Annual Budget 2016 – Will the income tax slab increase? Or, will it not?

Annual Budget 2016 – Will the income tax slab increase? Or, will it not?

“It is important to keep in mind the expectations of Central Government employees, who accurately calculate and set aside more than their one month’s salary to pay income tax each year.”

The annual budget of 2016 is being presented today. Expectations are high that Modi Government will fulfill the requirements of the farmers, industrialists and Central Government employees.

There are conflicting rumours that the income tax slab is likely to be raised this year. Some say that it wouldn’t.

The Railway Budget was presented on February 25. The Annual Budget of 2016-17 will be presented at 12.00 PM today (February 29, 2016). This is the third general budget presented by the Modi Government’s Finance Minister Arun Jaitley.

With the Government requiring more than Rs.1 lakh crore to implement the recommendations of the 7th Pay Commission, Arun Jaitley’s budget will reveal how the government intends to raise these funds, and for raising the capital required for the banks.

The minimum income tax slab for individuals is currently Rs.2.5 lakhs. With increasing prices, the salaried class is eagerly expecting an increase in the tax slabs. Therefore, announcements regarding this are expected in the Budget. With assembly elections scheduled to be held in five states in the near future, the chances of raising the tax slabs are bright.

With the subsidy burden increasing on the Government, the subsidies for those with annual income above a certain level, will very likely be cancelled. LPG subsidy is very likely to be stopped. And, the number of subsidized cylinders is also likely to be reduced.

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MACPS on Promotional Hierarchy – NFIR

MACPS on Promotional Hierarchy – NFIR

Grant of Financial up-gradation under MACPS in the promotional hierarchy – (instead of Grade Pay hierarchy) – Item No.3 of Record note of discussion held between the Federation and EDs, Railway Board on 12/10/2015 on MACPS anomalies.

NFIR

National Federation Of Indian Railwaymen

3, CHELMSFORD ROAD, NEW DELHI – 110 055

No.IV/MACPS/09/Part 9

Dated: 26-02-2016

The secretary (E)

Railway Board

New Delhi

Dear Sir,

Sub: Grant of financial up-gradation under MACPS in the promotional hierarchy – (instead of Grade Pay hierarchy) – Item No.3 of Record Note of discussion held between the Federation and ED’s Railway Board on 12-10-2015 on MACPS Anomalies – reg.

Ref: (i) Railway Board’s Letter No.PC-V/M/4/NFIR/Pt dated 04-01-2016

(ii) NFIR’s Letter No.IV/MACPS/09/Part 9 dated 05-01-2016 & 18-01-2016

Further to above, Federation furnishes below yet another category viz., Shorff cadre (Cash & Pay Department – Receipt side) in which case the ACP Scheme was more advantageous than the MACP Scheme introduced by the Railway Board vide Board’s letter No.PC-V/2009/ACP/2 dated 10-06-2009, w.e.f. 01-09-2008.

Note: * The above comparison clearly establishes the fact that under ACP Scheme the staff got financial up-gradation in Pay Scale Rs.5000-8000/GP 4200/- on completion of 24 years of service whereas under MACP Scheme, the staff gets GP 2800/- (replacement Grade Pay) on completion of three decades and they cannot dream of reaching GP 4200 (PB-2) under MACPS.

NFIR, therefore, requests the Railway Board to include the above category of staff in the reference agreed to be made to the DoP&T for seeking guidelines.

Yours faithfully

sd/-

(Dr.M.Raghavaiah)

General Secretary

Source:NFIR

7th CPC Latest News : BPMS Protest for Minimum Pay 24000 and Fitment formula 3.42

7th CPC Latest News : BPMS Protest for Minimum Pay 24000 and Fitment formula 3.42

BPMS circular for agitation programme from 01.03.2016 to 05.03.2016

BHARATIYA PRATIRAKSHA MAZDOOR SANGH

(AN ALL INDIA FEDERATION OF DEFENCE WORKERS)

(AN INDUSTRIAL UNIT OF B.M.S.)

(RECOGNISED BY MINISTRY OF DEFENCE, GOVT. OF INDIA)

CENTRAL OFFICE: 2-A, NAVEEN MARKET, KANPUR – 208001, PH & FAX : (0512) 2332222

MOBILE: 09415733686, 09235729390, 09335621629, WEB : www.bpms.org.in

REF: BPMS/20/CIR/2015

Dated: 19.02.2016

To,

The President/ General Secretary

Unions Affiliated to Federation

Subject: Agitation Programme from 01 March, 2016 to 05 March, 2016.

