DA FROM JAN 2013 : Release of additional instalment of DA to CG Staff and DR to CG Pensioners, due from 1.1.2013

DA From Jan 2013 : Release of additional instalment of DA to CG Staff and DR to CG Pensioners, due from 1.1.2013

Press Information Bureau
Government of India
Ministry of Finance

18-April-2013 20:45 IST

Release of additional instalment of Dearness Allowance to central government employees and Dearness Relief to pensioners, due from 1.1.2013
The Union Cabinet today gave its approval to release an additional instalment of Dearness Allowance (DA) to central government employees and Dearness Relief (DR) to pensioners with effect from 01.01.2013 at the rate of 8 percent over the existing rate of 72 percent.
Thus, the combined impact on the exchequer on account of both DA and DR would be of the order of Rs.8629.20 crore per annum and Rs. 10067.36 crore in the financial year 2013-14 (that is for a period of 14 months from January, 2013 to February, 2014).

Retaining the Government accommodation in the event of retirement or terminal leave – Notification

[TO BE PUBLISHED IN THE GAZETTE OF INDIA] EXTRAORDINARY

PART II SECTION-3, SUB-SECTION (i)

GOVERNMENT OF INDIA
MINISTRY OF URBAN DEVELOPMENT
DIRECTORATE OF ESTATES

Nirman Bhawan, New Delhi
10th April 2013

NOTIFICATION

G.S.R. …. In pursuance of provision of rule 45 of the Fundamental Rules, the President hereby makes the following rules further to amend the Allotment of Government Residences (General Pool in Delhi) Rules 1963, namely :-

1. Short Title & Commencement:

(1) These rules may be called the Allotment of Government Residences (General Pool in Delhi) Amendment Rules 2013.
(2) They shall come into force from the date of their publication in the official Gazette.

2. In the Allotment of Government Residences (General Pool in Delhi), Rules, 1963

(a) In Supplementary Rule 317-B-11, in the table sub—rule (2), against the item (ii) relating to retirement or terminal leave, for the figure and words “2 months on normal licence fee and another 2 months on double the normal fee” occurring under the column relating to permissible period for retention of the residence, the figure and words “2 months on normal licence fee” shall be substituted.

(b) In Supplementary Rule 371-B-22, the existing provision in para 3 i.e.

“ Provided further that in the event of retirement or terminal leave, the allottee shall be eligible to retain the Government accommodation for a further period of two months on payment of four times of the normal licence fee and subsequent two months on payment of six times of the normal licence fee for special reasons involving medical/educational grounds, subject to appropriate certification by the authorities concerned”

shall be substituted by

“Provided further that in the event of retirement or terminal leave, the allottee shall be eligible to retain the government accommodation for a further period of one month on payment of six times of the normal licence fee for special reasons involving medical/educational grounds, without certificate”.

[F.No. 12035/28/96-Pol.II(Vol.II)]

(S.K. Jain)
Deputy Director of Estates(Policy)

Comparison between New Pension Scheme & Old Pension Scheme

MONDAY, April 22, 2013

Comparison between New Pension Scheme & Old Pension Scheme

Pension - Greatly Valued Pension is valuable in the sense that it is secure. Supreme Court held that pension is a valuable right vested in a Govt. servant. Refusal, reduction, forfeiture of pension not allowed unless on extreme conditions. Pension is secured against attachment & seizure.

Defined Benefits Pension & GPF  (prior to 1.1.2004) Pension   Commutation of Pension   Retirement Gratuity   Death Gratuity   Service Gratuity   Leave Encashment   Family pension   Group Insurance

Types of Pension (1) Superannuation calculated as 50% of average emoluments of last 10 months salary drawn subject to the minimum of Rs.3500 and maximum of Rs.45000. (2) Family Pension At the rate of 30% of basic pay subject to the minimum of Rs.3500 and maximum of Rs.27000. (3) Voluntary Retirement (VR ) Maximum of 5 years weightage in the Qualifying Service

COMMUTATION OF PENSION Can commute a lumpsum payment not exceeding 40%. Reduced pension in proportion to the % of commutation and age factor. Commuted portion of pension shall be restored after the completion of 15 years. Lumpsum amount received on commutation of pension is not liable for Income tax. Dearness relief calculated to the original pension not on the reduced pension.

