Sunday, 31 July 2016

Casual labourers with temporary status - clarification regarding contribution of GPF and pension under old pension scheme CASUAL LABOURERS WITH TEMPORARY STATUS - CLARIFICATION REGARDING CONTRIBUTION OF GPF AND PENSION UNDER OLD PENSION SCHEME

7th CPC DA calculation as it is not giving the DA benefit we supposed to get from sixth CPC. A Comparison of current DA vs 7th Pay Commission DA

As per this current DA calculator.6th pay DA would be 7% and7th pay DA is 2% from July on-wards.Now if we see this figures logically there is great disappointment. We actually can’t get 7th pay DA hike at least same as currently available system of 6th pay DA hike.7th pay commission has raised basic pay with Multiplication factor 2.57.Then logically DA revision pattern would also be such as which at least should maintain equivalency of 2.57 factor.
For example…
If one’s Basic pay in 6th CPC is Rs. 20000, So with fitment factor of 2.57 his Basic Pay in 7th pay will be 51400.So as per DA calculator,  7% DA rise on 6th CPC Basic Pay will be Rs.1400 .      2% DA rise on 7th CPC Basic Pay  will be 1028.So current applicable DA system is clearly failing to maintain the parity between 6th pay and 7th pay consideration.In order to achieve this balance either DA Calculation system or 7th pay fitment factor should be amended.Suppose if  we think fitment factor should be amended to maintain the parity in DA Rates between Sixth and 7th CPC, then the should be such basic to be fixed so as give its 2% value as Rs. 1400.Thus, the 7th CPC Basic Pay to be revised as Rs. 70000 instead of Rs. 51400.And to arrive 70000 as basic Pay, the fitment factor should be revised to  3.5…!!!If this issue is not considered timely then employee will suffer for upcoming 10 years.SOURCE-Central Government Employees News 


Ministry of Communications and Information Technology (India)

Ministry of Communications and Information Technology (India)
Emblem of India.svg
Emblem of India
Ministry overview
Superseding agencies
  • Ministry of Communications
  • Ministry of Electronics and Information Technology
JurisdictionIndiaRepublic of India
HeadquartersSanchar Bhawan
New Delhi
22°37′20″N 77°12′50″E

The Ministry of Communication and Information Technology was an Indian government ministry. It was bifurcated into Ministry of Communications and Ministry of Electronics and Information Technology in July 2016. It contained three departments viz.Department of Telecommunications, Department of Electronics and Information Technology (Deity) and Department of Posts.

The following cadre controlling authority of the Civil Services (including Indian Telecommunication Service, Indian Postal Service, Indian Radio Regulatory Service, Telegraph Traffic Service and Indian Posts and Telegraphs Accounts and Finance Service) are under the administration and supervision of the Ministry of Communications and Information Technology.

Some Doubts and Clarifications on Pay Fixation (7th cpc revised Pay) :

 Let   Mr. X  drawing Rs. 16010 (G.P 2800) got  promotion (up gradation)  under MACP Scheme( Rs.4200)  on 08.04.2016 ?  Shall he opt to continue in  Old scales up to MACP date ?

Ans.  Govt. servant  to  opt to continue his old scale up to (1)  until   the  date on which he earns next increment /  any subsequent increment  (ii)  until he vacates his post (iii) ceases to draw pay in that scale.

  In the above case  Mr. X. cannot  take  option to continue in old scales up to  08.04.2016 i.e  on  MACP up gradation. His pay will be fixed as on 01.01.2016 and MACP  fixed on 08.04.2016 (or DNI as per  his option) .  The pay fixation is as calculated.

Pay as on 01.01.2016  :   13210 + 2800 (g.p) = 16010 

Old pay
NEW  - 7thCPC
(16010) + 1400 (diff
Opted to fix pay after accrual of increment on 01.07.2016
16490 + 500  ( added promotion incrt)  + Diff 1400= 18390 *
(Promoted to the G.Pay for Rs. 4200)
 42800 (inct)
44100 (promotion inct)
44900 ( Level 6 in Pay Matrix G.p 4200)
MACP - Pay fixation

Note: But straight away pay fixation on 01.07.2016 by multiplying 18390 * 2.57 = 47262 by fixing at  47600 (in 4200 pay matrix) is not possible. i.e. Option to continue in old scale up to MACP up gradation and then fixation to new 7cpc pay is not applicable.

