Implementation of Seventh Central Pay Commission recommendations — Instructions
CGDA, Ulan Batar Road, Palam, Delhi Cantt- 110010
Dated : 05.08.2016
All PCsDA/CsDA/PIFA/IFAs/PCA(Fys) Kolkata /JCDA(AF) Nagpur
Subject: Implementation of Seventh Central Pay Commission recommendations — Instructions regarding.
A copy of Ministry of Finance, Department of Expenditure (Implementation Cell, 7th CPC) Office Memorandum bearing No. 1-5/2016-IC dated 29.07.2016, Ministry of Finance (Department of Expenditure) notification No.512 dated 25.07.2016 , Ministry of Finance (Dept of Expenditure ) Resolution dated 25.07.2016 may please be downloaded from the CGDA website inter alia the instructions laid down as under so far as regulation of pay of DAD employees as per 7th CPC is concerned.
2. The salient features of the notification are as under-
(i) Minimum pay in government with effect from 01.01.2016 at Rs.18000/-per month
(ii) Fixation of initial pay in the revised pay structure
The manner of initial fixation of pay has been indicated in Rule 7 of CCS(RP) Rules 2016. The fixation of pay of the employee in the new pay Matrix will be determined by multiplying the existing pay (pay in pay Band plus Grade Pay) in the pre-revised structure as on 31' day of December, 2015 on 1st day of January, 2016, The existing pay (pay in pay Band plus Grade Pay) in the pre-revised structure as on 31" day of December, 2015 shall be multiplied by a factor of 2.57 and the figure so arrived at is to be located in the Level corresponding to employee's Pay Band and Grade Pay or Pay Scale in the new Pay Matrix. The pay Matrix comprising two dimensions having horizontal range in which each level corresponds to a "functional role in the hierarchy" with number assigned 1,2,3 and so on till 18 and "vertical range" denoting "pay progression" has been laid down at Schedule read with Rule 3(vi) and 7(2) of CCS(RP) Rules 2016. Illustration for pay fixation has been given under Rule 7 of RPR 2016.
If a cell identical with the figure so arrived at is available in the appropriate level, that Cell shall be the revised pay; otherwise the next higher cell in that level shall be the revised pay of the employee. The fitment factor of 2.57 to be applied uniformly for all employees. All PCsDA/CsDA may circulate copies of RPR 2016 to all sections in Main Office and sub offices and obtain a certificate from them that all the staff members have noted its contents.
(b) In case, a Government servant has been placed in a higher grade pay or scale between 1st January 2016 and the date of notification of these rules on account of promotion or up gradation, the Government servant may elect to switch over to the revised pay structure from the date of such promotion or upgradation, as the case may be.
(c) The fixation of pay in case of promotion from one level to another in the revised pay structure on or after 01.01.2016 will be regulated as under:
One increment shall be given in the level from which an employee is promoted and he shall be placed at a Cell equal to the figure so arrived at in the level of the post to which he is promoted and where no such cell is available in the level to which he is promoted, he will be placed at the next higher Cell in that Level.
(d) The option to retain the existing pay structure under the provisions to this rule shall be admissible only in respect of existing pay band and Grade pay or scale.
(e) The aforesaid option is not applicable to any person appointed to a post for the first time in Government service or by transfer from another post on or after 1st day of January 2016.
(f) Where the Government servant is in receipt of personal pay immediately before the date of notification of these rules, which together with his existing emoluments exceed the revised, the difference/excess arrived at shall be allowed to such Government servants as personal pay to be absorbed in future increases in pay.
(g) MACP will continue to be administered at 10,20 and 30 years as before and granted in hierarchy horizontally in new pay Matrix i.e the employee will move to immediate next level in hierarchy. Fixation of pay will follow the same principle as that for a regular promotion in the pay Matrix. MACPS will continue to be applicable to all employees up to Higher Administrative Grade (HAG) level except members of organized Group 'A' Services.
(h) Pay of employees whose pay have been fixed conditionally based on direction of Hon'ble Court order and the same is still sub-judice before Hon;ble Court may be fixed under CCS(RP)2016 conditionally/provisionally subject to outcome/finalization of appeals filed before respective courts.
(iii) Fixation of pay of employees appointed by direct recruitment on or after 1st day of January 2016
Pay of direct recruits appointed on or after 1st day of January 2016 shall be fixed at the minimum pay or the first cell in the level, applicable to the post to which such employees are appointed.
Provided that where the existing pay of such employee appointed on or after 1st day of January 2016 and before the notification of these rules, has already been fixed in the existing pay structure and if his existing emoluments happen to exceed the minimum pay or the first Cell in the Level, as applicable to the post to which he is appointed on or after 1st day of January 2016, such difference shall be paid as personal pay to be absorbed in future increments of pay.
