GUWAHATI, Nov 28 - In what is expected to be a bonanza for the State Government employees, the 7th Assam Pay and Productivity Pay Commission has made some major recommendations including suggestion to increase the minimum pay to Rs 15,900, reduction in the number of grade pay as well as a modified scheme of assured career progression to facilitate more promotions, among other proposals.
The State Government today released the report of the pay panel.
Addressing the media here today, Finance Minister Himanta Biswa Sarma said the recommendations will now be studied by a select committee of the Finance department which will analyse it in detail and may suggest changes and modifications.
It will then be placed before the State Cabinet in the first week of February for final approval and provision will be made in the State Budget, to be presented in February, for additional expenditure which will be incurred once it is approved.
�We hope to implement it with effect from April 1, 2017,� Sarma said.
The State Government had constituted the 7th Assam Pay and Productivity Pay Commission in June, 2015, and it had been tasked to submit the report within October 31, 2016. However, there was delay in releasing the recommendations in the public domain due to Model Code of Conduct on account of byelections at some places.
Sarma said that the financial resources of the State and the composition of State employees were studied and the views of various employee organisations were taken into account for determining the principles of pay revision.
The Commission used the �Aykroyd Formula� for determining the minimum pay in the lines of the 7th Central Pay Commission (CPC).
Sarma said that the financial implication of the recommendations for the year 2017-18 is estimated to be Rs 3,238.28 crore of which Rs 2,942.07 crore are for the revision of salary and pension.
�The matter relating to productivity pay has been closely examined and it is recommended that before introducing any scheme for such pay certain other preliminary actions should be taken,� said the minister.
Among the recommendations, the minimum pay has been fixed at Rs 15,900 which is 2.62 times the minimum pay recommended by the Assam Pay Commission 2008. A note on the highlights of the recommendations issued by the Finance department said that this implies a real increase of 16.44 per cent over the previous minimum pay. It added that it is better than the 7th CPC where the increase was of only 14.3 per cent over the 6th CPC.
�The Commission has recommended a maximum pay of Rs 1,30,000 as fixed pay and with this the ratio of the maximum pay to minimum pay has become 8.18 as against 9.08 in case of the earlier Pay Commission,� the note added.
The Commission has taken January 1, 2016, as the date for �calculation of minimum pay, etc., and has recommended April 1, 2017, as the date of effect for these recommendations. All allowances and benefits recommended by the Commission shall have prospective effect.�
The rate of increment has been recommended as three per cent to be added on July 1 every year and employees completing three months or above in the grade as on July 1 shall be eligible for such increment. This was against the existing provision of six months.
The note added, �In the existing system an employee on reaching the maximum of the Pay Band (PB) spends two years from the date of last increment at that stage without further movement. At the end of two years he is eligible to move into next higher PB as a measure of financial upgradation and given the increment. The Commission has recommended that on reaching the maximum of the PB the employee will continue to get the increment subject to crossing of EB in accordance with the provisions of FR 25.�
It said that after examining all the issues the Commission has preferred and recommended the PB-Grade Pay (GP) system with suitable modifications in the light of the experience of last ten years in the State.
The entire DA as on January 1, 2016, i.e. 131 per cent of the basic, has been taken into account. The gap between the GPs has been increased and sought to be equalised.
�The range of the pre-revised GP was Rs 1,500 to Rs 8,700 with an average gap of Rs 248 which was not evenly distributed. The minimum gap was Rs 100 while in few cases the gap was Rs 500, Rs 600 and Rs 1,100. In the revised system the range of GP is Rs 3,900-Rs 18,500 with an average gap of Rs 608. The minimum and maximum of the gaps is Rs 500 and Rs 1,000,� it said.
The note added that the minimum pay of the five revised PBs is 2.5 to 2.75 times of the minimum of the earlier corresponding minimum pay. Similarly, the maximum of the five revised PBs is 2.43 to 2.75 times the corresponding previous figures.
