Friday, December 31, 2010

H A P P Y N E W Y E A R 2 0 1 1

We wish all of our readers and family members a very Happy New Year 2010. Let the new year 2011 brings you all health, happiness, and much prosperity.

And ye, who have met with Adversity’s blast,
And been bow’d to the earth by its fury;
To whom the Twelve Months, that have recently pass’d
Were as harsh as a prejudiced jury -
Still, fill to the Future! and join in our chime,
The regrets of remembrance to cozen,
And having obtained a New Trial of Time,
Shout in hopes of a kindlier dozen.
~Thomas Hood

Monday, December 27, 2010

Employees may not be able to challenge CAT judgement in SC

Bad news is in store for government employees contesting matters relating to their service conditions in the Central Administrative Tribunal (CAT) as they may not be able to challenge the judgement in the Supreme Court.
Government employees not satisfied with CAT orders on their service matters will continue to appeal in High Courts as government's plan to enable them approach the apex court directly has received a thumbs down from the top law officer.
Recently, the Department of Personnel had asked the Law Ministry whether the present system of CAT orders being challenged in High Courts be changed to fast track disposal of cases of government employees relating to their service conditions and employment rules.
The Law Ministry referred the matter to Attorney General Ghoolam Vahanvati who opined against the move saying a 1997 Supreme Court judgement on the issue should continued to be followed.
"As of now, the buck stops here (on the issue)," Law Minister M Veerappa Moily told PTI when asked to comment on Vahanvati's opinion.
He said his ministry was trying to find a solution. "But I would not like to add anything more to it," he added.
When the CAT was established in 1985 by an Act of Parliament, its rules clearly stated that its judgements on service related matters of state and central government employees can only be challenged in the apex court.
While the same rules is in operation even today, a 1997 Supreme Court ruling held that judicial review is the basic feature of the Constitution and a High Court's power on judicial review cannot be taken away.
After the judgement, appeals against CAT rulings were entertained in High Courts.
"The Armed Forces Tribunal Act has been borrowed from CAT. Appeals against Tribunal's orders can only be challenged in the Supreme Court. But in CAT's case, it has become a three tier system...the entire purpose of CAT has been defeated," said a CAT functionary.
He said while CAT usually disposes off a case in six months, appeal in High Court often takes years.
"They pay Rs 50 as fee to move CAT, but they have to pay thousands of rupees in High Court...if the matter reaches Supreme Court, the time and cost involved is massive," he said.

Monday, October 18, 2010

Govt employees can protest adverse ACRs

Government employees cannot be denied the opportunity to appeal against adverse Annual Confidential Reports (ACRs), on the grounds that such reports would not be ignored while considering them for promotion, the Delhi High Court has ruled.

A bench of Justice Pradeep Nandrajog and Justice MC Garg reversed the Central Administrative Tribunal's (CAT) directive to a departmental promotion committee to ignore the adverse ACRs of five Indian Revenue Service (IRS) officers while considering them for promotion.

Wednesday, October 13, 2010

New Pay Revision Committee to examine changes in pay structure of CPSE

The government had set up a committee (2nd Pay Revision Committee) to examine the recommend  changes in the pay structure, allowances, perks and benefits of the CentralPublic SectorEnterprises (CPSE) employees.

The recommendations of the Committee were considered by the Department of Public Enterprises (DPE) and also by the Cabinet. Based on the decision of the Cabinet, the DPE had issued an O.M. No. 2(70)/08-DPE(WC) on 26' November, 2008, proclaiming the revised pay structure in CPSEs.

View the DOPT order Below:

N0.37212 112009-AVD-I11
Government of India
Ministry of Personnel, Public Grievances & pensions
Department of Personnel & Training

North Block,
New Delhi, dated 12" October, 2010


Subject: Allowing vigilance functionaries on deputation to CPSEs the option to draw pay either in the scale of pay of the CPSE concerned or pay in the parent cadre plus deputation (duty) allowance thereon plus personal pay, if any - Cabinet decision - reg.

The Government had set up a Committee (2nd Pay Revision Committee) to examine and recommend changes in the pay structure, allowances, perks and benefits of the Central Public Sector Enterprises (CPSE) employees. The recommendations of the Committee were considered by the Department of Public Enterprises (DPE) and also by the Cabinet. Based on the decision of the Cabinet, the DPE had issued an O.M. No. 2(70)/08-DPE(WC) on 26th November, 2008, proclaiming the revised pay structure in CPSEs.

2. As per para 12 read with para (iv) of Annex. -1V of the above O.M., only those Government officers who come on permanent absorptionbasis, will get the CPSE scales, perks and benefits. However, as per guidelines for appointment of CVOs in CPSEs etc issued by DoP&T vide their OM No. 37218199-AVD-11dated 18th January, 2001, the CVOs are allowed to exercise their options to draw the pay of the post in the CPSE or their grade pay. This provision is based on the policy that the CVOs are to be posted on deputation from outside the organisation and they are not allowed to be permanently absorbed in that CPSE.

3. This issue was considered by the Cabinet in its meeting held on 5th
October, 2010, which decided that the Department of Public Enterprises's
O.M. No. 2(70)/08-DPE(WC) dated 26.11.2008 stand amended to the effect that -

(i) CVOs and other officers on deputation to the Vigilance Departments of CPSEs may be allowed the option of electing to draw either the pay of the post in the scale of pay of the CPSE concerned or pay in the parent cadre plus deputation (duty) allowance thereon plus personal pay, if any.

(ii) The CVOs and other oficers on deputation to the Vigilance Departments in CPSEs may also be allowed all the perks, benefits & perquisites applicable to equivalent level of officers in concerned CPSEs.

Thursday, September 16, 2010

Dearness Allowance for Central Government Employees Hiked

The Union Cabinet today decided to release an additional instalment of Dearness Allowance (DA) to Central Government employees and Dearness Relief (DR) to pensioners w.e.f. 1.7.2010 representing an increase of 10% over the existing rate of 35% of the Basic Pay/Pension, to compensate for price rise.
The increase is in accordance with the accepted formula, which is based on the recommendations of the 6th Central Pay Commission.
The combined impact on the exchequer on account of both Dearness Allowance and Dearness Relief will be of the order of Rs. 9303.2 crore per annum and Rs. 6202.1 crore in the financial year 2010-2011 (for a period of 8 months from July,2010 to February, 2011).

Dearness Allowance announcement likely tomorrow

Dearness Allowance announcement likely tomorrow after the cabinet meeting...
The much awaited official announcement of the additional Dearness Allowance for Central Government Employees and Pensioners is expected to be announced tomorrow after the cabinet meeting.
Sources said that cabinet to be announced tomorrow, the additional enhanced Dearness Allowance effective from July, 2010 is 10% and the total of 45%.


Tuesday, September 14, 2010

New series of WPI from today

Government will launch a new series of wholesale price index (WPI) with 2004-05 as base from Tuesday. At present, 1993-94 is used as base year to calculate WPI. The new series of WPI will have 676 items as against 435 items in the previous series. Consumer items widely used by the middle class like ice-cream, mineral water, flowers, microwave oven, washing machine, gold and silver will be reflected in the new series of WPI.
''This would give better picture of the price variation," a senior official said. Readymade food, computer stationary, refrigerators, dish antenna, VCD, petroleum products and computers will also be part of the new series.
Under primary article group of the new WPI, there will be 102 items against existing 98, while fuel and power category will remain static at 19. In the new series, there will be 555 items of manufactured products compared to 318 items at present, the official said.
At the same time, weight of manufactured products will go up to 64.97% compared to 63.75%, while that of primary articles group, including food, will come down to 20.12%, against 22.02% at present. The new series would accompany inflation numbers with old base year (1993-94) as well for comparison, the official added.

