on the Railways have been placed in Level-6 in which the Senior Technicians are placed even though JEs supervise the Senior Technicians. 

    iii) Railways had agreed for higher Grade Pay for Technical Supervisors (JE & SSE) as recorded in item-3 of Minutes of the Departmental Anomalies Committee (Railways) held on 01.06.2010. “It was brought out in the discussion that Technical Supervisors have superior recruitment conditions, duties and multifarious responsibilities to ensure out-turn targets, optimum productivity, quality control, safety, material management, optimum utilization of man-power machinery, equipment, rolling stock and other resources for efficient train operations. They are also given induction training after recruitment for 18 months period which is very much longer compared to other categories…” 

    iv) It is, therefore, requested that the Junior Engineers (JEs) on the Railways may please be placed in Level 8 (instead of level 6); and Senior Section Engineers (SSE) may please be placed in Level 10 (instead of Level 7) in the new Pay Matrix. 

    1.2. UPGRADATION OF 33% POSTS OF SSE AS PRINCIPAL SSE & PLACING THEM IN LEVEL-11(PARA OF 7TH CPC 11.40.113): 

    a) 7th CPC vide para no 11.40.113 in the chapter related to Technical Supervisors, accepted that there is stagnation at the stage of Grade Pay Rs.4600 (SSE) but it failed to consider the demand for upgrading the Posts of SSE in-charge to a higher grade as Principal SSE – as demanded by IRTSA as well as by both the Recognised Federations i.e. AIRF & NFIR; 

    Great degree of confusion in the work hierarchy and order of command has been created in the technical Departments on the Railways as in the Cadre Restructuring of Group ’C’ done thrice on the Railways over the last nearly 30 years, none of the Posts in the apex Grade of Group ‘C’ was ever upgraded and consequently the cadre of Technical Supervisors has become an inverted pyramid with no promotional avenues with 67% posts Technical Supervisors in the apex Grade of SSEs (Senior Section Engineer) and only 2 to 3% thereof in Group B – thus leaving large majority of SSE getting stagnated in that grade for 10 to 20 years or even more and retiring in that Grade itself. 

    b) SSEs gain expertise in their related fields after putting in years of service. Utilizing the senior most Technical Supervisors as part of managerial cadre will be to the advantage of Indian Railways. 

    c) Officers in the Junior Scale & Senior Scale who are from different streams cannot directly look after the work at the field level and as such cannot optimize performance of their own without a on-the-spot Managers in the Shop Floor / Shed / Depot etc. 

    d) It is, therefore, imperative to have posts of Principal SSE for better efficiency and effective management at each level with clear line of control. 

    e) Most SSEs including even the Graduate Engineers recruited as SSE against 20% DR quota (are placed in proposed Level-7) - do not get promoted to next grades of AWM/AE/AEE/ADME etc. due to lack of avenue of promotion since only 0.4% chances are available to them for their promotion. 

    f) Historically, pay scales of apex grade of Technical Supervisors were higher than Group ‘B’ & ‘A’ officers by the 3rd& 4th CPC. But the 5th CPC onwards while level of Group A & Group B have been raised substantially, while the pay scale / Grade Pay of SSE has been relatively suppressed

    g) Foremen ‘A’ / Shop Superintendent & Principal Foreman were granted the pay scale of Rs.840-1040 & Rs.840-1200 respectively above the pay scale of the rest of the Group C especially because they supervised the later. But this was also undone by 5th CPC. 

    PAY SCALES OF TECHNICAL SUPERVISORS & GAZETTED OFFICERS GRANTED BY 3RD CPC

    Pay Scales for Technical Supervisors (Entry qualification of Diploma & Degree in Engg.)
    Chargeman ‘B’
    425-700
    Chargeman ‘A’
    550-750
    Foremen ‘B’ & Assistant Shop Superintendent
    700-900
    Foremen ‘A’ & Assistant Shop Superintendent
    840-1040
    Special Grade of Principal Foreman
    840-1200
    Pay Scales for Class I & Class II posts
    700 - 1250
    Entry qualification of Degree in Engg for Class - I
    1300-1600
    Promotes from Technical Supervisors for Class - II
    1600-1800

    It is therefore requested that 33% SSE post in PB 2 Grade Pay of Rs.4600 may please be upgraded & designated as Principal Senior Section Engineers and placed in Level- 11. 

