Has the 7th CPC been rolled out keeping election in mind?

(1)  The wage revision in all the Public Sector Undertakings and in other Sectors usually takes place every 5th year. Click here to view Rationale Behind Demand for 7th Central Pay Commssion 

(2) There are many serious pay anomaly due to MACP, Entry Pay for direct recruitee, stepping up of pay in regards to junior, merger of 6th CPC pay scale etc. and many court judgements are favouring the Govt employee in this regard.  I

(3)  18 months’ time given to 7th CPC to give report is also not enough as 3rd CPC taken 3 years, 4th CPC taken 4 years last 6th CPC taken less than 2 years’ time to give report and many anomalies are unsettled in National Anomaly Committee, union/federation has also expressed that 6th CPC is not a successful Pay Commission.  Therefore, 18 months time is also not sufficient.

(4) The Thirteenth Finance Commission has recommended for an increase in pay of Central Government employees from the future date means arrears arising out of Pay Commission awards should be avoided by making the pay award commence from the date on which it is accepted. [click here to view the govt statement on seventh pay commission]

Recommendation of 13th FC: Para 9.64 “Other than exogenous shocks and parametric changes, there are also policy processes which create macroeconomic shocks and distortions, but are within the control of the Central Government. Pay Commission recommendations are an important example of this. In our discussions with State Governments a significant portion of the memoranda presented and the discussions on the future fiscal roadmap centred around the impact of this award on state finances. For the Centre, arrears alone amounted to Rs. 28,160 crore on a salary base of Rs. 44,360 crore. While many reforms can and  should be, contemplated to end this self-inflicted distortion, one action that could be taken immediately is that of making the pay award commence from the date on which the recommendations of future Pay Commissions are accepted by the government. In effect, this would do away with the need for arrears. Since State Governments’ awards typically follow those of the Central Government, this would allow states to time their awards such that the need for arrears does not arise. In our view, if Finance Commissions are able to present their inter-governmental recommendations without any need for retrospective fiscal transactions, then the same should be possible in the case of Pay Commissions as well. [Source: http://fincomindia.nic.in]

9.64 बाहरी प्रघातों और मानदंडीय परिवर्तनों को छोड़कर, ऐसी नीतिगत प्रक्रियाएं भी हैं जो वृहत आर्थिक प्रघात और विकृति उत्पन्न करती हैं परन्तु ये केन्द्र सरकार के नियंत्रण में हैं।  इसके लिए वेतन आयोग की सिफारिशें एक महत्वपूर्ण उदाहरण हैं।  राज्य सरकारों के साथ हमारी चर्चाओं में प्रस्तुत ज्ञापन का एक महत्वपूर्ण अंश और भावी राजकोषीय रूपरेखा राज्य वित्त साधनों पर इस पंचाट के प्रभाव के इर्द—गिर्द केन्द्रित थीं।  केन्द्र के लिए, वेतन आधारित 44,360 करोड़ रुपये में केवल बकाया भुगतान की राशि 28,160 करोड़ रुपये थी।  जबकि इस स्वनिर्मित विकृति को समाप्त करने के लिए बहुत से सुधारों पर विचार किया जा सकता है और किया जाना चाहिए, एक कार्य जिसे तत्काल आरंभ किया जा सकता है वह है वेतन पंचाट उस तारीख से आरंभ हो जिस तारीख से सरकार द्वारा भावी वेतन आयोग की सिफारिशें स्वीकृत की जाती है।  इससे वस्तुत: बकाया भुगतान की आवश्यकता समाप्त हो जाएगी।  क्योंकि राज्य सरकार पंचाट विशिष्ट रूप से केन्द्र सरकार के पंचाट का अनुसरण करते हैं इसमें राज्यों को अपने पंचाट का इस प्रकार निर्धारण करना अनुमत हो जाएगा कि बकाया भुगतान की आवश्यकता ही न हो।  हमारे विचार से वित्त आयोग भूतलक्षी राजकोषीय लेन देन की किसी आवश्यकता के बर्गर अपनी अन्तर सरकारी सिफारिशों को प्रस्तुत करने में समर्थ है तो यह वेतन आयोग के मामले में भी संभव होना चाहिए।

This is the main reason behind setting up the pay commission before the date of effect and terms to give the report before 1.1.2016.  If recommendations of 7th CPC will be implemented after 1.1.2016 then no arrears on salary/pension will be given. 

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