7th Pay Commission Allowances Committee – Staff Side JCM provides detailed view

Central Government Staff Side JCM writes to Govt on various Service Matters

7th Pay Commission Allowances Committee – Staff Side JCM provides detailed view on various Allowances applicable to Central Government Employees

Shiva Gopal Mishra

Secretary

Ph: 23382286
National Council (Staff Side)
Joint Consultative Machinery
For Central Government Employees

13-C, Ferozshah Road, New Delhi – 110001

E Mail : [email protected]

Dated: September 12, 2016

No.NC/JCM/2016 (Allowances)

The Secretary (Expenditure)
Ministry of Finance,
(Government of India)
North Block,

New Delhi-110 001

 Dear Sir,

This is in continuation of the discussions, the Staff Side had with you on 1st  September, 2016. We send herewith brief notes on the allowances, which are required to be retained or wherever the quantum has to be enhanced.

As presented before the Committee, we have dealt with the subject in the following manner:-

  • General Allowances, which are of general nature, covering the Central Government employees across the Departments.(10)
  • Area Specific Allowances – The allowances which are granted to all Central Government employees who are posted to a particular location.(2)
  • Department Specific Allowances which are granted to a section of the employees in a Department/Ministry taking into account the special nature of jobs assigned to them. (4)

We have received the notes from the Postal, Defence and Railway Organisations. We have requested the Associations/Federations of other departments to send us the notes in the matter. We hope to receive the same soon. As and when the same is received, it will be submitted.

We have endorsed a copy of this letter to the Joint Secretary(Implementation Cell). We have also asked the Departmental Associations to submit their notes on the Department Specific Allowances to the Implementation Cell as also to their Heads of Departments.

We request you to kindly convene the meeting of the Committee to discuss the allowances on which Notes are presented to you through this letter.

Sincerely yours,

(Shiva Gopal Mishra)

Secretary (Staff Side) National Council (JCM)

Encl: Notes on Allowances

Copy to: J.S.(IC), Deptt. of Exp., Secretary MoHA, Secretary MoD, Secretary DoP&T, Secretary Deptt. of Posts, Secretary Deptt. of Health & Family Welfare, Chairman Railway Board – for necessary action please.

Copy to: All Constituents of JCM(Staff Side) – for information.

Shiva Gopal Mishra

Secretary

Ph: 23382286
National Council (Staff Side)
Joint Consultative Machinery
For Central Government Employees

13-C, Ferozshah Road, New Delhi – 110001

E Mail : [email protected]

No.NC/JCM/2016(Allowances)

Dated: September 12, 2016

 

The Jt. Secretary(Imp. Cell)
Ministry of Finance
Department of Expenditure (Implementation Cell)

Government of India, Hotel Ashok, Chankyapuri, New Delhi

Dear Sir,

This is in continuation of the discussions, the Staff Side had with you on 1st  September, 2016. We send herewith brief notes on the allowances, which are required to be retained or wherever the quantum has to be enhanced.

As presented before the Committee, we have dealt with the subject in the following manner:-

  • General Allowances, which are of general nature, covering the Central Government employees across the Departments.(10)
  • Area Specific Allowances – The allowances which are granted to all Central Government employees who are posted to a particular location.(2)
  • Department Specific Allowances which are granted to a section of the employees in a Department/Ministry taking into account the special nature of jobs assigned to them. (4)

We have received the notes from the Postal, Defence and Railway Organisations. We have requested the Associations/Federations of other departments to send us the notes in the matter. We hope to receive the same soon. As and when the same is received, it will be submitted.

We have endorsed a copy of this letter to the Joint Secretary(Implementation Cell). We have also asked the Departmental Associations to submit their notes on the Department Specific Allowances to the Implementation Cell as also to their Heads of Departments.

We request you to kindly convene the meeting of the Committee to discuss the allowances on which Notes are presented to you through this letter.