    1.3. Similarly placed Rail Engineers who have same recruitment qualifications as those of Technical Supervisors and who are working in CMT, Stores & Information Technology wings of Railways i.e. DMS, CMA & JE/IT may please be placed in Level-8 of pay matrix and CDMS, CMS & Sr. Er/IT may please be placed in level-10 of pay matrix recommended by 7th CPC. 

    2.COMMONFITMENTFACTOR NEEDS TO BE HIKED (Ref. Para 4.2.9 of 7th CPC Report): 

    a) 7th Pay Commission has recommended a multiple Factor of only 2.57 even after adding the expected DA of 6% w.e.f. 1-1-2016. This will give a rise of only about 14.5% 0ver 225 % basic Pay as from 1-1-2016 after adding the said DA. 

    b) At present, without implementing 7th pay commission recommendations, year on year increase in the expenditure in both pay and pension has averaged about 11%.Thus real increase on account of increase in pay, all allowances & pension will be only 12.55% (23.55% – 11% = 12.55%). Real increase on account of Pay & DA will be only 5% (16% - 11% = 5%) which is even less than the 6% of anticipated DA from 1-1-2016 which has already been included by the 7CPC. 

    c) It is clearly evident that financial implications will be very marginal on account of implementation of 7th CPC recommendations and that too will mostly go back to the Government in the shape of higher Income Tax liability after the Pay revision as proposed by the 7th CPC. In the scenario of increase in Government revenue every year and reduction in staff strength of every year, pay element in Government expenditure will come down every year with respect to revenue earning or GDP. 

    d) 40% fixation benefit was given over 4th CPC Pay for fixation in5th CPC scales to all employees. 

    e) 40% fixation benefit was given over 5th CPC Pay for fixation in 6th CPC scales to all employees. 

    f) But, only around 14.3% pay fixation benefit has been recommended by 7th CPC over 6th CPC pay, which is grievously inadequate. 

    g) Table-1 in the Annexure gives the comparison on fixation benefit given by 6th CPC & recommended by 7th CPC. 

    h) Fitment Factor of 2.57 proposed by the 7thPay Commission for Pay Fixation is totally unjust, inadequate and arbitrary especially keeping in view the high inflation (in real terms and wage disparity of Central Government employees with the organized sector including the PSUs. 

    i) Fixation Benefit needs to be at least 40% Multiple Factor may please be fixed at least (Pay+DA) + 40% of Pay + DA, ie. 3.15 times of 6th CPC basic pay

    Table -2 

    TABLE SHOWING CALCULATION OF NEW PAY WHICH WILL BE EQUAL TO PAY + PAY FIXATION BENEFIT EQUAL TO 40% OF 6TH CPC PAY + DA

    1
    Minimum Pay after 6th CPC
    7000
    2
    DA @ 125% (as anticipated from 1-1-2016
    8750
    3
    Pay + DA on 1-1-2016
    15750
    4
    Fixation benefit @ 40% of (Pay + DA)
    Proposed as increase in real wage
    6300
    5
    Proposed Minimum Pay (3+4)
    22050
    6
    Increase in basic pay (in Rs.) (5 - 1)
    15050
    7
    No. of times increase in basic pay
    3.15
    8
    No. of times increase of Real wage
    1.40

    PROPOSED ENTRY PAY AS PER DIFFERENTIAL PROPOSED BY 7TH CPC: 
    Table-3

    Entry Pay in 6th CPC
    Entry Pay
    recommended by
    7th CPC
    Entry Pay as per table-2


    GP
    Pay in PB
    Total
    Factor
    Entry Pay
    Factor
    3.15 for PB1
    & 3.21 for PB2
    PB-1 5200
    - 20200
    1800
    5200
    7000
    2.57
    18000
    22100
    1900
    5830
    7730
    19900
    24400
    2000
    6460
    8460
    21700
    26700
    2400
    7510
    9910
    25500
    31300
    2800
    8560
    11360
    29200
    35800
    PB-2 9300
    - 34800
    4200
    9300
    13500
    2.62
    35400
    43400
    4600
    12540
    17140
    44900
    55100
    4800
    13350
    18150
    47600
    58300
    5400
    14880
    21000
    53100
    67500

    2.2. UNEQUALPAY RISE PROPOSED BY 7TH CPC – INADEQUATE FOR PB-1 & PB-2, HEAVILY IN FAVOUR OF HIGHER GRADES

    Pay hike recommended by 7th CPC is not uniform. Even though it recommended uniform application of factor of 2.57 to all the existing employees, the actual rise in terms of wages,is much lowerfor Levels recommended for PB-1 & PB-2 and much higher for Levels in PB-3 & PB-4. Disparity in pay hike is shown in the Table-4 below: 
    Table–4 

