Sixth Pay Commission update

Today the Cabinet ratified the recommendations of the Sixth Central Pay Commission with minor modifications.  The jump in pay is expected to be upwards of 30 per cent after taxes. The system of four Pay Bands with 20 Grade Pays recommended by the commission has been accepted.

The median salary for central government employees in India currently stands at Rs 250,092 per annum, while that of private sector companies at Rs 408,605. It is expected that the figure for government employees will rise to Rs 352,611 — which would leave a small gap of Rs 50,000 compared to the private sector.      

However, as in the past, post pay commission most private sector companies revise their pay scales upwards which further increases this ever widening gap.

So far the highlights of the report are

1. Minimum basic Salary - Rs. 7000
2. New allowances to be effective from 1st September 2008
3. IRS officers demand to be considered a superior service to IAS and IPS rejected
4. Education Allowances for employees for upto two children - Rs. 1,000 (Earlier, it was Rs. 100)
5. Maximum Basic Salary - Rs. 90,000 (Cabinet Secretary)
6. National Holidays - 3
7. Gazette Holidays to be canceled
8. Pay hike will be implemented from January 01, 2006
9. Maternity Leave : 6 Months
10. HRA in A-1 Cities - 30%  (Unchanged)
11. HRA in A, B, B-1 Cities - 20%
12. Incentive Schemes to be announced
13. New Medical Insurance Scheme to be launched for government employees
14. Market-driven pay for scientists and all other jobs that require professional skill set.
15. Total number of salary grades to be reduced from 35 to 20.
16. The wage hike would increase the financial implication for the Centre by Rs 17,798 crore annually and the arrears with effect from January 2006 would cost Rs 29,373 crore, Information and Broadcasting Minister P R Dasmunsi told reporters after the Cabinet meeting.
17. The government increased the minimum entry level salary of a government employee to Rs 7,000 against Rs 6,660 recommended by the Commission headed by Justice B N Srikrishna who submitted the report in March this year.
18. Consequently, it would push up the total emoluments of an employee at the lowest level beyond Rs 10,000 per month including allowances.
19. It also increased the rate of annual increment from 2.5 per cent to 3 per cent.
20. In the defense sector, it approved at least three assured promotions for all defense forces personnel and civilian employees under the modified Assured Career Progression scheme.
21. While civilians would get this after 10, 20 and 30 years of service, defence forces jawans would be promoted under ACP after 8, 16 and 24 years.
22. The hiked salary would be given to the employees beginning September this year and the arrears from January 2006 would be given in cash in two installments - 40 per cent this fiscal and 60 per cent in 2009-10.
23. The financial implication of Pay Commission on the General Budget would be Rs 15,717 crore and Rs 6414 crore on Railway Budget in 2008-09.
24. The government’s present salary bill is over Rs 70,000 crore and the pension bill is over Rs 30,000 crore.
25. Finance Minister P Chidambaram said the budget deficit target would be adhered to, despite the implementation of the Pay Commission recommendations.
26. The government for the first time approved Military Service Pay for armed forces personnel, under which officers would get Rs 6,000 over and above their pay per month.
27. The lowest limit of disability pension for defence personnel would be doubled to Rs 3100 a month.
28. No Cabinet Secretary rank for Intelligence Bureau chief, the three Service chiefs or the Chairman, Railway Board
29. Group D personnel to stay (peons in ministries and porters in Railways)
30. Military service pay for persons below the officer rank (POBR) would be Rs 2,000 per month
31. DIG-scale abolished in IPS and Indian Forest Service
32. The salaries of Brigadiers will be in Pay Band 4 (Rs 39,200-67,000) as against the suggested pay band 3 (Rs 15,600 - 39,100) previously.

It is expected that the actual pay-out would come in November after the monsoon session of Parliament in September passes the Finance Ministry’s supplementary Demand For Grant to fund the wage bill.

Source: http://pib.nic.in/archieve/others/2008/aug/r2008081405cab.pdf

UPSC Interview

6th Pay Commission delayed till 2010?

 

The government may defer the implementation of the Sixth Pay Commission award by a year or even two to reduce the fiscal burden of the recommendations that proposed a 28 per cent across-the-board salary increase for an estimated 4.5 million central government employees.

In Budget 2008-09, the finance ministry has estimated the fiscal deficit at 2.5 per cent of GDP, which is in line with the Fiscal Responsibility and Budget Management Act, 2003. This included headroom for the likely impact of the Pay Commission award.

However, subsequent developments have led to the fear that the Centre’s fiscal position may have taken a beating during the year on account of the farm loan relief package and higher crude oil prices leading to an increase in the subsidy burden.

A final decision could be taken as early as next month, well before six states head for elections to their legislatures.

Do you look older than you should?

A few simple changes can help take years off your appearance. High-school reunions can be a shock. Everyone attending is about the same age, so why do some classmates look amazingly young while others look at least a decade older than the rest?Genes play a significant role, of course. Grandma Esther’s smooth, wrinkle-free skin may have been passed down to future generations, along with Uncle Jake’s slim physique. But other factors can also have a profound influence on how gracefully you age. Here are the things that Add years to your Looks: None one can turn back time, but you can avoid these common offenders that can make you look old before your time. Unhealthy weight. In addition to increasing your risk for diabetes and heart disease, extra pounds can add years to your appearance. On the flip side, being too thin is not becoming (or healthy) either. Stick to a regular exercise routine, which is good for your heart as well as your skin; increased circulation can promote a fresher-looking face. • Lack of sleep. Not getting enough z’s can contribute to puffy facial skin, as well as dark circles and bloodshot eyes. Being perpetually overtired can also lead to an increased risk of heart problems. • Smoking. We all know that smoking is damaging to our lungs and other organs. But it’s also extremely hard on the skin. Smoking slows blood flow in the face, and the sucking motion made while inhaling produces vertical lines around the lips. Kicking the habit now will improve your overall health, both inside and out • Too much sun. Few things age a person’s appearance as much as rough, leathery skin due to tanning. Instead of looking healthy, it’s often lined and spotted. Plus, it can increase your risk for developing skin cancer. It’s not too late to reverse the trend, though. Apply a broad-spectrum sunscreen with an SPF of 15 or higher every day, and stay out of direct sunlight. Wear sunglasses to protect your eyes from harsh rays and to prevent wrinkles that come from squinting. • Excessive makeup. As one ages, less makeup is almost always better than more. Heavy foundation can settle into wrinkles, and shiny or brightly colored eye shadow can emphasize lines around the eyes. Many department-store cosmetic counters offer free makeup consultations to help you try out a new look. Focus on highlighting a single feature, such as large eyes or full lips. • Outdated hairstyle. Stuck in a time warp when it comes to your ‘do? Some women keep the same hairstyle year after year, which can be very dating. Consult with a hairstylist about updating yours to a more modern look. In addition, hair coloring can do wonders when it comes to looking younger. • Inappropriate clothing. Age-appropriate clothing doesn’t have to mean housedresses and “sensible” shoes. There are a variety of comfortable, attractive fashions for people of all ages. Accentuate your best features, such as long legs or a swanlike neck. Color can also make a big difference in clothes. Don’t be afraid to add rich tones to your wardrobe. • Bad posture. As your mother always said, stand up straight. Good posture is not only beneficial to your body; it also makes you look taller and slimmer. What’s more, good posture can convey self-confidence, which may just be the best accessory you can have.