Friday, 15 May 2015

Pay Fixation on MACP as per 6th Pay Commission – Some Illustrations

Pay Fixation on MACP as per 6th Pay Commission – Some Illustrations
Modified Assured Career Progression Scheme (MACPS)
MACP clarifications is given with useful illustrations for Defence Civilian Employees. This type of explanations is very useful to know and clarify the doubts of the new scheme. Wittingly to clear in the particular subject, because it is connecting with lifetime promotion of every employee.
This scheme for career upgradations to Central Govt. employees was introduced with effect from 1-09-2008 with introduction of revised pay rules 2008.
This scheme has replaced earlier scheme of Assured Career Progression Scheme of August 1999.
Under this scheme, an employee would get at least three career upgradations during his entire service on completion of 10,20 and 30 years of service.
Under this scheme an employee would be placed in next higher grade pay on completion of 10 years in previous grade and in case of no promotion has been offered to him.
a. Illustrations of Grant of MACP – Illustration – 1
In case of recruitment of an individual in Grade Pay (GP) of Rs.4200 with no promotion for 10 years,
1st financial upgradation after 10 years with GP-Rs.4600;
2nd financial upgradation after (10+10) 20 years with GP- Rs.4800;
3rd financial upgradation after (10+10+10) 30 years with GP- Rs.5400.
Illustration – 2
In case of recruitment of an individual in Grade Pay (GP) of Rs.4200 with first promotion after 5 years with GP of Rs. 4600,
The promotion will be considered as 1st financial upgradation;
2nd financial Up gradation after (5+10) 15 years with GP-Rs.4800;
3rd financial up-gradation after (5+10+10) 25 years with GP-Rs.5400.
Illustration – 3
In case of recruitment of an individual in Grade Pay (GP) of Rs.4200 with 1st promotion in 5 years with GP-Rs.4600 and 2nd promotion after 8 years,(5+8=13 years) with GP of Rs.4800,
He will get only 3rd financial up-gradation after (5+8+10) 23 years with GP-Rs.5400.
b. Norms for grant of MACP
The financial up gradation would be on non-functional basis subject to fitness in the hierarchy of pay band and grade pay.
The only benchmark of “Good” would be applicable till the grade pay of Rs.6600 in PB-3.
The benchmark will be “Very Good” for financial upgradation to the grade pay of Rs.7600 and above.
However, if the financial upgradation under the MACPS also happen to be in the promotional grade and benchmark for promotion is lower than the benchmark for granting the benefits under MACPS as mentioned in Para 17 of the scheme, the benchmark for promotion shall apply to MACP also.
c. Clarifications on MACP
If the promotional hierarchy as per recruitment rules is such that promotions are earned in the same grade pay, then the same shall be counted for the purposes of MACP.
Only the continuous regular service is counted towards qualifying service and the regular service shall commence from the date of joining in direct entry grade on the MACP envisages merely placement in the immediate next higher grade pay as given in Section1, Part A of first schedule of the CCS (Revised Pay) Rules 2008.
Financial upgradation will also be admissible whenever a person has spent 10 years in the same grade pay.
Only regular service rendered in the Central Govt. Department/Office would be counted for the purposes of grant of MACP.
All tenures spent on deputation, Foreign Service, study leave, all kind of leave, shall be included in the regular service.
d. The benefits of MACP are admissible upto HAG scale of Rs. 67000-79000.
All cases of grant of promotions/ACPs under pre-revised pay scales of Rs. 5000-8000, Rs. 5500-9000, Rs. 6500-10500 and Rs. 7400-11500 and if those merged w.e.f. 1-1-2006 would be ignored for purpose of grant of financial upgradation under the scheme.

Source: CGEN.in

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!

Thursday, 14 May 2015

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.