NOTE:  Let  Mr.  X -  got promotion to IPO  (inspector Posts- 4200  (now is  4600) for case study  taken as 4200.) through  LDCE on 08.04.2016. In this  case by taking  all  above data  he will opt  (after accrual of inct) to fix straight away by multiplying 2.57 * 18390 = 47262 to fix at 47600 . And he will continue to draw old scale up to 08.04.2016. (He forego  arrears). This provision comes under “until he vacates his post (PA)” he will opt to draw old pay.  

(prepared by M.S.Reddy, Ex-Accountant). 

7th Pay commission pay and arrears calculator - Excel Download

7th Pay commission pay and arrears calculator : Download


Shri B. V. Sudhakar is our new Secretary (Posts)


Promotion to the grade of Director Ge

Shri Ashutosh Tripati (IPoS-1981 batch) Member (P) is promoted to Director General, Postal Services. To view order, please CLICK HERE. 

7th Pay Commission: Govt to clear seven months’ pay arrears in August salary

Finance Ministry Instructions for Pay Fixation and Payment of Arrears

Government of India
Ministry of Finance
Department Of Expenditure
(Implementation Cell, 7 CPC)
Room No. 214, The Ashok
New Delhi, the 29th July, 2016

Subject: Implementation of the recommendations of the 7th Pay Commission- Fixation of pay and Payment of arrears – instructions Regarding

The undersigned is directed to refer to the Government of India, Ministry of Finance, Department Of Expenditure’s Resolution No. 1-2/2016-IC dated 25/07/2016, bringing out the decisions of the Government On the recommendations of the 7th Central Pay Commission as well as the consequent promulgation of the Central Civil Services (Revised Pay) Rules, 2016, notified vide G.S.R NO. 721(E) dated 25th July, 2016 regarding fixation Of pay in the revised pay structure effective from 01.01.2016 and to say the provisions governing such fixation Of pay have been clearly enunciated in the said Rules.
2. Accordingly in pursuance of the CCS (RP) Rules, 2016, appropriate necessary action to fix the pay of the employees covered thereunder in the revised pay structure needs to be carried out forthwith in accordance with the provisions contained therein. In order to facilitate a smooth and systematic fixation of pay, a proforma for the purpose (Statement of Fixation of Pay) is enclosed at Annexure. The statement of fixation of pay in revised pay structure as per CCS (RP) Rules, 2016 be prepared in triplicate and one copy thereof be placed in the Service Book of the employee concerned and another copy made available to the concerned accounting authorities [Chief Controller Of Accounts/Controller Of Accounts/Accounts Officer] for post-check.
3. The revised pay structure effective from 01.012016 includes the Dearness Allowance of 125% sanctioned from 01.01 2016 in the pre-revised pay structure. Thus, Dearness Allowance in the revised pay structure shall be zero from 01.01.2016. The rate and the date of effect of the first installment of Dearness Allowance in the revised pay structure shall be as per the orders to be issued in this behalf in future.
4. The decision on the revised rates and the date of effect of all Allowances (other than Dearness Allowance), based on the recommendations of the 7th Central Pay Commission shall be notified subsequently and separately. Until then, all such Allowances shall continue to be reckoned and paid at the existing rates under the terms and conditions prevailing in the pre-revised pay structure as if the existing pay structure has not been revised under the CCS (RP) Rules, 2016 issued on 25.072016
5. The contributions under the Central Government Employees Group Insurance Scheme (CGEGIS) shall Continue to be applicable under the existing rates until further orders,
6. The existing system on interest free advances for medical treatment, Travelling Allowance for family Of deceased, Travelling Allowance on tour or transfer and Leave Travel Concession shall continue as hitherto.
7. The arrears as accruing on account Of revised pay consequent upon fixation Of pay under CCS Rules. 2016 with effect from 01 012016 shall be paid in cash in one installment along with the payment Of salary for the month Of August, 2016, after making necessary adjustment on account of GPF and NPS, as applicable, in view of the revised pay. DDOs/PAOs shall ensure that action is taken simultaneously in regard to Government’s contribution towards enhanced subscription.
8. With a view to expediting the authorization and disbursement of arrears, it has been decided that the arrear claims may be paid without pre-check Of the fixation of pay in the revised scales of pay, However, the facilities to disburse arrears without pre-check of fixation of pay will not be available in respect of those Government servants who have relinquished service on account of dismissal, resignation, discharge, retirement etc. after the date Of implementation of the Pay Commission’s recommendations but before the preparation and drawl Of the arrears claims, as well as in respect of those employees who had expired prior to exercising their option for the drawal of pay in the revised scales.
9. The requirement of pre-check of pay fixation having been dispensed with, it is not unlikely that the arrears due in some cases may be computed incorrectly leading to overpayments that might have to be recovered subsequently. Therefore, the Drawing & Disbursing Officers should make it clear to the employees under their administrative control, while disbursing the arrears; that the payments are being made subject to adjustment from amounts that may be due to them subsequently should any discrepancies be noticed later. For this purpose, an undertaking as prescribed as per a “Form of Option” under Rule 6(2) of the CCS(RP) Rules, 2016 shall be obtained in writing from every employee at the time of exercising option under Rule 6(1) thereof,
10. In authorizing the arrears, Income Tax as due may also be deducted and credited to Government in accordance with the instructions on the subject.
11. On receipt of the necessary options, action for drawal and disbursement Of arrears should be completed immediately.
12. Hindi version will follow.
(R.K Chaturvedi)
Joint Secretary to the Government of India

