Wednesday, June 29, 2016


HIGHLIGHTS OF  7TH CPC  APPROVED  BY CABINET TODAY
Cabinet approves Implementation of the recommendations of 7th Central Pay Commission
The Union Cabinet chaired by the Prime Minister Shri Narendra Modi has approved the implementation of the recommendations of 7th Central Pay Commission (CPC) on pay and pensionary benefits. It will come into effect from 01.01.2016.
In the past, the employees had to wait for 19 months for the implementation of the Commission’s recommendations at the time of 5th CPC, and for 32 months at the time of implementation of 6th CPC. However, this time, 7th CPC recommendations are being implemented within 6 months from the due date.
The Cabinet has also decided that arrears of pay and pensionary benefits will be paid during the current financial year (2016-17) itself, unlike in the past when parts of arrears were paid in the next financial year.
The recommendations will benefit over 1 crore employees. This includes over 47 lakh central government employees and 53 lakh pensioners, of which 14 lakh employees and 18 lakh pensioners are from the defence forces.
Highlights:
1. The present system of Pay Bands and Grade Pay has been dispensed with and a new Pay Matrix as recommended by the Commission has been approved. The status of the employee, hitherto determined by grade pay, will now be determined by the level in the Pay Matrix. Separate Pay Matrices have been drawn up for Civilians, Defence Personnel and for Military Nursing Service. The principle and rationale behind these matrices are the same.
2. All existing levels have been subsumed in the new structure; no new levels have been introduced nor has any level been dispensed with. Index of Rationalisation has been approved for arriving at minimum pay in each Level of the Pay Matrix depending upon the increasing role, responsibility and accountability at each step in the hierarchy.
3. The minimum pay has been increased from Rs. 7000 to 18000 p.m. Starting salary of a newly recruited employee at lowest level will now be Rs. 18000 whereas for a freshly recruited Class I officer, it will be Rs. 56100. This reflects a compression ratio of 1:3.12 signifying that pay of a Class I officer on direct recruitment will be three times the pay of an entrant at lowest level.
4. For the purpose of revision of pay and pension, a fitment factor of 2.57 will be applied across all Levels in the Pay Matrices. After taking into account the DA at prevailing rate, the salary/pension of all government employees/pensioners will be raised by at least 14.29 % as on 01.01.2016.
5. Rate of increment has been retained at 3 %. This will benefit the employees in future on account of higher basic pay as the annual increments that they earn in future will be 2.57 times than at present.
6. The Cabinet approved further improvements in the Defence Pay Matrix by enhancing Index of Rationalisation for Level 13A (Brigadier) and providing for additional stages in Level 12A (Lieutenant Colonel), 13 (Colonel) and 13A (Brigadier) in order to bring parity with Combined Armed Police Forces (CAPF) counterparts at the maximum of the respective Levels.
7. Some other decisions impacting the employees including Defence & Combined Armed Police Forces (CAPF) personnel include :
· Gratuity ceiling enhanced from Rs. 10 to 20 lakh. The ceiling on gratuity will increase by 25 % whenever DA rises by 50 %.
· A common regime for payment of Ex-gratia lump sum compensation for civil and defence forces personnel payable to Next of Kin with the existing rates enhanced from Rs. 10-20 lakh to 25-45 lakh for different categories.
· Rates of Military Service Pay revised from Rs. 1000, 2000, 4200 & 6000 to 3600, 5200, 10800 & 15500 respectively for various categories of Defence Forces personnel.
· Terminal gratuity equivalent of 10.5 months of reckonable emoluments for Short Service Commissioned Officers who will be allowed to exit Armed Forces any time between 7 and 10 years of service.
· Hospital Leave, Special Disability Leave and Sick Leave subsumed into a composite new Leave named ‘Work Related Illness and Injury Leave’ (WRIIL). Full pay and allowances will be granted to all employees during the entire period of hospitalization on account of WRIIL.
8. The Cabinet also approved the recommendation of the Commission to enhance the ceiling of House Building Advance from Rs. 7.50 lakh to 25 lakh. In order to ensure that no hardship is caused to employees, four interest free advances namely Advances for Medical Treatment, TA on tour/transfer, TA for family of deceased employees and LTC have been retained. All other interest free advances have been abolished.
9. The Cabinet also decided not to accept the steep hike in monthly contribution towards Central Government Employees Group Insurance Scheme (CGEGIS) recommended by the Commission. The existing rates of monthly contribution will continue. This will increase the take home salary of employees at lower levels by Rs. 1470. However, considering the need for social security of employees, the Cabinet has asked Ministry of Finance to work out a customized group insurance scheme for Central Government Employees with low premium and high risk cover.
10. The general recommendations of the Commission on pension and related benefits have been approved by the Cabinet. Both the options recommended by the Commission as regards pension revision have been accepted subject to feasibility of their implementation. Revision of pension using the second option based on fitment factor of 2.57 shall be implemented immediately. A Committee is being constituted to address the implementation issues anticipated in the first formulation. The first formulation may be made applicable if its implementation is found feasible after examination by proposed Committee which is to submit its Report within 4 months.
11. The Commission examined a total of 196 existing Allowances and, by way of rationalization, recommended abolition of 51 Allowances and subsuming of 37 Allowances. Given the significant changes in the existing provisions for Allowances which may have wide ranging implications, the Cabinet decided to constitute a Committee headed by Finance Secretary for further examination of the recommendations of 7th CPC on Allowances. The Committee will complete its work in a time bound manner and submit its reports within a period of 4 months. Till a final decision, all existing Allowances will continue to be paid at the existing rates.
12. The Cabinet also decided to constitute two separate Committees (i) to suggest measures for streamlining the implementation of National Pension System (NPS) and (ii) to look into anomalies likely to arise out of implementation of the Commission’s Report.
13. Apart from the pay, pension and other recommendations approved by the Cabinet, it was decided that the concerned Ministries may examine the issues that are administrative in nature, individual post/ cadre specific and issues in which the Commission has not been able to arrive at a consensus.
14. As estimated by the 7th CPC, the additional financial impact on account of implementation of all its recommendations in 2016-17 will be Rs. 1,02,100 crore. There will be an additional implication of Rs. 12,133 crore on account of payments of arrears of pay and pension for two months of 2015-16.

