MINISTRY OF FINANCE
(Department of Expenditure)
RESOLUTION
New Delhi, the 25th July, 2016
No. 1-2/2016-IC.— The Seventh Central Pay Commission (Commission) was set up by
the Government of India vide Resolution No. 1/1/2013-E.III (A), dated the 28th
February, 2014. The period for submission of report by the Commission was
extended upto 31st December, 2015 vide Resolution No. 1/1/2013-E.III(A), dated
the 8th September, 2015. The Commission, on 19th November, 2015, submitted its
Report on the matters covered in its Terms of Reference as specified in the
aforesaid Resolution dated the 28th February, 2014.
2. The Government, after consideration, has decided to accept
the recommendations of the Commission in respect of the categories of employees
covered in its Terms of Reference contained in the aforesaid Resolution dated
the 28th February, 2014 in the manner as specified hereinafter.
3. The Government has
accepted the Commission’s recommendations on Minimum Pay, Fitment Factor, Index
of Rationalisation, Pay Matrices and general recommendations on pay without any
material alteration with the following exceptions in Defence Pay Matrix in
order to maintain parity in pay with Central Armed Police Forces, namely :-
(i) the Index of
Rationalisation of Level 13A (Brigadier) in Defence Pay Matrix may be
revised upward from 2.57 to 2.67;
(ii) additional three
stages in Levels 12A (Lieutenant Colonel), three stages in Level 13
(Colonel) and two stages in Level 13A (Brigadier) may be added
appropriately in the Defence Pay Matrix.
4.(1) The Pay Matrix, in replacement
of the Pay Bands and Grade Pays as in force immediately prior to the
notification of this Resolution, shall be as specified in Annexure I in respect
of civilian employees.
(2) With regard to fixation
of pay of the employee in the new Pay Matrix as on 1st day of January, 2016,
the existing pay (Pay in Pay Band plus Grade Pay) in the pre-revised structure
as on 31st day of December, 2015 shall be multiplied by a factor of
2.57. The figure so arrived at is to be located in the Level
corresponding to employee’s Pay Band and Grade Pay or Pay Scale in the new Pay
Matrix. If a Cell identical with the figure so arrived at is available in the
appropriate Level, that Cell shall be the revised pay; otherwise the next
higher cell in that Level shall be the revised pay of the employee.
(3) After fixation of pay in
the appropriate Level as specified in sub-paragraph (2) above, the subsequent
increments in the Level shall be at the immediate next Cell in the Level.
5. There shall be two
dates for grant of increment namely, 1st January and 1st July of every year,
instead of existing date of 1st July; provided that an employee shall
be entitled to only one annual increment on either one of these two dates
depending on the date of appointment, promotion or grant of financial
up-gradation.
6. The Commission’s
recommendations and Government’s decision thereon with regard to revised pay
structure for civilian employees of the Central Government and personnel of All
India Services as specified at Annexure I and the consequent pay fixation
therein as specified at Annexure II shall be effective from the 1st day of
January, 2016. The arrears on this account shall be paid during the
financial year 2016-2017.
7. The recommendations
on Allowances (except Dearness Allowance) will be referred to a
Committee comprising Finance Secretary and Secretary (Expenditure) as
Chairman and Secretaries of Home Affairs, Defence, Health and Family Welfare,
Personnel and Training, Posts and Chairman, Railway Board as Members.The
Committee will submit its report within a period of four months.
Till a final decision on
Allowances is taken based on the recommendations of this Committee, all Allowances
will continue to be paid at existing rates in existing pay structure, as if the
pay had not been revised with effect from 1st day of January, 2016.
8. The recommendations of the
Commission relating to interest bearing Advances as well as interest free
Advances have been accepted with the exception that interest free
Advances for Medical Treatment, Travelling Allowance for family of deceased,
Travelling Allowance on tour or transfer and Leave Travel Concession shall be
retained.
9. The recommendations of the
Commission for increase in rates of monthly contribution towards Central
Government Employees Group Insurance Scheme (CGEGIS) for various categories of
employees has not been accepted. The existing rates of monthly
contribution shall continue. Department of Expenditure and Department
of Financial Services will work out a customised group insurance scheme for
Central Government employees.
