DA correction to add to pay panel’s goodies
Written by Administrator on July 28th, 2008The Sixth Pay Commission award for government officials is likely to be sweetened with an upward revision in the dearness allowance (DA) entitlement. The committee of secretaries (CoS) looking into the recommendations made by the Sixth Pay Commission has suggested a change in the DA calculations. This could result in additional benefit of Rs 300-3,000 a month to a government employee, depending on her level.
The CoS, headed by Cabinet secretary K M Chandrashekhar, is giving finishing touches to the report that is expected to be submitted soon. The report would then go to the Cabinet for approval. Government sources said the change has been suggested in the wake of an across-the-board protest by government employees against the way DA allowance was fixed.
The Fifth Pay Commission had recommended that the 50% DA payable in April 2004 be merged with basic pay. The dearness pay was to be counted as basic pay for all practical purposes, including for retirement benefit. Thus, logically, as on January 1, 2006, the recommended date of Sixth Pay Commission award, the 24% DA payable should have been on a salary that included the 50% DA that was merged with basic pay from April 2004.
In its calculation, however, instead of compounding the two DA components — 50% as on April 1, 2004 and 24% as on January 1, 2006 — the commission added them, yielding a figure of 74% composite DA. Consequently, while shifting to the concept of grade pay, the pay commission fixed the base salary as on January 1, 2006, at the basic pay drawn along with dearness allowance at the rate of 74%, and rounded it off to next multiple of 10. The anomaly resulted in a loss of roughly 7% to government employees.
To put it simply, if an employee had a basic salary of Rs 100 on April 1, 2004, according to the Fifth Pay Commission calculation, he would have a total salary of Rs 150 (including 50% DA). A 24% DA on that would increase his salary to Rs 186 — and not Rs 174 on January 1, 2006, used as the base for calculating Sixth Pay Commission award. The committee of secretaries is understood to have proposed that the anomaly be corrected and the DA be fixed at 86% and not 74%.
So, in case of a government employee in the Rs 2,550 pre-revised payscale, the revised pay in running pay band would become Rs 4,743 (increase of 86%) against Rs 4,440 (74% increase), a gain of over Rs 300. At the director level, in the payscale of Rs 18,300, the difference because of the change would be over Rs 2,000 a month
July 28th, 2008 at 11:31 am
Dear Sir,
It is high time we, the Govt Servants are paid our due. The Govt. may face problems one after the other just as the 22 fiasco. The need of the hour is an interim payment to tide over the escalating cost of living. The price rise for rice has gone up nearly 33% within a month which is expected to go up further. Hence without any delay let the Govt. announce some good thing to tide over the present crisis. When Govt. can write off Rs.70000 crores let it take care its employees.
July 28th, 2008 at 11:34 am
It is high time we, the Govt Servants are paid our due. The Govt. may face problems one after the other just as the 22 fiasco. The need of the hour is an interim payment to tide over the escalating cost of living. The price rise for rice has gone up nearly 33% within a month which is expected to go up further. Hence without any delay let the Govt. announce some good thing to tide over the present crisis. When Govt. can write off Rs.70000 crores let it take care its employees at once.
July 28th, 2008 at 6:41 pm
It is very sad that no one says correct news. Kindly high light which may correct. The pay commission will come by way office order/resoluation by Govt. one fine morning without informing to the media after cabinet committee meeting/approval. At the most the announcement will be that it is approved by cabinet committee. That’s all.
July 28th, 2008 at 10:37 pm
good news . hope govt accepts it .
July 28th, 2008 at 11:18 pm
Even mathematics matches. Why 6th CPC had ignored it. Atleast government should ratify and accept it and implement 6th CPC at the earliest.
July 29th, 2008 at 9:33 am
The Govt. should take care of the benefits of its employees,because still there are huge no. of honest employees who are solely dependent on their salaries, and of course increase in salary would give a relief to them.
July 29th, 2008 at 9:44 am
DA should be at least 4 levels just like in Vth Pay Commission, otherwise the different will be increased between top level and bottom level salary. In these hard days it is very difficult to sruvive middle class family and lower class family. D.A. should not be in flat to all employees it would be just like in 5th Pay Commission.
July 29th, 2008 at 3:58 pm
Any ‘good news’ involving ‘this’ government should be taken with a pinch of salt. Poor things, we don’t know how much they had to spend to win the much touted Confidence motion. Getting better emoluments from these bunch of Ministers is next to impossible. Always be prepared for the shock folks!
July 29th, 2008 at 8:09 pm
sir, we should not blame to govt for delay in spc implmentation, actualy as per my view it main culprits are group of honourable secretaries, they actuly do not needs even salary at the end of month. they are getting everday handsome perks or undisclosed benifits. we all middle and base level staff are most sufferer, we only takes pain to cast our votes at boothing pool. Can anyone seen any top bureacrate or IAS /IPS officer casting his votes.
My sincere pray to ruling party kindly fix the responsibily of GOS to submit their recomendations immediately , they have proven their efficicency of their task.
July 29th, 2008 at 10:44 pm
sir, Every employee is eagerly waiting for the early implementation of sixth pay commission implementation. But the govt. is still delaying the process. We hope atleast by the end of this month that the govt would announce the notification
July 29th, 2008 at 10:48 pm
sir, good and deserved for the govt. servants
August 1st, 2008 at 12:25 pm
Sir, the delay in implimentation of 6th Pay commission report shows the adament nature of central govt., specially the present Finance Minister and Amm Admi mesiha Mrs Sonia Gandhi
August 1st, 2008 at 7:46 pm
the cos headed by k.m.chandrasekhar has to submitt its report at the earliest and the union cabinet has to approve the recomendations immidiately without changeand delay.iam sure that the immidiate effect would not effect the inflation rate if the arrears released at the time when the inflation rate is get down.
August 4th, 2008 at 7:50 pm
SIR ALL GOVT EMPLOYEES ARE EAGARLY AWAITING FOR 6PC DECLARATION
AND EVRYONE HAS LOTS OF HOPE FROM THIS PC
EVERY GOVT EMPLOYEE WILL THANK YOU AFTER DECLARATION OF THE COMMISSION
August 5th, 2008 at 2:37 pm
Central Govt. is making government servants fools on the issue of implementation of 6th Pay Commission recommendation. For years together employees are eagerly waiting for the pay revision. On one pretext or the other the government is postponing the issue. It is well known, the pay of government servants is much less compared to that of their counterparts in private establishments. When the prices of every thing is going up day by day, it has become almost impossible for government servants to meet their day to day expenditures, don’t ask about savings. Officials in ministerial levels concerned should realise this fact and act upon speedy implementation of pay commission report. Otherwise, governement will be diggiging their own burial in forthcoming elections.