FR & SR Rules – What says Rules regarding increment..!

FR & SR Rules – What says Rules regarding increment..!

What says FR & SR Rules regarding increment..!

Increment :
The annual increase in pay is drawn as a matter of course from the 1st of July every year, except when it is withheld as a statutory punishment. If a Government employee is on leave or is availing joining time on the 1st July, the increased pay will be drawn only from the date on which he resume duty and not from the first of July…

The annual increment will be 3% of total pay in the running pay band and corresponding grade pay rounded off to next multiple of 10. While rounding off, paisa would be ignored but any amount of a rupee or more would be rounded off to next multiple of 10.

The annual increment in pay will be drawn as a matter of course from the first of July every year, except when it is withheld as a statutory punishment. If a govt. servant is on leave or is availing joining time on the first of July, the increased pay will be drawn only from the date on which he resumes the duty and not from first of July.

The officiating service in a higher grade shall count for increments in an officer and other employee’s substantive grade as well as in the higher grade in which he is officiating and, if there is an intermediate grade between the two in which he would have officiated had he not been appointed to officiate in the higher grade, also in the intermediate grade, but the period during which an officer and other employee is on leave without pay shall not count for increment unless so authorized by the Authority for reasons to be recorded in writing.

The sanction to draw increments shall be given by the competent authority:
Provided that no increment shall be withheld except as a disciplinary measure under these regulations and each order withholding an increment shall state the period for which it is withheld and also whether the postponement shall have the effect of postponing future increments.

Annual increment for Central Government employees as per 6th CPC..?

Calculation of annual increment for Central Government employees as per 6th CPC..?

We explain with some illustrations…
The increment is an increase in pay for each year in a particular date. As per 6th CPC the annual increment has been granted on 1st July of every year and the qualifying period for earning an increment is six months on 1st July. One increment is equal to 3% (three per cent) of the sum of the pay in the pay band and the grade pay will be computed and rounded off to the next multiple of ten.

As per the Rule No.13 of CCS(Revised Pay) Rules 2008, “In the case of calculation of increments under the revised pay structure, paise should be ignored, but any amount of a rupee or more should be rounded off to next multiple of 10. To illustrate, if the amount of increment comes to Rs.1900.70 paise, then the amount will be rounded off to Rs.1900; if the amount of increment works out to be Rs.1901, then it will be rounded off to Rs.1910.”

And finally the increment amount will be added to the existing pay in the pay band.

For example :

An employee’s pay in the pay band is Rs.10,230 and his grade pay Rs.2800, his basic pay = 10,230 + 2,800 = 13,030

His increment will be calculated as follows…
13,030 x 3% = 390.90
after rounded off to ten, it will be 390 only.

Whereas, the another employee’s pay in the pay band is Rs.10240 and his grade pay Rs.2800, his basic pay = 10,240 + 2,800 = 13,040
His increment will be calculated as follows…
13,040 x 3% = 391.20
then it will be rounded off to Rs.400.

Source: CGEN.in

As per 6th CPC - ‘Increment Day’ for Central Government employees - 1st JULY of Every Year

1st July of every year – ‘Increment Day’ for Central Government employees

As per the 6th Pay Commission CCS (Revised Pay) Rules 2008, provisions of Rule 10 with effect from 1.1.2006, uniform date of increment was implemented for all Central Government employees i.e. 1st July of every year. One more condition for getting increment is provided in this rule, completing six months in the same pay as on 1st of July are only eligible to be granted the annual increment. Who have not rendered six months period of service as on first of a year will not be eligible to draw increment on that day and their date of increment will fall 12 months later on the next 1st of July.

Today is the ‘Increment Day’ for all Central Government employees. If the increment day falls on Sundays or holidays, the next working day will be taken as resumption day. In case of an employee taken leave 2.7.2012, his increment benefit will be granted only from the date on which he resumes duty and not from the first of July.

There would be rare chance to occur such problems to take leave on increment day. But whereas, better to avoid to take leave on first working day of any year. Normally most in the Government organisations, promotion orders are not publishing on the date of promotion. If the promotion date falls on first January, there should be condition on assumption that the promotee should be present for the duty on that day of promotion. If not, the promotion is to be granted only from the date of resumption of duty on return from leave. According to this rule, qualifying period for earning an increment is six months on 1st July, the date of next increment will postponed to the next year.