Gratuity Retirement Gratuity: Admissible (along with pension) on retirement after completion of 5 years of qualifying service. Calculated @ 1/4th of a month’s Basic Pay + DA for each completed six monthly period of qualifying service. Maximum retirement gratuity payable is 16. times of emolument limited to Rs. 10 lakhs. Death Gratuity: Payable to the nominee in the event of employees death. Service Gratuity: entitled for service gratuity (and not pension) if total qualifying service is less than 10 years.

New Pension Scheme(Defined Contributory Pension Scheme) Salient Features Operational with effect from 1.1.2004. Implemented by Central Government and 22 states. Existing provision of Defined Benefit Pension & GPF would not be available to new Govt. servants joining service on or after 1.1.2004. Will have tiers – Tier-I & tier-II. CONTRIBUTION TO TIER-I 10% of BP+DA contribution by the Govt. servant every month. Equal matching contribution by the Government. Kept in the non-withdrawable Pension Tier-I account. Tier-II voluntary contribution will be kept in a separate withdrawable account. The scheme is implemented by Central Record keeping Agency & Several Pension Fund mangers. An independent Pension Fund Regulatory and Development Authority (PFRDA) will regulate the pension market. Permanent Retirement Account Number (PRAN) allotted after 1.4.2008. Govt. servant can exit at or after 60 years of age. 60% of pension wealth can be withdrawn lumpsum. 40% of pension wealth to be invested in annuity - mandatory – to provide pension for life time for self and dependent. To leave the scheme before 60 years of age 80% of pension wealth mandatory for investment. Benefit of Invalid pension, Disability pension, Family pension, Extraordinary Family pension are extended. Retirement Gratuity for discharge from duty due to Disease / Injury or invalidation also extended.

 

Six Pension Fund Managers ICICI Prudential Pension Funds Management Company Limited IDFC Pension Fund Management Company Limited Kotak Mahindra Pension Fund Limited Reliance Capital Pension Fund Limited SBI Pension Funds Private Limited UTI Retirement Solutions Limited

 

Comparison of Earnings of Old Pension Scheme and NPS CIRCUMSTANCES ASSUMED Date of Appointment - 1.1.2006 Entry Grade - GP - 4200, PB-2, 9300 – 34800 VI CPC period - 1.1.2006 to 31.12.2015 VII CPC period - 1.1.2016 to 31.12.2025 (with the multiplication factor of 2.06 + 40% fixation) VIII CPC period - 1.1.2026 to 31.12.2035 (with the multiplication factor of 2.06 + 40% fixation) Dearness Allowance - Jan 2006 to Dec 2011 actual, From Jan 2012 to Dec 2015 assumed increase @ 6% every half year for the periods 1.1.2016 to 31.12.2025 & 1.1.2026 to 31.12.2035. Promotion / MACPS - First promotion/ MACPS during Jan-2016 and second promotion / MACPS during Jan-2026

Inflation proof for new Pension not available (Rs. in thousands)





Inflation proof for new Pension not available (Rs. in thousands)

THE

IMPLICATIONS

ARE

QUITE DEEP

Right for dignified life stripped

• In a single swoop the idea of pensions being rights of workers, has been thrown into the neo-liberal dustbin.
• Fundamental issue of stripping of employees’ right to a life of dignity
• The return under NPS is market driven.
• There is no guaranteed/defined amount of return.
• The returns generated through investments are accumulated and is not distributed as dividend or bonus

Why Armed Forces kept away

• If the expected return under NPS is much higher than the return under existing old Pension Scheme, why does not the government allow the members of the Armed Forces to exercise this option? Armed force are the most valued functionaries of the nation. That the members of the Armed Forces are being kept under old pension scheme does indicate that there is something shady in the argument that NPS would earn better; at least the government itself is not convinced that NPS would give better benefits to its employees. One can never be sure that the returns from equities would always be better than the guaranteed returns.

