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Friday, February 28, 2014

7th CPC TOR and its Implications

                  First of all I thank you on behalf of COC Karnataka for making the 12th &13th Feb strike a success, which has made the Central Government a rethink on major issues of the Central Government, the initial stand  of the Central Government as per the press statement  issued by Hon'able   Finance Minster on 25th September 2013 that the date of effect of the 7th CPC shall be from 1/1/2016, hence no IR and no proposal from the Central Government on DA merger.

                After the 12th &13th Feb strike in which lakhs of Central Government Employees participated in the strike, the  Central Government  had to rethink on these issues. The Union Cabinet meeting has approved the terms of reference of the 7th CPC, if we go through it we find the 7th CPC can submit its interim report on DA merger, IR, Allowances, etc. The date of  effect of the 7th CPC is to be fixed by the 7th Central Pay Commission itself.

             Three main demands of the Central Government  Employees   have not been accepted that is one on GDS inclusion in 7th CPC, need based minimum wage  and other on health scheme.         

              Now comrades it is clear we have won a half battle, many more joint struggles of Central Government employees are required to achieve our demands.

Comradely yours

General Secretary             




Consumer Price index Jan 2014 & DA

 All-India CPI-IW for January, 2014 declined by 2 points and pegged at 237.

The year-on-year inflation measured by monthly CPI-IW stood at 7.24 per cent for January, 2014.

DA as on 1/2/14 is 101.71 %.

7th Central Pay Commission Terms of Reference

7th Central Pay Commission 

            The Union Cabinet today gave its approval to the Terms of Reference of 7th Central Pay Commission (CPC) as follows:-

a)      To examine, review, evolve and recommend changes that are desirable and feasible regarding the principles that should govern the emoluments structure including pay, allowances and other facilities/benefits, in cash or kind, having regard to rationalization and simplification therein as well as the specialized needs of various Departments, agencies and services, in respect of the following categories of employees:-

                         i.                   Central Government employees-industrial and non-industrial;
                       ii.                    Personnel belonging to the All India Services;
                     iii.                    Personnel of the Union Territories;
                     iv.                   Officers  and   employees   of  the   Indian  Audit  and   Accounts Department;
                       v.                   Members of regulatory bodies (excluding the Reserve Bank of India) set up under Acts of Parliament; and
                     vi.                    Officers and employees of the Supreme Court.

b)      To examine, review, evolve and recommend changes that are desirable and feasible regarding principles that should govern the emoluments structure, concessions and facilities/benefits, in cash or kind, as well as retirement benefits of personnel belonging to the Defence Forces, having regard to historical and traditional parities, with due emphasis on aspects unique to these personnel.

c)      To work out the framework for an emoluments structure linked with the need to attract the most suitable talent to Government service, promote efficiency, accountability and responsibility in the work culture, and foster excellence in the public governance system to respond to complex challenges of modern administration and rapid political, social, economic and technological changes, with due regard to expectations of stakeholders, and to recommend appropriate training and capacity building through a competency based framework.

d)     To examine the existing schemes of payment of bonus, keeping in view, among other things, its bearing upon performance and productivity and make recommendations on the general principles, financial parameters and conditions for an appropriate incentive scheme to reward excellence in productivity, performance and integrity.

e)      To review the variety of existing    allowances presently available to employees in addition to pay and suggest their rationalization and simplification, with a view to ensuring that the pay structure is so designed as to take these into account.

f)       To examine the principles which should govern the structure of pension and other retirement benefits, including revision of pension in the case of employees who have retired prior to the date of effect of these recommendations, keeping in view that retirement benefits of all Central Government employees appointed on and after 01.01.2004 are covered by the New Pension Scheme (NPS).

g)      To make recommendations on the above, keeping in view:

i.                     the economic conditions in the country  and need for fiscal prudence;
ii.                    the need to ensure that adequate resources are available for developmental expenditures and welfare measures;
iii.                  the likely impact of the recommendations on the finances of the State Governments, which usually adopt the recommendations with some modifications;
iv.                  the prevailing emolument structure and retirement benefits available to employees of Central Public Sector Undertakings; and
v.                    the best global practices and their adaptability and relevance in Indian conditions.

h)      To recommend the date of effect of its recommendations on all the above.
The Commission will make its recommendations within 18 months of the date of its constitution.  It may consider, if necessary, sending interim reports on any of the matters as and when the recommendations are finalised.

The decision will result in the benefit of improved pay and allowances as well as rationalization of the pay structure in case of Central Government employees and other employees included in the scope of the 7th Central Pay Commission.


            Central Pay Commissions are periodically constituted to go into various issues of emoluments’ structure, retirement benefits and other service conditions of Central Government employees and to make recommendations on the changes required.

Additional DA Approved

Release of additional installment of dearness allowance to Central Government employees and dearness relief to Pensioners, due from 1.1.2014
The Union Cabinet today approved the proposal to release an additional installment of Dearness Allowance (DA) to Central Government employees and Dearness Relief (DR) to pensioners with effect from 01.01.2014, in cash, but not before the disbursement of the salary for the month of March 2014 at the rate of 10 percent increase over the existing rate of 90 percent.

Hence, Central Government employees as well as pensioners are entitled for DA/DR at the rate of 100 percent of the basic with effect from 01.01.2014. The increase is in accordance with the accepted formula based on the recommendations of the 6th Central Pay Commission.

The combined impact on the exchequer on account of both dearness allowance and dearness relief would be Rs. 11074.80 crore per annum and Rs. 12920.60 crore in the financial year 2014-15 ( i.e. for a period of 14 months from January 2014 to February 2015). 