10. The Government has
accepted the recommendations of the Commission on upgrading of posts except for
those specified at Annexure III. The recommendations on
upgradation specified at Annexure III will be separately examined by Department
of Personnel and Training for taking a comprehensive view in the matter.
11. The Government has not
accepted the recommendations of the Commission on downgrading of posts and
normal replacement will be provided in such cases.
12. While revising the pay of
Doctors in respect of whom Non Practicing Allowance is admissible and
Railway employees in respect of whom Running Allowance is admissible, it will
be ensured that the actual raise in pay at the time of initial fixation is
about 14.29 percent as recommended by the Commission.
13. The pay of officers
posted on deputation under Central Staffing Scheme will be protected and the
difference in the pay will be given to them in the form of Personal Pay to be
made effective from the date of notification.
14. Recommendations not
relating to pay, pension and allowances and other administrative issues
specific to Departments/Cadres/Posts will be examined by the
Ministries/Departments concerned as per the Allocation of Business Rules or
Transaction of Business Rules. Until a decision is taken by the Government on
administrative issues pertaining to
(i) Non Functional
Upgradation (NFU) presently admissible to the Indian Police Service/Indian
Forest Service and Organised Group ‘A’ Services,
(ii) two years’ edge to
Indian Administrative Service officers vis-a-vis other All India
Services/Organised Group ‘A’ Services in empanelment under Central Staffing
Scheme,
(iii) grant of two additional
increments at Senior Time Scale, Junior Administrative Grade and Selection
Grade to Indian Police Service and Indian Forest Service at par with Indian
Administrative Service and Indian Foreign Service
(iv) a uniform retirement age
for all ranks in Central Armed Police Forces, where the Commission could not
arrive at a consensus, status quo shall be maintained.
15. A Committee of
Secretaries comprising Secretaries of Departments of Personnel and Training,
Financial Services and Pension and Pensioners’ Welfare will be set up to suggest
measures for streamlining the implementation of the National Pension System
(NPS).
16. Anomalies Committees will
be set up by Department of Personnel and Training to examine individual,
post-specific and cadre-specific anomalies arising out of implementation of the
recommendations of the Commission.
17. Regarding pay and related
issues concerning All India Services, appropriate action will be taken by
Department of Personnel and Training to give effect to the decisions on these
matters as may be applicable to them.
18. The Government of India
wishes to place on record their appreciation of the work done by the
Commission.
ORDER
Ordered that this Resolution
be published in the Gazette of India, Extraordinary.
Ordered that a copy of this
Resolution be communicated to the Ministries/Departments of the Government of
India, State Governments, Administrations of Union Territories and all other
concerned.
R.K. CHATURVEDI, Jt. Secy
ANNEXURE-I

ANNEXURE II
Statement
showing the recommendations of the Seventh Central Pay Commission on Pay
relating to Civilian employees in Group ‘A’, ‘B’ and ‘C’ and personnel of All
India Services and Government’s decisions thereon.
I.
Pay Fixation in revised Pay Structure:
Sl.No
|
Recommendation of the Seventh Central Pay
Commission
|
Decision of the Government
|
1
|
Minimum
pay in government with effect from01.01.2016 at Rs. 18000 per month (Para
4.2.13 of the Report)
|
Accepted
|
2
|
Pay
Matrix comprising two dimensions havinghorizontal range in which each level
corresponds to a “functional role in the hierarchy” with number assigned 1,
2, 3 and so on till 18 and “vertical range” denoting “pay progression”. These
indicate the steps of annual financial progression (Para 5.1.21 of the
Report)
|
Accepted
|
3
|
On
recruitment, an employee joins at a particularlevel and progresses within the
level as per thevertical range. The movement is usually on an annual basis,
based on annual increments till the time of their next promotion. (Para
5.1.22 of the Report)
|
Accepted
|
4
|
The
fitment factor of 2.57 to be applied uniformly for all employees. (Para
5.1.27 of the
Report) |
Accepted
|
5
|
Pay
of employees to be fixed in the revised PayStructure in the manner laid down
in Paras 5.1.28 and 5.1.29 of the Report.
|
Accepted
|
6
|
In
case of upgrading of posts recommended by the Commission, the pay may be
fixed in revised Pay Structure in manner laid down in Para 5.1.30 of the
Report.
|
Accepted.