    COMPARATIVE PAY RISE PROPOSED BY 7TH CPC
    6th CPC
    7th CPC
    PB
    Pay + GP
    6th CPC Basic
    6th CPC Pay + 125% DA  
    7th CPC Level
    7th CPC Pay
    % increase from 6th CPC Pay + DA to 7th CPC Pay
    PB-1
    5200-20200+1800
    7000
    15750
    1
    18000
    14.3
    5200-20200+1900
    7730
    17393
    2
    19900
    14.4
    5200-20200+2000
    8460
    19035
    3
    21700
    14.0
    5200-20200+2400
    9910
    22298
    4
    25500
    14.4
    5200-20200+2800
    11360
    25560
    5
    29200
    14.2
    PB-2
    9300-34800+4200
    13500
    30375
    6
    35400
    16.5
    9300-34800+4600
    17140
    38565
    7
    44900
    16.4
    9300-34800+4800
    18150
    40838
    8
    47600
    16.6
    9300-34800+5400
    20280
    45630
    9
    53100
    16.4
    PB-3
    15600-39100+5400
    21000
    47250
    10
    56100
    18.7
    15600-39100+6600
    25350
    57038
    11
    67700
    18.7
    15600-39100+7600
    29500
    66375
    12
    78800
    18.7
    PB-4
    37400-67000+8700
    46100
    103725
    13
    118500
    14.2
    37400-67000+8900
    49100
    110475
    13A
    131100
    18.7
    37400-67000+10000
    53000
    119250
    14
    144200
    20.9
    HAG
    67000-79000
    67000
    150750
    15
    182200
    20.9
    HAG+
    775500-80000
    75500
    169875
    16
    205400
    20.9
    Apex
    80000 (Fixed)
    80000
    180000
    17
    225000
    25.0
    Cab. Sec.
    90000 (Fixed)
    90000
    202500
    18
    250000
    23.5

    It is, therefore, requested that the Pay of the Posts which have been given a lower Pay rise by 7 th CPCs – including those in PB 1, PB 2 & PB 3 may please be given an equitable rise of 2.81 at par higher Pay levels instead of 2.57 at lower levels and 2.62 at Middle Levels as compared to 2.67, 2.72 and 2.81 at higher Levels. 

    3.ANNUAL INCREMENT& INCREMENT ON PROMOTION - EROSION OF WAGE(para 5.1.38) 

    a) 7th CPC has retained annual increment as 3% without applying any wisdom to it. 

    b) Rate of annual increment should be equal to 5% of basic pay.This is necessary to provide adequate motivation, incentive and additional emoluments required to meet additional liabilities, as well as to compensate for the improved efficiency on account of experience etc. Pay matrix may please be revised keeping annual increment equal to 5% of basic pay. 

    c) In 7th CPC scales net monetary benefit on account of promotion will be less than net monetary benefit than the employees are getting in 6th CPC scale. In illustration given below, an employee working in PB-2, GP 4800 with the Basic Pay of Rs.28,540 when promoted to GP 5400 will get net monetary benefit of Rs.3723, in 7th CPC matrix the net monetary benefit will be only Rs.2728.

    Comparison of monetary benefit on promotion from GP 4800 to GP 5400 between 6th& 7th CPC pay
    Basic Pay
    DA(125% for 6th CPC & 0% for 7th CPC)
    HRA (30% for 6th CPC &24% for 7th CPC)
    Total
    Net monetary benefit on promotion
    PB-2 GP- 4800
    6th CPC
    28540
    35675
    8562
    72777

    7th CPC
    74300

    17832
    92132

    Promotion to
    GP 5400
    6th CPC
    29600
    37000
    8880
    75480
    3723
    7th CPC
    76500

    18360
    94860
    2728

    d) It is, therefore, requested that on promotion or financial up-gradation under MACPS at least two increments may please be granted.