Payment of Dearness Relief to re employed pensioner Ex-servicemen

PCDA Clarification on Dearness Relief to re-employed Ex-servicemen
Office of the Principal Controller of Defence Accounts (Pension),
Draupadi Ghat, Allahabad-211014
Date:12.05.2015
Sub: Payment of Dearness Relief to re employed pensioner: Clarification thereof.
As per para l(a) of MOD letter No. 7(1)/95/D(Pen/Services) dated 28.8.2000, entire pension admissible to ex-servicemen who held post below commissioned officers (PBOR) at the time of retirement, is ignored and their pay on re-employment is to be fixed at the minimum of the pay scale of the post in which they are re-employed. Such pensioners will consequently be entitled to dearness relief on their pension.
Deptt. of Pension and Pensioners Welfare, vide their UO No.41/42/2007/P&PW(G) dt. 03.04.2008, reproduced under this office circular No. 386 dt. 19.06.2008, further clarified that if the pay is fixed at a higher stage because of advance increments and no protection of last pay drawn is given, the pay should be treated as fixed at a minimum only for the purpose of ignoring the entire pension and allowing dearness relief on pension. For availing this benefit the ex-servicemen would have retired at post below commissioned officers Rank (PBOR) before attaining the age of 55 years.
Now representations from the banks, where number of ex-clarify the elements to be taken into account for assessing the last pay drawn by the ex-servicemen for the purpose of last pay protection.
The dearness relief on re-employment should be regulated by the Pension Disbursing Agencies on the basis of certificate issued by re-employer, clearly stating whether benefit of last pay protection has been given or not. However, on examination of cases submitted by the banks it has been found that pay scale in banks are still on old pattern, whereas ex-servicemen have been retired with Pay in Pay Band, Grade Pay, MSP, Group Pay etc. In such cases it is clarified that for the purpose of assessing the last pay drawn for last pay protection, the elements to be taken into account should be last pay in pay band i.e. Band Pay plus Grade Pay, last drawn before retirement as envisaged vide MOP, PG & P, DOPT OM NO. 3/19/2009 Estt. Pay II dt. 8th Nov 2010 and no other elements should be taken for this purpose.
In view of the above, it is advised that all the cases of dearness relief where pay of ex-servicemen has been fixed at a higher stage because of advance increments may be reviewed and regulated accordingly.
No. AT/Tech/263-XVIII
sd/-
(A.D.Mishra)
Asst.CDA (P)
Authority: www.pcdapension.nic.in

Latest news on OROP – Efforts To Remove Anomalies Underway, A New Veterans Welfare Directorate to come up – K.J.Singh to Veterans

Latest news on OROP – Efforts To Remove Anomalies Underway, A New Veterans Welfare Directorate to come up – K.J.Singh to Veterans

EFFORTS TO REMOVE PAY ANOMALIES ARE UNDERWAY , A NEW VETERANS WELFARE DIRECTORATE TO
 COME UP- K.J SINGH TO VETERANS

Chandigarh: 11 May 2015- Lt. General K.J.Singh, GOC-in C Western Command has urged the army veterans to have patience as the case for the removal of pay anomalies is already being taken up with the higher authorities and is under consideration. Replying to the queries of veterans gathered at the Manekshaw Auditorium in the premises of Chandimandir Cantonment from various place of Punjab, Haryana, UT Chandigarh and Himachal Pradesh, he said that since the acceptance of One Rank One Pension demand will incur a huge sum of 8322 crores for the government, there may be procedural delay only but it will not take long now for it to materialize. He said that efforts are on to broadbase army by doubling the number of commissioning from JCOs, adding that 60000 new vacancies are being created shortly in different ranks. The establishment of a new Directorate for the welfare of veterans is also on anvil, he said.
On this occasion, Major General A.K.Singh in charge Administration informed that the matter to exempt the veterans from the toll-tax is being taken up with the government. He said that Western Command has set up a helpline: 1800-180-2081 for helping out the veterans and another helpline:1800-180-5321, has been set up by PCDA Allahabad to address their financial woes. The Major Gen. Singh told that a job-fair shall be held at Jalandhar in September this year for providing employment to the ex-soldiers.

Read more at www.punjabupdate.com

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