Monday, September 13, 2010

Flexible Complementing Scheme (FCS) for scientists in DRDO, ATOMIC & SPACE

A Flexible Complementing Scheme (FCS) for scientists is in position in some of the scientific Ministries/Departments of the Government of India and the same is presently governed by the guidelines issued by this Department under O.M. No.2/41/97-PIC dated the 9th November, 1998. There is also in position a separate, merit based promotion scheme in the DRDO and the Departments of Atomic Energy and Space. The Sixth Central Pay Commission (6th CPC) has examined these schemes in detail and observed that various time-bound promotion schemes may be necessary for scientific organizations as the morale of the scientists has to be kept high in order to keep them motivated and to stop the flight of talent from Government organizations involved in research and scientific activities. In this context, the 6th CPC has recommended that the existing scheme of FCS with necessary modifications has to be continued for R&D professionals in all S&T organizations, and the merit based promotion scheme in the Departments of Atomic Energy, Space and DRDO would also need to be persisted with. The Commission has, however, recommended certain features to be incorporated in the existing schemes of FCS and merit based promotion scheme so as to make them more relevant to the context.
2. The recommendations of the Commission have been examined in detail in the context of FCS and a revised comprehensive scheme is enclosed for immediate necessary action by all concerned Ministries and Departments. All the Ministries / departments shall initiate action for review of the provisions of the Flexible Complementing Scheme and amend the provisions of relevant recruitment rules so that the scheme is brought in conformity with the decision / guidelines being conveyed vide this Office Memorandum. Assessment of Scientists from 01.01.2011 shallbe done accordingly.
3. The Ministries/Departments may bring the Scheme to the notice of concerned autonomous Organizations under their control for being placed before their respective Governing Bodies.

Wednesday, September 8, 2010

Health insurance scheme for govt employees on anvil

The government has formulated a scheme that will allow its employees to choose between a health insurance plan provided by an insurer or that from state-run Central Government Health Scheme (CGHS).
At present, the Central government employees are covered under the CHGS scheme, being operated by the health ministry.
"The scheme is already formulated...It will open the choice for government servants," G C Chaturvedi, Additional Secretary in the Finance Ministry told news agency.
The new scheme, which will be placed before the Union Cabinet for approval soon, will immediately benefit at least three lakh Central government employees, he said.
The new scheme, Chaturvedi said, will be more beneficial to the employees who are posted at places where there are no CGHS dispensaries or they are far away from the place of posting.
CGHS dispensaries and hospitals are located only in 26 places in the country.
"Those who are residing outside CGHS dispensaries areas will immediately opt for it... There are over three lakh employees which will immediately opt for it, others will take some time," Chaturvedi said.
The government had earlier appointed a inter-ministerial committee to work out a health insurance scheme to supplement the CGHS scheme to provide better coverage to its employees.

Tuesday, September 7, 2010

Govt cannot refuse NOC to employee on technical grounds: CAT

Government cannot refuse to give no objection certificate (NOC) to an employee on "vexatious technical grounds" if no public interest was involved, the Central Administrative Tribunal has said.
"Denial to grant NOC is not sustainable as it is not the case of Ministry of Defence that there is a shortage of officers and the applicant's departure would be greatly inconvenient...Neither public interest is pleaded nor could it be established," a bench of CAT, comprising Chairman V K Bali and Vice Chairman L K Joshi, said.
The tribunal passed the order on a plea filed by Satyam, Assistant Medical Officer working with the Ordnance Factory Hospital, which had rejected her application seeking permission to appear in an interview for the post of Insurance Medical Officer in Employees State Insurance Corporation (ESIC).
The Ministry had rejected Satyam's request on the ground that the last date of submission of application was over.
"The only claim of the Ministry is that the application was not submitted before the expiry of time for its submission to ESIC. This is merely a vexatious technical objection," the tribunal said.

Monday, September 6, 2010

Bank officers not to join tomorrow''s nation-wide stir

Banking operations are not likely to be totally affected by tomorrow''s strike called by central trade unions, as officers from the State Bank of India as also from other banks, will not join the strike.
"Bank officers will not join the general strike call given by central trade unions tomorrow," All India State Bank Officers'' Federation and All India Bank Officers'' Confederation General Secretary G D Nadaf said in a statement here.
The officers federation would, however, extend "fraternal support" to the striking workers, he said.
According to him, only two bank unions - the All India Bank Employees Association (AIBEA) and Bank Employees Federation of India (BEFI) - are participating in tomorrow''s strike.
Tomorrow''s strike has been called by central trade unions like INTUC, AITUC, CITU, HMS, HMKP, UTUC and various industry-wise federations covering banks, insurance, oil, coal, defence, civil aviation, Port Trusts, public sector companies, Central and State Government employees, taxis and auto rickshaws, anganwadi unions and domestic workers unions, among others.
The strike has been called to protest against price rise, massive job losses in the name of recession, violations of labour laws and disinvestment in public sector units, among others. .

Sunday, September 5, 2010

Government staff to go on strike on September 7

Government employees and workers affiliated to different unions and groups will go on a nation-wide strike on September 7 to protest against various issues related to vacancies, inflation, pay scales as per the Sixth Pay Commission, among others.

A statement released by the Confederation of the Central Government Employees and Workers, Pune, has said that all central government employees, defence employees, bank and insurance employees, zilla parishad workers will join the strike.

A statement released by the confederation on Friday demanded that privatisation be stopped, vacant seats in every government department be filled up, manpower crunch be dealt with, limit on the bonus package be removed, etc.

The All India Defence Employees Federation, the All India Railway Federation, the Indian National Trade Union Congress, the Centre of Trade Union, the Hind Mazdoor Sabha, the Bank Employees Federation of India, the Maharashtra State Electricity Works Federation, the Bharat Sanchar Nigam Limited employees union have also agreed in principle to join the strike.

Saturday, August 28, 2010

EPFO Trustees' decision final on PF investments: Labour Ministry

Amid reported differences between the ministries of labour and finance, the former today asserted that the decision of EPFO trustees would be "final and supreme" on whether a portion of Rs 5 lakh crore of provident funds should be invested in stock markets.
The Finance Ministry wants the Labour Ministry to follow the investment pattern that is has notified, which provides for up to 15 per cent of the corpus in stock markets.
"Central Board of Trustees (CBT) decision is final and supreme. We would go by that. This matter would be placed before trustees in their next meeting scheduled on September 10", Labour Secretary P C Chaturvedi told reporters at CII event.
"We are careful in investing money of our workers. People call us very conservative, but paramount thing is safety of principal amount (deposits) of workers," he added.
In a recent letter to Chaturvedi, Finance Secretary Ashok Chawla had referred to the changes by made in EPF schemes earlier without any discussion with CBT and said it (Labour Ministry) could take a similar view on the issue of investment pattern of provident funds.
On the letter, Chaturvedi said, "There are many missing links in the advice of Finance Ministry (to invest in equity). There are many issues in that."
He added, "When you say equity, it is not face value. It is not that you are getting Rs 10 share for Rs 10. You are getting that at Rs 100. Tomorrow this Rs 100 could become Rs 120 or Rs 80."
Chaturvedi said there were several issues, operational as well as about the returns, involved in the case. "You don't get anything by way of interest (by investing in equity). It is only when you liquidate that share only then you get return."
He said the Finance Ministry's advice is based on the experience of New Pension Scheme (NPS) where they have admitted that there is no data available to establish that "what Labour Ministry is doing is inferior to what they are advising."
Chawla's letter said that while NPS for central government employees could generate a weighted average investment return of 14.82 per cent in 2008-09, EPF has been giving only 8.5 per cent returns to its subscribers for many years.
The EPFO has been giving 8.5 per cent return annually to its subscribers since 2005-06.

Thursday, August 26, 2010

New Direct Tax Code: Pay less in taxes from April 2011

The Cabinet has cleared the Direct tax code and will be introduced in Rajya Sabha, and referred it to a select committee, during the monsoon session.

The new provisions under the Direct Tax Code are as follows:

  • Tax for income between Rs. 2 lakh - Rs. 5 lakh: 10%
  • Tax for income between Rs. 5 lakh - Rs. 10 lakh: 20%
  • Tax for income over Rs. 10 lakh: 30%
The limit for exemptions for salaried people is Rs. 2 lakh, while that for senior citizens is Rs. 2.5 lakh.