In the light of the above situation, if the first day of any year falls on Sundays or Holidays, the Dopt clarified that the ‘Government servants who join posts on the 1st working day of the year will be treated to have completed six months of service on 1st of July of that year for the purpose of granting them annual increment on that day’.

Every Central Government employee should know the calculation of Annual or Promotion increment, one increment is equal three percent of the sum of the Pay in the Pay Band plus Grade Pay and it should be calculated and rounded off to the next multiple of ten.

Annual Increment calculation :-

An employee’s basic pay of Rs.12,030 including Grade Pay of Rs.2,800, his increment fixation will be fixed as follows…

Basic Pay including Grade Pay : Rs.12,030

3% increment for Rs.12,030 and it rounded off to the next multiple of ten : Rs. 360

His Basic Pay as fixed on 1st July : Rs.12,390

[Note that in the case of calculation of increments under the revised pay structure of 6th CPC, paise should be ignored, but any amount of a rupee or more should be rounded off to next multiple of ten.]

Source: CGEN.in

Increment benefit comparison between 5th & 6th Pay Commission – An overview about Central Government Employees’ Increment

Increment benefit comparison between 5th & 6th Pay Commission

Increment benefit comparison between 5th & 6th Pay Commission – An overview about Central Government Employees’ Increment

‘Increment’ is definitely one of the most popular words in the Central Government employee’s dictionary. It is a known fact that each year, without fail, increment brings considerable raise in salary for Central Govt employees. Until about the 5th CPC, there was no major change in the increment system. But, the 6th CPC brought in landmark reforms in the increment system.

Until then, increments were given in the form of a consolidated amount. The 6th CPC recommended that it be calculated on percentage basis. The Central Government ordered that it be calculated at 3% of the employee’s basic pay with effect from 1.1.2006.

The CG employees didn’t realize how useful this was going to be. They thought it wouldn’t amount for much. It was Rs.75 for Rs. 3050 and revised to Rs. 210 for Rs.7000 with simple calculation.

But that was not the end of the story. It was only after a number of years that they realized the true impact of this reform. Let us explain the benefits with an example:

Let us consider the examples of A, and B, two employees who had joined the Central Government services: In five years of getting recruited, B gets a promotion. A gets a promotion three years after B.

On the basis of the 6th CPC :

[BP-Basic Pay, Inc.-Increment, GP-Grade Pay, BP-Pay in Pay Band]

Can you understand the difference now?

In 6th CPC the difference between ‘A’ and ‘B’ will be Rs.70 only, whereas in 5th CPC it will be Rs.300.

The Junior doesn’t have to worry that the senior has a tremendous advantage over him. In the past, the Junior wouldn’t be able to attain the Senior’s basic pay until retirement.

Source: www.90paisa.blogspot.in

Rounding off the amount of Increment to next multiple of 10

Rounding off the amount of Increment to next multiple of 10

Rounding off the amount of Increment to next multiple of 10 : Clarification regarding.

Attention is invited to this HQrs Circular No. AN/XIV/14162/6th CPC/Circular/Vol.IV, dt. 29/0212012 wherein it was directed to adopt the methodology stipulated in Rule 7(Note 2A), Rule 9 and Rule 11 of GoI, MoF notification, dated 29/08/2008 (RPR 2008) for rounding off at the time of fixation of pay while granting annual increment for the year 2006, 2007 and 2008 and implement the revised instructions issued by MoF, Department of Expenditure vide their OM, dated 29/01/2009 only for annual increments granted on or after 07/2009.

2. In this regard, a reference has been made by one of the controller offices bringing out the anomaly caused due to adoption of different methodologies by different controller offices in rounding off the amount of increment while carrying out refixation of pay due to implementation of MoF, Deptt. of Expenditure OM dated 19/03/2012.