    4. CLASSIFICATION OF POSTS OF SENIOR TECHNICAL SUPERVISORS - SSE, CMS, CDMS &SR.ENGR.(IT) IN GROUP ‘B’(GAZ):- (Para 11.40.114): 

    i) Railway Board had long back agreed with the two Federations to upgrade the posts in the Grade Pay of Rs.4600 to Group-B Gazetted and held several meetings for implementing the decision. Railway Board had agreed with the fact that “The percentage of Group ‘B’ officers vis-à-vis total workforce is merely 0.5% in Railways which is 5.6% for All India Central Government Employees and the same needed to be rationalized”. 

    ii) In all the departments, except the Railways, similarly placed posts in the pre-revised Grade Pay of Rs.4600 have been classified as Group ‘B’ Gazetted. 

    iii) Financial Commissioner Railway Board had already given concurrence for the proposal of other Board Members to upgrade the posts of Senior Supervisors from Group ‘C’ to Group ‘B’ keeping in view the Financial advantage to Indian Railways by increasing Junior level Management Cadre as agreed by Railway Board. 

    iv) Commitment given by CRB to the two Federations in Departmental Council has not been implemented (Rly Board letter No.2013/E(LR)II/1/17 dated 18.02.2014): In meeting with both the Federations held on 07.04.2014, official side headed by CRB agreed for upgradation of posts from Group ‘C’ to Group ‘B’ and it was recorded that the matter has already been referred to MOF / DoPT, MS and FC will pursue Secretary, MOF &DoPT to resolve the matter urgently even though there was no need for such reference as the posts in Grade Pay of Rs.4600 were in any case required to be placed in Group ‘B’ as per orders of the DOP issued long back vide S.O.946(E) dated 9th April 2009. 

    v) It is, therefore, requested to classify the posts of SSE, CDMS, CMS &Sr.Er(IT) in Group ‘B’ (Gazetted). 

    5. ELIMINATION OF STAGNATION OF GRADUATE ENGINEERS RECRUITED AS SSE, CMS & CDMS & Promotion of serving Engineering Graduates SSEs/CMS/CDMS to Group ‘A’ officers Cadre against 50% posts of in IRES & SCRA: 

    3.1 There is a lot of stagnation and resultant frustration among Engineering Graduates recruited as SSEs/CMS/CDMS as they do not get a single promotion for long years of service due very low percentage of Posts in Group B on the Railways, 

    3.2 It is, therefore, requested as under: 

    a. Minimum service requirement for Graduate Engineer SSEs/CMS/CDMS for eligibility to appear for LDCE for Group B be reduced from existing 5 years to 3 years in view of their qualifications; 

    b. Graduate Engineers recruited directly as SSE in the Grade Pay of Rs.4600 be made eligible automatically to appear for Group ‘B’ LDCE selection whenever JEs/SSEs who are Junior to DR SSE are eligible to appear for the said selection. 

    6. ALLOWANCES: 

    6.1. UNJUST FACTORS ADOPTED BY 7TH CPC TO CALCULATE ALLOWANCES IN 7TH CPC SCALE(para 4 of chapter 8.2.5) 
    a. 7th CPC has used unjust factors to arrive at quantum of allowances in new pay and abolished 52 allowances. 
    b. No allowances should be abolished and it should be left to the decision of respective departments for the continuance of allowances as per nature of duties & job requirements.
    c. Factor of 3.15 (proposed for new minimum pay) should be used for allowances that are paid in fixed amount. Factor of 1.6 (half of proposed factor for new minimum pay) may please be used for allowances that are indexed partially with DA.
    d. Factor of 1.4 @ 40% fixation benefit in pay be used for allowances that are indexed fully with DA.
    e. Factor of 1 be used for allowances that are paid in percentage of Basic Pay.

    S N
    Nature of Allowance
    Factor recommen ded by 7th CPC
    Factor proposed
    1
    Allowances that are paid in fixed amount not indexed with DA
    2.25
    3.15
    2
    Allowances that are paid in fixed amount indexed partially with DA
    1.5
    1.6
    3
    Allowances that are paid in fixed amount indexed fully with DA
    No change
    1.4
    4
    Allowances that are paid in percentage of Basic Pay
    0.8
    1

    6.2. Breakdown Allowance(para 8.10.8 &8.10.80): Breakdown allowance should be continued in Railways and it may please be paid equal to overtime calculation on hours worked for restoration. 

    6.3 NH Allowance(para 8.6.11): National Holiday Allowance should be paid at least equal to one day wages. It should be paid for working on holidays including Sundays if the employees are not given compensatory rest. 

    6.4 PCO Allowance (para 8.17.101):Incentive system followed in Indian Railways is unique for its system & within Railway Budget. Hence 7th CPC’s recommendations on PCO Allowance may please be ignored and the same be continued to be paid at the existing rates of 15% & 7.5% of new basic pay respectively. PCO Allowance may please be extended to CMT, Stores, Design & Drawing and other left out areas. 

