Only from 6th CPC, Grade Pay System was introduced with pay scales to different cadres in the department. Some of pay scale have been combined together to minimize many pay scales as done in other previous CPC recommendations. Let us discuss pros & cons of Grade Pay continuance.
A. Advantage of Grade Pay System
By introduction of Grade Pay from 6th CPC implementation, with effect
01.01.2006, the following benefits are available to the staff.
I. Availability of increased amount of increment every year
Previously, in the time scale of pay, two or stage fixed amount of
increments for certain period had been prescribed implemented up to 5th
CPC. Previous Pay scales has fixed amount of increment for certain
period & thereafter, the increment amount fixed was a little higher
amount, than previous one.
For Example:
In Postal Department, Postman Pay Scale was in the pay scale
3050-75-3950-80-4590. By this pay scale, postmen officials were able to
get Rs.75/ (or) 80/-as annual increment amount. This is constant for
every year but, after 6th CPC 3% of increment is admissible in the pay
drawn by the official with Grade Pay. This will be increased on the next
increment date, as on 01.07, every year, by calculation of 3%
increment, with previous year increment added amount. So, there will be
an increase in increment amount, every year. This is more than getting
fixed amount increment, as existed before. This is a great advantage to
the staff, because increased of getting fixed amount of increment higher
in increment amount is admissible every year, as tabled below.
Table showing increase in increment every year (not rounded off)
| Pay In the Pay Band | Grade Pay | Basic Pay | 3% of Increment | 3% Constant Increment | Different in Rupee | Different in Percentage (%) |
| 9300 | 4200 | 13500 | 405 | 405 | 0 | 0% |
| 9710 | 4200 | 13910 | 417.3 | 405 | 12.3 | 2.95% |
| 10130 | 4200 | 14330 | 429.9 | 405 | 24.9 | 5.79% |
| 10560 | 4200 | 14760 | 442.8 | 405 | 37.8 | 8.55% |
| 11010 | 4200 | 15210 | 456.3 | 405 | 51.3 | 11.24% |
| 11470 | 4200 | 15670 | 470.1 | 405 | 65.1 | 13.85% |
| 11950 | 4200 | 16150 | 484.5 | 405 | 79.5 | 16.41% |
| 12440 | 4200 | 16640 | 499.2 | 405 | 94.2 | 18.89% |
| 12940 | 4200 | 17140 | 514.2 | 405 | 109.2 | 21.24% |
| 13460 | 4200 | 17660 | 529.8 | 405 | 124.8 | 23.55% |
This increase indeed will have its impact in DA amount also whenever Revised DA is announced.
II. No Stagnation of Pay -after 6th CPC in Pay Bands
There will no stagnation at all in the Pay Band system, since it is a
running scale process, after 6th CPC implementations, There is a uplift
to jump up from PB – 1→ 5200-20200 to PB – II→ 9300-34800, in case, the
official reached 20200 in the PB – 1, even though Grade Pay remains as
same. (That is Rs.2800.
III. Adding of Grade Pay for Calculation of Increment
Increment is calculated for Grade Pay also, since it is form and part of
new Pay Band, and this is paying way to set more amount of increments.
B. Disadvantage of Grade Pay System
I. Difference in pay fixation between promotivees and direct recuritees.
By introduction of Pay Band with Grade Pay System, entry Pay for direct
recuritees, have been fixed more than, initial promotional pay, for the
Promotivees. By this process, there is a difference of the pay between
promotivees and direct recruitees, since entry pay is higher than the
pay fixation done, by giving notional increment to the promotivees. This
differenciation is not digestible by promotivees.
II. Grievances of Supervisory staff
Since, for operative staff and supervisory staff, only one Pay Band is
available, with same grade pay, the supervisory Staff could not get 3%
notional increment, on getting promotion to higher post.
III .Grievances of MTS Staff Got TBOP/BCR From 01-01-2006 to 31-08-2008
There is a disadvantage in Fixing Grade Pay to officials getting ACP and
other Financial up gradations, during the period from 01-01-2006 to
31-08 -2008, by issue of order Dated 27-05-2014 it has been stated that
Grade Pay of 1800 only is applicable to all MTS/ other staff getting
financial up gradations between 01-01-06 to 31-08-2008, by cancelling
TBOP/BCR/ACPs got during the period.
IV. Set back to Promotivees on getting MACP
In the MACP scheme, introduced with effect from 01-09-2008, as per 6th
CPC Recommendations, there is a provision to take promotions got by
writing Exam/on seniority/ACP/on TBOB – BCR, as first and Second MACPs,
as the case may be. By this process, promotion/up gradation got form
initial date of appointment, are being counted us first MACP/Second
MACP. Lower grade officials promoted to higher post, by writing Exam/on
Seniority/getting ACP/TBOB –BCR, are able to get lesser Grade Pay, at
the time their Retirement, even though, they have completed 30 years of
service, from the date of initial appointment. In the case of clerical
they are able to get Grade Pay of 4200 only, as their last Grade pay
whereas direct Recruitees are retiring with Grade pay of 4600. So, in
order find out remedy to avoid this discrimination Pay Commission should
have recommended fixing of pay on getting MACP, in the next higher Pay
Band, with higher Grade Pay, but which was not done.
V. Differentiation between Pre & Post retirees, whose old Pay Scale was 6500-200-10500
By issue of clarification order by OM dated 11-02-2009, by DOPT &
Training, it has differentiated Fixing of Grade Pay for those who got
6500 – 200 – 10500 pay Scale, prior to 01-01-2006, and for those retired
on or after 01-01-2006. This is a contracting original OM. But it is in
force till today, for fixing pensions to pre 2006 retirees with Grade
Pay of 4200, instead of with Grade pay of 4600/- This is against Nakara
case Judgement.
VI. Grievances of official drawing Grade Pay 1800 in Pay Band of 5200-20200
For those who are getting Grade Pay of 1800, in the Pay Band of
5200-20200, next MACP fixation with Grade Pay of 1900 only is available,
after putting 10 year service. So also, the next Grade Pay applicable
to them, after another 10 year service, Grade Pay is fixed as Rs.2000
with a raising Rs.100 only; this is the most disadvantage position now
continuing.
And the writer of above article [geoed] has invited a poll, your views
are expected on the continuance of Grade Pay in 7th CPC also. It is
request to convey your opinions by stating clearly, regarding
continuance of Pay Band with Grade Pay system or it’s discontinues after
going through above factors deeply, your polling is anxiously awaited.
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| Click on picture to go to Poll |