Govt arguments not true

• While introducing the NPS, the Government had argued in the same way as one would find in the IMF Report (2001).
• Briefly speaking, the argument is that DBS is unsustainable because the pension expenditure is increasing at a very high rate.
• Thus, over 1993-94 to 2004-05, the pension expenditure of the GOI has increased by 21 per cent; for the state governments, the rate of increase is still higher (27 per cent over the same period).

Is DBS unsustainable in India

• What the Government did not mention is that the government’s pension expenses as a percentage of GDP is quite negligible in India (less than 0.1 per cent).
• In South Korea or in Hongkong it is about 2 per cent.
• In Italy, France and Germany where the coverage under DBS pension is wide, the pension expenses as percentage of GDP is much higher in these countries.
• In Italy it is 14 per cent; in France and Germany the ratio is 12 per cent. In Japan 9 per cent of the GDP is spent on DBS pension.
• One wonders how it becomes unsustainable in India where the expenses on DBS pension is so low.

NPS SHOULD GO

• The argument that DBS would render all governments ‘bankrupt’ thus appears to be untenable.
• Why should the small pensioners who usually do not have savings to tide over the crisis should be driven to uncertain situation?
• Global capital does not have any moral obligation to honour the right of the citizen to live with dignity even in the retired life.

Saturday 20 April 2013

CONTINUATION OF AD-HOC 

ARRANGEMENTS IN THE CADRE OF 

HSG-I: DEPARTMENT OF POSTS 

ORDERS:  LETTER NO. 4-16/2002-SPB-

II DATED 16^TH APRIL, 2013.

 

Filling up the vacancies in Higher Selection Grade-I (HSG.I) in post Offices (POs) and Railway Mail Service (RMS) Offices

20 APRIL 2013

20 APRIL 2013

MoD Clarification on Children Education Allowance/Hostel Subsidy for Armed Forces

DA HIKE

Thursday 18 April 2013

DA HIKE

Union Cabinet today approved the proposal to increase dearness allowance (DA) to 80 per cent, from existing 72 per cent, benefiting about 50 lakh employees and 30 lakh pensioners of the central government.

The hike would be effective from January 1, 2013 and the employees and pensioners will be entitled to arrears.

Wednesday 17 April 2013

DELAY IN ANNOUNCEMENT OF DA CONDUCT NATIONWIDE DEMONSTRATIONS ON 23^rd APRIL-2013.

CONFEDERATION CALLS FOR A STRONG PROTEST AGAINST THE INORDINATE DELAY IN GRANTING 8% DA TO CG EMPLOYEES BY GOVERNMENT

No. Conf/27 /2013 -                                                                                            Dated 17^th April 2013

Comrades,

DELAY IN GRANT OF DA - HOLD PROTEST DEMONSTRATION ON 23^RD APRIL 2013

            Since the implementation of the recommendations of the 4^th central pay commission in 1986, the Dearness Allowance (DA) is paid in two six-monthly installments – in March and September of every year. The practice followed since then is that the order granting DA to government employees is issued in March and September itself.

            This time the practice in force since 1986 is violated. Our enquiries with concerned Ministries informed us that the file is already moved for Cabinet approval. But it is nearly a month now. The cabinet has found no time to take a decision on this.

            This naturally is quiet disturbing, especially in the time of galloping price line. The employees have, in the past, fought bitterly for grant of DA and the 3^rd CPC gave a definite formula for DA in the aftermath of the one day strike on 19^th September 1968. We cannot allow the hard won DA to be tampered with.

            Confederation has written to Prime Minister conveying the disquiet amongst the amongst the employees over the inordinate delay in the grant of additional installment of DA due from 1^st January 2013 and urging the Prime Minister to take immediate steps to assuage the feelings of the employees. Copy of the letter is given along with this Circular.

            The Secretariat of Confederation therefore calls upon every affiliate as well as State Committee of Confederation to organise lunch hour demonstration in the work place on 23^rd April 2013, Tuesday and send the following telegram to the Prime Minister of India.

TEXT OF TELEGRAM: EMPLOYEES AGITATED OVER DELAY IN GRANT OF DA, URGE TO EXPEDITE ISSUANCE OF ORDERS.

            Each affiliate and State Committee of Confederation may send a detailed report on implementation of the programme in their organisation/state to the Confederation CHQ.