//pib//
7th CPC LATEST NEWS :-

NEW DELHI:  Salaries and pensions for former and current central government employees will go up by nearly 24 percent retroactively from the start of this year.
Here is your 10-point cheat-sheet to this big story:
1.    The move will benefit an estimated 10 million government employees including nearly 60 lakh pensioners, starting from January 1, 2016. Among the defence services, 14 lakh serving officers and 18 lakh retired members will be covered.
2.    Arrears will be paid within this year, said Finance Minister Arun Jaitley.
3.    The last major hike in 2008 saw an average raise of nearly 50 percent. The auto and retail sectors gained in the stock market after today's announcement.
4.    The increments - considerably smaller than past increases-  will cost the government about one lakh crores or 15 billion dollars every year.
5.    While this cost is a whopping 0.7 percent of India's GDP, the hike is the lowest in the last seven decades.
6.    The new allowances and hikes were cleared by the cabinet today and are based on the recommendations of the Seventh Pay Commission - a government committee which reviews the pay of government employees nearly every decade.
7.    Government workers also have been getting half-yearly and annual increments linked to prices. The new rules do away with 52 allowances and merge 36 others.
8.    Under the new scheme, the maximum salary for a government servant will be about 2.5 lakhs a month, that's more than double the top-rung pay of Rs. 90,000 a month.
9.    The least a government officer can now be paid is  Rs. 18,000 a month, more than double the current compensation of Rs. 7,000 offered to the most  junior employees.
1  . The government is counting on the higher salaries to result in more consumer spending which could trigger economic growth.However, some experts believe that the additional cash in the market could fuel inflation. To keep a check on price rise driven by greater liquidity in the market, the government plans to keep a close eye on the market TRENDING. //NDTV NEWS//

Sunday, June 26, 2016

CBS becomes   :  see (KYC see)  Be (record exists or not)  Yes (then get permission from HO):  
(Important   points of    SB order 05/2016.)
SB order 05/2016 issued by the department on 21.06.2016.  The main motto of this order to arrest fraud and smooth functioning of the Post offices. At the Same time these steps are fixed the more responsibility on H.Os.  S.Os are some what  free from fears of frauds.  But customer point of view it is most dissatisfaction issue and  true spirit of  CBS is  in vain.  Due to the present situation customer wants to maturity of  certificate he should complete ( 1.)  Fill up transfer application  (2.)  Submission of KYCs  (3) Hand over application to  S.O (4) This documents sent to HO (5) After duly verification of KYC/SS etc HO return request with remarks (6) SO intimate customer to attend for payment.   For this process it will take as minimum as possible  one week.   (for speedy HOs 4- days ) .  Not only this maturity payments but for account conversion from single to joint or vice versa also  a time consuming process.  The purpose of CBS is not fulfilling either to customer or  office.  Due to this order Post office SB works are restricted to their office only.  The contents of   order are:-
Sl no of order
Item of  work
Remarks
08.
Salary / pension credit
Should  be done by H.O only
09
Freezing / unfreezing of account
At  H.O level  only
10.
Transfer  of account from P.O to P.o  (or) Bank
At  H.O level only.
11
Menu :  HACXFRSC, Transfer of account/cert from one scheme to another (Single < > Joint, conversion to cq account etc..)
At H.O level only even having two Supervisors
12
Revival   of silent   Account
At H.O level only
18
BPM cash limit for single account
BPM should not accept more than Rs.25000/- in  single account.
19
>Rs.25000/- Transactions
Should be verified through PRI(p), ASP/IP etc.
24
Transfer Transaction (CXFER): S.Os  should not use this menu for Cheques clearance.
Steps:-(1).  SO s  prepare Cq Lists for new  a/cs (SOL+0382), RD Lists/ subsequent deposits (SOL+0017)