Corporate tax has been kept at 30%.
The new Code comes into effect from April, 2011.
After the approval of the Cabinet, the decks are cleared for tabling the legislation in the Monsoon Session of Parliament so that the new Act ushering in reduced tax rates and exemptions may come into effect from next fiscal.
When enacted, the Code will replace the archaic Income Tax Act and simplify the whole direct tax regime in the country.
The Code aims at reducing tax rates, but expanding the tax base by minimising exemptions.
The Finance Ministry had earlier come out with a draft on the (Direct Tax Code) DTC bill, some of whose provisions drew strong criticism from industry as well as the public.
To address those issues, the ministry brought out the revised draft, dropping earlier proposals of taxing provident funds on withdrawal and levying Minimum Alternate Tax on corporates based on their assets.
"As of now, it is proposed to provide the EEE (Exempt-Exempt-Exempt) method of taxation for Government Provident Fund (GPF), Public Provident Fund (PPF) and Recognised Provident Funds (RPF) ...", the revised DTC released by the Finance Ministry said.
The revised draft also puts pensions administered by the interim regulator PFRDA, including pension of government employees who were recruited since January 2004, under EEE treatment.
The first DTC draft had proposed to tax all savings schemes including provident funds at the time of withdrawal bringing them under the EET (Exempt-Exempt-Tax) mode.
Under the EEE mode, the tax exemption is enjoyed at all the three stages - investment, accumulation and withdrawal.
The earlier DTC draft had proposed to reduce the corporate tax to 25 per cent from the present 30 per cent. The revised proposal has also made it clear that tax incentives on housing loans will continue. Payment on interest on housing loans up to Rs. 1.5 lakh will continue. The earlier draft was silent on housing loans.

Read more at:

Wednesday, August 11, 2010

Income Tax Refund fortnight from August 16 to 31

The Income Tax Department will observe the second fortnight of August, 2010 as IT Refund period to solve the pending complaints of salaried tax payers up to the Assessment year 2008 – 2009. This IT Refund Fortnight will be observed all over Tamil Nadu from 16th August, 2010 to 31st August, 2010.

IT officers will sit with the complainants and solve the problem. There are about 2200 complaints are pending with IT department related with the refund of excess tax they paid or deducted from their income.

The salaried employees those refunds are pending should bring the original TDS certificate, Form 16, PAN card, TAN number, bank account details and current postal address etc., with them. You can view your status by log in to

Monday, August 2, 2010

AICPIN for the month of June-2010 published. DA hike of 10%

Just now All India Consumer Price Index Number for Industrial Workers (CPI-IW) on base 2001=100 value has been released by Labour Bureau. The value of the index stands at 174 level, so in this situation, the Dearness Allowance for Central Government Employeeswill be rised 10% and total of 45% (35% + 10%).

All India Consumer Price Index Number for Industrial Workers (CPI-IW) on base 2001=100 for the month of June, 2010 increased by 2 points and stood at 174 (one hundred and seventy four). 

During June, 2010, the index recorded an increase of 8 points in Varanasi centre, 6 points each in Quilon and Giridih centres, 5 points in 4 centres, 4 points in 8 centres, 3 points in 13 centres, 2 points in 17 centres and 1 point in 19 centres. The index decreased by 1 point each in Ludhiana and Ghaziabad centres, while in the remaining 12 centres the index remained stationary. 

The maximum increase of 8 points in Varanasi centre is mainly due to increase in the prices of Rice, Wheat, Fresh Milk, Onion, Vegetable and Fruit items, Electricity Charges, Bus Fare, Tailoring Charges, etc. The increase of 6 points in Quilon centre is due to increase in the prices of Rice, Fish Fresh, Onion, Vegetable and Fruit items, Cigarette, Tailoring Charges, etc. and in Giridih centres it is due to increasein the prices of Mustard Oil, Fish Fresh, Turmeric Powder, Vegetable and Fruit items, Soft Coke, etc. However, the decrease of 1 point each in Ludhiana and Ghaziabad centres is due to decrease in the prices of Onion, Vegetable items, Sugar, etc. 

The indices in respect of the six major centres are as follows : 

1. Ahmedabad – 169
2. Bangalore –182
3. Chennai – 162
4. Delhi – 159
5. Kolkata -172
6. Mumbai -171

The point to point rate of inflation for the month of June, 2010 is 13.73% as compared to 13.91% in May, 2010. 

Tuesday, July 27, 2010

Issue of instructions on Reservation for the Scheduled Castes, Scheduled Tribes and Other Backward Classes in services under the Government of India.

No.36011/6/2010-Estt. (Res.)
Government of India
Ministry of Personnel, Public Grievances and Pensions
Department of Personnel and Training

North Block,
New Delhi- 110001
Dated the 26′th July. 2010.

  • Subject:- Issue of instructions on Reservation for the Scheduled Castes, Scheduled Tribes and Other Backward Classes in services under the Government of India.

         The undersigned is directed to refer to this Department’s O.M. of even number dated 25/6/2010 whereby a draft O.M. containing consolidated instructions on Reservation for the Scheduled Castes, Scheduled Tribes and Other Backward Classes in services under the Central Government was posted on this Department’s website for soliciting suggestations thereon by 12.7.2010. Several letters have been received requesting to extend the date for sending suggestions/ comments. The matter has been considered and it has been decided to extend the time period for sending comments upto 25.8.2010.

2.     All concerned are informed that comments/ suggestions on the draft OM, if any, may be sent to the undersigned by 25.8.2010 positively.

(KG. Verma)

Tuesday, July 20, 2010

Pension fund allocations up 38%

The Pension Fund Regulatory and Development Authority (PFRDA) has allocated Rs 5,100 crore to pension fund managers this year, 38% more than last year’s Rs 3,700 crore.

“This is because of the high number of subscribers, which is at 9.9 lakh currently,” Rani Nair, executive director of PFRDA said.

The corpus mainly comprises contribution of central and state government employees. “Around Rs 5,000 crore is from the government and the rest comes from unorganised sector,” said Nair.

The corpus under the New Pension System (NPS), introduced in 2004, is allocated to three fund managers —- SBI Pension Funds, LIC Pension Fund and UTI Retirement Solutions —- which started investment operations in April 2008.

The highest allocation this year has gone to LIC Pension Fund (35%), followed by SBI Pension Funds (33%) and UTI Retirement Solutions (32%).

“We follow a method of allocating on the basis of pervious year’s performance. Marginally, they (LIC Pension) were better than the others,” said Yogesh Agarwal, chairman, PFRDA.

LIC Pension Fund was allotted 29% last year and 5% a year before that.

“We have more than 10% of our investments in the equity markets, which gave good returns as the markets revived last year. Other than that, our investments in government securities..,” said Hari Sadhak, chief executive officer, LIC Pension Fund.

While investing, fund managers need to adhere to PFRDA guidelines, which state that not more than 55% is to be invested in government securities, 40% in corporate bonds, 15% in equity and 5% in money markets. “Depending upon the market situation, we keep changing our portfolio,” said Sadhak.

As on July 17, 2010, SBI Pension Funds had a net asset value (NAV) of Rs 13.2430 for central government employees. LIC Pension Fund posted NAV of Rs 12.8277 for central government and Rs 11.1602 for state government employees.

Monday, July 12, 2010

Teachers may get 2-yr leave for child care

If all goes well, the higher education female teachers in the state will get two years paid child care leave.

Also, for the first time the female teachers would get 180 days adoption leave on the lines of maternity leave in case they adopt a baby. The male teachers would also get 15 days paternity adoption leave. A provision of special casual leave to undergo sterilisation operation under family welfare programme will also be available to the teachers.

These provisions are part of the new regulations on service conditions issued by the University Grants Commission (UGC). The new regulations have increased the maternity leave from 135 days to 180 days, which can be available twice in the entire career. There is also a provision of paid leave in case of miscarriage including abortion.

However, what has been widely appreciated by the teachers is the provision of child care leave in which women teachers may be granted leave up to two years for taking care of their minor children. The leave can be availed once in the entire service period. Such a provision is already in place for Central government employees. Further, the new UGC regulations also include 180 days leave for the female teachers on adopting a child below one years of age. Male teachers would get 15 days paternity leave on adopting a child. However, the adoption leave would be allowed to childless teachers or those having only one child.