The recommendation regarding downgrading not accepted and, therefore, no
occasion for fixation on downgrading of posts.
|
7
|
Pay
of direct recruits will start at the minimum pay corresponding to the Level
to which
recruitment is made, which will be the first cell of each Level in the Matrix (Para 5.1.32 of the Report) |
Accepted
|
8
|
On
promotion, pay of employees to be fixed in the manner laid down in Para
5.1.33 of the Report.
|
Accepted
|
II.
Annual Increments:
Sl.No
|
Recommendation of the Seventh Central Pay
Commission
|
Decision of the Government
|
1
|
The
manner of drawal of annual increment to be as laid down in Para 5.1.53 of the
Report.
|
Accepted
|
III.Modified
Assured Carred Progression Scheme:
Sl.No
|
Recommendation of the seventh central Pay
Commission
|
Decision of the Government
|
1
|
MACP
will continue to be administered at 10, 20 and 30 years as before. In the new
Pay Matrix, the employee will move to immediate next Level in hierarchy.
Fixation of pay will follow the same principle as that for a regular
promotion in the Pay Matrix. MACPS will continue to be applicable to all
employees up to Higher Administrative Grade (HAG) level except members of
Organised Group ‘A’ Services. (Para 5.1.44 of the Report)
|
Accepted
|
2
|
Benchmark
for performance appraisal for promotion and financial ungrdation under MACPS
to be enhanced from “Good” to “Very Good”. (Para 5.1.45 of the Report)
|
Accepted
|
3
|
Withholding
of annual increments in the case of those employees who are not able to meet
the benchmark either for MACP or a regular promotion within the first 20
years of their service. (Para 5.1.46 of the Report)
|
Accepted
|
IV.
Consolidated Pay Package in Regulatory Bodies:
Sl.No
|
Recommendation of the seventh Central Pay
Commission
|
Decision of the Government
|
1
|
Consolidated
pay package of Rs. 4,50,000 (Rupees Four Lakh and Fifty Thousand only) for
Chairpersons of Telecom Regulatory Authority of India, Central Electricity
Regulatory Commission, Insurance Regulatory and Development Authority,
Securities and Exchange Board of India, Competition Commission of India,
Pension Fund Regulatory and Development Authority, Petroleum and Natural Gas
Regulatory Board, Warehousing Development and Regulatory Authority, and
Airports Economic Regulatory Authority of India (Para No. 13.15 (i) of the
Report)
|
Accepted
|
2
|
Consolidated
pay package of Rs. 4,00,000 (Rupees Four Lakh only) for Members of Telecom
Regulatory Authority of India, Central Electricity Regulatory Commission,
Insurance Regulatory and Development Authority, Securities and Exchange Board
of India, Competition Commission of India, Pension Fund Regulatory and
Development Authority, Petroleum and Natural Gas Regulatory Board,
Warehousing Development and Regulatory Authority, and Airports Economic
Regulatory Authority of India (Para No. 13.15 (i) of the Report)
|
Accepted
|
3
|
Consolidated
pay package in above cases to be raised by 25 percent as and when Dearness
Allowance goes up by 50 percent. All other benefits, including Travelling
Allowance/Daily Allowance on tour etc., to be provided by the Regulatory Bodies
as per their rules and regulations. (Para No. 13.15 (ii) of the Report)
|
Accepted
|
4
|
Normal
replacement pay for existing Members of the remaining regulatory bodies set
up under Acts of Parliament. (Para No. 13.15 (iii) of the Report)
|
Accepted
|
V.
Dearness Allowance:
Sl.No
|
Recommendation of the seventh Central Pay
Commission
|
Decision of the Government
|
1
|
Existing
formula and methodology for calculating Dearness Allowance to continue
(Para 8.17.37 of the Report) |
Accepted.