(iv) Increments in Pay Matrix
The Increments in Pay Matrix will move vertically down the same cells applicable in the Pay Matrix. lllustation to regulate the same has been laid down under Rule 9 of CCS(RP) Rules 2016.
(v) Date of increment in the revised pay structure
There will be two dates for grant of increment namely, 1st January and 1st July every year , instead of existing uniform date of 1st July: Provided that an employee shall be entitled to only one annual increment either on 1st January or 1st July depending on the date of appointment , promotion or grant of financial upgradation.
(b) The increment in respect of an employee appointed /promoted/financial upgradation including Modified Assured Career Progression Scheme during the period between 2nd January and 1st July (both inclusive) shall be granted on 1st January and those appointed /promoted/financial upgradation including Modified Assured Career Progression Scheme between 2nd July and 1st January (both inclusive) shall be granted on 1st July. Illustrations to regulate the same has been provided under Rule 10 of CCS (RP) Rules 2016.
(c) Benchmark for performance appraisal for promotion and financial upgradation under MACPS to be enhanced from "Good" to"Very Good".
Annual increments will be withheld in the case of those employees who are not able to meet the benchmark either for MACP or a regular promotion within the first 20 years of their service
(vi) Rate of allowances
The revised rates and the date of effect of all allowances (other than Dearness Allowance) based on the recommendations of the 7th Central Pay Commission shall be notified subsequently and separately. Until then, all such allowances shall continue to be reckoned and paid at the existing rates under the terms and conditions prevailing in the pre-revised pay structure as if the existing pay structure has not been revised under CCS(RP) Rules 2016 issued on 25.07.2016
The reference base for calculation of Dearness Allowance shall undergo change in the revised RPR 2016 and will be linked to average index as on 01.01.2016 and notified by government at a later stage.
(vii) Regulation of Interest free advances
The existing system of interest free advances for medical treatment , Travelling Allowance for family of deceased, travelling allowance on tour or transfer and LTC shall continue as hitherto. The recommendation of the seventh Central Pay Commission relating to interest bearing advances (refer Para 9.15 of report) has also has been accepted by the Government.
(viii) Payment of Dearness Allowance
The revised pay structure effective from 01.01.2016 includes the Dearness Allowance of 125% sanctioned from 01 01.2016 in the pre-revised pay structure. The Dearness Allowance in the revised pay structure shall be zero from 01.01.2016.
The rate and date of effect of the first installment of Dearness Allowance in the revised pay structure shall be as per the orders to be issued in this behalf in future.
(ix) Deduction of CGEIS
The existing rate of monthly contributions under Central Government Employees Group Insurance Scheme (CGEGIS) shall continue to be applicable under the existing rates until further orders.
(x) Mode of payment of arrears of pay
The arrears accruing on account of revised pay consequent upon fixation of pay under CCS(RP) Rules 2016 w.e.f. 01.01.2016 shall be paid in cash in one installment alongwith the payment of salary for the month of August 2016, after making necessary adjustment on account of GPF and NPS, as applicable , in view of the revised pay. The paying authority shall ensure that the action is taken simultaneously in regard to Government's contribution towards enhanced subscription.
With a view to expedite authorization and disbursement of arrears, arrear claims may be paid without pre-check of fixation of pay in the revised scales of pay. However, the facility has not been dispensed with in respect of those Government servants who have relinquished service on account of dismissal, resignation, discharge, retirement etc. after the date of implementation of the Pay Commission's recommendations but before the preparation and drawl of arrear claims, as well as in respect of those employees who had expired prior to exercising their option for the drawal of pay in the revised scales.
The requirement of pre-check of pay fixation having been dispensed with, it is not unlikely that the arrears due in some cases may be computed incorrectly leading to overpayments that might have to be recovered subsequently. Therefore , paying authority, should, make it clear to the employees under their administrative control, while disbursing the arrears; that the payments are being made subject to adjustment from amounts that may be due to them subsequently should any discrepancies be noticed later. For this purpose , an undertaking may also be obtained in writing from every employee at the time of exercising option under Rule 6(1) thereof. A specimen form of the undertaking as prescribed as per a "Form of Option" under Rule 6(2) of CCS(RP) Rules 2016 is enclosed as Annexure-III .
In order to facilitate a smooth and systematic fixation of pay, a proforma has been annexed for the purpose (Statement of Fixation of Pay) is enclosed as per CCS(RP) 2016 to be prepared in triplicate and one copy thereof be placed in the service book of the employee concerned and another copy made available to the concerned accounting authorities [ Chief Controller of Accounts/Controller of Accounts/Accounts Officer] for post check.
(xi) Deduction of Income Tax
In authorizing the arrears, Income Tax due may also be deducted and credited to the Government in accordance with the instructions on the subject.
(xiii) Hindi Version will follow.
(T. K. Jajoria)
Sr. Dy. CGDA (AN)