    6.5 Teaching Allowance (para 8.14.8 & 8.14.9): To attract more talented teaching faculties, teaching allowance should be paid @ 30% as proposed by Railway Board some time back. 

    Eligibility for maximum period of five years recommended by 7th CPC should be ignored since many of Railway training institutes are having eight year tenure for teaching faculties. 

    6.6 Risk & Hardship Allowance (para 8.10.64): Risk & hardship allowance should be extended to sheds& depots and open line staff &Technical Supervisors as per medium & low risk factors of Risk & hardship Matrix recommended by 7th CPC. 

    6.7 Fixed Medical Allowance (para 8.17.52): Considering the high cost of medical treatment in old age FMA should be raised from the present level of Rs.500 to Rs.2000 and it should be paid to all the retired employees without any restriction. 

    6.8 Internet Allowance, Mobile Phone Allowance (para 8.17.61): Indian Most Railways employees are using their individual mobile and / or internet to perform the official duty. All the non-supervisory employees may please be granted with Rs.500 and Technical Supervisors may please be granted Rs.1000 as communication allowance. Or all supervisors may please be provided with CUG connections with free talk time of Rs.1000 per month. 

    6.9 Night Duty Allowance(para 8.17.77): Formulation of weightage of 10 minutes for every hour of duty performed between 22.00 and 6.00 hours may please be changed to 20 minutes for every hour of duty performed between 18.00 and 6.00 hours in view of hazards of work during Night Shift. 

    7.1.BENCHMARK PROPOSED BY 7TH CPC FOR MACPS (PARA 5.1.44) 
    a) MACPS & ACP were recommended by the last two pay Commissions as a Financial Upgrading for those who were unable to get any promotion over long years of service due to lack of promotional avenues. 
    b) Seventh Pay Commission has very unjustly proposed raising of benchmark for MACPS from “Good” to “Very Good” and the very purpose of this Scheme would be defeated – since the Benchmark is not applicable to any of the Promotions in Group C. 
    c) It is, therefore, requested that unfair benchmark of “very good” proposed by the 7th CPC for the purpose of financial upgradation under MACPS may kindly be withdrawn and the same may be maintained as “Good”.
    7.2. FINANCIAL UPGRADATION UNDER MACPS AFTER EVERY 8 YEARS & IN CADRE HIERARCHY

    Financial up-gradation under MACPS after 10, 20 & 30th years is in any case very inadequate and may kindly be provided after maximum of 8 years of service at each Level in the Cadre hierarchy

    8. CGEGIS - Central Government Employees Group insurance Scheme (para 9.3.6of 7th CPC Report)

    a) Term insurance premiums have plummeted over last 6 years. Since 2009, term insurance premiums have crashed by 75 percent. A one crore cover for 30 year old male did cost around Rs.30,000 in 2008, but one would be able to get the same cover today for around Rs.8000. But 7th CPC has made its recommendations exactly opposite to the trend in the market, instead of passing on the benefit to employees, 7th CPC recommended for taking away even meager benefit extended in the form of contribution to CGEGIS.

    b) Huge increase in monthly deduction for GIS: 7th CPC has recommended for increasing monthly deduction & insurance amount by 41.7 times for Group ‘A’ & ‘B’ and 50 times for Group ‘C’ as given in table below,

    Group
    Existing
    Recommended by 7th CPC
    Recommended increase
    Monthly Deduction
    Insurance Amount
    Monthly Deduction
    Insurance Amount
    Monthly Deduction
    Insurance Amount
    A
    120
    120000
    5000
    5000000
    41.7 times
    41.7 times
    B
    60
    60000
    2500
    2500000
    41.7 times
    41.7 times
    C
    30
    30000
    1500
    1500000
    50 times
    50 times

    C) 7th CPC recommended a ratio of savings fund to insurance fund as 75:25. 

    d) Therefore, for the annual contribution of Rs.18,000 by a Group ‘C’ employee, Rs.13,500 will go for savings fund and Rs. 4,500 will go for insurance fund.On cessation of account (i.e. on retirement) savings amount plus 8.7% interest per annum (compounded quarterly) for savings account has to be paid to the employee. 

    e) In case of demise of the employee savings amount plus Interest as applicable on date plus insurance amount has to be paid. 

    f) So for risk coverage to the value of Rs.15,00,000 a Group ‘C’ employee need to contribute Rs.4,500 annually. 