The new regulations have reduced the casual leave from 14 days to eight but have made a provision of special casual leave of ten days. This leave can be availed by the teachers for conducting examination of a university/public service commission/board of examination or other similar bodies/institutions and to inspect academic institutions attached to a statutory board. This leave would also be allowed for undergoing sterilisation operation — six days for men and 14 days for women.

Further, there is a provision of duty leave of maximum 30 days in an academic year which might be granted for attending conferences, congresses, symposia and seminars on behalf of the institution, delivering lectures in institutions and universities on invitation, working in another Indian or foreign university, any other agency, institution or organisation, when so deputed by the university among other things. Besides, study leave, sabbatical leave and earned leave will also be available as earlier.

The higher education department is studying the new regulations and has assured to take a decision soon. The move will benefit over 15,000 teachers, including over 4,000 female teachers, in UP. Teachers have welcomed the new UGC regulations on leave.

“It’s good that the UGC has recognised the importance of child care in a family. Many women had to leave their careers midway for raising children. But now managing career and family would be easy for women teachers,” said Sanyukta Shukla, a teacher.

“Provision for adoption leave will be of great help particularly for single women teachers who want to adopt babies. And, I hope state government will have no objection in accepting it as they do not amount to any financial burden on the state exchequer,” said Moulindu Mishra, Lucknow University Associated College Teachers’ Association.

Friday, July 2, 2010

Extension in the tenure of the National Anomaly Committee

Government of India
Ministry of Personnel, PG & Pensions
Department of Personnel & Training

New Delhi, the 1st July, 2010


Subject:- Extension in the tenure of the National Anomaly Committee.

The undersigned is directed to refer to para 5 of this Department’s O.M. of even number dated the 12th January, 2009 regarding setting up of Anomaly Committee to settle the anomalies arising out of the implementation of the Sixth Central Pay Commission’s recommendations and to state that it has been decided with the approval of the competent authority to extend the tenure of the National Anomaly Committee up to 31st March, 2011.

(Dinesh Kapila)
Director (JCA

Thursday, July 1, 2010

Grant of Dearness Relief to Central Government pensioners in the pre-revised scale of 5th CPC w.e.f. 1.1.2010.

F. No. 42/18/2010-P&W(G)
Government of India
Ministry of Personnel, Public Grievances & Pensions
Department of Pension & Pensioners’ Welfare
3rd Floor, Lok Nayak Bhavan,

Khan Market, New Delhi – 110003
Date: 29th June 2010


Subject : Grant of Dearness Relief to Central Government pensioners who are in receipt of provisional pension or pension in the pre-revised scale of 5th CPC w.e.f. 1.1.2010.

             In continuation to this Department’s OM No. 42/12/2009-P&PW(G) dated 17th November, 2009 sanctioning the Dearness Relief to those Central Government pensioners who are in receipt of provisional pension or pension in the pre-revised scales of 5th CPC, the President is pleased to grant the Dearness Relief to these Central Government pensioners as under :

(i) Those who are in receipt of provisional pension or pension in the pre revised scales of 5th CPC are entitled to Dearness Relief @ 87% w.e.f 1.1.2010.

(ii) The surviving CPF beneficiaries who have retired from service between the period 18.11.1960 to 31.12,1985 and are in receipt of ex-gratia @ Rs. 600/ p.m. w.e.f. 1.11.1997 under this Department’s OM No. 45/52/97-P&PW(E) dated 16.12.1997 are entitled to Dearness Relief @ 87% w.e.f. 1.1.2010.

2. The following categories of CPF beneficiaries who are in receipt of ex¬gratia payment in terms of this Department’s OM No. 45/52/97-P&PW(E) dated 16.12.1997 are entitled to DR @ 79% w.e.f. 1.1.2010.

(i) The widows and dependent children of the deceased CPF beneficiary who had retired from service prior to 1.1.1986 or who had died while in service prior to 1.1.1986 and are in receipt of Ex-gratia payment of Rs. 605/- p.m.


ii) Central Government employees who had retired on CPF benefits before 8.11.1960 and are in receipt of Ex-gratia payment of Rs. 654/-, Rs. 659/-, Rs. 703/- and Rs. 965/-.

3. In their application to the pensioners/family pensioners belonging to Indian Audit and Accounts Department, these orders issue in consultation with the C&AG.

4. This issues with the concurrence of Ministry of Finance, Department of Expenditure vide their UO No. 377/EV/2010 dated 28.6.2010.

(V. K. Wadhwa )
Under Secretary

All India Consumer Price Index Numbers For Industrial Workers On Base 2001=100 For The Month Of May, 2010

All India Consumer Price Index Number for Industrial Workers (CPI-IW) on base 2001=100 for the month of May, 2010 increased by 2 points and stood at 172 (one hundred and seventy two).

During May, 2010, the index recorded an increase of 6 points inWarrangal centre, 5 points in Guntur centre, 4 points in Chennai centre, 3 points in 16 centres, 2 points in 17 centres and 1 point in 18 centres. The index decreased by 2 points each in Yamunanagar, Puducherry, Amritsar, Ajmer, Ghaziabad and Varanasi centres and 1 point in 6 centres, while in the remaining 12 centres the index remained stationary.

The maximum increase of 6 points in Warrangal centre is mainly on account of increase in the prices of Moong Dal, Groundnut Oil, Eggs (Hen),Chillies Green, Vegetable and Fruit items, Bidi, Bus Fare, Repair Charges, etc. The increase of 5 points in Guntur centre is due to increase in the prices of Rice, Arhar Dal, Urd Dal, Goat Meat, Vegetable and Fruit items, Firewood, etc. and the increase of 4 points in Chennai centre is due to increase in the prices of Rice, Arhar Dal, Urd Dal, Eggs (Hen), Tamarind, Vegetable and Fruit items, Tea (Readymade), etc. However, the decrease of 2 points each inYamunanagar, Puducherry, Amritsar, Ajmer, Ghaziabad and Varanasi centresis due to decrease in the prices of Rice, Wheat, Wheat Atta, Fish Fresh, Onion, Vegetable and Fruit items, etc.

The indices in respect of the six major centres are as follows :

1. Ahmedabad



4. Delhi


2. Bangalore



5. Kolkata


3. Chennai



6. Mumbai


The point to point rate of inflation for the month of May, 2010 is 13.91% as compared to 13.33% in April, 2010.

Monday, June 28, 2010

Only 14 holidays for central govt staff in 2011

The government has announced 17 holidays for the central government staff for the year 2011, although three of these holiday -- Mahavir Jayanti (April 16), Mahatma Gandhi's birthday (October 2) and Christmas (December 25) -- fall on a Saturday or Sunday, thus effectively leaving only 14 holidays.

In case of the states, 14 compulsory holidays are declared, while the remaining three holidays are to be added from a list of 12 occasions listed in the notification by the central government employees' welfare coordination committee in the state capitals.

The compulsory holidays are Republic Day, Independence Day, Mahatma Gandhi's birthday, Buddha Purnima, Christmas, Dussehra (Vijaya Dashmi), Diwali (Deepavali), Good Friday, Guru Nanak's birthday, Id-ul-Fitr, Id-ul-Zuha, Mahavir Jayanti, Muharram and Prophet Mohammed's birthday (Id-e-Milad).

For the employees working in Delhi, three additional holidays added to the list are Maha Shiv Ratri, Ram Navmi and Janmashtmi. The coordination committees can pick up any other three days in their states, while including the remaining nine in the list, as restricted holidays.

The total restricted holidays for the government employees are 35, though 10 of them fall on Saturdays or Sundays when the offices are already closed in any case.

The notification also says that the number of holidays for banks is restricted to 15 days. Other central government organisations, like industrial, commercial and trading establishments, are permitted to declare a maximum of 16 days, but with the condition that they must include the national holidays of Republic Day, Independence Day and Mahatma Gandhi's birthday.