Sadar Namaskar

I hope this letter will find to all of you in good health and high spirit and busy in accelerating trade union activities. The meeting of office bearers of BPMS was conducted on dated: 11th and 12th February, 2016. In this meeting the recommendations of 7th CPC was discussed specially. As all of you know that 7th CPC submitted its recommendations to Honorable Finance Minister of Govt. of India on 19.11.2015. After analyzing the recommendations of 7th CPC, BPMS wrote a letter to Govt of India addressing anomalies in recommendations along with conducting a National level protest day on the call of GENC. We met Dr Jitendra Singh/Minister of DoP&T and Prime Minister Office at his office situated in Parliament and discussed the issues and submitted a memorandum. Honorable Minister assured the representatives of GENC and BPMS that all necessary action would be taken at the earliest and a meeting would be fixed with Honorable Finance Minister. But it is matter of concern that the federation has not been apprised about the    action taken till date.

Therefore, it was decided in the meeting of office bearers to conduct agitation programmes of gate meetings, sit in, wearing black badges in their respective establishments from 01 March 2016 to 05 March 2016. On 04 March 2016 ‘Dharna’ will be performed and on the last day a memorandum will be presented to the Head of Establishment addressing Honorable Prime Minister and its photocopy should be sent to BMS office and BPMS office.

The demands are as follows-

1. Minimum Pay should be fixed 24000/- rupees in place of 18000/-.

2. The fitment formula should be 3.42 in place of 2.57

3. The ratio of minimum Pay and maximum Pay should be 1:10.

4. Annual increment should be 5% in place of 3%.

5. Five financial upgradations should be granted within the period of 30 years of Service under MACP scheme.

6. Pay Scales of Group ‘C’ employees should be merged and upgraded. Grade Pay 1900 and Grade Pay 2000 should be merged and upgraded to 2400 and Grade Pay 2400 and Grade Pay 2800 should be merged and upgraded to Grade Pay 2800.

7. Risk Allowance, Washing Allowance, Family Planning Allowance should be continued.

8. HRA should be granted at the rate of 15%, 25% and 35%.

9. Minimum two increments should be granted at Promotion.

10.Interest free Advances should be continued.

11.OTA is being granted to the employees posted in offices, directorates etc at the rate of 12 rupees per hour (on the pay scales of 4th CPC). OTA should be granted on the Pay Scales of 7th CPC.

12.Old Pension Scheme should be restored in place of NPS.

13.The employees covered under NPS scheme should be benefited with gratuity.

14.Commuted Pension should be restored on 12th year in place of 15th year.

15.CCL related to women employees should not be reduced.

16.There should not be any educational criteria (High School passed) for grant of compassionate ground appointment.

17.Benefits of 7th CPC should be granted to Centre, State and autonomous body employees equally.

18.Since amendment in Bonus Act has retrospective effect and implemented since 2014, the arrear of 2014-2015 should be granted without any delay.

19.All the employees should be granted Night Duty Allowance without any ceiling.

20.In Ordnance Factories all Piece work employees should be paid OTA (Between 44¾ and 48 hours) on their actual Pay instead of minimum Pay.

21.The employees having equal qualification and same nature of work should be granted equal pay in all ministries.

22.Examiners working in Quality control department in OFB should be granted Incentive Bonus.

23.According to 7th CPC recommendations, civilian employees retiring on same Post or same pay scale should be granted equal Pension.

24.Wards of employees died in harness are unable to find a Job due to 5% ceiling in compassionate appointment. Therefore, waiting dependants should be granted one time relaxation in compassionate appointment.

25.The employees of DRDO should be granted the benefit of PRIS.

Thanking you.