Saturday, 23 July 2016


Casual Workers - One day paid weekly off for working in offices having five day week - DoPT order

India Post plans 50 payments bank branches by May

India Post expects to start the first 50 branches of its payments bank by May 2017, seeking to widen financial inclusion in the country.

As per the current plan, India Post Payments Bank (IPPB) - as it has been termed will eventually have 650 branches across the country. While the first set of branches will open by May, the remaining will start operations by September 2017, a top official of the Department of Posts said. The department hopes to submit a final proposal to the Reserve Bank of India by February, ahead of the March 2017 deadline, after it has the required management and technology in place, SK Sinha, secretary, Department of Posts, told ET. The RBI gave in-principle approval to 11 applicants in August last year, including the Department of Posts, Aditya Birla Nuvo, Airtel M Commerce Services, Fino PayTech, National Securities Depository, Reliance Industries, Tech Mahindra and Vodafone m-pesa, for setting up payments banks. Three of the 11 entities have decided to back out, citing unviability. India Post, with a network of about 155,000 post offices, will hire almost 2,000 people for the payments bank operations. "There will be nine board members, five from outside and four internal people from the department, including the CEO," said Sinha.

The department is contemplating whether it can form its own search and selection committee to appoint a CEO or rely on the standard procedure followed by public sector banks for top-level appointments. The department has written to state-owned banks seeking nominations. Sinha said the State Bank of India has responded with some names. "For the next rung of leadership such as the chief financial officer, chief operating officer and chief technology officer, we are forming an internal committee," he said. The government has approved Rs 400 crore equity and Rs 400 crore grant for IPPB. Alibaba-backed Paytm is the other or payments frontrunner for payments banks in India and has drawn up a largely branchless model. Sinha said that India Post is looking at catering to the unbanked population of the country with the idea of opening one branch in almost every district of the country. "Most of the other players may not be even thin king of the areas that we want to service," said Sinha. The plan is to have most of the banking features such as money transfer and internet banking, apart from offering credit (in partnership with other banks or institutions), along with financial products such as mutual funds. Sinha is betting big on the government's direct benefits transfer scheme to drive transactions, with welfare payments being deposited in the bank accounts of consumers.
While the first set of branches will open by May, the remaining will start operations by September 2017, a top official of the Department of Posts said