Here is the list of holidays:

Republic Day, January 26;
Prophet Mohammed's birthday, February 16;
Maha Shiv Ratri, March 2;
Ram Navmi, April 12;
Mahavir Jayanti, April 16;
Good Friday, April 22;
Buddha Purnima, May 17;
Independence Day, August 15;
Janmashtmi, August 22;
Id-ul-Fitr, August 31;
Mahatma Gandhi's birthday, October 2;
Dussehra, October 6;
Diwali, October 26;
Id-ul-Zuha (Bakr-Id), November 7;
Guru Nanak's birthday, November 10;
Muharram, December 6; and
Christmas, December 25.

Saturday, June 26, 2010

CVC for changes in law to nail corrupt babus

The Central Vigilance Commission (CVC) wants changes in Prevention of Corruption Act (PCA) for speedy investigation and trial of corrupt public servants.

Besides seeking more special trial courts, the apex anti-corruption watchdog has asked the government to relook the legal and statutory powers it has for initiating probe against corrupt officials that would help in the speedy disposal of corruption cases.

"There is a need to amend the Prevention of Corruption Act and Section 197 of CrPC to enable faster sanction from authorities concerned to speed up inquiry and the judicial process," Chief Vigilance Commissioner Pratyush Sinha told a news agency.

Sinha also said, "We have requested the government to increase the number of special courts to speed up the trials under the Prevention of Corruption (PC) Act." At present an estimated 40 special courts have been set up for the trial of cases under the PCA.

"There are certain types of cases where disciplinary authorities are reluctant to give accord in time to take necessary action against corrupt employees. There is a need of taking a fresh look into some legal and statutory powers given to us," he added.

As per the provision, the Central Vigilance Commission has to inform a panel led by the Cabinet Secretary before initiating inquiries against officers of the rank of joint secretary and above in the Central government.

The CVC said government departments must use information technology enabled services including floating tenders for procurement and in recruitment to keep at bay human interference.

Wednesday, June 16, 2010

Pay hike for defense skilled workers

Government today raised their Grade Pay by partially amending Sixth Pay Commission recommendations implemented in 2008 and restructured the cadre.

The new pay structure in both industrial and non- industrial trades, usually called defence artisans, would be implemented with retrospective effect from January 1, 2006 .

Under the new pay scales, Skilled Artisans would be in the Pay Band-I and their Grade Pay would be Rs 1,900.

Highly Skilled Grade-II Artisans would also be bracketed under Pay Band-I, but their Grade Pay would stand at Rs 2,400.

Highly Skilled Grade I Artisans, who too would be under Pay Band-I, would receive a Grade Pay of Rs 2,800.
Master Craftsman under Pay Band-II would be paid a Grade Pay of Rs 4,200.
Wherever the grade structure in the Industrial as well as Non-Industrial trades is already existing in the ratio of 45:55, the erstwhile Skilled and Highly Skilled, and 25% of Highly Skilled in the grade of Master Craftsman, the following will apply:
1) 45% of the posts may be granted the pay scale of Skilled Worker (Grade pay of Rs. 1900 in the Pay Band PB-1).
2) 25% of remaining 55% may be granted the pay scale of Master Craftsman (Grade Pay of Rs. 4200 in the pay band PB-2);
3) The remaining posts may be divided in a ratio of 50:50 and redesignated as Highly Skilled Worker Grade-II (Grade Pay of Rs. 2400 in pay band PB-1) and Highly Skilled Worker Grade-1 (Grade pay of Rs. 2800 in pay band PB-1).
The placement of the individuals in the posts resulting from the restructuring shall be made w.e.f. 1.1.2006, in relaxation of the conditions, if any, i.e trade test etc. as one time measure. Highly Skilled Grade I shall be en-bloc senior to Highly Skilled Grade II.
The Post of Master Craftsman shall be part of the hierarchy and the placement of Highly Skilled Grade I in the grade of Master Craftsman will be treated as promotion.
In the case of Defence Establishments where there is no category of Skilled Workers and direct recruitment is made 100% at the level of Highly Skilled, the posts of Master Craftsman existing as on 1.1.2006 will be placed in PB-2 + GP-4200 and the remaining posts of Highly Skilled Workers may be bifurcated in HS-I and HS-II in the ratio of 50:50.

Article Illegal occupant of govt premises not entitled to HRA: HC

The Delhi High Court has held that an employee in unauthorized occupation of the premises of the employer is not entitled to house rent allowance(HRA). "If the employees inspite of unauthorisedly occupying the accommodation of the employer are also held entitled to HRA, it would tantamount to allowing them to profiteer from the same which is not permissible," Justice Rajiv Sahai Endlaw said.
The Court passed the order on a petition filed by Municipal Corporation of Delhi (MCD) challenging the order of the Industrial Tribunal directing it to pay arrears of HRA to the employees from the date of their employment even though they were living unauthorisedly within the premises owned by the civic body.
While declining the plea of the employees, the court said HRA is not a part of salary but is a compensatory allowance paid in lieu of accommodation and is not to be used as a source of profit.
Interpreting the law applicable to government servants with respect to HRA, the court said, "HRA is not payable...if the government servant shares government accommodation allotted rent-free to another government servant or if the government servant resides in accommodation allotted to his/her parents/son/daughter by the central government, state government or if the spouse has been allotted accommodation at the same station."
It also allowed the MCD to evict the erring employees from the premises or recover rent or damages for use of accommodation if found out to be in excess of the HRA entitlement under the law.

Monday, June 14, 2010


All India Consumer Price Index Number for Industrial Workers (CPI-IW) on base 2001=100 for the past four month have been published in Labour Bureau website. According to these results we can expect that July 2010 will witness at least 9% increase in Dearness Allowance That is from the Existing 35% to 44%

            All India Consumer Price Index Number for Industrial Workers (CPI-IW) on base 2001=100 for the month of April, 2010 remained stationary at 170 (one hundred and seventy).For the past three months from February 2010 to April 2010, the All India Consumer Price Index Number for Industrial Workers (CPI-IW) remained stationary at 170.Theconsumer Price Index Number(CPI-IW) for the month of January 2010 was 172.and the CPI-IW for the month of May and June yet to be announced.

          Hence it is very much earlier to predict the D.A hike for the period of July 2010 to December 2010.But it is expected that for the remaining two months (May and June) the CPI-IW Number will be at 170 to 171.If the official CPI-IW index published by Labour Bureau, Department of Statistics, goes along with our expectation for the remaining two months, then we can say that there will be at least 9% hike in Dearness Allowance from July 2010.

Read Chances of 9% + DA hike during June 2010

Sunday, June 13, 2010

Retirement age for nursing teachers increased to 65

The union cabinet Thursday enhanced the retirement age of nursing teachers with postgraduate qualification to 65, in order to prevent an 'exodus' and help retain trained staff.

The decision was taken in a cabinet meeting chaired by Prime Minister Manmohan Singh, said Information and Broadcasting Minister Ambika Soni.

Pointing out that the nursing teachers presently retire at 60, Soni said: 'The decision would help in prevention of exodus and retention of teachers in the central government's nursing institutions and help them provide quality healthcare facilities.'

'There is an acute shortage of nursing teachers with postgraduate degrees in nursing. A large number of posts of teachers with M.Sc. (Nursing) are lying vacant in the various central government nursing institutions,' said the minister.

'As an immediate step to check further depletion in the availability of faculty, the union cabinet decided to enhance the age of superannuation from existing 60 years to 65 years,' she added.

'The National Commission on Macroeconomics of Health has estimated a wide gap in demand and supply of nurses in near future,' said Soni adding that the commission has also recommended opening of new nursing colleges and upgrading existing schools and colleges.

To meet this growing demand of nurses, the 11th Five Year Plan envisages opening of new nursing colleges, she said.

Friday, June 4, 2010

Higher retirement age, variable pay for public sector bank employees on cards

Employees of public sector banks (PSBs) could soon get incentives like their private sector counterparts to perform better and acquire new skill sets. A government committee has recommended 15-20% variable component in their salary package, along with the removal of the existing upper limit for their remuneration. It has also pitched for a hike in retirement age to 62 years from the current 60, sources in the committee told FE. The committee, set up by the finance ministry, is expected to submit its report next week.