Sincerely yours,

(Shiva Gopal Mishra)

Secretary (Staff Side)

National Council (JCM)

Encl: Notes on Allowances

  1. GENERAL

(i)    House Rent Allowance

Housing accommodation is provided to a small segment of the Civil Servants. While the percentage of satisfaction is very high at the senior level Officers, Employees at the lower levels are to depend upon the market for a dwelling place. Of late recruitment at Gr B and C levels in Central Govt Offices is on the basis of an all India Examination and the regional recruitment which was in prevalence a decade back has been dispensed with. Once, recruited, he/she is perforce to be posted outside his/her home state making it necessary to search for a dwelling unit at the place of his/her posting and compete with those workers in the private sector whose salary levels in certain cases are phenomenally high. Housing in the country, despite introduction of various projects, tax concessions etc, continues to be a seller’s paradise. A simple scrutiny of the rate of increase in the cost of construction and the rates quoted by the property dealers, real estate agents and tenant facilitators will reveal the extent of escalation in rent over the last a decade.

In Para 8.7.14 the 7th  CPC has made a bald statement that with the increase in Basic pay, most of the employees will be able to afford rented houses as per their entitlement. The Chart given under Para 8.7.14 indicates the rent increases over a period between 2006-14. The rent is shown to have gone up by 118% by 2014. The Commission has sourced the House Rent Index figures from AICPI (IW). We have no hesitation to state that the Commission’s observation based upon the most unreliable data must be discarded. Even according to the said data, which only indicates the figures up to 2014, the registered increase was 118%. The progression between 2009 to 2014 from 136 to 168 gives an average increase of 22 points. This reads as much similar to the progression of the AICPI (IW) prepared by the Indian Labour Bureau Shimla, whose commodity prices have been adopted by the 7 CPC for minimum Wage computation.

How divorced those rates are from the reality in the market has been explained with facts and figures in our letter dated 10.12.2015 to the Chairman, Empowered Committee of Secretaries. Even if one bases the computation on such unreliable data, the hypothetical progression of the housing index by end of 2015 shall be 279-290 which warrant an increase by 136%.

Relating the index figures indicated in chart under Para 8.7.14 to the DA percentage as on 1.1.2016.(125%), the ratio obtaining both in H1 and H2 i.e. 123 to 260 (2014) and 126 to 268 (2014) are 2.11 and 2.13 respectively. If the same is calibrated to 125% as on 1.1.2016, the ratio shall be 2.64 and 2.66. This will necessitate to raise the HRA to 33.13% in Metro Cities, 22% in Y Class Cities and 11.12% in Z class towns.

The hypothetical progression on average basis will also make it necessary to compensate housing expenses at 29.7% in Metro Cities and 19.74% in Y class Cities and 9.87% in Z class towns..

The Commission is on record to state that the house rent factor in AICPI (IW) is on an average 15.27. The 6th  CPC has indicated the factor at 8.67 and has been on record to state that the factor is not uniform at all places. The rates between Metro cities and small towns vary violently. This apart the Commission has applied a factor of 0.8 to all allowances, which are not cost indexed on the specious plea that wages per- se has been increased. While the Basic wages registered a paltry rise of 14% over a period of ten years (1.4% per annum) how justified is the stand of 7th  CPC to apply a factor 0.8 to suppress the quantum of allowances is beyond comprehension. The Commission has proceeded with the assumption that the grant of 30,20 and 10% of the determined basic pay was a full and perfect reimbursement of expenses incurred by the Government employees on housing, which is undoubtedly erroneous as could be evidenced from the observation of the 6th  CPC itself. Even if all these untenable contentions of 7 CPC and the unreliable statistics are taken into account, still it is clear that in order to maintain the present compensation level, the commission ought to have maintained the status quo in respect of rates of HRA and should not have reduced it by the application of 0.8 factor. We, therefore, request for the reasons adduced above, that the HRA may be retained at the levels determined by 6th  CPC i.e. 30, 20, and 10 per cent of Basic pay for X,Y, Z class of cities and towns respectively.

(ii)   Transport Allowance

Since the 7th  CPC has decided to raise the minimum wage by 14%. the fixed Transport Allowance also ought to have been raised by the same percentage over and above the quantum obtained on the application of the multiplication factor of 2.25. Accordingly, the Fixed Allowances which are constructed as a percentage of Basic Pay ought to have been 2.39 and not 2.25. If that be the case the first slab in Metro and non metro cities would be 7648 and 3824 respectively. Taking into account the cushion available for Officers who are in Pay Level 9 and above, we suggested first slab at Rs 7500 and 3750 respectively for Metro and non metro cities.