Implementation of recommendations of the Seventh Pay Commission

ON-19.07.2016 Implementation of recommendations of the Seventh Pay Commission 199 . Shri D. Raja
 (a) whether it is also a fact that the Government has decided to implement the recommendations of the Seventh Pay Commission for Central Government Staff;
(b) If so, the silent features thereof;
(c) whether it is also a fact that most of the Government employees are not satisfied with the announcement;
(d) if so, the main issues of discontentment and Government’s reaction thereto?
 (a) & (b): The Government has decided to implement the recommendations of the 7th Central Pay Commission in regard to matters relating to pay, pension and related issues.
(c) & (d): As and when any issue(s) is/are brought up for consideration by the Government, the same is considered keeping in view all relevant factors for an appropriate decision.
One CGHS wellness centre in the capital city of all States

one CGHS wellness centre in the capital city of all States at the following locations: Raipur, Shimla, Itanagar, Panaji, Agartala, Imphal, Aizwal, Kohima, Gangtok, Gandhi Nagar, Puducherry. The Minister of State (Health and Family Welfare), Sh Faggan Singh Kulaste stated this in a written reply in the Lok Sabha 

7th Pay Commission: Know all about allowances, HRA

 Zee Media Bureau, Thursday, July 21, 2016

New Delhi: The Union Cabinet on June 29 cleared the recommendations of the 7th Pay Commission headed by AK Mathur in respect of the hike in basic pay and pension. However, the decision on 7th Pay Commission suggestions relating to allowances has been referred to a Committee headed by the Finance Secretary.

The Committee will complete its work in a time bound manner and submit its reports within a period of 4 months. Till a final decision, all existing allowances will continue to be paid at the existing rates.

"The 7th Pay Commission examined a total of 196 existing allowances and, by way of rationalization, recommended abolition of 51 allowances and subsuming of 37 allowances. Given the significant changes in the existing provisions for allowances which may have wide ranging implications, the Cabinet decided to constitute a Committee headed by Finance Secretary for further examination of the recommendations of 7th CPC on allowances," as per the press release issued by the government after the Cabinet approval to Pay Commission recommendations.

 Now it is clear that, if the 7th Pay Commission recommendations come into force with immediate effect after publication of Gazette Notification, the HRA and TA will be paid to the central government employees at Sixth CPC rates in pre revised scale up till the Committee decides on allowances.

 The 7th Pay Commission had earlier proposed the rate of House Rent Allowance (HRA) at 24 percent, 16 percent and 8 percent of the Basic Pay for Class X, Y and Z cities respectively.

The Commission had also recommended that the rate of HRA will be revised to 27 percent, 18 percent and 9 percent when DA crosses 50 percent, and further revised to 30 percent, 20 percent and 10 percent when DA crosses 100 percent.

The existing rates of HRA for Class X, Y and Z cities and towns are 30 percent, 20 percent and 10 percent of Basic pay (pay in the pay band plus grade pay).

Population of City

           DA above
Above 50 lakh
5 lakh to 50 lakh
Below 5 lakh

Assumingly, if the Committee accepts the bare recommendations of A K Mathur-led 7th Pay Commission then the HRA component of central government employees will increase ranging between 106 percent and 122 percent.

Take, for instance, a central government employee at the very bottom of the pay scale, where the basic pay (pay of pay band + grade pay) is now Rs 7,000, would currently be entitled to an HRA of Rs 2,100 in a Class X city. As per 7th Pay Commission, the new entry level pay at this level is Rs 18,000 per month against which the new HRA for a Class X city would be Rs 4,320 per month, that is 106 percent more than the existing level.

Similarly, at the highest level of the pay scale, the Cabinet Secretary and officers of the same rank have a basic pay of Rs 90,000, which means they are entitled to current HRA of Rs 27,000 in Class X towns. After the revised pay scale, the new basic pay is Rs 2.5 lakh, for which the HRA would be Rs 60,000, meaning a hike of 122 percent.