Brotherly yours

(M P Singh)

General Secretary

Copy to:

1. The General Secretary

BMS, New Delhi

2. The Secretary General

GENC, Naveen Market, Kanpur

Source: BPMS

OROP Anomalies – One member Judicial Committee will submit its report in six months

OROP Anomalies – One member Judicial Committee will submit its report in six months

One member Judicial Committee has been appointed on 14.12.2015 to look into the anomalies arising out of implementation of OROP. The Judicial Committee will submit its report in six months – Defence Minister

Detailed instructions along with OROP tables on implementation of OROP have been issued on 3.2.2016. Considering the requirement for implementation of “One Rank One Pension”, the expenditure ceiling for Defence Pensions in BE 2016-2017 has been increased from Rs.69,876 crores to Rs.82,332.66 crores. Government has received representations from various Ex-Servicemen Associations and beneficiaries regarding anomalies and their dissatisfaction with the order of OROP scheme.

One member Judicial Committee has been appointed on 14.12.2015 to look into the anomalies arising out of implementation of OROP. The Judicial Committee will submit its report in six months.

The following instructions have been issued to Pension Disbursing Agencies(PDAs) for effective implementation of OROP:

• The arrears on account of revision of pension from 01.07.2014 be paid in four equal half yearly instalments. However, family pensioners including those in receipt of Special/Liberalized family pension and all Gallantry award winners shall be paid arrears in one instalment.

• Any required information, if not available in record may be referred to Pension Sanctioning Authority(PSA) concerned who will provide the requisite information from the available records within 15 days to the PDAs.

• In case of any doubt, PDA may immediately take up the matter with nodal officers of respective PSAs, the details of which shall be notified by Pr. CDA(P) Allahabad in their implementation instructions.

This information was given by Defence Minister Shri Manohar Parrikar in a written reply to Shri Devajibhai G Fatepara and others in Lok Sabha today.

Source: PIB

Minutes of JCM Staff Side Meeting with 7th CPC Implementation Cell held on 19.2.2016

Minutes of JCM Staff Side Meeting with 7th CPC Implementation Cell held on 19.2.2016

Minutes of the Meeting of Joint Secretary (IC) with the Members of the Staff-Side of the Standing Committee (National Council-JCM) held on 19.02.2016

A Meeting was held under the chairmanship of Joint Secretary (Implementation Cell), Department of Expenditure, Ministry of Finance, with the Members of the StaffSide of the Standing Committee (National Council-JCM) on 19.2.2016 to discuss the issues raised by the National Joint Council of Action (NJCA) {Joint Consultative Machinery (JCM)} in their letter No. NJC/2015/7th CPC dt. 10.12.2015, addressed to the Cabinet Secretary, regarding their Charter of Demands on the recommendations of the 7th Central Pay Commission. The Secretary, Staff-Side of the Standing Committee (National Council- JCM), who is the convener of the NJCA, along with other office bearers attended the meeting. The list of the participants from the Staff-Side is attached at Annexure.

2. Welcoming the members of the Staff-Side, JS(IC) mentioned that the meeting has been convened to enable the Staff-Side to bring out their concerns on the recommendations of the 7th CPC in the light of the Charter of Demands made by them in the aforesaid letter of NJCA so that same could be examined in the Implementation Cell and submitted for consideration of the Empowered Committee of Secretaries. He informed the office bearers that before arriving at a decision, the ECoS would also hold separate discussions with the Staff Side.

2. Commencing the discussions from the Side of the Members of the Staff-Side, Secretary, Staff-Side, Standing Committee (National Council-JCM), explained that they have already placed their Charter of Demands as per the letter of NJCA dated 10.12.2015. He mentioned that the reasons based on which these demands have been made have also been explained therein. He, however, highlighted that the Staff-Side is not at all happy with the recommendations of the 7th CPC and, in fact, no section of the employees is satisfied, as the Commission has recommended a minimal pay increase as compared to the previous Pay Commissions. He mentioned that the Staff-Side does not agree with the minimum pay of Rs. 18000 and the reason as to why the methodology adopted by the 7th CPC to arrive at this figure is not correct has been explained in their letter dated 10.12.2015. He stated that Staff-Side demands enhancement of the minimum pay to Rs. 26000 and the reasons in support of this have been given in their aforesaid letter. He further stated that an amicable and mutually negotiated settlement of these demands is necessary as non-acceptance would further cause resentment in the employees. He informed that Staff-Side has already made their stand clear to go on strike from 11th April, 2016 if their demands are not considered and no amicable settlement happens.