Those in the PB1 drawing pay above Rs. 7,440/- will stand to lose on implementation of the 7th CPC recommendations. As on 1.1.2016, all of them are presently drawing Rs 3600 as TPTA. Once the recommendations are accepted their TPTA will get reduced to Rs 1350/- We solicit the kind reference of the Committee to the observation of 7th  CPC to Para 8.15.52 which is reproduced hereunder.

           “The second issue is whether Transport Allowance should be the same for all personnel posted at the same place. Here the Commission feels that a question of status of employees involved and hence, complete parity is not possible.”

The Number of employees in Level 1 and 2 who were below 7,440/- is very insignificant. The MTS, on recruitment get Rs. 7000/- as pay. Either a promotion to the next higher grade or the annual increments will enable him to cross the 7440 in a period of 3 years. The moot question is whether for the purpose of maintaining the status, the low paid workers must be kept in perpetual penury or not. Without compromising the recommendations of 7 CPC (i.e. complete parity is not possible) the suggestion made by the Staff Side in its memorandum dated 10/12/2015 may be accepted making two levels as under:-

Pay Levels                                         Higher TPTA Cities                                Other places
Level 9 and above                           Rs 7500 + DA                                         3750+DA
Below Level 9                                    Rs. 3750+DA                                        1875+DA

Transport Allowance, when it was introduced was made to be fully exempt from the ambit of Income tax. Prior to the implementation of the 6th  CPC the Transport Allowance had a maximum ceiling of Rs. 800/-. The I.T. Act provided for an exemption up to the level of Rs. 800. However, when the revision took place in 2006, the consequential rise in the quantum of exemption under I.T. Act was not made with the result that a portion of the Transport Allowance became taxable. It is, therefore, necessary that the exemption, which was available for Transport Allowance, must be re-introduced with an inbuilt provision to take care of the increase that would come about as and when the DA rates are increased.

(iii)Fixed Conveyance Allowance

This is an allowance which was not cost indexed. The demand that the same must be cost indexed like the TPTA was rejected by a perfunctory remark by the 7 CPC that the “demand lack merit”. In the next sentence, the Commission, however, recommend that the allowance must go up by 25% each time DA rises by 50%.

While evolving the general principle, the Commission has stated that allowances that are in the nature of fixed amount and not DA indexed have generally been raised by a factor of 2.25. Conveyance Allowance is a fixed amount . It ought to have been raised by 2.25 factor. No reason was adduced by the Commission in not doing so. Therefore, the Fixed Conveyance Allowance must be raised as follows:

Average Monthly Travel                      By Motor Car                      By other modes
201-300 km                                                 3780                                             1250
301-450 km                                                  5670                                             1620
451-600 km                                                  6705                                             2160
601-800 km                                                  8203                                             2534
Above 800 km                                            10125                                                   2871
  • Overtime Allowance

In Para 8.17.97 of the Report the 7th  CPC has made the following recommendations:-

“ Hence while this commission shares the sentiments of the predecessors that Government offices need to increase productivity and efficiency and recommended that OTA should be abolished (except for operational staff and industrial employees who are governed by statutory provisions) at the same time it is also recommended that in case the Government decided to continue with OTA for these categories of staff for which it is not statutory requirement, then the rate of OTA for such staff should be increased by 50% from their current levels”.

OTA rates were last revised in the year 1987, i.e. about 30 years before. Even though an arbitration award for enhancement is given, the same is also pending implementation for the last 20 years. After 7th CPC revision, one hour wage of an MTS is Rs. 75/- whereas rate for one hour OTA is Rs. 15.85 only. Hence it is requested that overtime allowance wherever sanctioned must be based upon the actual basic pay of the entitled employee.

The issue was agitated before the Board of Arbitration, having settled for a disagreement at the National Council. The Board of Arbitration had categorically stated that the allowance must be linked with the Basic Pay and should not be based upon imaginary or notional amount. In contravention to the solemn assurance given at the time of setting up the JCM, the Government moved resolution before Parliament, which is still pending. The 7th  CPC recommendation is without factoring facts and therefore the Committee should recommend to the Government that as an when workers are deployed for overtime, they must be paid the OTA based upon the Pay of the concerned individual worker. In other words, the OTA has to be twice the hourly duty salary of the concerned employee with the other stipulations under the Rules.

