DA from July 2016 is 2%

                                                 Press Information Bureau

                                                     Government of India

                                                          Cabinet

                                                                                                                 27-October-2016

Cabinet approves release of an installment of Dearness Allowance to Central Government employees and Dearness Relief to Pensioners due from 01.07.2016

The Union Cabinet under the Chairmanship of Prime Minister Shri Narendra Modi has given its approval to release an installment of Dearness Allowance (DA) to Central Government employees and Dearness Relief (DR) to Pensioners w.e.f. 01.07.2016 representing an increase of 2% of the revised Basic Pay/Pension, to compensate for price rise. The increase is in accordance with the accepted formula, which is based on the recommendations of the 7th Central Pay Commission.

The combined impact on the exchequer on account of both Dearness Allowance and Dearness Relief would be Rs. 5622.10 crore per annum and in the Financial Year 2016-17 for the period of 8 months (i.e. from July 2016 to February 2017), it would be Rs.3748.06 crore. About 50.68 lakh Government employees and 54.24 lakh pensioners will be benefitted.

Source: Press Information Bureau

DA Likely to Come as Diwali Gift

The government is likely to announce the much awaited Dearness Allowance (DA)  for government employees just before Diwali.

The announcement of DA, which comes into effect from July, is already late by around a month. Usually, central government approves the allowance in the first week of September, and the order is released in the third or fourth week of September.

Earlier, official sources and media reports attributed the delay in announcement to extremely tight schedule of Finance Minister Arun Jaitley and his foreign visits.

During the first week of September, the Secretary of the JCM Staff side wrote to the Ministry of Finance with the subject “Future computation of Dearness Allowance and adoption base index figure to Revised Minimum Wage”,and sought granting  of 3% dearness allowance with effect from July 1.

The unions are of the view that after the implementation of 7th Pay Commission, the dearness allowance computation formula and the base year must be changed as it did when the 6th Pay Commission got implemented.

Meeting of revision of pension of pre-2016 pensioners

No.38/37/2016-P&PW(A)
Government of India
Ministry of Personnel, P.G.and Pensions
Department of Pension & Pensioners Welfare

3rd Floor, Lok Nayak Bhavan, Khan Market,
New Delhi, dated the 26th September, 2016

To,
The Secretary,
National Council (Staff Side)
JCM for Central Government Employees,
13C, Firozshah Road,
New Delhi – 110001

Subject: Meeting of the Committee set up to examine feasibility of implementation of recommendation of 7th CPC for revision of pension of pre-2016 pensioners – reg.

Sir/Madam,
I am directed to say that a Committee under the Chairmanship of Secretary (Pension) has been constituted to examine the feasibility of implementation of the first option recommended by the 7th CPC in para 10.1.67 (i) and para 10.2.87 applicable to the Central Civil pensioners and Defence pensioners respectively.

2. A meeting of the Committee with the JCM (Staff Side) for Central Government Employees is proposed to be held on 06.10.2016 at 3.00 p.m. at Conference Hall, 5th Floor, Sardar Patel Bhawan, New Delhi to discuss this issue. It is requested that the same of the member nominated to attend the said meeting may kindly be intimated.

3. This Department looks forward to your participation in the meeting.

sd/-
(Harjit Singh)
Director (Pension Policy)
Harjit.singh59@nic.in
s.chakrabarti75@gov.in

Allowances Committee Meeting on 13th Oct 2016

No.6/8/2016-PIC

Government of India

Ministry of Personnel, PG & Pensions

North Block, New Delhi

Dated 30.09.2016

Office Memorandum

Subject Meeting under the Chairmanship of Secretary (P) with the Secretary Staff Side, NC (JCM) to firm up the view on various allowances pertaining to Department of Personnel & Training on 13/10/2016 at 3.00 PM

The undersigned is directed to refer to Department of Expenditure’s OM No. 11/1/2016-IC dated 12/09/2016 regarding the minutes of the 2nd meeting of committee on Allowances held on 01.09.2016 and to say that a meeting to discuss the various allowances pertaining to DOPT is scheduled to be held under the Chairpersonship of Secretary (P) on 13th October, 2016 at 15.00 Hrs in Room No. 190, North Block, New Delhi

2. It is requested to kindly make it convenient to attend the meeting

DA from July 2016 will be 3% - NC JCM Secretary writes to Finance Secretary

Shiva Gopal Mishra

Secretary

Ph:23382286

National council (Staff Side)