Significantly, if the committee’s recommendations are accepted, each bank would be free to fix its salary structure based on its financial strength and also reward the highly-skilled with out-of-turn promotions.

The proposals are aimed at infusing a greater degree of professionalism in India’s banking industry, which is on the cusp of a makeover with the slow and steady globalisation of the financial sector.

India’s 27 PSBs have a combined manpower strength of 7 lakh. But the industry — which accounts for 70% of the banking business in the country — is experiencing a shortage of talent in high-end areas like risk management and treasury operations. Over 58% of middle-level managers in PSBs will retire in a couple of years.

The panel, headed by Bank of Baroda’s former chairman AK Khandelwal, has recommended that each public sector banks be allowed to settle salaries for its employees in line with their specific skill sets and the bank’s overall performance.

This will be an added incentive for existing employees to constantly upgrade their knowledge levels and skill-sets.

Set up last year, other members of the panel are MV Nair, CMD of Union Bank of India, Deepak B Phatak of IIT-Mumbai and TV Rao of IIM-Ahmedabad . When contacted, Nair, who is also chairman of Indian Banks’ Association (IBA), told FE that “the report to be presented next week would have measures needed to revamp recruitment processes, career and succession planning and training.”

PSBs follow an industry-wide wage settlement brokered by IBA once in five years, which will be scrapped if the recommendations are accepted. It may be recalled that an earlier attempt by IDBI Bank to fix the wage structure of its own employees had to be shelved due to opposition from employee unions.

Following the Sixth Pay Commission award for central government employees, bank employees were given a 17.5% salary hike late last year, as per a deal struck.

Monday, May 31, 2010

CPI-IW for March : 170; Expected DA from July : 45%

All India Consumer Price Index Numbers for Industrial Workers on Base 2001=100 for the Month of April, 2010
All India Consumer Price Index Number for Industrial Workers (CPI-IW) on base 2001=100 for the month of April, 2010 remained stationary at 170 (one hundred and seventy).
During April, 2010, the index recorded an increase of 4 points in Bangalore centre, 3 points each in Tripura, Rourkela, Asansol, Labac Silchar, Howrah, Durgapur and Mariani Jorhat centres, 2 points in 18 centres and 1 point in 18 centres. The index decreased by 2 pointsin Coimbatore, Ludhiana and Puducherry centres and 1 point in 12 centres, while in the remaining 19 centres the index remained stationary.
The maximum increase of 4 points in Banglore centre is mainly on account of increase in the prices of Goat Meat, Dairy Milk, Milk (Cow), Vegetable items, Snack Saltish, Cigarette, Saree (Synthetic), etc. The increase of 3 points each in Tripura, Rourkela, Asansol, Labac Silchar, Howrah, Durgapur and Mariani Jorhat centres is due to increase in the prices of Rice, Poultry, Goat Meat, Fish Fresh, Vegetable items, Cigarette, Firewood, etc. However, the decrease of 2 points each in Coimbatore, Ludhiana and Puducherry centres is due to decrease in the prices of Rice, Wheat, Wheat Atta, Onion, Sugar, etc.
The indices in respect of the six major centres are as follows :
1. Ahmedabad 164
2. Bangaluru 179
3. Chennai 156
4. Delhi 158
5. Kolkata 168
6. Mumbai 167
The point to point rate of inflation for the month of April, 2010 is 13.33% as compared to 14.86% in March, 2010.

Sunday, May 23, 2010

Revision of OverTime Allowance / Railways

The railway board granted payment of overtime Allowance in the revised 6CPC Pay scale with effect from 01-9-2008.Why the issue of revision of OverTime Allowance has not been considered in importent ministries like Defence,Postal etc.? The Railway board’s order of grant of Overtime Allowance is given below for the referance



S.No. PC-VI/189                                    RBE No. 29/2010
No. PC-V/2008/A/O/3(OTA)                 New Delhi, dated 17.02.2010
The General Managers
All Indian Railways and
Production Units.
(as per mailing list)
Sub: Grant of Overtime Allowance to Railway employees consequent upon revision of pay scales and allowances.
          Pursuant to the recommendations of the Sixth Pay Commission, the issue of revision of Over Time Allowance has been under consideration and in partial modification of the Board’s earlier orders on the subject, it has been decided by the Board that the Railway employees who are governed by the Statutory Acts like the Factories Act, Hours of Employment Regulations or those covered under rules for Departmental Overtime and who have opted for the revised scales of pay in terms of Railway Services (Revised Pay) Rules, 2008, may be granted overtime allowance, on the basis of their emoluments in the revised scales of pay.
2. The emoluments, for the purpose of computation of rates of OTA will comprise the following:
a) Railway employees governed by Factories Act
• Basic Pay (Pay in Pay Band + Grade Pay)
• Dearness Allowance
• House Rent Allowance
• Transport Allowance
• Cash equivalent of the advantage accruing through the concessional sale to workers of food grains and other articles, as the worker is for the time being entitled to (excluding wages for Overtime work or Bonus)
b) Railway employees governed by HOER
• All the items as shown in (a) above except House Rent Allowance
c) Railway employees governed by rules Under Departmental Overtime
(i) Employees working in Loco Sheds and C & W Depot
• All the items as shown in (a) above except House Rent Allowance
(ii) Other Railway employees governed under Departmental Orders
• Basic Pay (Pay in Pay Band + Grade Pay)
• Dearness Allowance
3. The revised rates of Overtime Allowance shall be effective from 01-9-2008.
4. With a view to minimize instances of OTA, General Managers may take following measures:-
(i) Prepare an action plan for systematic and efficient utilization of manpower covering various aspects viz. filling up of vacancies, especially in Running staff and operational categories, proper management of sanction of leave and rational deployment of staff.
(ii) Conduct a fresh job analysis of the duties of Motor Car Drivers who are presently classified as ‘Continuous’ to determine their actual period of working requiring sustained attention.
(iii) Prefer hiring of vehicles for official use, if necessary.
(iv) Allow compensatory off to the staff booked on holidays due to exigencies.
(v) Direct all the RRBs to follow a uniform pattern by giving compensatory off to their staff instead of OTA.
(vi) Review payment of OTA to supervisors in the Pay Band-2 except to those who are earmarked for breakdown duties, to minimize the incidence of OTA.
5. This issues with the concurrence of the Finance Directorate of the Ministry of Railways.

Tuesday, May 18, 2010

Employees’ Provident Fund (EPF) to be Modernised

A budgetary estimate of Rs. 96 crore has been approved by the Central Board of Trustees, Employees’ Provident Fund (CBT, EPF) for the implementation of the first phase of the ‘Modernization Project’ of the Employees’ Provident Fund Organisation (EPFO) being implemented in collaboration with National Informatics Centre (NIC).
The first phase of the ‘Modernization project’ has already been implemented in 28 offices of EPFO. It is planned to implement it in the remaining 92 offices of EPFO in the current financial year i.e. 2010-11.

Chances of 9% + DA hike during June 2010

As per the figures available from Labour Bureau, Government of India ( it can be assumed that 9% DA hike can be assumed from June 2010, provided the All India Consumer Price Index (AICPI) doesnt come down was was the case for Jan 2010. The DA from June 2010 can be 45%. This is calculated assuming that the All India Consumer Price Index (AICPI) remains unchanged at 170 During April to June, which are yet to be announced. These figures for January 2010 was 172 and came down to 170 during February and remained same at 170 for March.




Total for 12 months


App. DA































































Friday, May 7, 2010

Incentive increments to the sportspersons for outstanding sports achievements at National and International levels.


