Thursday, August 25, 2016

POINT OF DOUBT AND CLARIFICATIONS ON 7th CPC OPTION ISSUES

Rule 5. CCS (RP)-2016 says: Drawal of pay in the revised pay structure.– Save as otherwise provided in these rules, a Government servant shall draw pay in the Level in the revised pay structure applicable to the post to which he is appointed: Provided that a Government servant may elect to continue to draw pay in the existing pay structure until the  date on which he earns his next or any subsequent increment in the existing pay structure or until he vacates his post or ceases to draw pay in the existing pay structure:

Provided further that in cases where a Government servant has been placed in a higher grade pay or scale between 1st day of January, 2016 and the date of notification of these rules on account of promotion or upgradation, the Government servant may elect to switch over to the revised pay structure from the date of such promotion or upgradation, as the case may be.


OPTION NUMBER 01  :   FIXATION OF  PAY ON  01.01.2016

OPTION NUMBER 02:-   One can opt to continue to draw in old pay until

(a)  DATE OF NEXT INCREMENT: 
         
Let  X is drawing pay (G.Pay: Rs 2800)   16490 in VI CPC is opted to fix his pay on DNI (01.07.2016)  what is the benefit:

On  01.01.2016   Pay:  16490

      01.07.2016      Rs.   16990

 Pay fixed in   7 CPC  :   (16990*2.57 = 43664)    PAY MATRIX LEVEL 5  :  Rs.44100

Note : If he opted to fix his pay on 01.01.2016  his new pay is : (16490*2.57=42379) fixed at Rs. 42800 on 01.07.2016  pay is Rs.  44100.

(b)Date of Subsequent Increment:  Let he opts to fix on subsequent increment i.e on 01.07.2017.

  Pay on ; 01.07.2016        Rs. 16990
 On            01.07.2017       Rs.17500

Pay fixed in    7 CPC  :  (17500*2.57= 44975 ) fixed at Rs. 45400.

Note : If he opted to fix his pay on 01.01.2016  . his pay on 01.01.2016 is   Rs. 42800  and on 01.07.2016 his pay is Rs.44100/-  on 01.07.2017  Rs. 45400.

 fixation of pay on next and Subsequent increment is not useful for general cases  and loss of arrears also.
    
(c) Vacates His post / Ceases to draw in existing Pay Structure:
Applicable in some special cases only.

(D) PROMOTION / MACP (UPGRADATIONS) TOOK PLACE BETEEN 01.01.2016 TO 25.07.2016 (Date of notification  of Rules) :-

The  Promoted/ Upgraded employees  falling between  this dates can opt to fix pay from Date of  promotion/ up gradation.   And they will exercise  FR22 (i) (a) (i)  also.


The case of those promoted after issue of gazette notification is not a new one.  In all pay commissions such a clause from date of implementation to date of gazette is the cutoff date for exercise option for Promotions.  On consultation with   so many account experts clarified that we cannot interpret the  Rule-5 CCS (RP)-2016 as a general case to opt at any time after Gazette . HENCE THOSE WHO GOT PROMOTED  / MACP UPGRADED AFTER 25.07.2016  HAS NO OPTION TO CONTINUE TO DRAW IN OLD PAY TILL PROMOTION / UPGRADATION.   Only way to opt fixation on 01.01.2016 . This is a heavy Loss to employees under  G.pay Rs.2800  promoted to Rs. 4200/- . Impact of  7th CPC on this employees is huge loss in pay and allowances compared with others just promoted in few months. 

Shared by : Shri. M.S.Reddy : (P.O & RMS) Ex Accountant