As far as Transport Allowance (TA) is concerned, Pay Commission had proposed no increase.

Source :

Income Tax Department seeks Information in respect of High Value Non PAN Transactions

Press Information Bureau
Government of India
Ministry of Finance
21-July-2016 15:56 IST

Income Tax Department to issue 7 lakh letters
seeking Information in respect of High Value Non PAN Transactions

Under the Annual Information Returns (AIR), various types of high-value transactions were being reported to the Income Tax Department. These include reporting of cash deposits of Rs.10,00,000 or more in a saving bank account, sale/purchase of immovable property valued at Rs. 30,00,000 or more, etc. Many of these transactions do not have PAN linked to it. The Department has details of about 90 lakh such transactions for the period 2009-10 to 2016-17. The Income Tax Department has with the help of in-house computer techniques, grouped such non-PAN transactions and identified 7 lakh high-risk clusters having around 14 lakh non-PAN transactions which are being scrutinized by the Income Tax Department closely. 

The Department will be issuing letters to the parties of these transactions requesting them to provide their PAN number against these transactions. For the convenience of the parties to whom these letters are addressed, a new functionality on e-filing portal has been developed wherein they can own up transactions and provide structured response electronically. The parties can log-in to their e-filing website and by quoting a Unique Transaction Sequence Number provided in the letter sent to them, can link their transaction with their PAN easily. They will also be able to give a response to this letter electronically by choosing the option of either owning up the transaction or denying the transaction as their own. The responses received from such parties online will be examined by the Department. The Department will initiate further necessary action in those cases where no replies are received. 

The members of public who receive such letters are requested to kindly cooperate in the matter. They may use the Departmental helpline to ask questions, as far as possible, instead of making direct contact with any officials of the Income Tax Department. Members of public are advised not to entertain any claims from unscrupulous elements who may offer their help in complying with such communication by falsely representing themselves to be the agents of Income Tax department in the matter .

Tuesday, 19 July 2016


Circle wise number of CBS offices as on 27.06.2016

Rs 100 crore released towards Government of India co-contribution in Atal Pension Yojana

Rs 100 crore released towards Government of India co-contribution in Atal Pension Yojana

Atal Pension Yojana is being implemented through the APY Service Providers comprising of Public Sector Banks, Private Sector Banks, Regional Rural Banks, Cooperative Banks and Department of Post both in urban and rural areas across the country. The total number of subscribers registered under APY as on 30th June 2016 has crossed 30 lakh and every day nearly 5000 new subscribers are added.

The scheme provides for a co-contribution from Government of India for those who have registered before 31/3/2016 with an amount of 50% of the subscribers contribution up-to a maximum of Rs. 1000/- and these subscribers will be eligible for co-contribution for a period of 5 years from 2015-16 to 2019-20. Only those subscribers who are not income tax payers and not part of any other social security schemes are eligible for Government of India co-contribution. Keeping in view the above, Government of India through PFRDA has released co-contribution for the FY 2015-16 for 16.96 lakh eligible subscribers amounting to Rs. 99.57 crores. The Subscribers who have any pending contributions in their APY account till March 2016 won’t be paid with co-contribution. They have been advised by PFRDA to regularize their APY account so as to get Government of India co-contribution in the month of September. Government of India co-contribution is payable only when accounts are regular and the admissible Government of India co-contribution is paid into the Savings Bank account of the Subscribers.

Atal Pension Yojana, provides minimum guaranteed pension ranging between Rs. 1000/- to Rs. 5000/- per month for the subscriber from the age of 60 years. The Same amount of pension is paid to the spouse in case of subscriber’s demise. After the demise of both i.e. Subscriber & Spouse, the nominee would be paid the pension corpus. There is also option for Spouse to continue to contribute in APY account of subscriber for balance period, on premature death of subscriber before 60 years, so that pension can be availed by Spouse. Also, if the actual returns on the pension contributions during the accumulation phase is higher than the assumed returns for the minimum guaranteed pension, such excess returns are passed on to the subscriber, resulting in enhanced scheme benefits.

Source : PIB