Proposed Pay
Structure in the Final Memorandum of NC JCM to 7th CPC
Structure in the Final Memorandum of NC JCM to 7th CPC
National Council
JCM , Staff Side has finalised its Memorandum to be submitted to 7th Pay
Commission and it has been posted in its website NCJCMstaffside.com for all
central government employees. The Full Final Memorandum consists 98 pages and
the download link is provided below this post
JCM , Staff Side has finalised its Memorandum to be submitted to 7th Pay
Commission and it has been posted in its website NCJCMstaffside.com for all
central government employees. The Full Final Memorandum consists 98 pages and
the download link is provided below this post
Chapter —VII
Proposed Pay Structure and Rate of Increment
Proposed Pay Structure and Rate of Increment
In the preceding
chapters we have dealt with the various principles of pay determination as
was enunciated by the successive Pay Commissions. The 6 CPC introduced the
new concept of Pay Band and Grade Pay. We are not able to comprehend any
logical methodology having been adopted by the 6th CPC in constructing the
Pay Band and Grade Pay. In the ultimate analysis, we found that there had
been no uniform multiplication factor. It varied from 2.2 time to 3.
The changes effected by the Government while implementing the
recommendations of the 6th cpc further compounded the confusion and making
t more irrational and arbitrary. The 6 cPC in their report stated that they
have upgraded certain pay scales having appreciated the contention made by
the employees organizations. They merged certain other pay scales in an effort
to delayering the functions. But the new pay that emerged from such
upgradation/merger was not equivalent to the higher pay scales in the said
group. For instance, the erstwhile pay scales of Rs.5000-8000, 5500-9000
and 6500-10500 were merged. The multiplication factor for pay
band construction was 1.86 times of the minimum. Therefore the pay band
for the pre merged pay scales was determined to begin at Rs.9300/-. Having
merged, the pay band must have begun at 12,090/-, i.e. 1.86 times of
6500/- in which the other pay scales were merged.
chapters we have dealt with the various principles of pay determination as
was enunciated by the successive Pay Commissions. The 6 CPC introduced the
new concept of Pay Band and Grade Pay. We are not able to comprehend any
logical methodology having been adopted by the 6th CPC in constructing the
Pay Band and Grade Pay. In the ultimate analysis, we found that there had
been no uniform multiplication factor. It varied from 2.2 time to 3.
The changes effected by the Government while implementing the
recommendations of the 6th cpc further compounded the confusion and making
t more irrational and arbitrary. The 6 cPC in their report stated that they
have upgraded certain pay scales having appreciated the contention made by
the employees organizations. They merged certain other pay scales in an effort
to delayering the functions. But the new pay that emerged from such
upgradation/merger was not equivalent to the higher pay scales in the said
group. For instance, the erstwhile pay scales of Rs.5000-8000, 5500-9000
and 6500-10500 were merged. The multiplication factor for pay
band construction was 1.86 times of the minimum. Therefore the pay band
for the pre merged pay scales was determined to begin at Rs.9300/-. Having
merged, the pay band must have begun at 12,090/-, i.e. 1.86 times of
6500/- in which the other pay scales were merged.
7.2 The manner in
which the Grade pay was devised is also questionable. At the lower level
the Grade Pay progresses @ Rs.100/- ,i.e. 1800, 1900, 2000, etc. The pay
in the Band + Grade Pay at the entry level is 5200 + 1800 = 7000. An
employee is entitled for 3% increment every year. He gets a financial
benefit of Rs. 210 every year on account an increment whereas on
promotion his grade pay gets increased by just Rs.100/. only. The Grade
Pay was devised at 40% of the maximum of the pre revised time scale of
pay. The maximum of any time scale of pay will depend upon the rate of
increment and the span of the scale of pay. The ratio between the minimum
and the maximum of all pay scales was not uniform, rather it could not be
uniform. Therefore, prescribing Grade Pay as a percentage of such variable
maximum, in our opinion, was erroneous. Normally fitment benefit represent
the gap between pre revised minimum and the revised minimum. The 6th CPC
recommendation of Grade Pay did not serve this purpose also. Having been
expressed in absolute quantum amount it gave varied benefit in different pay
bands as also at different stages in the same pay bands.