Joint Consulative Machinery for Central Government Employees

13-C, Ferozshah Road, New Delhi-110001

E-Mail : nc.jcm.np@gmail.com

No.NC/JCM/2016

Dated: September 6, 2016

The Secretary(Expenditure),

Ministry of Finance,

(Government of India),

North Block, New Delhi-110 001

Dear Sir,

Sub: Future computation of Dearness Allowance and adoption base index figure to Revised Minimum Wage – Regarding

The revised pay structure, as recommended by the 7th CPC, was given effect as on 01.01.2016 as per the Government’s Notification. The Dearness Allowance, which was computed at 125% ( i.e 125.75 fraction of 0.75 being ignored), got merged with Pay as on that date. The 7th CPC has not indicated as to what base figure of AICPI(IW) the Revised Wages will relate to hereafter wards. As you are aware, the actual DA that was due as on 01.01.2016 was 125.75. It is only due to the practice of ignoring fraction; the DA was determined at 125%. No doubt, the said practice had not been impacting very much except for the postponement of the benefit by six months. It is, therefore, necessary that, Revised Wages are related to a base index figure equivalent to actual Dearness Allowance percentage of 125 that stands merged as on 01.01.2016. This is more so due to the fact that there is no possibility of the ignored fraction of 0.75 being reckoned for any computation in future.

We, therefore, request that, 12 monthly average, which stood at 261.33 as on 31.12.2015, may be taken at 260.46, which would provide the exact percentage of DA at 125. The future percentage increase in DA in other words may be computed with the base figure of 260.46. The next instalment of DA, which has become due as on 1.07.2016 if computed on the above basis of 260.46, shall work out to 3.28%. On ignoring the faction, the DA with effect from 01.07.2016 shall be 3%. We, request you to kindly take the above into account and issue orders for grant of 3% DA w.e.f. 01.07.2016.

Comradely yours,

sd/-

(Shiva Gopal Mishra)

Secretary (staff side)

NC/JCM & Convener

Central Government has a proposal to Pay 1% DA from July 2016 as an interim Measure

The Sources Close to the Ministry of finance informed that there is proposal to Pay 1% DA from July as an interim Measure.It is said that the Central Government has not yet decided about the DA rates in Revised Pay scale.

Sources close to Finance Ministry told that the initial installment of DA to central government employees on the revised pay structure w.e.f 1.7.2016 is under consideration. Mean time there is a proposal to pay the DA from July 2016 at the rate of 1% to all CG Staffs. It will be a shocking news for CG Staff, since they are already expecting 2 to 3% DA from July 2016.

PRU is asked to submit Financial Implication of 1% DA

But the fact is the Department of Expenditure has directed the PRU of the Finance Ministry to furnish the details of additional Financial Implications for 1% increase of DA with effect from 1.7.2016 on the revised Pay Structure.

Further the Pay Research Unit has been requested to furnish financial implications for the Period of July 2016 to February 2017 on account of granting 1% DA from July 2016 to all central government employees including Armed Forces and UT Employees.

According to the above information, it is believed that announcement of 1% DA for July installment may be made any time soon.

Cabinet approves Cadre Review of Group ‘A’ Executive Officers of Border Security Force

The Union Cabinet, chaired by the Prime Minister Shri Narendra Modi, has approved the Cadre Review of Group ‘A’ Executive officers of BSF with net creation of 74 posts of various ranks from Assistant Commandant to Additional DG ranks to enhance the operational and administrative capabilities of BSF.

Increase of existing structure of Group ‘A’ posts from 4109 to 4183 posts are as follows:

1. Increase of one post of Additional DG (HAG level).

2. Net increase of 19 posts of Inspector General (SAG level).

3. Net increase of 370 posts of DIG/Commandant/2 1C (JAG level).

4. Net increase of 14 posts of Assistant Commandant (JTS level).

5. Net reduction of 330 posts of Deputy Commandant (STS level).

Background:

The BSF is the largest border guarding force established in 1965. The present sanctioned strength of the Force is 2,57,025 having 186 Battalions (including 03 NDRF Battalions). Of these the Executive Group ‘A’ cadre has sanctioned strength of 4065 officers (4109 including the IPS quota). About 90% of the troops are deployed in Indo-Pakistan Border, Indo-Bangladesh Border (including North East) and Left Wing Extremism (LWE) States. The last cadre review of the service was done in 1990.