�The Commission has recommended a modified scheme of Assured Career Progression. Recommendations of APC 2008 regarding creation of Assam Administrative Service have been reiterated and measures have been suggested to make it a better tool for administrative transformation. Earlier this was there twice in the career i.e. on completion of service of 10 and 24 years. Now, it is recommended for increasing this to three times in the career i.e. on completion of service of 10, 20 and 30 years,� it said.
The Commission has recommended City Compensatory Allowance for employees working in Guwahati (in different slabs of Rs 100, Rs 150, Rs 200 and Rs 250 per month) and Special Allowance (in different slabs of Rs 1,000, Rs 1,250, Rs 1,500 and Rs 2,000 per month) for the Special Branch personnel.
It has also proposed equalisation of pay for the ministerial staff of district establishments and director level establishments. This proposal is linked to a system of centralised recruitment through a staff selection commission and a new model of transfers of such staff.
Among the new things recommended is an additional quantum of pension equivalent to 20 per cent of the pension drawn by the pensioners above 80 years of age. Ceiling of death cum retirement gratuity (DCGR) has been increased to Rs 15 lakh as against existing Rs 7 lakh and simplified procedure for medical reimbursement of pensioners has been suggested.
Family pension equal to the original pension has been recommended till seven years after the death of the pensioner or till the date the pensioner would have attained the age of 67 years, whichever is earlier.
�However, in case of an employee who dies before retirement, the original pension will continue for ten years with a ceiling of 67 years of age. Benefit of increment, change in DA and pay revision if any, is also recommended for special family pensioners,� said the note.
The Commission has also recommended a simplified procedure for grant of family pension to disabled children of the pensioner. The note added that a number of issues raised by different departments have been examined and necessary recommendations have been made in respect of these issues.
The Commission has also suggested that after five years the recommendations can be reviewed and appropriate decision can be taken after �factoring in the changing realities in the macroeconomic scenario and the award of the next Finance Commission.�
Sarma said that this could mean having a new Pay Commission after every five years.
Asked if the State government is in a position to accept the recommendations considering the poor economic health of government finances, Sarma said, �We are announcing the recommendations with so much enthusiasm because we are confident of our finances.�
GUWAHATI, Nov 28 - In what is expected to be a bonanza for the State Government employees, the 7th Assam Pay and Productivity Pay Commission has made some major recommendations including suggestion to increase the minimum pay to Rs 15,900, reduction in the number of grade pay as well as a modified scheme of assured career progression to facilitate more promotions, among other proposals.
The State Government today released the report of the pay panel.
Addressing the media here today, Finance Minister Himanta Biswa Sarma said the recommendations will now be studied by a select committee of the Finance department which will analyse it in detail and may suggest changes and modifications.
It will then be placed before the State Cabinet in the first week of February for final approval and provision will be made in the State Budget, to be presented in February, for additional expenditure which will be incurred once it is approved.
�We hope to implement it with effect from April 1, 2017,� Sarma said.
The State Government had constituted the 7th Assam Pay and Productivity Pay Commission in June, 2015, and it had been tasked to submit the report within October 31, 2016. However, there was delay in releasing the recommendations in the public domain due to Model Code of Conduct on account of byelections at some places.
Sarma said that the financial resources of the State and the composition of State employees were studied and the views of various employee organisations were taken into account for determining the principles of pay revision.
The Commission used the �Aykroyd Formula� for determining the minimum pay in the lines of the 7th Central Pay Commission (CPC).
Sarma said that the financial implication of the recommendations for the year 2017-18 is estimated to be Rs 3,238.28 crore of which Rs 2,942.07 crore are for the revision of salary and pension.
�The matter relating to productivity pay has been closely examined and it is recommended that before introducing any scheme for such pay certain other preliminary actions should be taken,� said the minister.
Among the recommendations, the minimum pay has been fixed at Rs 15,900 which is 2.62 times the minimum pay recommended by the Assam Pay Commission 2008. A note on the highlights of the recommendations issued by the Finance department said that this implies a real increase of 16.44 per cent over the previous minimum pay. It added that it is better than the 7th CPC where the increase was of only 14.3 per cent over the 6th CPC.