    g) Whereas in LIC’s New Amulya Jeevan-II insurance policy, which covers risk (and 100% goes to insurance fund), if a person joins at the age of 20 for the period of 30 years, for risk insurance amount of Rs.25,00,000annual contribution is only Rs.3,652 per year. 

    h) In LIC’s New Amulya Jeevan-II policy annual contribution is less by Rs.848 and insurance amount is Rs.10,00,000 (Rs. Ten Ten Lakhs) more than CGEGIS recommended by 7th CPC– as indicated in the Table below:


    Annual deduction/contribution
    CGEGIS
    New Amulya Jeevan-II policy by LIC
    Savings Fund
    Rs.13,500
    0
    Share of Contribution to Insurance Fund – vs -LIC Premium
    Rs.4500
    Rs.3652
    Sum Insured for
    Rs.15,00,000
    Rs.25,00,000

    i) When around 30,00,000 employees are going to be in the Group insurance scheme, annual deduction has to be much less than LIC’s policy which is offered for individuals. 

    j) Monthly deduction given in the table below indicates the premium applicable in New Amulya Jeevan-II insurance policy for the recommended insurance amount by 7th CPC 


    Recommended by 7th CPC
    Proposed amount
    Group
    Insurance Amount
    Monthly deduction towards Insurance fund
    Insurance Amount
    Monthly deduction towards Insurance fund (Based on LIC Premium for individual Amulya Jeevan II Policy )
    A
    5000000
    1250
    5000000
    620
    B
    2500000
    625
    2500000
    310
    C
    1500000
    375
    1500000
    185

    k) By adding deduction towards savings fund, monthly deduction for CGEGIS for the insurance amount recommended by 7th CPC is given in the table below and the savings fund should earn the interest at least equal to interest on PF. 


    Existing
    Proposed
    Group
    Monthly Deduction
    Insurance Amount
    Monthly Deduction (Savings fund + Insurance fund)
    Insurance Amount
    A
    120
    120000
    2000
    5000000
    B
    60
    60000
    1000
    2500000
    C
    30
    30000
    500
    1500000

    9. PENSION & RELATED BENEFITS 

    9.1 Withdrawal of National Pension System/New Pension Scheme (NPS) (Chapter 10.3)and Restoration of existing benefits of Pension & GPF for those appointed after 1.1.2004. Refund of contributions to NPS with Interest thereon at appropriate rate. 

    9.2 Increase in the rate of Additional Pension and Family Pension to the old pensioners (para 10.1.29 of 7th CPC Report): 

    Sixth Pay Commission had recommended additional Pension of 20, 30, 40, 50 and 100 % for retirees and family pensioners on attaining the age of 80, 85, 90, 95 and 100 years respectively. But this did not meet with the requirements of those in the age group of 65 to 80 years of age for meeting additional expenses on old age diseases and disabilities and other unforeseen exigencies, which further increase even faster in later years. Recommendation of Sixth Pay Commission for grant of 100% additional Pension after 100 years of age was illusionary and unjust in view of rare chances of survival up to or beyond 100 years of age. 7th CPC has also not changed these conditions. 

    Additional Pension / Family Pension may please be paid at following rates- in view of gradual increase in the expenditure on Medical treatment and health care in old age: 

    a. 10% additional Pension/Family Pension after 65 years of age 

    b. 20% Additional Pension/Family Pension after 70 years of age 

    c. 30 % additional Pension/Family Pension after 75 years of age 

    d. 50% additional Pension/Family Pension after 80 years of age 

    e. 70% additional Pension/Family Pension after 85 years of age 

    f. 100% additional Pension/Family Pension after 90 years of age 

    9.3 Fixed Medical Allowance (Para 8.17.51 of 7th CPC Report) 

    FMA: Grant of Medical Allowance of Rs.2000 pm to all retired employees & Pensioners: The cost had exorbitantly increased for the Medicines, Consultation Fee and cost of Pathological Test required for day to day medical treatment since 1997 (when the FMA was initially granted) and this had risen at a much steeper rate the Price Index. 
    i) A large proportion of Pensioners were residing in remote areas or villages having no excess to CGHS Dispensaries & Railway Hospitals and are as such, are wholly dependent on the paltry amount of FMA for day to day treatment of self & spouse.

    It is, therefore, requested that the FMA may please be revised to at least Rs.2000 p.m.
    10.Request for personal hearing to IRTSA: We request you to grant a personal hearing to IRTSA (Indian Railways Technical Supervisors Association) to enable us to personally explain the these foregoing points to the Implementation Cell on 7th CPC Report. 