Thursday, February 27, 2014


There is no clarity on DA merger with basic salary*.
but the same has not been confirmed by Government so far.  We will publish the the authenticated news once we get clarity. 

 According to Business standard , IBN TV news and DNA news on DA merger 

The Cabinet today approved  of 50%  of Central government employees and  with their .



7th CPC ToR to be taken up by Union Cabinet Tomorrow

Cabinet Committee recommends Parliament prorogation Unprecedented number of proposals including the possibility of draft ordinances on anti-graft bills expected to be cleared by Cabinet on Friday

The Cabinet Committee on Parliamentary Affairs on Wednesday recommended prorogation of Parliament ahead of Friday’s Cabinet meeting which is scheduled to clear an unprecedented number of proposals including the possibility of draft ordinances on the pet anti-graft bills of the Congress vice-president Rahul Gandhi.

“It is a choc-o-bloc agenda. I have never known seen such heavy agenda before the Cabinet. We are working feverishly as if for the last supper,” a senior Finance Ministry official told The Hindu. The UPA government is keen on clearing as many proposals as possible before the expected general election announcement of the Election Commission after which the Code of Conduct comes into vogue. Among the items for clearance include 54 new Kendriya Vidyalayas and GSLV-Mark III.

Marathon Cabinet meeting expected

With the schedule for the Lok Sabha likely to be announced on Saturday, the UPA government is working “feverishly” on a record number of announcements, appointments and initiatives before the model code of conduct kicks in.

The Cabinet meeting on Friday is expected to be a “marathon” one as it will be the last opportunity for the government to take policy decisions as well as ‘populist’ sops, top Finance Ministry sources told The Hindu.

The proposals lined up for Friday’s Cabinet include 54 new Kendriya Vidalayas, space programme GSLV-Mark III, a six-lane bypass for Delhi, terms of reference for the 7 Pay Commission which was set up by Prime Minister Manmohan Singh recently.

It is expected to consider Rs. 3,500 crore budget for new broadcasting infrastructure for All India Radio and Doordarshan, 10-per cent Dearness Allowance for government employees and 600 MW hydro-power projects in Bhutan. The dearness allowance hike to 100 per cent from the existing 90 per cent is expected to benefit to benefiting 50 lakh employees and 30 lakh pensioners.

Officials believe some more items could be put on the block-buster agenda. A Cabinet Minister told The Hindu that the government expects the Election Commission to announce the general election schedule on Saturday or latest by Monday.

Source : The Hindu

Wednesday, February 26, 2014

Comrade Umraomal Purohit no more

Comrade Umraomal Purohit  Secretary Staff side National Council ( JCM)  and President All India Railwaymen's Federation died today 27/2/14  at 4.40 am . The COC Karnataka condoles his death, we have lost a good leader who fought for all Central Government Employees especially during pay commissions. We pray  GOD to rest his soul in peace.    

Comrade Umraomal has been active in the Indian trade union movement for over five decades. He started his career in Indian Railways and became the General Secretary of the Western Railway Employees Union in 1958 at the age of 30. In 1962 he was elected as the Assistant General Secretary of the All India Railwaymens Federation (AIRF). Purohit has also been leading the Hind Mazdoor Sabha (HMS), a trade union national centre, since 1985, and has served as AIRF President since 1980. 

Union Cabinet to approve 7th CPC TOR on 28/2/14

             The union cabinet is likely to approve the terms of reference of the 7th CPC on Friday  ie the on 28/2/14(before announcement of general elections),  which includes the date of effect of the 7th CPC, interim relief , DA merger etc. It is likely government may or may not not grant all these or it would rather ask 7th CPC to examine these issues. With these the Government has moved one step ahead from its original stand of declaring on 25th September that  7th CPC date of effect from  1/1/2016, this is only due to the impact of two days strike by Central Government Employees  affiliated to the Confederation of Central Government  Employees and Workers on 12th and 13th Feb 2014. 

              We are only  hoping  and praying  that the Central Government will issue orders for DA merger or date of effect or IR, instead of a demanding it by struggle . If other  Central Government Employees would have also joined the Feb 2014 strike, we would have got better deal, we could have forced the Central Government to accept our 15 charter of  demands straight  away rather than asking for it,  now by these time orders  would have been issued.     

                          Now we have won a half battle, after general elections we should all unite and fight for major issues such as 100% DA merger, IR, date of effect from 1/1/2014. Today we are in this position of just hope Central Government will accept our demands rather than forcing the Central Government to accept our demands. Now we concentrate on unity of CG employees which would force Central Government to accept our 15 charter of  demands. Joint struggle by all Central Government Employees irrespective of  affiliations is the need of the hour. 

Comradely yours

General Secretary  

Thursday, February 20, 2014

DA Merger & 7th CPC Terms of Refrence News

Merger of D.A., granting interim relief and enhancing superannuation age are definitely being actively considered by the Govt.  Hindu Business lines, Business standard, Economic times  and Vijaya Karnataka News papers has published it was discussed in the union Cabinet meeting & same has been approved. As per news paper reports the decisions taken are to refer to 7th CPC regarding DA merger &  IR. If these reports are true then we have to wait for next week for notification orders. 


Business Standard:

Among the flurry of proposals cleared by the cabinet yesterday was the terms of reference for the new .



The  Government has not issued any statement so far on this issue Finance Minister Shri P Chidambaram will visit Australia as per the schedule he will attend the G20 meeting on February 22 and 23, followed by investor conferences on February 24 and 25. and Now the  above reports are not correct,  it is most likely that cabinet will take any decision only after his return from abroad. So good news may be expected on 27th or 28th Feb.