3. To avoid any anomaly, it is reiterated that the instructions laid down under this HQrs circular dated 29/02/2012 are to be followed in-toto while refixation of pay on account of implementation of MoF, Dept. of Expenditure OM dated 19/03/2012 also. Accordingly, the instructions issued by MoF, Dept. of Expenditure vide their OM dated 29/01/2009 to round off any amount of a rupee or more to the next multiple of 10 is to be implemented only for calculation of increment under revise pay structure granted on or after 01/07/2009.

This is for your information, guidance and necessary action please.

Click to view the original order in both English and Hindi

6th CPC has the honour of introducing a number of new changes

6th CPC INTRODUCES NEW METHOD OF CALCULATION FOR INCREMENTS

6th CPC has the honour of introducing a number of new changes.

Some of the most important changes introduced by the 6th CPC are GRADE PAY STRUCTURE, 3% INCREMENT, CHILDREN’S EDUCATION ALLOWANCE, and announcing July 1 as INCREMENT DAY FOR ALL. In addition, it also created new regulations to avoid smaller calculations – the method of “ROUNDED OFF TO THE NEXT MULTIPLE OF TEN.”

Even as the 7th CPC is fast approaching, doubts about the Increment Calculation on the basis of the 6th CPC persists, especially about the “ROUNDED OFF TO THE NEXT MULTIPLE OF TEN” method. It is obvious that doubts persist.

In order to avoid decimals, it is a usual practice to round off anything over 50 as 1, and less than 50 as 0. But, according to the Revised Pay Rules 2008 of the 6th CPC, 100.90 is to be taken as 101, and, 101 is to be rounded off as 110.

Let us assume that a person’s increment calculation results in 510.90. That has to be taken as 510. But, if the number is 511, then it has to be taken as 520.

Let us get to the interesting part of this concept:

For those with Band Pay higher than 7440, there are chances that Transport Allowance would rise from Rs. 400 to 800 or from Rs. 600 to 1600. There are possibilities that even 10 Paise could make a big impact.

The difference between Rs. 7430 and Rs. 7440 is huge..!

Many would have found themselves in critical junctures where these small differences would result in differences of Rs. 1000 per month, adding up to Rs. 12000 per year. That could be one of the reasons why some employees are upset with these calculations. The ones who had to lose due to these calculations will remember it for a very long time.

In the beginning of 2009, a few departments didn’t understand these calculations properly. They went about rounding off 50 Paise as Re. 1 and calculated increments on that basis.

Even when 6th CPC tried to remove the impact of Paise in the calculations, it somehow continues to have an effect!

Source: 7thpaycommissionupdates.blogspot.in

Why is Annual Increment denied to employees retiring in June - Increment issues

Increment issues – Why is Annual Increment denied to employees retiring in June?

Why is Annual Increment denied to employees retiring in June?

Until 01.01.2006, the date of implementing employee’s annual increment was fixed on the basis of his/her date of appointment or promotion option. After the 6th CPC, it was decided that 1st July of each year would be the uniform date of implementation of annual increment for all Central Government employees.

Employees who are appointed after January 1st are not eligible for that year’s annual increment on July 1. They qualify for annual increment only the next year.

The revised pay rules said that “If an employee is on leave or is availing joining time on the 1st of July, the benefit of annual increment in pay will be drawn only from the date on which he resumes duty and not from the first of July. Each year, employees who retire in the month of June are not given the annual increment of the year since they do not report to work on 1st July. Only those employees who resume duty on July 1st are eligible to receive the annual increment. Or, the day they report back to work is taken as the date for implementing the annual increment. Since there are no possibilities for the retired employees to return to work, they are not considered as qualified to receive the annual increment.

The revised pay rules states that only those who have been receiving the same basic pay continuously for 6 months are considered as qualified for annual increment. According to the another rule of qualification for increment, the person should have complete one year in service after receiving the annual increment. Therefore, despite being qualified, these employees are denied their annual increment.

There is an order that states that those who retire on July 1st should complete the retirement formalities in the month of June.

Instead of strictly looking into such technicalities, it would be a nice gesture on the part of the Government to extend the benefits of annual increment to those senior employees too who retire from service in the month of June.

Source: www.90paisa.blogspot.in