            With greetings

Yours fraternally

Sd/-

(KKN Kutty)

Secretary General

CONFEDERATION OF

CENTRAL GOVT. EMPLOYEES & WORKERS

A-2/95, Manishinath Bhawan, Rajouri Garden,New Delhi-110 027

Website:www.confederationhq.blogspot.com.

Email:Confederation06@Yahoo.co.in

 Tel: 011-2510 5324:  Mobile: 98110 48303

 17^th April 2013 

Dr Manmohan Singh,

Hon'ble Prime Minister of India

South Block,

New Delhi – 110001

Sir,

           Subject: Grant of Dearness Allowance to Central Govt Employees and Officers – Reg.

            I am to invite your kind attention to the delay in the grant of additional installment of Dearness Allowance to Central Government employees and officers and the consternation it is causing amongst the employees.

            It would be apt to point out here that since the implementation of the 4^th CPC recommendations with effect from 1^st January 1986, the Dearness Allowance is paid to Central Government employees in two six monthly installments – along with the salary for March and September every year. The 5^th and 6^th CPCs also recommended the same principle for payment of additional installments of DA and since then the order granting additional installment of Dearness Allowance is being issued well in advance honouring the recommendations.

            The Central Government Employees were expecting the announcement of grant of additional installment of Dearness Allowance (8 % with effect from 1^st January 2013) and Office Memorandum on that in the month of March 2013 itself. The delay of more than a month has led to disquiet amongst the employees.

            I shall be thankful if the fears of the central government of employees are allayed by immediately releasing the additional instalment of Dearness Allowance with effect from 1^st January 2013 without any further delay.

            Thanking you in anticipation,

Yours faithfully

Sd/-

(KKN Kutty)

Secretary General

               

NFPE - CIRCULAR

No. PF-2/2013                                                                                  Dated: 17^th April, 2013

To

           

All General Secretaries NFPE Union,

            All NFPE Office Bearers,

All Circle Secretaries NFPE Unions,

Convenor Reception Committee – Hyderabad

Subject:        IX Federal Council of NFPE at Hyderabad (A.P.)

Comrades,

            IXth Federal Council of NFPE will be held at Pragati Nagar Community Hall, Kukatpally, Hyderabad from 09.06.2013 to 12.06.2013..

            The Federal Councilors allotted as per quota received from the affiliates is mentioned below:

            P-III                 = 41                             Ex. Officio                                           = 19

            P-IV                 = 43                             (Office Bearers 11+GS 8= 19)                    

R-III                 = 10                             Fraternal Delegates (Non-Voting)

                                                            AIPEU GDS(NFPE)                           = 20

R-IV                 =   2                             Casual Labourers Federation          =  3

Admn              =   1                            

Postal A/C      =   2

SBCO             =   1

Civil Wing      =   1

All General Secretaries are requested to finalize the name of Federal Councilors and ask them to book their up and down ward journey tickets at once to avoid inconvenience(Separate notice is being issued). Details of quota received , based on which Federal Councilors number is worked out, can be verified with NFPE HQ by the concerned General Secretary.

Federal Executive: Federal Executive of NFPE will be held at Community Hall Pragati Nagar,Kukatpally,  Hyderabad. On 9.6.2013 from 11.A.M. All NFPE Office Bearers and General Secretaries are requested to attend the meeting in time.

Federal Secretariat:           Federal Secretariat of NFPE will be held at Guwahati on 26.04.2013 from 11A.M. All General Secretaries and available office bearers of NFPE are requested to attend the meeting.

Eastern Zone Study Camp Guwahati :   Eastern Zone Study Camp of NFPE is scheduled to be held at Guwahati form 27.4.13 to 28.04.13. A seminar on National Postal Policy will also be organized on 27.04.2013. (Detailed programme is available in NFPE Web-site)

Northern Zone Study Camp:       Northern Zone Study Camp (Consisting U.P.  Uttarakhand & Delhi) will be held at Ghaziabad (UP) from 22.06.2013 to 23.06.2013. (Detailed Circular will be sent separately to all concerned).

Thanking you.                                 

           

                                                                        Yours Comradely,

                                                            (M. Krishnan)

Secretary Genera