NATIONAL ASSOCIATION OF POSTAL EMPLOYEES, GROUP ‘C’ (FNPO P3) AMBATTUR BRANCH, CHENNAI 600 053
FNPO ZINDABAD

Monday 1 May 2017

MAY DAY WISHES TO ALL

01.05.2017

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7th Pay Commission: NJCA Chief to meet Cabinet Secretary tomorrow on the issue of Arrears on Allowances

7th Pay Commission: Arrears likely to be provided on allowances, NJCA chief to meet Cabinet Secretary tomorrow 

New Delhi, May 1: The National Joint Council of Action (NJCA), the consolidated body of employee unions, will hold a meeting with Cabinet Secretary P K Sinha on Tuesday to discuss the report submitted on allowances. While speaking to India.com, NJCA chief Shiv Gopal Mishra, who has been leading the negotiations related to 7th Pay Commission, said arrears on allowances would most likely be provided to the central government employees.

“Arrears would mostly be provided to the employees. I will meet Cabinet Secretary tomorrow in this regard. He is heading the Empowered Committee of Secretaries which is scrutinising the report submitted by the Lavasa committee,” Mishra said.

The report on allowances was submitted last week by Finance Secretary Ashok Lavasa. The panel, under his chairmanship, was set up in July by Centre to review the anomalies raised by unions. A total of 15 meetings were held between the Lavasa committee members and representatives of National Council (Staff Side), Joint Consultative Machinery (JCM) and representatives of defence personnel were held over the last 10 months.

The Lavasa committee considered the demands raised by the employee representatives in relation to at least 79 allowances.

The recommendations of Lavasa committee is yet to be made public. “No insights from the report is available so far. We (NJCA) would study the recommendations of the report tomorrow after meeting the Empowered Committee of Secretaries,” Mishra added.

The 7th Pay Commission had suggested the abolition of 52 out of the 196 existing allowances, apart from subsuming 36 smaller allowances. The 7CPC panel led by Justice (retd) A K Mathur had also ended up reducing the HRA from existing 10, 20 and 30 per cent to 8, 24 and 16 respectively.

Due anomalies raised by unions, Centre, in July had deferred the implemented of higher allowances. Only the basic component of salaries were hiked in accordance to the 7th Pay Commission recommendations. Along with the salaries, Centre also provided arrears since January 1, 2016, the scheduled date of 7th Pay Commission’s implementation.

NJCA has demanded a similar release of arrears on allowances as well. “If Centre failed to implemented the pay commission on its scheduled dates, then why should employees bear the loss? The pay commission is implemented once in a decade, it is our right to avail the entire amount from January 2016,” Mishra said.
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Committee on Allowances: No change in HRA

New Delhi:: Allaying the fears of central government employees, the Finance Minister Arun Jaitley appointed Committee on Allowances, under Finance Secretary Ashok Lavasa, in July 2016, which submitted its report on Thursday ruled out any change in house rent allowance (HRA) and dittoed the 7th Pay Commission.


Finance Minister Arun Jaitley appointed Committee on Allowances, under Finance Secretary Ashok Lavasa, in July 2016.

Finance Ministry sources today said on condition of anonymity, there is no scope to change in house rent allowance (HRA), which were recommended by the 7th Pay Commission.

The sources came up with this remark while talking to us about the report of Committee on allowances.

Those who hope over this issue will gain nothing as no change on 7th Pay Commission recommendations in respect of HRA was made by the Committee on Allowances, they added.

Replying to a question, the sources said, “the present rate of house rent allowance — of 30, 20 and 10 per cent — has been reduced to 24, 16 and 8 per cent respectively by the by the 7th Pay Commission.

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

The central government employees’ unions leader said that the proposed house rent is not enough for employees to make a living in cities. They had demanded a hike in House rent allowance 30, 20 and 10 per cent respectively according to new pay matrix.”

“The committee on allowances stuck with the 7th Pay Commission’s recommendations on HRA and the government is likely to accept it.” the sources confirmed.

However, the committee on allowances has suggested certain modifications in some allowances which are applicable universally to all employees as well as certain other allowances which apply to specific employee categories such as Railway men, Postal employees, Scientists, Defence Forces personnel, Doctors and Nurses etc, the Finance Ministry’s press note said.

The 7th Pay Commission had recommended that of a total of 196 allowances, 52 be abolished altogether and 36 be abolished as separate identities by subsuming them in another allowance.

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