1. 7thPay Commission Resolution – Ministry of Finance (Department of Expenditure)
RESOLUTION dated the 25th July, 2016
Key Highlights:
• Acceptance
of Recommendations: The government generally accepted the 7th Pay
Commission’s recommendations on minimum pay, fitment factor, pay
matrices, and general pay recommendations.
• Pay Matrix: A new Pay Matrix replaced the existing Pay Bands and Grade Pays.
• Pay
Fixation: Employee pay was to be fixed based on their existing pay
multiplied by a factor of 2.57 and then mapped to the new Pay Matrix.
• Increments: Two increment dates were introduced: January 1st and July 1st.
• Allowances: A committee was formed to review allowances, and existing rates continued until a decision was made.
• Advances: Interest-free advances for medical treatment, travel, and leave travel concession were retained.
• Insurance: The Commission’s recommendation to increase CGEGIS contributions was not accepted.
• Post Upgradation: Upgradation of posts was generally accepted, with some exceptions.
• Post Downgrading: The Commission’s recommendation on downgrading of posts was not accepted.
• Anomalies
Committees: Committees were established to address individual,
post-specific, and cadre-specific anomalies arising from the
implementation.
Important Notes:
• Effective Date: The new pay structure was effective from January 1, 2016.
• Specific
Issues: Several issues, such as NFU for certain services, retirement
age for CAPFs, and allowances, were to be examined further by respective
departments.
No. 1-2/2016-IC.— The Seventh Central Pay
Commission (Commission) was set up by the Government of India vide
Resolution No. 1/1/2013-E.III (A), dated the 28th February, 2014. The
period for submission of report by the Commission was extended upto 31st
December, 2015 vide Resolution No. 1/1/2013-E.III(A), dated the 8th
September, 2015. The Commission, on 19th November, 2015, submitted its
Report on the matters covered in its Terms of Reference as specified in
the aforesaid Resolution dated the 28th February, 2014.
2. The
Government, after consideration, has decided to accept the
recommendations of the Commission in respect of the categories of
employees covered in its Terms of Reference contained in the aforesaid
Resolution dated the 28th February, 2014 in the manner as specified
hereinafter.
3. The Government has accepted the Commission’s
recommendations on Minimum Pay, Fitment Factor, Index of
Rationalisation, Pay Matrices and general recommendations on pay without
any material alteration with the following exceptions in Defence Pay
Matrix in order to maintain parity in pay with Central Armed Police
Forces, namely :-
(i) the Index of Rationalisation of Level 13A (Brigadier) in Defence Pay Matrix may be revised upward from 2.57 to 2.67;
(ii)
additional three stages in Levels 12A (Lieutenant Colonel), three
stages in Level 13 (Colonel) and two stages in Level 13A (Brigadier) may
be added appropriately in the Defence Pay Matrix.
4. (1) The Pay
Matrix, in replacement of the Pay Bands and Grade Pays as in force
immediately prior to the notification of this Resolution, shall be as
specified in Annexure I in respect of civilian employees.
(2) With
regard to fixation of pay of the employee in the new Pay Matrix as on
1st day of January, 2016, the existing pay (Pay in Pay Band plus Grade
Pay) in the pre-revised structure as on 31st day of December, 2015 shall
be multiplied by a factor of 2.57. The figure so arrived at is to be
located in the Level corresponding to employee’s Pay Band and Grade Pay
or Pay Scale in the new Pay Matrix. If a Cell identical with the figure
so arrived at is available in the appropriate Level, that Cell shall be
the revised pay; otherwise the next higher cell in that Level shall be
the revised pay of the employee.
(3) After fixation of pay in the
appropriate Level as specified in sub-paragraph (2) above, the
subsequent increments in the Level shall be at the immediate next Cell
in the Level.
5. There shall be two dates for grant of increment
namely, 1st January and 1st July of every year, instead of existing date
of 1st July; provided that an employee shall be entitled to only one
annual increment on either one of these two dates depending on the date
of appointment, promotion or grant of financial up-gradation.
6.