  • Family Planning Allowance

The discontinuance of this allowance is recommended by the 7th  CPC on the ground that the incentive scheme has outlived its propose, if not entirely at least among the middle class who constitute the majority of the government employees. While we leave it to the Government’s wisdom of the continuance or otherwise of the scheme, we suggest that the benefit given earlier must out be withdrawn. In other words those who were granted the increment or allowance as the case may be allowed to retain it as otherwise it will result in a drop of emoluments for them.

  • Fixed Medical Allowance

The Fixed Medical Allowance is granted to retired personnel who are not covered by the CGHS. Vast majority of CG personnel are not covered under the CGHS for hardly 30 cities in the country has the CGHS facility. While the working employees are entitled for reimbursement of medical expenses including in-patient treatment, the retired personnel who are more in need of medical facilities had been left in the lurch. With the persistent persuasion, Govt. decided to grant a fixed amount as FMA as compensation to Pensioners to bear the cost of out-patient treatment. A paltry amount of Rs.500/- is granted to them presently as FMA. The 7th  CPC has not examined the adequacy of this allowance. In the memorandum the Staff Side had submitted to the 7th  CPC it had elaborately dealt with this issue and had demanded the need for enhancement in the light of escalation of prices of drugs in the country on account of the withdrawal of the administrative price mechanism as part of the introduction of the new economic policies. It would be pertinent to mention that the EPF pensioners get Rs. 2000/as FMA with effect from. 1.1. 2006/-It may also be noted that the No. of diabetic patients in the country has increased phenomenally over the last a decade as also the number of persons suffering from cardiac related diseases.. Most of the retired personnel suffer from these diseases and are required to sped a sizeable amount of their income on medicines. In view of this, we demand that this allowance must be increased to Rs. 2000/- p.m.

  • Cash Handling and Treasury Allowance

In para 8.10.9 the 7th  CPC has given the present rate of this allowance. If the Govt. is able to abolish the cash transactions altogether the recommendation of the Commission can have meaning and substance.. It could be seen that this allowance is related to the average quantum of Cash handled per month. In certain departments like Postal and Revenue, it is difficult to dispense with the cash transactions totally. Over the years the quantum of cash transaction might be reduced. Since the allowance is related to the quantum of cash transactions, it has an inbuilt mechanism to reduce the Governmental expenditure on this account over the years. In other words, the allowance will get reduced proportionately to the amount of cash transaction. In tune with the general principles evolved by the commission, the cash handling – Treasury Allowances must be increased by 2.25 time as they are not cost indexed.

  • Nursing Allowance

The 6th  CPC granted this allowance to the Nursing Staff in Government run hospitals taking into account the hazardous, and arduous nature of jobs they are entrusted with. The 6th  CPC had granted a lump sum of Rs. 4800 to all Nursing Staff. No doubt they were also granted certain other allowances, viz. the Uniform Allowance, Washing Allowance and Messing Allowance etc. It could be seen that the quantum of Rs. 4800 works out to be 34.53% of the PB and Grade Pay of a new entrant. With the other related allowances, it had amounted to Rs. 6075. Since the Washing Allowance and the Uniform Allowance would be subsumed in the newly created Dress Allowance, they will still stand to lose Messing Allowance of Rs. 75/-. This apart, it may be noted that the Washing Allowance for the Nursing Staff was far greater than other uniformed personnel for their requirement emanating from the characteristics of their job was considered higher. The Pay commission’s observation that the Nursing Allowance is already at an appropriate level is bereft of any logic in the absence of details as to how the Commission has come to this conclusion. As indicated above the allowance was at the level of 34.53% of the minimum of a new entrant or at 21.73 of the mean of the minimum and maximum of the pay band. If the same percentages are applied to the minimum and mean of the pay scale at Level 7 of the 7th  CPC, the Nursing Staff would be entitled to the Nursing Allowance at Rs. 14,995 and 15503 respectively. If the general principle enunciated by the Commission is applied, the allowance will have to be enhanced by the multiplication factor of 2.25, which works out to Rs. 10800. We request the Committee to look into the matter and take appropriate decision to raise the Nursing Allowance . For the reasons mentioned in the preceding para, the Nursing Staff is entitled for a different treatment in respect of Washing Allowance