Ministry of Personnel, Public

Grievances and Pensions

Department of Personnel and Training

New Delhi the 61h May 201 0


Subject:: Incentive increments to the sportspersons for outstanding sports achievements at National and International levels.
Reference is invited to this Department's OM of even umber dated  6th Aguest 2008 and subsequent reminders dated 3rd October, 2008, 12 th December,2008, 3rd September,2009 22 nd October,2009 and
on 181h December,2009 hereby it has been requested to furnish views regarding the quantum of lump-sum incentives to be granted to sportspersons who win a Gold, Silver or Bronze medal in the Nationalllnternational Tournaments. A copy of the OM dated 26Ih August, 2008 has been uploaded on the DOPT's website ie.
2. All the MinistrieslDepartments are again requested to expedite the matter and furnish their considered views by 31'' May 2010 failing which it will be presumed that the MinistrylDepartment has no comments
to furnish.

Thursday, May 6, 2010

‘Swavalamban’ initiative to accelerate NPS yet to pick up

Despite government initiatives, the NPS has not generated enough interest among the masses. What needs to be done to prop up this excellent scheme?

Investors have not responded with much enthusiasm to the ‘Swavalamban’ initiative extended by the government under which it will contribute Rs1,000 per year (for a period of four years) to every New Pension Scheme (NPS) account opened this year with at least a matching contribution from the subscriber. Citizens in the non-government segment continue to abstain from investing in the NPS. The number of non-government subscribers to NPS registered as of 30 April 2010 has touched 5,532. Although the figure is more than double that of October 2009 when non-government subscribers were 2,321, the absolute numbers are still small.
The total central government employees registered under the NPS have gone up to 6,09,376 from 5,38,276 in October last year. However, there has been a large increase in numbers from among the state government employees during the same period. The number of subscribers under this category rose to 2,55,903 from the earlier 1,10,024.
An officer from one of the point of presence service providers (PoP-SP) pointed out that there have been no significant additions since the budget announcement. He said, “The momentum has not picked up much despite various initiatives from the government and banks. We have been told that this product should be bought and not sold. So we are not expected to advise customers in any way. The policy is that we wait for the customers to approach us. We are fully equipped and ready to accept subscriptions in the NPS.”
Incidentally, this PoP-SP has commissioned more than 300 of its branches to provide NPS registration facilities to the subscribers. Several other banks have also mobilised a chunk of personnel and designated a part of their infrastructure for catering to the NPS subscriptions. Another PoP service provider confirmed, “Although there is an improvement in the NPS accounts, it is not as much as what was expected.”
Commenting on what needs to be done to popularise the scheme, the official stated, “We need to approach private sector companies and talk to employees about the benefits of the scheme. The government could also probably offer a minimum dividend or guarantee as people may be worried about what they will end up with after so many years. Things will change if the scheme assures a minimum return.”
Speaking about the possible actions being considered to promote the scheme, an official from the Pension Regulatory and Development Authority (PFRDA) said, “The Swavalamban initiative has seen a slow and steady rise from the earlier rate of enrolment. The first phase of implementation is almost over. We are now looking at various promotional and monetary incentives for enrolment. We are considering media campaigns and strengthening the regulatory mechanism through monitoring the PoPs more closely and how to make them promote the scheme better.”
The still lukewarm response to the NPS is unfortunate considering that it is a product that is actually tailor-made for the requirements of the masses. It is among the least expensive balanced investment products in the market and the cheapest pension product in the offing, which would make a huge difference to long-term wealth.
Lack of confidence in the product is also a mitigating factor. Investors are wary about how much they will end up with after the contribution period. Investors should be advised by the PoPs regarding the portfolio allocation to debt and equity before investing. Awareness among the masses still remains a concern for the pension regulator and hence, its plans to promote the scheme need to take shape for the NPS to achieve its true potential.

Tuesday, May 4, 2010

Govt planning to give deemed deputation status to PB employees

New Delhi: Government today informed Rajya Sabha that it is planning to give Prasar Bharati employees, who had joined the public broadcaster till October 5, 2007, the status of being on deemed deputation.
Minister of State for Information and Broadcasting C M Jatua, in a written reply to a question, said, "government has proposed to amend Section 11 of Prasar Bharati Act based on recommendations of the GoM dated October 5, 2007 and September 26, 2008".
Section 11 of Prasar Bharati Act recommends that the right of taking a decision whether they want to be government employees or public broadcaster's employees, should rest with the employees of Prasar Bharati.
When Prasar Bharati was established as an autonomous corporation by an Act of Parliament, it was entrusted with the functions discharged by All India Radio and Doordarshan.
Around 40,000 odd DD and AIR employees had joined it on deemed deputation, but were not getting any facilities meant for Central Government employees.
After a prolonged agitation by workers, the GoM had recommended in September 2008 that employees recruited upto October 5, 2007 would continue to be government servants on deemed deputation to Prasar Bharati till retirement and will enjoy all facilities at par with Central Government employees.
It had further said that employees recruited after October 5, 2007 will be Prasar Bharati employees.
Accordingly, the government is in the process of amending Section 11 of the Act to implement the GoM's decision.
The minister said the government has referred to the reconstituted Group of Ministers (GoM) the issue of whether a Parliamentary committee of Prasar Bharati should be constituted as per provisions of Prasar Bharati Act.
"The issue whether a Parliamentary committee is to be constituted as per Section 13 of Prasar Bharati Act 1990 or Section 13 of the Act is to be deleted, has been referred to the GoM, which has been reconstituted on February 10, 2010 for taking a view," he said

Sunday, May 2, 2010

Grade Pay Rs.4200 to MCM:Issuance of Order will be delayed

          The sources close to the South Block told that the proposal approved by the Finance Ministry (Department of Expenditure) regarding granting Grade Pay Rs.4200 to MCM in Ministry of Defence, facing a surprising twist in its non ending long journey.
         It has been told that all the three federations (AIDEF, INDWF, and BPMS) are opposing this proposal as it was not the same as they accepted in Fast Track Committee. Hence it is believed that the Defence Ministry now sent the file back to MOF for the approval of the proposal accepted in Fast Track Committee.
           In the old proposal it has been recommended that there will be 4 Grade Structure, in which Skilled-45%, Highly Skilled II-20.5%, Highly Skilled I-20.5%

New Pension Scheme - PFRDA may raise allocations for pension fund managers

The Pension Fund Regulatory Development Authority (PFRDA) is likely to allocate Rs 4,100 crore in 2010-11 among the three pension managers, State Bank of India, UTI Mutual Fund and LIC Mutual Fund. Last year, the regulator had allocated Rs 3,700 crore.
The corpus would mainly be the contribution of central and state government employees. At present, 25 states have signed up for the new pension scheme (NPS).
The NPS’ board of trustees  decided to review the allocation formula. The allocations will be decided on the basis of the managers’ performance over the past year. According to PFRDA’s website, SBI’s pension fund had the highest net asset value (NAV) under central government schemes. As on April 23, SBI pension fund had an NAV of Rs 12.82 for central government employees, while UTI Retirement Solutions posted an NAV of Rs 12.38. LIC Pension Fund’s NAV was Rs 12.41.
The final decision will be taken by the NPS’ board of trustees on Monday. Last year, SBI had got 40 per cent, UTI MF 31 per cent and LIC MF 29 per cent.

Tuesday, April 27, 2010

CCS (LTC) Rules, 1988 - Relaxation for travel by air to visit NER-clarification

F.No. 31011/4/2007-Estt.(A)

Government of India

Ministry of Personnel. Public Grievances & Pensions

Department of Personnel & Training

New Delhi, dated 23th April, 2010


Subject:- CCS (LTC) Rules, 1988 - Relaxation for travel by air to visit NER.
          The undersigned is directed to refer to this Department O.M. of even No.dated 20.4.20l0 and to clarify that the validity of this Department O.M. of even NO. dated 2.5.2008 stands extended on the same terms and conditions for a further period of two years beyond 1.5.2010 in relaxation of CCS (LTC) Rules,
1988 to visit North Eastern Region of lndia.

