Resolution conveying the Central
Government’s decision on recommendations of the 7th Central Pay Commission
(CPC) on Allowances has been published in Gazette of India yesterday i.e.6th
July, 2017.
Based on the
Report of Committee on Allowances (CoA) and the recommendation of E-CoS, the
Cabinet had earlier approved the modifications in 34 Allowances in its Meeting
held on 28th June 2017.
All allowances
are given effect from 1st July 2017.
Concerned
Ministries have now been advised to issue their Orders on Allowances governed
by them immediately so that the revised rates of allowances get reflected in
the current month’s Salary Bills of the Government employees.
Major Highlights of the Allowances
approved by the Union Cabinet are as follows:
-
Cabinet approved recommendations of 7th CPC
on allowances with 34 modifications – revised rates effective from
01.07.2017 -
It will benefit 34 lakh Civilian employees and 14 lakh
defence Forces personnel -
7th CPC examined 197 allowances,
recommending abolition of 53 allowances and subsuming 37 in others. -
7th CPC recommended revised rates
commensurate with Dearness Allowance -
Fully DA-indexed allowances – no raise, not DA indexed
raised by 2.25, partially indexed raised by 1.5, % based rationalised by
0.8 -
Risk & Hardship Matrix evolved for allowances
linked to risk and hardship -
7th CPC projected additional financial
implication at Rs.29,300 cr per annum,
modifications to have additional implication of Rs.1448.23 cr - Combined additional financial implication estimated at Rs.30748.23 crore per annum.
1.
Number
of allowances recommended to be abolished and subsumed:
·
Government
decided not to abolish 12 allowances in view of specific functional
requirements
·
3
of 37 subsumed allowances will continue as separate identities due to unique
nature of these allowances.
2.
House
Rent Allowance (HRA)
·
HRA
will be paid @24%, 16% & 8% for X, Y & Z cities respectively
·
HRA
not to be less than Rs.5400, 3600 & 1800 for
X,Y&Z cities, calculated @30,20,&10% of min pay of Rs.18000
– to benefit >7.5 lakh employee
·
7th
CPC recommended revision of HRA when DA reaches 50% & 100%, Govt decided to
revise rates when DA crosses 25% and 50% respectively.
3.
Siachen
Allowance:
-
Rates of Siachen Allowance increased from Rs.14000 pm (Soldiers) to Rs.30000 & Rs.21000
pm (Officers) to Rs.42500
for extreme risk & hardship.
4.
Dress
Allowance:
·
Government
decided to pay Dress Allowance to Nurses on monthly basis due to high
maintenance and hygiene requirements.
·
Higher
rate of Dress Allowance for Special Protection Group accepted by Govt.
5.
Tough
Location Allowance:
·
7th
CPC recommended-TLA not to be granted with SDA-Govt decided to give option of
SCLRA at pre-revised rates with SDA at revised rates
6.
Recommendations
in respect of some important allowances paid to all categories:
·
Children
education Allowance increased from Rs.1500 pm/child
(max.2) to Rs.2250/child and Hostel Subsidy increased from Rs.4500
pm to Rs.6750 pm.
·
Special
Allowance for Child Care for Women with Disabilities doubled from Rs.1500
pm to Rs.3000 pm
·
Higher
Qualification Incentive for Civilians increased from Rs.2000
– Rs.10000 (Grant) to Rs.10000
– Rs.30000 (Grant)
7.