which the Grade pay was devised is also questionable. At the lower level
the Grade Pay progresses @ Rs.100/- ,i.e. 1800, 1900, 2000, etc. The pay
in the Band + Grade Pay at the entry level is 5200 + 1800 = 7000. An
employee is entitled for 3% increment every year. He gets a financial
benefit of Rs. 210 every year on account an increment whereas on
promotion his grade pay gets increased by just Rs.100/. only. The Grade
Pay was devised at 40% of the maximum of the pre revised time scale of
pay. The maximum of any time scale of pay will depend upon the rate of
increment and the span of the scale of pay. The ratio between the minimum
and the maximum of all pay scales was not uniform, rather it could not be
uniform. Therefore, prescribing Grade Pay as a percentage of such variable
maximum, in our opinion, was erroneous. Normally fitment benefit represent
the gap between pre revised minimum and the revised minimum. The 6th CPC
recommendation of Grade Pay did not serve this purpose also. Having been
expressed in absolute quantum amount it gave varied benefit in different pay
bands as also at different stages in the same pay bands.
7.3 The Grade Pay
system brought about various anomalies, which were raised at the NAC
but found no resolution despite discussions on several occasions in the
last 6 years. We are of the firm view that the 7” CPC should revert to the
Pay Scale System which has been time tested. We have constructed the pay
scales maintaining the relativities with the time scale of pay suggested
by both 5’ and 6th cPC•
system brought about various anomalies, which were raised at the NAC
but found no resolution despite discussions on several occasions in the
last 6 years. We are of the firm view that the 7” CPC should revert to the
Pay Scale System which has been time tested. We have constructed the pay
scales maintaining the relativities with the time scale of pay suggested
by both 5’ and 6th cPC•
7.4 While
constructing the pay scales we have taken the rate of increments at 5% instead
of 3% presently available. We have done so on the ground that most of the
PSUs including the banking industries provide the incremental rate at 5%
and over a period of time it raises the salary level of the personnel. We
therefore request that the 7th CPC may recommend the rate of
annual increment at 5%. Incidentally we may also state that the uniform
date of increment prescribed by the 6th CPC has encountered certain
problems and anomalies. We, therefore, suggest that the 7th cpc may recommend,
for administrative expediency, two specific dates as increment dates, Viz.
1st January and 1st July. Those recruited/appointed/promoted during the
period between l January and 30th June will have their increment date on
1stt January and those recruited/appointed/promoted between 1st July and
31st December will have it on 1st July next year. This apart we
request the Commission to specifically recommend that those who retire
on 30th June or 31St December are granted one increment on the last day of
their service.
constructing the pay scales we have taken the rate of increments at 5% instead
of 3% presently available. We have done so on the ground that most of the
PSUs including the banking industries provide the incremental rate at 5%
and over a period of time it raises the salary level of the personnel. We
therefore request that the 7th CPC may recommend the rate of
annual increment at 5%. Incidentally we may also state that the uniform
date of increment prescribed by the 6th CPC has encountered certain
problems and anomalies. We, therefore, suggest that the 7th cpc may recommend,
for administrative expediency, two specific dates as increment dates, Viz.
1st January and 1st July. Those recruited/appointed/promoted during the
period between l January and 30th June will have their increment date on
1stt January and those recruited/appointed/promoted between 1st July and
31st December will have it on 1st July next year. This apart we
request the Commission to specifically recommend that those who retire
on 30th June or 31St December are granted one increment on the last day of
their service.
7.5 We have also
felt that a further reduction in the number of pay scales is needed.
While constructing the pay scales we have removed those pay scales
pertaining to Grade Pay of Rs.1900, 2400, 4600, 8700 and the scale of pay
of Rs. 75500-80000. We are of the opinion that the instrument of Special
Pay which was in operation earlier should be brought back to address the
need of intermediary grades in certain organizations. The Associations and
Federations representing the employees and officers of various departments
and various categories will submit their memorandum indicating the pay
scales to be assigned to the categories of the
employees and officers they represent taking into account the nature of
functions assigned to those categories separately.
felt that a further reduction in the number of pay scales is needed.
