Proposed Pay 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
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.
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.
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•
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.
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.
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.
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:
In Table 7.2, the corresponding pay scales of the 6” CPC
recommended Grade Pay are given for reference.
Table No. 7.1.
Proposed pay scale 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
|
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
|