  • Children Education Allowance

The recommendation of the 7th  CPC not to extend the ambit of Children Education Allowance to the Graduate and Post Graduate level is, in our opinion, not based on any sound principle. An employee is confronted with a drop in emoluments when his child is to prosecute higher studies beyond the higher Secondary level as the Children Education Allowance gets dispensed with. . Unlike in the secondary level of education, the Governmental institutions are comparatively lesser. Most of the private institutions charge exorbitant amount of fees. The 7th  CPC has recognised these facts, which were brought to its notice through our written memorandum and oral submissions. We request the Committee to look into this aspect and consider extending the benefit of CEA to the Graduate and post graduate levels at least to the extent of the fees and hostel fees charged by the Governmental institutions as the maximum admissible amount. Children Education Allowances should also be exempted from Income Tax.

  • Unreported Allowances

The 7th  CPC has made a sweeping remark that all allowances, which are not reported to it should be deemed to have been abolished. We appreciate that the said remark must have come out of exasperation. However, It has amounted to punishing employees for the negligence on the part of the concerned offices of the Department. We, therefore, demand that the allowances that are not reported to the commission may be enumerated with the help of the concerned departments and enhanced as per the general formula evolved by the 7th  CPC.

  1. AREA SPECIFIC ALLOWANCES

 (i) Special Compensatory (Hill Area) Allowance

The 7th  CPC has abolished this allowance, which is provided to the employees whose offices are located at an altitude beyond 1000 metres. The hill areas are normally inaccessible and seldom rail connected. The Transportation of goods to these places is comparatively costlier than to Plains. There are many other difficulties like non availability of hospitals and doctors, housing accommodation, higher levels of prices for essential articles and other day to day needs. It was in consideration of all these, the allowance was originally conceived. Since all these difficulties are still in existence the decision to do away with this allowance is not sustainable. We request the Committee to retain this allowance.

(ii) Special Duty Allowance

Presently these allowances in different nomenclatures are given to the officers and employees posted at North Eastern Regions (including Assam), (Special Duty Allowance of North Eastern Region), Island Special Duty Allowance, for those posted in the Union Territory of Andaman, Nicobar Islands as also Lakshadweep and Tripura Special compensatory Remote Locality Allowance. Due to the difficult terrain and other logistical difficulties, employees and officers were reluctant to be posted to these areas. The Staff Side in the National Council introduced an item for the grant of certain Special Allowances for the employees posted in these regions in view of the high cost of living and such other difficulties including the terrorist activities. The Government had set up a committee to study the demand and the said committee in its report echoed what was stated in the Staff Side in their Agenda note for discussion. However, when the allowances were ultimately granted, the Government restricted it to only those personnel in All India Services with an all India Transfer liability as if the employees who are recruited and asked to work in those places had to face no problem at all. Against this discrimination the employees had to tread the path of agitation and the matter was also pursued through litigation by another section of the employees. The Court having found the discrimination untenable, asked the Govt. to grant the allowance to the applicants. This created another piquant situation in as much as the allowances were granted to those who have gone to the court and denied for the vast majority of others. The matter was considered by the 6th  CPC and that Commission recommended the grant of the Special Duty Allowance to all personnel posted in NE Region including Assam, A & N Islands, Lakshadweep and those posted in Tripura. In the post 2006 era, the Government introduced another allowance to the officers in the organised Group A services and all India Services and the same was 25% of the salary. Therefore at the time of the 7th  CPC, while the officers were in receipt of 37.5% of salary as SDA, the employees were given only 12.5%. The demand before the 7th  CPC was to end this discrimination which had been earlier found to be untenable by the highest court of justice. The 7th  CPC has recommended that SDA rates would be slashed by a factor of 0.8 and wherever the newly created Tough Area Allowance is given, SDA will stand withdrawn. If the 7th  CPC recommendation is accepted in toto, some of the employees will have lesser emoluments in this matter when compared to what they were getting prior to 2016. As has been pointed out elsewhere in the note the reduction by a factor of 0.8 is not at all justified when the increase in wages was of the order of 14%. The presumption that what has been recommended by the 6th  CPC as compensation is full and perfect reimbursement of the total expenditure incurred by an official is erroneous. In the case of A & N Islands and Lakshadweep, the withdrawal of the SDA wherever the Tough Area Allowances are given will render large number of employees not entitled for SDA and consequent drop in their emoluments.