3. Thereafter, the other members of the Staff-Side also expressed their arguments for acceptance of these demands and all of them emphasised that the minimum pay needs to be revised. Consequently, the fitment multiple of 2.57 would also need commensurate change. The leader of the Staff-Side explained that the office bearers who were present in the meeting represent various sections of Central Government employees including railways, defence civilians, postal employees etc., the number of which is around Rs. 32 lakhs.

4. The Staff-Side brought out their concerns on all the 26 demands included in the Charter of Demands and all the points brought out by them in the letter of the NJCA dt. 10.12.2015 were reiterated. However, following issues in support of their demands were highlighted :-

(i) Minimum Pay needs to be revised to Rs. 26000 p.m. and the minimum pay of Rs. 18000 p.m. as recommended by 7th CPC is not acceptable. This would require upward revision in the fitment multiple of 2.57 and change in the Pay Matrix. It was argued that if the 10% of the pay for NPS contribution and the recommended increase in the CGEIS contribution are taken into account, there would be a drop in the take-home salary of the employees at the

minimum pay of Rs.18000.

(ii) Central Government employees need to be excluded from the National Pension Scheme (NPS), which has been a long pending demand of the StaffSide. The Staff-Side stated that the Pension Fund which has been created under NPS to generate annuity for employees, would not ensure reasonable pension. Rather it is quite likely that it may generate negative returns because of the dismal performance of the financial market to which the fund is

invested, leaving the employees without any reasonable social security benefit.

(iii) The 7th CPC has recommended abolition of 52 allowances without properly appreciating the justification of these allowances. The example of break-down allowance in case of Railway employees was given, stating that this allowances is given so that the concerned employees take up the necessary follow up action in the case of breakdown on an urgent basis and therefore its withdrawal is not justified in operational interests of Railways.

(iv) The withdrawal of advances, especially LTC, TA, Medical, National Calamity Advance, was not justified. It was argued that these advances are recovered from the employees and, therefore, the same should be retained. (v) In regard to enhancement of contribution under Group Insurance Scheme, it was argued that increase in the contribution from the employees was not justified and if the same is to be raised, the Government should bear the

insurance premium.

(vi) The post of LDC should be upgraded to UDC and as part of delayering, Grade Pays of Rs. 1900, Rs. 2400 and Rs. 4600 should be abolished and merged with the next higher Grades.

(vii) The rate of increment needs to be raised from 3% to 5% because pay is revised in the Central Government after 10 years. It was mentioned that in the PSUs the pay is revised after 5 years and the rate of increment is also higher.

(viii) Two increments in the feeder post may be granted as promotion benefit.

(ix) Fixed medical allowance for pensioners who are not covered by CGHS and REHS needs to be increased from Rs. 500 p.m. to Rs. 2000 p.m.

(x) The recommendation regarding grant of only 80% of salary for the second year of Child Care Leave need not be accepted and the existing provisions may be retained

(xi) It was also demanded that though the D/o Expenditure has sought the comments of the Ministries/Department on the issues pertaining to them after consulting the Staff Associations, administrative Departments are not inviting the Staff associations for discussions.

5. After detailed explanation by the Staff-Side on all the demands included in the Charter of Demands, JS(IC), while concluding the discussions, assured the Staff-Side that the concerns and demands made by them would be placed before the Empowered Committee of Secretaries for consideration after examining the same in the light of the recommendations of the Commission. He also mentioned that in cases where the comments of the administrative Ministries/ Departments would be necessary, e.g., the case of break-down allowance pertaining to Ministry of Railways, the same would be considered before the issues are placed before the E-CoS. As regards the issue raised that the administrative Departments are not inviting staff associations for discussions, JS(IC) mentioned that the Departments have to formulate the views keeping in view the representations made by the Staff Associations.

6. Thereafter, the meeting ended with thanks to the chair.

Members of the Staff side of the National Joint Council (JCM), who attended the meeting with JS (IC) held on 19.02.2016 -7th Central Pay Commission

S.No Name (S/Shri)

1. Shiva Gopal Mishra

2. M.Raghavaiah

3. N.Kanniah

4. Guman Singh

5. K.K.N.Kutty

6. C.Srikumar

7. S.N.Pathak

8. Ashok Singh

9. R.N.Prashar

10. M.S. Raja

11. Giri Raj singh

12. Satish Chander

13. R.Srinivasan

Authority: www.finmin.nic.in