    Thanking You
    Yours faithfully, 

    Sd/- 
    Harchandan Singh, 
    General Secretary, IRTSA 
    Encl:Annexure

    Copy for information&favourable consideration to:

    1. Chairman, Railway Board & Member Empowered Committee on 7th CPC
    2. Nodal Officer, Railway Board, Empowered Committee on 7th CPC
    Annexure - 1 

    Table-1 

    5th CPC
    6th CPC
    % increase from 5th  CPC Pay + DA to 6th CPC Pay
    6th CPC Pay + 125% DA
    7th CPC Pay
    % increase from 6th CPC  Pay + DA to 7th CPC
    5th CPC Pay
    5th CPC Pay + DA 86%
    PB
    GP
    6th CPC Basic Pay
    2750
    5115
    PB-1
    1800
    7000
    36.85%

    18000
    14.29%
    3050
    5673
    PB-1
    1900
    7730
    36.26%
    22050
    19900
    13.68%
    3200
    5952
    PB-1
    2000
    8460
    42.14%
    24507
    21700
    19.66%
    4000
    7440
    PB-1
    2400
    9910
    33.20%
    25389
    25500
    15.18%
    4500
    8370
    PB-1
    2800
    11360
    35.72%
    30996
    29200
    16.18%
    5000
    9300
    PB-2
    4200
    13500
    45.16%
    35186
    35400
    16.54%
    7450
    13857
    PB-2
    4600
    17140
    23.69%
    42525
    44900
    22.50%
    7500
    13950
    PB-2
    4800
    18150
    30.11%
    51314
    47600
    12.83%
    8000
    14880
    PB-2
    5400
    21000
    41.13%
    59063
    53100
    16.37%
    8000
    14880
    PB-3
    5400
    21000
    41.13%
    63882
    56100
    18.73%
    10325
    19205
    PB-3
    6600
    25350
    32.00%
    66150
    67700
    16.58%
    12000
    22320
    PB-3
    7600
    29500
    32.17%
    81302
    78800
    17.05%
    14300
    26598
    PB-4
    8700
    46100
    73.32%
    94248
    118500
    14.24%
    15400
    28644
    PB-4
    8900
    49100
    71.41%
    145215
    131100
    19.91%
    14300
    26598
    PB-4
    10000
    53000
    99.26%
    153059
    144200
    35.21%


    Annexure – 2

    Pay Matrix recommended by 7th CPC

    Pay Band
    5200-20200
    9300-34800
    15600-39100
    37400-67000
    Grade Pay
    1800
    1900
    2000
    2400
    2800
    4200
    4600
    4800
    5400
    5400
    6600
    7600
    8700
    8900
    10000
    Entry Pay
    (EP)
    7000
    7730
    8460
    9910
    11360
    13500
    17140
    18150
    20280
    21000
    25350
    29500
    46100
    49100
    53000
    Level
    1
    2
    3
    4
    5
    6
    7
    8
    9
    10
    11
    12
    13
    13A
    14
    Index
    2.57
    2.57
    2.57
    2.57
    2.57
    2.62
    2.62
    2.62
    2.62
    2.67
    2.67
    2.67
    2.57
    2.67
    2.72
    1
    18000
    19900
    21700
    25500
    29200
    35400
    44900
    47600
    53100
    56100
    67700
    78800
    118500
    131100
    144200
    2
    18500
    20500
    22400
    26300
    30100
    36500
    46200
    49000
    54700
    57800
    69700
    81200
    122100
    135000
    148500
    3
    19100
    21100
    23100
    27100
    31000
    37600
    47600
    50500
    56300
    59500
    71800
    83600
    125800
    139100
    153000
    4
    19700
    21700
    23800
    27900
    31900
    38700
    49000
    52000
    58000
    61300
    74000
    86100
    129600
    143300
    157600
    5
    20300
    22400
    24500
    28700
    32900
    39900
    50500
    53600
    59700
    63100
    76200
    88700
    133500
    147600
    162300
    6
    20900
    23100
    25200
    29600
    33900
    41100
    52000
    55200
    61500
    65000
    78500
    91400
    137500
    152000
    167200
    7
    21500
    23800
    26000
    30500
    34900
    42300
    53600
    56900
    63300
    67000
    80900
    94100
    141600
    156600
    172200
    8
    22100
    24500
    26800
    31400
    35900
    43600
    55200
    58600
    65200
    69000
    83300
    96900
    145800
    161300
    177400
    9
    22800
    25200
    27600
    32300
    37000
    44900
    56900
    60400
    67200
    71100
    85800
    99800
    150200
    166100
    182700
    10
    23500
    26000
    28400
    33300
    38100
    46200
    58600
    62200
    69200
    73200
    88400
    102800
    154700
    171100
    188200
    11
    24200
    26800
    29300
    34300
    39200
    47600
    60400
    64100
    71300
    75400
    91100
    105900
    159300
    176200
    193800
    12
    24900
    27600
    30200
    35300
    40400
    49000
    62200
    66000
    73400
    77700
    93800
    109100
    164100
    181500
    199600
    13
    25600
    28400
    31100
    36400
    41600
    50500
    64100
    68000
    75600
    80000
    96600
    112400
    169000
    186900
    205600
    14
    26400
    29300
    32000
    37500
    42800
    52000
    66000
    70000
    77900
    82400
    99500
    115800
    174100
    192500
    211800
    15
    27200
    30200
    33000
    38600
    44100
    53600
    68000
    72100
    80200
    84900
    102500
    119300
    179300
    198300
    218200
    16
    28000
    31100
    34000
    39800
    45400
    55200
    70000
    74300
    82600
    87400
    105600
    122900
    184700
    204200