In this connection, it is worth-mentioning that, lots of Railwaymen have lost their lives in this region(statement is enclosed for ready reference). There is blatant discrimination, the All India Service Holders like IAS & IPS are being paid SDA @37.5% pm whereas others are only 12.05% pm. This blatant discrimination mated out and this discrimination must go. At present, SDA and Special Compensatory Allowance are being paid concurrently. The 7th CPC vide its recommendation at Para 8.10.63 (Page 299) has recommended that both SDA and SCA should not be granted concurrently. This is blatant injustice and this must go.

We, therefore, request the committee that:-

  • The recommendation of the 7th CPC to the effect that where Tough Area Compensatory Allowance is given, the SDA must be withdrawn should be rejected.
  • The reduction in the present rate of SDA of 12.5.% by the multiplication factor of 0.8 for the reasons mentioned in the preceding paragraphs must be withdrawn.
  • The discrimination in the grant of SDA between the officers of All India services and the employees in these regions must be removed and all to be paid SDA at the same rate as what is applicable for the Group A officers.
  1. Department Specific Allowances

POSTAL

  • Post and RMS Accountants Special Allowance

Postal Assistants and Sorting Assistants of Postal department are posted as PO & RMS Accountant after passing a qualifying examination. Taking into consideration their work which require much skill, application of mind, and knowledge of all rulings, Special Allowance is granted to them. This allowance may be retained and enhanced.

  • Savings Bank Allowance in Post Offices

In Department of Posts, Savings Bank Allowance is granted to Postal Assistant working in Post Office Savings Bank (POSB) for shouldering strenuous and complicated nature of Savings Bank work. Postal Assistants need to qualify an aptitude test to get this allowance. The current rates are Rs.300/- per month for fully engaged staff and Rs.150/- per month for partially engaged staff.

In para 8.10.80 of the report, the Commission recommended as follows:

“Savings Bank Allowance be abolished as the justification provided by the concerned ministry for the grant of this allowance is not sufficient for their continuance”.

Demand of Staff Side: Savings Bank Allowance should be retained and enhanced in view of the justification given above.

  • Cycle Allowance

In para 8.15.10 of the report the 7th  CPC made the following observation.

“It is paid where the duties attached to the post require extensive use of bicycle and the official concerned has to use and maintain his own cycle for official journeys. The existing rate is Rs.90 p.m.

In para 15.11 the commission made the following recommendation –

“The Commission is of the view that amount of this allowance is megre and the allowance itself is outdated. Hence it should be abolished.

Demand of the Staff Side

This allowance is at present given to more than 40000 Postmen staff and about 50000 Gramin Dak Sevaks of the Postal Department. When the commission itself observed that an official using his own bicycle for official duties has to incur expenditure for maintenance of the cycle. When the maintenance work is done for performing official duties, the amount should be reimbursed to the official, whether the amount is megre or not – Hence this allowance should be retained and enhanced.

  • Dress Allowance

Para 08.16.14 may be referred. The 7th  CPC recommended four slabs of Dress Allowance per year for various categories of employees. In the Department of Posts there are about 75000 Postmen and Multi-Tasking Staff wearing uniform. Their name is not mentioned in the category of employees shown in the table. Even if it is included in the other categories of staff, then the Dress Allowance per year will be Rs.5000/- only. At present the Postmen/MTS of Postal Department are getting more than Rs.5000/- for uniform plus washing allowance. Hence it should be made clear under which category the Postmen and MTS of Postal department are to be included, in the dress allowance table recommended by the 7th  CPC. These official may be granted Rs.10000/- as Dress Allowance.

 It is further demanded that the Dress Allowance ceiling to be raised to Rs.32400 per annum

DEFENCE

  • Risk Allowance

Defence Civilian Employees are involved in manufacturing and repairing of Arms, ammunition, Explosive and also they have to deal with various Chemicals, Acids and Hazardous nature of operations. Recognising this fact the Govt. has approved 45 Risky operations in which Defence Civilian Employees are involved and are paid Risk Allowance. The amount is very meager, since the same has not been revised after 5th  CPC. Considering the fact that the Defence Civilian Employees are involved permanent nature of risky and hazardous work, the committee may kindly recommend for continuing the Risk Allowance to the Defence Civilian Employees and also to revise the same based on 6th  CPc and 7th  CPc pay scales. It is also pertinent to mention here that a committee of Ministry of Defence have already recommended for including many additional risky operations which are subsequently introduced in the Defence Establishments. The committee has also recommended for including additional categories and also left out organizations. The committee may consider all these aspects and may kindly recommend for including the additional operations, additional categories and also the left out organizations.