The Commission’s recommendations and Government’s decision thereon with
regard to revised pay structure for civilian employees of the Central
Government and personnel of All India Services as specified at Annexure I
and the consequent pay fixation therein as specified at Annexure II
shall be effective from the 1st day of January, 2016. The arrears on
this account shall be paid during the financial year 2016-2017.
7.
The recommendations on Allowances (except Dearness Allowance) will be
referred to a Committee comprising Finance Secretary and Secretary
(Expenditure) as Chairman and Secretaries of Home Affairs, Defence,
Health and Family Welfare, Personnel and Training, Posts and Chairman,
Railway Board as Members. The Committee will submit its report within a
period of four months. Till a final decision on Allowances is taken
based on the recommendations of this Committee, all Allowances will
continue to be paid at existing rates in existing pay structure, as if
the pay had not been revised with effect from 1st day of January, 2016.
8.
The recommendations of the Commission relating to interest bearing
Advances as well as interest free Advances have been accepted with the
exception that interest free Advances for Medical Treatment, Travelling
Allowance for family of deceased, Travelling Allowance on tour or
transfer and Leave Travel Concession shall be retained.
9. The
recommendations of the Commission for increase in rates of monthly
contribution towards Central Government Employees Group Insurance Scheme
(CGEGIS) for various categories of employees has not been accepted. The
existing rates of monthly contribution shall continue. Department of
Expenditure and Department of Financial Services will work out a
customised group insurance scheme for Central Government employees.
10.
The Government has accepted the recommendations of the Commission on
upgrading of posts except for those specified at Annexure III. The
recommendations on upgradation specified at Annexure III will be
separately examined by Department of Personnel and Training for taking a
comprehensive view in the matter.
11. The Government has not
accepted the recommendations of the Commission on downgrading of posts
and normal replacement will be provided in such cases.
12. While
revising the pay of Doctors in respect of whom Non Practicing Allowance
is admissible and Railway employees in respect of whom Running Allowance
is admissible, it will be ensured that the actual raise in pay at the
time of initial fixation is about 14.29 percent as recommended by the
Commission.
13. The pay of officers posted on deputation under
Central Staffing Scheme will be protected and the difference in the pay
will be given to them in the form of Personal Pay to be made effective
from the date of notification.
14. Recommendations not relating to
pay, pension and allowances and other administrative issues specific to
Departments/Cadres/Posts will be examined by the Ministries/Departments
concerned as per the Allocation of Business Rules or Transaction of
Business Rules. Until a decision is taken by the Government on
administrative issues pertaining to (i) Non Functional Upgradation (NFU)
presently admissible to the Indian Police Service/Indian Forest Service
and Organised Group ‘A’ Services, (ii) two years’ edge to Indian
Administrative Service officers vis-a-vis other All India
Services/Organised Group ‘A’ Services in empanelment under Central
Staffing Scheme, (iii) grant of two additional increments at Senior Time
Scale, Junior Administrative Grade and Selection Grade to Indian Police
Service and Indian Forest Service at par with Indian Administrative
Service and Indian Foreign Service (iv) a uniform retirement age for all
ranks in Central Armed Police Forces, where the Commission could not
arrive at a consensus, status quo shall be maintained.
15. A
Committee of Secretaries comprising Secretaries of Departments of
Personnel and Training, Financial Services and Pension and Pensioners’
Welfare will be set up to suggest measures for streamlining the
implementation of the National Pension System (NPS).
16. Anomalies
Committees will be set up by Department of Personnel and Training to
examine individual, post-specific and cadre-specific anomalies arising
out of implementation of the recommendations of the Commission.
17.
Regarding pay and related issues concerning All India Services,
appropriate action will be taken by Department of Personnel and Training
to give effect to the decisions on these matters as may be applicable
to them.
18. The Government of India wishes to place on record their appreciation of the work done by the Commission.
ORDER
Ordered that this Resolution be published in the Gazette of India, Extraordinary.
Ordered
that a copy of this Resolution be communicated to the
Ministries/Departments of the Government of India, State Governments,
Administrations of Union Territories and all other concerned.
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