    17
    28800
    32000
    35000
    41000
    46800
    56900
    72100
    76500
    85100
    90000
    108800
    126600
    190200
    210300

    18
    29700
    33000
    36100
    42200
    48200
    58600
    74300
    78800
    87700
    92700
    112100
    130400
    195900
    216600

    19
    30600
    34000
    37200
    43500
    49600
    60400
    76500
    81200
    90300
    95500
    115500
    134300
    201800


    20
    31500
    35000
    38300
    44800
    51100
    62200
    78800
    83600
    93000
    98400
    119000
    138300
    207900


    21
    32400
    36100
    39400
    46100
    52600
    64100
    81200
    86100
    95800
    101400
    122600
    142400
    214100


    22
    33400
    37200
    40600
    47500
    54200
    66000
    83600
    88700
    98700
    104400
    126300
    146700



    23
    34400
    38300
    41800
    48900
    55800
    68000
    86100
    91400
    101700
    107500
    130100
    151100



    24
    35400
    39400
    43100
    50400
    57500
    70000
    88700
    94100
    104800
    110700
    134000
    155600



    25
    36500
    40600
    44400
    51900
    59200
    72100
    91400
    96900
    107900
    114000
    138000
    160300



    26
    37600
    41800
    45700
    53500
    61000
    74300
    94100
    99800
    111100
    117400
    142100
    165100



    27
    38700
    43100
    47100
    55100
    62800
    76500
    96900
    102800
    114400
    120900
    146400
    170100



    28
    39900
    44400
    48500
    56800
    64700
    78800
    99800
    105900
    117800
    124500
    150800
    175200



    29
    41100
    45700
    50000
    58500
    66600
    81200
    102800
    109100
    121300
    128200
    155300
    180500



    30
    42300
    47100
    51500
    60300
    68600
    83600
    105900
    112400
    124900
    132000
    160000
    185900



    31
    43600
    48500
    53000
    62100
    70700
    86100
    109100
    115800
    128600
    136000
    164800
    191500



    32
    44900
    50000
    54600
    64000
    72800
    88700
    112400
    119300
    132500
    140100
    169700
    197200



    33
    46200
    51500
    56200
    65900
    75000
    91400
    115800
    122900
    136500
    144300
    174800
    203100



    34
    47600
    53000
    57900
    67900
    77300
    94100
    119300
    126600
    140600
    148600
    180000
    209200



    35
    49000
    54600
    59600
    69900
    79600
    96900
    122900
    130400
    144800
    153100
    185400




    36
    50500
    56200
    61400
    72000
    82000
    99800
    126600
    134300
    149100
    157700
    191000




    37
    52000
    57900
    63200
    74200
    84500
    102800
    130400
    138300
    153600
    162400
    196700




    38
    53600
    59600
    65100
    76400
    87000
    105900
    134300
    142400
    158200
    167300
    202600




    39
    55200
    61400
    67100
    78700
    89600
    109100
    138300
    146700
    162900
    172300
    208700




    40
    56900
    63200
    69100
    81100
    92300
    112400
    142400
    151100
    167800
    177500





    Source:- IRTSA

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