�The Commission has recommended a maximum pay of Rs 1,30,000 as fixed pay and with this the ratio of the maximum pay to minimum pay has become 8.18 as against 9.08 in case of the earlier Pay Commission,� the note added.
The Commission has taken January 1, 2016, as the date for �calculation of minimum pay, etc., and has recommended April 1, 2017, as the date of effect for these recommendations. All allowances and benefits recommended by the Commission shall have prospective effect.�
The rate of increment has been recommended as three per cent to be added on July 1 every year and employees completing three months or above in the grade as on July 1 shall be eligible for such increment. This was against the existing provision of six months.
The note added, �In the existing system an employee on reaching the maximum of the Pay Band (PB) spends two years from the date of last increment at that stage without further movement. At the end of two years he is eligible to move into next higher PB as a measure of financial upgradation and given the increment. The Commission has recommended that on reaching the maximum of the PB the employee will continue to get the increment subject to crossing of EB in accordance with the provisions of FR 25.�
It said that after examining all the issues the Commission has preferred and recommended the PB-Grade Pay (GP) system with suitable modifications in the light of the experience of last ten years in the State.
The entire DA as on January 1, 2016, i.e. 131 per cent of the basic, has been taken into account. The gap between the GPs has been increased and sought to be equalised.
�The range of the pre-revised GP was Rs 1,500 to Rs 8,700 with an average gap of Rs 248 which was not evenly distributed. The minimum gap was Rs 100 while in few cases the gap was Rs 500, Rs 600 and Rs 1,100. In the revised system the range of GP is Rs 3,900-Rs 18,500 with an average gap of Rs 608. The minimum and maximum of the gaps is Rs 500 and Rs 1,000,� it said.
The note added that the minimum pay of the five revised PBs is 2.5 to 2.75 times of the minimum of the earlier corresponding minimum pay. Similarly, the maximum of the five revised PBs is 2.43 to 2.75 times the corresponding previous figures.
�The Commission has recommended a modified scheme of Assured Career Progression. Recommendations of APC 2008 regarding creation of Assam Administrative Service have been reiterated and measures have been suggested to make it a better tool for administrative transformation. Earlier this was there twice in the career i.e. on completion of service of 10 and 24 years. Now, it is recommended for increasing this to three times in the career i.e. on completion of service of 10, 20 and 30 years,� it said.
The Commission has recommended City Compensatory Allowance for employees working in Guwahati (in different slabs of Rs 100, Rs 150, Rs 200 and Rs 250 per month) and Special Allowance (in different slabs of Rs 1,000, Rs 1,250, Rs 1,500 and Rs 2,000 per month) for the Special Branch personnel.
It has also proposed equalisation of pay for the ministerial staff of district establishments and director level establishments. This proposal is linked to a system of centralised recruitment through a staff selection commission and a new model of transfers of such staff.
Among the new things recommended is an additional quantum of pension equivalent to 20 per cent of the pension drawn by the pensioners above 80 years of age. Ceiling of death cum retirement gratuity (DCGR) has been increased to Rs 15 lakh as against existing Rs 7 lakh and simplified procedure for medical reimbursement of pensioners has been suggested.
Family pension equal to the original pension has been recommended till seven years after the death of the pensioner or till the date the pensioner would have attained the age of 67 years, whichever is earlier.
�However, in case of an employee who dies before retirement, the original pension will continue for ten years with a ceiling of 67 years of age. Benefit of increment, change in DA and pay revision if any, is also recommended for special family pensioners,� said the note.
The Commission has also recommended a simplified procedure for grant of family pension to disabled children of the pensioner. The note added that a number of issues raised by different departments have been examined and necessary recommendations have been made in respect of these issues.
The Commission has also suggested that after five years the recommendations can be reviewed and appropriate decision can be taken after �factoring in the changing realities in the macroeconomic scenario and the award of the next Finance Commission.�
Sarma said that this could mean having a new Pay Commission after every five years.
Asked if the State government is in a position to accept the recommendations considering the poor economic health of government finances, Sarma said, �We are announcing the recommendations with so much enthusiasm because we are confident of our finances.�
