Not the time for a pay hike
Written by Administrator on June 23rd, 2008Out of evil cometh good, they say. All the hullabaloo over the perceptibly climbing inflation has at least done one good: It has inhibited the various organisations of government employees and their champions from creating a country-wide commotion demanding the instant implementation of the recommendations of the Sixth Pay Commission.
Until a few such Commissions ago, their recommendations were taken as applicable only to the Central Government employees. But since the last two Commissions, the implementation by the Central Government of the recommendations for its employees automatically becomes the signal for the State Governments too to give the same salaries to various grades of their employees, although there is no comparison between the duties and responsibilities of both sets of employees.
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An idea of the impact of the Fifth Pay Commission can be had from the fact that the Centre’s and States’ wage bills saw astronomical increases of 99 and 74 per cent respectively from Rs 21,885 crore to Rs 43,568 crore, in the case of the Centre, and from Rs 51,548 crore to Rs 89,813 crore, in the case of the States.
These increases had a devastating effect on public finance, with no commensurate increase in productivity or improvement in service delivery as far as the aam aadmi was concerned. Nearly 90 per cent of the States’ revenues are drained by salaries, with only a minuscule portion left for fulfilling the people’s needs.
As regards the Sixth Pay Commission, assuming a real GDP growth rate of 8.5 per cent and an annual inflation rate of 4.5 per cent in 2008-09, the official spokespersons have put the impact at around 0.4 per cent (or Rs 21,215 crore) of the GDP estimated at Rs 53,03,770 crore.
Such projections invariably go awry when one does a reality check. Since both the GDP growth and inflation rate do not look like conforming to the spokespersons’ optimistic, some would say, smug, projections, there is every reason to fear that massive handouts on the magnitudes envisaged across the board both at the Centre and the States would cause a situation tantamount to financial emergency.
Fervent call
The prospect is not far-fetched given that in the aftermath of sweeping giveaways following the Fifth Pay Commission, nearly half the number of States almost went bankrupt without the money even to pay salaries.
Indeed, many States such as Assam, Bihar, Manipur, Meghalaya, Mizoram, Orissa and West Bengal demanded that the Centre should not go for a pay revision without prior consultation with the States. They also wanted a national wage policy which would obviate the need for periodically setting up Pay Commissions. The Twelfth Finance Commission too came down heavily on the practice of appointing Pay Commissions every 10 years.
June 24th, 2008 at 10:11 am
Sir,
The public are talking about pay raise but they do not understand the basic revision for what? The state Govt. employees enjoying facilities due posting near or hometown posting apart from other activities which need not explain. The public is well aware get one certificate or patta etc how much money they have to spent apart from fixed fee of state Govt. The Central Govt. servants duties and functions are totally diffierent compare to State Govt servants. The Central Govt servants needs to works remote and terrain area apart from clean way of handling i.e. railway booking reservation etc.whereas Per cent age of waste interest less in percentage. The cost of index and maintaining the family at posted station and other their dependent living far from the place of posting need to maintained with some standard living. Kindly tell us sometimes where is State Govt. servants during the duties hours needs to researched. Getting a ration card one has spent valueable time apart from spending expenditure on it. In case anything is happened in Central Govt. is purely on the part of individual who want to expedite their work with all cost for which the indidual has not mind. However, if it is high lighted with senior officers such practice will be stopped forthwith but in state government even brought to the light to the higher authority there is no response. For example change of name for electricity metre, one has spent sufficient time apart from normal fee. If the waste interest are paid as per demand the thing will carried out as quickly as possible.
This is the case of State Govt. employees why they should be on par with Central Government employees. For example about CG employees those working in terrain and remote locaties; Railway, GSO. AMED, post office and some of the scientific office etc. There is question of moderate increase in pay of State Government Employees but they should not be compare on par with GC employees pay is concerned. There is a council for transfer even within the state whereas the Central Govt. employees do not have such facilitates. I do not know why there is comparion with CG Employees.
This arguments is only put forthwith in order to the difficulites faced by the CG employees but not to hurts any state government employees in India. Kindly permit to point that the cost Index increase do not increase no Govt. servants would like to avail DA against price index and such pay commission which is conculed in confession
June 24th, 2008 at 10:49 am
Sir,
Your comment is well reserached.. and u r correct on your approach. But are there any takers for these emotions. But one thing is true for sure…implementing CPC wont b easy in these times when govt is looking every nook and corner to save its face… viz.. Rising inflation.. fuel prices to name a few… Hope it (CPC) comes at a right time…… Pramod
June 24th, 2008 at 12:28 pm
There is no need to revise pay if the government can control price of all things its old stage. If government unable to control price then how can they refuse to pay hike.
June 25th, 2008 at 10:35 am
Mr P C is trying his level best to delay the implementation of 6th CPC, so that he can save the allowances, which will be paid w e f the date they announceor issue orders. Govt has many experts in Finance Field lime Mr P Chidambaram as FM, Mr Montek Singh Alwalia and Dy Chairman,Planning Commission, former Governers, one as Prime Minister and one as Financial Adviser in PMO. Now here I could not understand where their experience has gone? When UPA Govt has formed the Housing Interest was charged by most of the Banks @ 8% p.a. But now it has incresed to 13% to 14% p.a. and FM very well know that the inflation % is growing, then what made them to enhance the loan waiver scheme from 60,000 to 72,000 crores? This itself shows that they are playing vote bank policy by bribing their party cadre. By this they are ruining the people of India. By the by howmany poor farmers are benefit with the loan waiver scheme? Because poor farmers have paid their loan to avail next loan, but the big farmers having some lakes of annual income have ignored to pay and now these big farmers are benifitted. Now Govt is unable to pay the CG employees salary, one should not suprise if UPA govt may sell/give on lease this India to newly formed Nepal Govt. to run the state. Perhaps God may also be helpless in this regard. It is better UPA resign and hand over this country to Indian Army. They may do billion times better than the UPA Govt. All CG employees pray God to save us all.
June 28th, 2008 at 10:41 pm
When will the UPA govt. Implement the CPC.?
June 29th, 2008 at 12:24 pm
Don’t worry Indians. We get good package very soon.
July 2nd, 2008 at 10:04 am
Sir,
If the iflation and price rise are not there then there is no question of rising of salary 4 any one in India.In the name of responsibility all india officers enjoy more privilage without any accountability,so do our politicians.They r the law makers and breakers,( breaking more often than following ). Why do they give them selves a rise and not a single representative oppose it.This proves that though at the helm of afairs speak some thing for the public to do but they alwayas do something else.We the poor people are the real heros for the implementation of the policies but are always denied the minimum facilities.Do work get penalised and do not work also get penalised. Let us face it ,all the govt. servants from top to bottom,policy makers etc should finalise what basic requirements to provided to all.If this is done than there shall be no problem.