RAILWAYS

Allowances Abolished

  1. Break Down Allowance (SN – 18)

The Break Down Allowance has been continuing since long. This is as per para 704 of IREM, Vol – I.

Railway Staff are classified under Hours of Employment Regulation. This set of employees who are entitled for Break Down Allowance are of continuous workers. Their working hours is 48 hours weekly and 8 hours a day. They are the staff of C&W and electrical, mainly this classification has been accepted by the Railway Board and Govt. of India when a bill was introduced by S. Guruswami, Member of Central Legislative Assembly demanding their inclusion as per Factory Workers, Factory Act. The Govt. made a compromise and then the duty hours has been fixed.

 These staff are earmarked for attending to any accident at any moment. As soon as accident occurred these set of employees are to rush immediately to the Accident Relief Train (ART), who are performing duties outside their HQs for days together. In many places not even drinking water is available in accident site.

2.Coal Pilot Allowance (SN – 28)

        Staff working as Coal Pilot are to work inside the collieries where there is dust, fame etc., causing potential danger to their health.

  1. Commercial Allowance (SN – 32)

          Commercial Staff posted in ‘D’ Class station, the station where no ASM is posted.

  1. Compensatory (Construction or Survey) Allowance (SN – 34)

              Staff are recruited in the Railways in Open Line Organisation. They are deputed to work in Construction or undertaking survey in different inaccessible areas.

               They are to remain away from their family for days together in difficult areas, Jungles etc, where hardly any communication is available.

  1. Cycle Allowance (SN – 42)

            Cycle Allowance is paid to the staff who are to move from Railway Colony to colony for performing duties. Say the duty of Metre Reader of Electrical Department.

  1. Language Reward and Allowance (SN – 97)

             This allowance is granted for promoting Hindi Language, which is the Official Language of the country.

  1. Night Patrolling Allowance (SN – 111)

              Trackmen engaged for night patrolling of tracks. They are to move minimum 20 KM to and fro during torrential rain, through jungles, bridges etc. Their duty is most hazardous. There are many incidents of their death by accident mainly while working in bridges (where no path way is provided), killed by wild animals like elephant, Tiger etc. So this allowance should continue.

  1. Operation Theatre Allowance (SN – 117)

            The Dressers are specially trained to perform the job in Operation Theatre. There is no time limit or duty hours for the job. At any time they have to attend on call. This is specialised job. They are attending Doctors in Operation Theatre for disinfection, dressing etc. So this allowance should continue.

  1. Rajdhani Allowance ( SN – 137)

         The normal duty hours of Ticket Checking Staff is within the duty of 8 hours and from nominated station to station. Staff deputed for the Rajdhani Express are to work from starting Station to Ending Station. They are to remain away from their family for days together. So this allowance should continue.

  1. Risk Allowance (SN – 142)

          Risk Allowance is granted to the staff working in a Marshalling Yard round the clock. They are to perform their duties of Shunting duty which is most hazardous, causing accident, losing limbs, life etc.

           This allowance also granted to the persons having duties and working in difficult areas like high drains etc. for cleaning and other purposes.

  1. Special Compensatory (Remote Location) Allowance (SN – 159)

            This allowance is paid to the staff working in Remote Location for days and years together. In most of the places medical facilities, facility for children education etc. are not available. Thus this allowance should continue.

  1. Supplementary Allowance in Training Establishments. (SN – 176)

         This allowance is paid for updating the knowledge on development of Railway working system and to administer the same within trainees like Loco Pilot, Guards, ASMs etc. This allowance should continue.

  1. Sundarban Allowance ( SN – 178)

          Sundarban is infested by wild animal. Royal Bengal Tiger is a well known feature. Sundarban is a forest area animals are passing there place to place. Life is very difficult. Hence, this allowance should continue.

