Confederation writes to Finance Ministry regarding Transport Allowance
1st Floor, North Avenue PO Building, New Delhi – 110001
Website: WWW. Confederationhq.blogspot.com
Email: [email protected]
Ministry of Finance
Department of Expenditure
New Delhi – 110001
Sub: Regulation of Transport Allowance at Faridabad Gurgaon, Ghaziabad and Nodia at par with Delhi rates.
Your kind attention is invited to the OM No. 21(8)2010-E-II (B) dated
01.08.2012 of Ministry of Finance, Department of Expenditure regarding
regulation of Transport Allowance at Faridabad, Gurgaon, Ghziabad and
Noida wherein instructions have been issued to regulate the
Transport Allowance at the rates applicable to ‘Other Cities’ i.e other
than 13 classified cities as per the condition laid down in OM no.
21(2)12008-E-II (B) dated 29.08.2008. Issuance of the OM has created
panics among the employees posted at these cities. Immediate action is
required to be taken to avoid implementation of the OM.
2(4)-E.II (B)/65 dated 05.11.1974 vide which special dispensation was
given to Faridabad at Delhi rates in respect of CCA & H RA.
recommendations to grant of transport allowance to Central Government
employees to compensate the cost incurred on commuting between the place
of residence and the place of duty. Transport allowance was implemented
vide 0M No. — 1(13)97-E-Il (B) dated 03.10.1997, according to which,
transport allowance was to be regulated on the basis of classification
of cities for the purpose of CCA. Para 3.1 of said order Is reproduced
in these orders shall be the same as those classified as such for the
purpose of Compensatory (City) Allowance (CCA) in terms of the orders
separately regulating grant of CCA to the Central Government employees.
recommended abolition of CCA and increased the rates of transport
allowance subsuming the element of CCA. The abolition of CCA was
compensated by increasing the rates of transport allowance.
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