(2). SOs prepare cq lists manually for subsequent deposits for PPF,SB,SSA and send  Deposit forms ( Sb-107) to HO along with Cqs.

(3). HO use menu CXFER for funding  (after cqs realization) for new a/cs , RD Lists/subsequent transactions  to respective S.Os (SOL+0382 (or) SOL+017). S.Os should check their clearing office account (SOL+0382  , SOL + 0017) and open accounts/deposit RD accounts.

(4) For Subsequent deposits H.O only funding the respective accounts  (after cqs  clearance ) Note:- S.Os. part of work for new and subsequent RD deposits only for cq clearing system.  Remaining all deposits in respect of cq clearance should be done at H.O level only.

Accounting Procedure:-
At HO level: (When cqs are realized)
Receipt side:  Received from S.O (advance)

At S.O level :  Receipt side:  deposit .
Payment side:  H.O remittance.


27
P.O SB cq acceptance at other SOLs not above Rs.25000/-
H.Os/ S.Os should not Pay more than Rs.25000/- for PO SB cq in a day of other  SOLs. Is for any investment POSB cq of Other SOL presented for more than Rs.25000/- acceptable (or) not ???. Order says for only cash wdls limit.
28
Pledge / release Pledge
Should be done at H.O level only even having two supervisor option.
29
Closure of  any NSS-87/NSS-92/ other discontinued schemes
Customer should  approach H.O only.
30
For Closure of  other SOL account.
Should be done at H.O level Only.


Wednesday, June 22, 2016

Postmaster Gr-III / Grade-II  Promotions/Ad-hoc Promotions Latest News:-

The issue is under quick process at C.O, Hyderabad. Due to non receipt of some CRs from regions it was said that the process will complete by the end of this month. // C.S  : AIAPS (gl) //


LGO exams  2015-16 : (Promotion to PA/SA cadre from Postman/mail guard/MTS) : A.P Circle notification issued: Total vacancies : 276

Tuesday, June 21, 2016

International Day of Yoga 2016: PM Modi releases Surya Namaskara stamps :


NO  CHANGE IN INTEREST RATES FOR THE COMING QUARTER (JULY TO SEPT-2016)

Quarterly Revision of Interest Rates for Small Savings Schemes
On the basis of the decision of the Government, interest rates for small savings schemes are to be notified on quarterly basis. Accordingly, the rates of interest on various small savings schemes for the second quarter of financial year 2016-17, on the basis of the interest compounding/payment built-in in the schemes, shall be as under:

Instrument
Rate of interest w.e.f. 01.04.2016 to 30.6.2016
Rate of interest w.e.f. 01.07.2016 to 30.9.2016
Compounding frequency
Savings Deposit
4.0
4.0
Annual
1 Year Time Deposit
7.1
7.1
Quarterly
2 Year Time Deposit
7.2
7.2
Quarterly
3 Year Time Deposit
7.4
7.4
Quarterly
5 Year Time Deposit
7.9
7.9
Quarterly
5 Year Recurring Deposit
7.4
7.4
Quarterly
5 Year Senior Citizens Savings Scheme
8.6
8.6
Quarterly and paid
5 year Monthly Income Account Scheme
7.8
7.8
Monthly and paid
5 Year National Savings Certificate 
8.1
8.1
Annual
Public Provident Fund Scheme 
8.1
8.1
Annual
KisanVikasPatra
7.8 (will mature in 110 months)
7.8 (will mature in 110 months)
Annual
SukanyaSamriddhi Account Scheme
8.6
8.6
Annual
 //PIB//