                                                                                     ***************

No.AIRF/405(VII CPC)

Dated: September 8, 2016

DFA

The Secretary Finance(Expenditure),

Ministry of Finance,

(Government of India),

North Block,

New Delhi-110 001

Dear Sir,

 Sub: Recommendations of the VII CPC on the allowances

  • The VII CPC under para 11.40.50 (page No.738 of the report) has recommended Special Train Controllers’ Allowance of Rs.5,000 p.m. to Train Controllers. .
  • Under para 8.10.75(Cell Name: R3H2) of their report, the VII CPC has recommended for RHA of 2,700 p.m. to Track Maintainers/Trackmen.
  • Running Staff

Loco Pilot(Mail & Express)                                   Rs.2,250 p.m.

Motormen/Loco Pilot(Passenger)                              Rs.1,125 p.m.

Loco Pilot(Goods)                                                       Rs. 750 p.m.

Guard(Mail & Express)                                              Rs.1,125 p.m.

Guard(Passenger)                                                 Rs. 750 p.m.

As per VII CPC report; Daily Allowance will be payable on this allowance.

           Yours faithfully,

  (Shiva Gopal Mishra)

  General Secretary AIRF & Secretary(Staff Side) National Council(JCM)

No.AIRF/405(VII CPC)

Dated: September 8, 2016

DFA

The Secretary Finance(Expenditure),

Ministry of Finance,

(Government of India),

 North Block,

New Delhi-110 001

Dear Sir,

Sub: Non-appearances of certain allowances in the report of the VII CPC

The following allowances have not appeared in the report of the VII CPC:-

  1. Special Incentive to the staff working in certain National Projects in N.E. Region @ Rs.12.5% (w/o D.A.) from 01.04.2012.             (AIRF’s PNM Item No.35/2006)
  2. Officiating Allowance to different categories of staff for less than 30 days. 30 days and above, Full Allowances. (Running Staff – Railway Board’s letter No.E(P&A) II-2010/RS-31 dated 07.01.2014).
  3. Risk Allowance to Unskilled Staff (Railway Board’s letter No.E(P&A) I-84/SP-1/TP-1 dated 21.08.1991 and E(P&A) I-2008/SP1/AD-3 dated 02.05.2013).
  4. Family accommodation of Trackmen and provision of HRA. (Railway Board’s letter No.2014/CE- 1/GNS/7 dated 11.06.2014).
  5. Special Allowance of Rs.1,000 p.m. for the staff of Pay & Cash Office in GP Rs.2400 and Rs.4200 for posting as Stock Verifier, subject to passing of Appendix IV-A(IREM) Examination. (Railway Board’s letter No.E(P&A) I-2011/SP-1/AC-1 dated 16.12.2014).

 Yours faithfully,

(Shiva Gopal Mishra)

General Secretary AIRF

                &

Secretary(Staff Side)

National Council(JCM)

CALCULATION OF HRA

Dearness Allowance

01.01.2007 = 06%

01.01.2008 = 12%

01.01.2009 = 22%

01.01.2010 = 35%

01.01.2011 = 51% (25% increase in certain allowances)

01.01.2012 = 65%

 01.01.2013 = 80%

01.01.2014 = 100% (25+25 = 50% increase in certain allowances)

01.01.2015 = 113%

01.01.2016 = 125%

HRA (as per para 8.7.9 of VII CPC report)

                                                                                2013                                       2016

                                                                                                                                (01.01.2006)

                X                                             1.79                                        1.79×125

                                                                                                                80                    =2.80

                Y                                              2.07                                        2.07X125    

                                                                                                                                80                           = 3.23

                                Z                                              2.92                                       2.92X125

                                                                                                                                     80                      = 4.56

HRA (as per para 7.8.14 of VII CPC report)

2006                      H-1         =             123

Ratio 2.11 at 100 point

2014                      H-1         =            260

2006                      H-2         =            126

Ratio 2.13 at 100 point

2014                       H-2        =             268

HRA at 125 points

 X            2014 – H/1          2016(01.01.2016)

Y              2.11                       2.11X125

                                                       100 = 2.64

Z

X                             2014-H/2                              2016(01.01.2016)

Y                              2.13                                        2.13X125

                                                                                   100                      = 2.66

Z

Download Staff Side JCM view on 7th Pay Commission Allowances – Letter to Finance Ministry

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