Recommendations in respect of some
important allowances paid to Uniformed Services: Defence, CAPFs, Police, Indian
Coast Guard and Security Agencies
·
Abolition of Ration Money Allowance and free
ration to Defence officers in Peace areas not accepted, RMA to be credited in
bank account
·
technical Allowance (Tier-II) not to be merged,
Govt. decided to continue technical Allowance (Tier-II) @Rs.4500 pm-courses to
be reviewed
·
Aeronautical Allowance increased Rs.300 pm to Rs.450
pm and extended to Indian Coast Guard also
·
Counter Insurgency Ops (CI Ops) Allowance for
counter – insurgency ops increased from Rs.3000 – Rs.11700 pm to Rs.6000 – Rs.16900
pm
·
MARCOS and Chariot Allowance paid to marine
commandos increased from Rs.10500 – Rs.15750 pm to Rs.17300 – Rs.25000 pm
·
Conditionality of 12 hrs reduced to 4 hrs for Sea
Going Allowance and rates increased from Rs.3000 – Rs.7800 pm to Rs.6000 – Rs.10500
pm
·
COBRA Allowance granted to CRPF personnel in
Naxal hit areas increased from Rs.8400 – Rs.16800 pm to Rs.17300 – Rs.25000 pm
·
Modified Field, Field & Highly Active Field
Area Allowances increased from Rs.1200 – Rs.12600 pm to Rs.6000 – Rs.16900 pm.
·
Flying Allowance increased from Rs.10500 – Rs.15750
pm to Rs.17300 – Rs.25000 pm and extended to BSF Air Wing also
·
High Altitude Allowance increased from Rs.810 – Rs.16800
pm to Rs.2700 – Rs.25000 pm
·
Higher Qualification Incentive for Defence
Personnel increased from Rs.9000 – Rs.30000 (Grant) to Rs.10000 – Rs.30000
(Grant).
·
Test Pilot and Flight Test Engineer Allowance increased
from Rs.1500 / 3000 pm to Rs.4100 / 5300 pm
·
Additional Free Railway Warrant (Leave travel
Concession) extended to CAPFs.
·
Territorial Army Allowance increased from Rs.175
– Rs.450 pm to Rs.1000 –Rs. 2000 pm
·
Ceilings of Deputation (Duty) Allowance for
Defence Personnel increased from Rs.2000 – Rs.4500 pm to Rs.4500 – Rs.9000 pm
·
Detachment Allowance increased Rs.165 – Rs.780
per day to Rs.405 – Rs.1170 per day
·
Para Jump Instructor Allowance increased from Rs.2700/3600
pm to Rs.6000/10500 pm
·
Govt. increased Special Security Allowance for
Special Protection Group to 55% and 27.5% of BP for ops and non – ops duties
·
Housing provisions for PBORs and their families
residing at other stations significantly improved and linked to HRA, process
simplified
8.
Allowances paid to Indian Railways
·
Additional Allowance increased from Rs.500
/ 1000 pm to Rs.1125 / 2250 pm and extended to Loco Pilot Goods and
Senior Passenger Guards @Rs.750 pm
· Special Train Controller’s
Allowance
@5000 pm introduced for
Train Controllers of Railways
9.
Allowances paid to Nurses & Ministerial Staffs of
Hospital
·
Governmentt increased rate of Nursing Allowance
from Rs.4800 pm to Rs.7200 pm
·
Operation Theatre Allowance not abolished and
rates increased from Rs.360 pm to Rs.540 pm
·
Hospital Patient Care Allowance/Patient Care
Allowance increased from Rs.2070 – Rs.2100 pm to Rs.4100 – Rs.5300 pm
·
7th CPC recommendations modified and HPCA / PCA
to continue for Ministerial staff
10. Allowances to Pensioners
·
Fixed Medical Allowance for Pensioners increased
from Rs.500 pm to Rs.1000 pm
·
Constant Attendance Allowance on 100% disablement
increased from Rs.4500 pm to Rs.6750 pm
11. Allowances to Scientific Departments
·
7th CPC recommendations to abolish Launch
Campaign Allowance and Space Technology Allowance not accepted – rates revised
from Rs.7500 pa to Rs.11250 pa
·
Professional Update Allowance for non-gazetted
staff of DAE will continue at enhanced rate of Rs.11250 pa
·
Antarctica Allowance – Summer rates revised from
Rs.1125 per day to Rs.1500 per day, Winter rates from Rs.1688 per day to
Rs.2000 per day
12. Allowance paid to D/o Posts & Railways
·
Cycle Allowance not abolished – rates doubled
from Rs.90 to Rs.180 pm for functional requirements of Postmen in Posts and
Trackmen in Railways.
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DSM/KA