The reference base for calculation of Dearness Allowance after coming into
force of the revised Pay structure shall undergo change
accordingly and will be linked to the average index as on 01.01.2016. |
Annexure III
List of cases of upgradation
of posts recommended by seventh Central Pay Commission to be referred to
Department of Personnel and Training
A
(I). Upgradation other than Apex Level:
Sl.No
|
Name of Posts
(Para No. of Report of Seventh Central Pay
Commission)
|
Present Grade Pay
|
Grade Pay recommended by seventh Central Pay
Commission
|
1
|
Junior
Radiographer of Andaman and
Nicobar Islands Administration (7.7.50) |
2000
|
2800
|
2
|
Preservation
Assistant, Botanical Survey of India, Ministry of Environment, Forest and
Climate Change (11.16.19)
|
2000
|
2400
|
3
|
Senior
Technical Assistant (Survey), Ministry of Mines (11.29.15)
|
4200
|
4600
|
4
|
Senior
Technical Assistant (Drawing), Ministry of Mines (11.29.15)
|
4200
|
4600
|
5
|
Technical
Officer, Office of Textile Commissioner, Ministry of Textile (11.49.9)
|
4200
|
4600
|
6
|
Assistant
Director Grade-II (Technical), Ministry of Textile (11.49.9)
|
4600
|
4800
|
7
|
Assistant
Accounts Officer, Finance Division of Defence, Ministry of Defence
(11.12.140) |
4800
|
5400
)PB-2) on completion of 4 years service
|
8
|
Senior
Section Officer (Accounts), Ministry of Railways (11.40.83)
|
4800
|
|
9
|
Senior
Travelling Inspector (Accounts),
Ministry of Railways (11.40.83) |
4800
|
|
10
|
Senior
Inspector (Store Accounts), Ministry of Railways (11.40.83)
|
4800
|
|
11
|
Chemical
and Metallurgical Assistant (CMA), Ministry of Railways (11.40.124)
|
4200
|
4600
|
12
|
Chemical
and Metallurgical Superintendent (CMS), Ministry of Railways (11.40.124)
|
4600
|
4800
|
13
|
Assistant
Chemist and Metallurgist, Ministry of Railways (11.40.124)
|
4800
|
5400
(PB-2)
|
A(II).
Up-gradation to Apex Scale:
Sl.No
|
Name Of Post
(Para No.of Report of Seventh Central Pay
Commission)
|
1
|
Director
General (Indian Coast Guard) (11.12.27)
|
2
|
Director
General, Central Statistics Office, Ministry of Statistics and Programme
Implementation (11.47.9)
|
3
|
Vice
President of Income Tax Tribunal, Department of Legal Affairs (11.27.27)
|
4
|
Head,
National Defence College (NDC), New Delhi (14.21)
|
5
|
Head,
National Defence Academy (NDA), Khadakwasla, Pune (14.21)
|
6
|
Head,
Defence Services Staff College (DSSC), Wellington (14.21)
|
B.
Cases recommended by Seventh Central Pay Commission in which no action is
required:
Sl.No.
|
Name of Post
(Para No. of Report of Seventh Central Pay
Commission)
|
Present Grade Pay
|
Grade Pay recommended by Seventh Central Pay
Commission
|
Remarks
|
1
|
Agriculture
Assistant, Government of National Capital Territory of Delhi
(11.23.170) |
2400
|
2800
|
Posts
do not exist
|
2
|
Gardner
overseer, Government of National Capital Territory of Delhi
(11.23.170) |
2400
|
2800
|
|
3
|
Group
Level Worker, Government of National Capital Territory of Delhi (11.23.170)
|
2400
|
2800
|
|
4
|
ExtensionOfficer
(Agriculture) Government of National Capital Territory of Delhi (11.23.170)
|
2400
|
2800
|
|
5
|
Farm
Manager Junior, Government of National Capital Territory of Delhi
(11.23.170) |
2400
|
2800
|
|
6
|
Assistant
Store Keeper, Indian Bureau of Mines
(11.29.24) |
1900
|
2400
|
This
post already exists in Grade pay 2400
|
