While constructing the pay scales we have removed those pay scales
pertaining to Grade Pay of Rs.1900, 2400, 4600, 8700 and the scale of pay
of Rs. 75500-80000. We are of the opinion that the instrument of Special
Pay which was in operation earlier should be brought back to address the
need of intermediary grades in certain organizations. The Associations and
Federations representing the employees and officers of various departments
and various categories will submit their memorandum indicating the pay
scales to be assigned to the categories of the
employees and officers they represent taking into account the nature of
functions assigned to those categories separately.
7.6 Presently,
functional promotion is made to the next hierarchical position whereas
MACP promotion ¡s Grade Pay based, irrespective of the fact whether a
particular Grade Pay exist in the hierarchy or not in the concerned
department. Our suggestion to reduce the number of pay scales go a great
extent to obviate the difficulty encountered due to the dual system
of promotion.
functional promotion is made to the next hierarchical position whereas
MACP promotion ¡s Grade Pay based, irrespective of the fact whether a
particular Grade Pay exist in the hierarchy or not in the concerned
department. Our suggestion to reduce the number of pay scales go a great
extent to obviate the difficulty encountered due to the dual system
of promotion.
7.7 We have
constructed open- ended pay scales. This is to ensure that no employee
stagnates without increment. The pay of the Secretary and the Cabinet
Secretary has been kept as a fixed amount as has been the recommendation
of the 6th CPC. In consonance with our view on the need for further
de-layering, we have suggested only 14 Pay scales indicating in the table
the minimum of each of them. The said 14 pay scales are given below:
constructed open- ended pay scales. This is to ensure that no employee
stagnates without increment. The pay of the Secretary and the Cabinet
Secretary has been kept as a fixed amount as has been the recommendation
of the 6th CPC. In consonance with our view on the need for further
de-layering, we have suggested only 14 Pay scales indicating in the table
the minimum of each of them. The said 14 pay scales are given below:
In Table 7.2, the
corresponding pay scales of the 6” CPC recommended Grade Pay are given
for reference.
corresponding pay scales of the 6” CPC recommended Grade Pay are given
for reference.
Table No. 7.1.
Proposed pay scale
minimum.
minimum.
Sl. No. |
Pay scale No. |
Present PB |
PB No. |
Grade Pay |
Proposed minimum of the pay scale. |
1 |
S.1 |
5200-20200 |
PB.1 |
1800 |
26000 |
2 |
S-2 |
5200-20200 |
PB 1 |
2000 |
33000 |
3 |
S-3 |
5200-20200 |
PB 1 |
2800 |
46000 |
4 |
S-4 |
9300-34800 |
PB 2 |
4200 |
56000 |
5 |
S-5 |
9300-34800 |
PB 2 |
4800 |
74000 |
6 |
S-6 |
9300-34800 |
PB 2 |
5400 |
78000 |
7 |
S-7 |
15600-39100 |
PB 3 |
5400 |
88000 |
8 |
S-8 |
15600-39100 |
PB 3 |
6600 |
102000 |
9 |
S-9 |
15600-39100 |
PB 3 |
7600 |
120000 |
10 |
S-10 |
37400-67000 |
PB 4 |
8900 |
148000 |
11 |
S-11 |
37400-67000 |
PB 4 |
10000 |
162000 |
12 |
S-12 |
75500-80000 |
HAG |
0 |
193000 |
13 |
S-13 |
80000( Fixed ) |
Apex scale. |
0 |
213000 |
14 |
S-14 |
90000 (Fixed) |
Cabinet Secy |
0 |
240000 |
Table 7.2.
New Pay scale
minimum
minimum
SL.No. |
Grade pay of 6thCPC |
Minimum of the new pay scale |
1 |
1800 |
26000 |
2 |
1900 |
31000 |
3 |
2000 |
33000 |
4 |
2400 |
41000 |
5 |
2800 |
46000 |
6 |
4200 |
56000 |
7 |
4600 |
66000 |
8 |
4800 |
74000 |
9 |
5400 |
78000 |
10 |
5400 in PB3 |
88000 |
11 |
6600 |
102000 |
12 |
7600 |
120000 |
13 |
8700 |
139000 |
14 |
8900 |
148000 |
15 |
10000 |
162000 |
16 |
12000 |
193000 |
17 |
75000-80000 |
202000 |
18 |
80000 fixed |
213000 |
19 |
90000 fixed |
240000 |
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