Under Secretary to the Government of lndia


Government has not restricted promotion opportunities for the Personnel Below Officers Rank (PBOR) in the Armed Forces. The Government has, in fact, improved the career prospects by approving grant of three Assured Career Progression (ACP) to PBOR at 8, 16 and 24 years of service as against three Modified Assured Career Progression Scheme (MACPs) for the Central Government Civilian Employees at 10, 20 and 30 years of regular service. At the time of each financial upgradation under ACP, the PBOR would get an additional increment and next higher Grade Pay in hierarchy.
Army: PBORs (including Jawans) are eligible for grant of commissioning into Officer Cadres through various In Service entries
i.e. Army Cadet College (ACC) / Special Commissioned Officers (SCO) / Permanent Commission Officers (Special List) [PC(SL)].
Navy: Adequate promotion avenues exist through time based, roster based and selective promotion for sailors. Promotion upto the rank of Leading Seaman/equivalent for non-Artificers and upto the rank of Artificer 3rd class for artificers are time based. Roster based and selective promotions are for higher ranks against the available / anticipated vacancies. Promotion
avenues also exist for sailors to be promoted to officer rank through the Commission Worthy Scheme and the Special Duty List Scheme.
Air Force: A PBOR during his service career can be promoted upto the rank of Master warrant Officer (MWO) subject to fulfilling eligibility criteria and availability of vacancies.
Number of PBORs including Jawans promoted to Senior Officers post in the three services of the Armed Forces during the last three years is as under:
Year          Army  *        Air Force         NAVY
2007         159                 94              Commission Worthy Scheme          Special
                                                                                                         duty list scheme
2008        139                  64                                                                   
2009        205                  59              54                                                       82
* Excluding Army Medical Corps and Army Dental Corps
Government proposes to review the promotion policy for PBOR to ensure greater opportunities for PBORs. In the Army, review of the promotion policy for PBOR is under process to ensure better opportunities. A cadre review for the PBOR has been ordered in May 2009. The Navy is also working on a proposal for cadre restructuring of sailors, which would enhance their promotional avenues.
This information was given by Defence Minister Shri AK Antony in a written reply to Shri Arjun Ray in Lok Sabha today

Thursday, April 22, 2010

Grade Pay Rs.4200(in MOD) is approved by Ministry of Finance

INDWF sources revealed that the proposal submitted by MOD on the approval of Fast Track Committee to create Four grade structure for industrial employees has been now approved by Ministry of Finance,(Department of Expenditure) on 22.04.2010.According to the approval the following proposal has been granted.

SKILLED 45% Rs.1900
HIGHLY SKILLED-I 27.5% Rs.2800
MCM 25% of HS-I and HS-II Rs.4200

1. Only three grades will be there. HS-I,HS-II,SKILLED
2. MCM will not be Hierarchy
3. Feeder grade for Charge Man will be HS-I
4. MCM and HS-I Grades and revised Grade pay will be effect from 01-01-2006.
5. One time relaxation from Trade Test for HS-I w.e.f .01-01-2006
6. After getting approval from Defence (Finance) necessary orders will be issued by Ministry of Defence by next week

Thursday, April 8, 2010

'Fake' allowance hike order fools central govt employees

Was it an April Fool prank or a case of an adventurous babu arbitrarily announcing increase in overtime allowances to please colleagues in central government offices?

The case in question is that of a “fake” order being circulated in these offices on increasing allowances on the basis of a circular issued by the finance ministry on April 1 last.

Although a high-level inquiry has been ordered by the finance ministry and the department of personnel and training (DoPT), no clue has yet been found on who was behind the mischief. The office memorandum number 1(4)/2010E-II dated 27/3/2010 was issued by the finance ministry with the signature of under secretary S Rajan Chandranaydu.

“The case is being probed by senior officials. But nothing as yet has been found,” a DoPT official said. “The possibility of it being an April Fool prank is also being looked into. But even in such a case, the guilty could face the music,” he said.

The official clarified that it had nothing to do with DoPT, which is the nodal department on such issues. “It pertains to the finance ministry and they are probing it,” he said.

The issue came to the notice of DoPT after enthusiastic central government officials started seeking details of the hiked overtime allowances, such as the date from which they would become operative. Acting swiftly, DoPT got in touch with the finance ministry, only to discover that the order was fake.

To set the record straight, DoPT issued a fresh office memorandum to clear doubts about the veracity of the order. “It is clarified that no such instruction has been issued by either DoPT or the finance ministry. The ministries and departments are advised not to take cognisance of the fake instructions being circulated in central government offices,” the office memorandum signed by DoPT director Simmi R Nakra said.

Wednesday, April 7, 2010

DA Due from July 2010 could be a minimum of 6%

The consumer price index of industrial workers for december stood at 169 and for January 2010 stood at 171. If the consumer price index stays above 165 for the remaining months upto June, 2010 The DA due from July, 2010 could be 6% or above.

New DA for employees drawing their pay in the pre revised - 5th CPC


Subject:- Rates of Dearness Allowance applicable w.e.f. 1.1.2010 to the employees of Central Government and Central Autonomous Bodies continuing to draw their pay in the pre revised scale as per 5thth CPC.


The undersigned is directed to refer to this Department’s O.M. of even No. dated 29th September, 2009 revising the Dearness Allowance w.e.f. 1.7.2009 in respect of employees of Central Government and Autonomous Bodies who continue to draw their pay and allowances in the pre-revised scales of pay as per 5th Central Pay Commission.

2 The rates of Dearness Allowance admissible to the above categories of employees of Central Government and Central Autonomous bodies shall be enhanced from the existing rate of 73% to 87% w.e.f. 1.1.2010. All other conditions as laid down in the O.M. dated 3 October, 2008 will continue to apply.

3 The contents of this Office Memorandum may also be brought to the notice of the organizations under the administrative control of the Ministries/Departments which have adopted the Central Government scales of pay.

Wednesday, March 31, 2010

Declaration of Holiday on 14th April, 201& Birthday of Dr.B.R.Ambedkar.

It has been decided to declare Wednesday, the 14th April 2010, as a Closed Holiday on account of the birthday of Dr. B.R. Ambedkar, for all Central Government Offices including industrial establishments throughout India.

The above holiday is also being notified in exercise of the powers conferred by Section 25 of the Negotiable Instruments Act, 1881 (26 of 1881).

Saturday, March 27, 2010

OM - 35% Dearness Allowance - Revised rates from 1.1.2010


Government of India
Ministry of Finance
Department of Expenditure

New Delhi, the 26th March, 2010.


Subject:- Payment of Dearness Allowance to Central Government Employees - Revised Rates effective from 1.1.2010.

The undersigned is directed to refer to this Ministry's Office Memorandum No.1(6)/2009-E-II(B)dated 18th September, 2009 on the subject mentioned above and to say that the President is pleased to decide that the Dearness Allowance payable to Central Government employees shall be enhanced form the existing rate of 27% to 35% with effect from 1st January, 2010.

2. The provisions contained in paras 3, 4 and 5 of this Ministry's O.M. No.1(3)/2008-E-II (B) dated 29th August, 2008 shall continue to be applicable while regulating Dearness Allowance under these orders.

3. The additional instalment of Dearness Allowance payable under these orders shall be paid in cash to all Central Governmentemployees.

4. The payment of arrears of Dearness Allowance for the month of January and February, 2010 shall not be made before the date of disbursement of salary for March, 2010.

5. These orders shall also apply to the civilian employees paid from the Defence Services Estimates and the expenditure will be chargeable to the relevant head of the Defence Services Estimates. In regard to Armed Forces personnel and Railway employeesseparate orders will be issued by the Ministry of Defence and Ministry of Railways, respectively.

6. In so far as the persons serving in the Indian Audit and Accounts Department are concerned, these orders issue after consultation with the Comptroller and Audit General of India.

(R. Prem Anand)
Under Secretary to the Government of India

Friday, March 19, 2010

8 per cent hike in Dearness Allowance for Central staff

The Cabinet on Friday approved eight per cent increase in the dearness allowance of government employees and pensioners.

'The Cabinet approved an eight per cent increase in the dearness allowance of government employees and dearness relief of pensioners with effect from Jan 1, 2010,' Information and Broadcasting Minister Ambika Soni said.

'This is over and above the existing rate of 27 per cent (of basic pay),' she said while briefing reporters after a cabinet meeting chaired by Prime Minister Manmohan Singh.

'The decision will cost the exchequer Rs.6,969.36 crore annually,' Ambika Soni said.