Wednesday, September 9, 2009

IMPORTANCE OF 78.2 % M-9426201999
BSNL has not been taking heed of the DPE guidelines issued on April 2, 2009 for revising its order allowing 68.8 % merger of DA as on 1-1-07. If at all BSNL intends to take any decision on 78.2 % merger, then it has to go to Board and the revised decision needs fresh approval from DOT as its Presidential approval sanctions only for 68.8%. Unless we understand the importance of 78.2, it is difficult to pursue the same. Unfortunately all these guidelines of DPE are for the Executives only and for the Unionised workmen (Non-Executives) we find no specific or common guideline for the merger of DA except for 50% DA merger.

.Our CG employees did also come across this issue but they succeeded after some ordeal. 6th CPC recommended 74% merger of DA only as on 01.01.06 (Which would have been payable on the 5th CPC pay scales had merger of 50% DA as DP not been allowed with effect from 01.04.2004). This has been taken as the pay in the revised running pay band.

AIRF giving cognizance to the issue, has taken up the matter to the Standing Committee of National JCM by pointing out the need of 12% correction in the multiplication factor. The issue was brought to the notice of the Union Cabinet at the time of implementation of 6th CPC recommendations and the Cabinet has given its approval for that correction. The decision is
“Enhancement in the fitment in revised pay scales, which was recommended by the CPC to be based on multiplication factor of 1.74 to 1.86”. Subsequently gazette notification was issued by DOE of MOF dt 29.09.08 for revision of pay scales with 1.86 factor instead of 1.74.
“With regard to fixation of pay in the revised pay Bands the basic pay drawn as on 01.01.06 on the existing 5th CPC pay scales will be multiplied by a factor of 1.86..”

We should appreciate the efforts of CG employees and especially AIRF for setting right the disadvantages recommended by the CPC.

Rao committee followed the same blue print of 6th CPC and ignored the benefit of 50% DA merger on 1-1-07 by recommending 68.8 % merger as on 1-1-07. DPE has issued its guidelines on the same lines of Rao on 26-11-08. DOT as well as BSNL dutifully implemented the guidelines immediately.

DPE OM 26.11.08
“A uniform fitment benefit at the rate of 30% on basic pay plus DA at 68.8% as on 01.01.07 would be provided to all executives”

DOT in its presidential approval conveyed the same.. “(2i ) A uniform fitment benefit at the rate of 30% on basi pay plus DA at 68.8% as on 1-1-07 would be provided to all Executives”

BSNL on that basis has issued an office order dt 05.03.09 for Pay Revision of BSNL Executives- 2 (i) A uniform fitment benefit of the rate 30% on basic plus DA as 68.8% as on 01.01.07 would be provided to all executives…”

Oil Sector Officers (Specially ONGC) started their strike protesting Rao committee’s recommendations and faced dismissal for seeking fair judgment on Rao committee from GOI. Government has setup GOM to study the matter and as per the recommendations of GOM a revised guideline with the correction factor was issued.

DPE OM dt 02.04.09 Revision of pay scales for executives:

The Government after due considering of the recommendations of the committee of ministers has decided as follows:-

(i) Benefit of merger of 50% DA with Basic pay for fitment purpose.
The benefit of merger of 50% DA with basic pay with effect from 01.01.2007 effectively amounting to 78.2% would be allowed for the purpose of fitment and pay fixation in the revised pay scales.

Coal India OM dt 02.05.09. Revision of pay for Executives

(i) Uniform fitment at the rate of 30%. on basic pay and VDA at the rate of 78.2% of basic pay as on 01.01.07…
- Oil sector officers Association has raised the issue of 78.2 merger demanded the benefit of DA merger with effect of 01.01.07 must be given as has been given to central Government employees”

For BHEL Executives, Department of Heavy Industries issued the approval of President on 30th April 2009

“President is pleased to direct BHEL to revise Pay Scales of Executives w.e.f 1-1-07 as conveyed by DPE OM dt 26-11-08 and 2-4-09 and as approved by BOD of BHEL on 23-4-09” and so BHEL has also taken the decision regarding 78.2 % merger but yet to issue order to synchronize the pay revision of Non-Executives.

One can easily discern the dimension of loss, if we explain things with an illustration.

For Rs 100 as basic on 1-1-07 the DP is 50 and DA is 28.20 at the DA rate of 18.8 and so the total of Basic plus DP plus DA is 178.20. Unfortunately Rao has given only Rs 168.80 for that 100 basic with 68.80 DA. If 30% fitment is given for 178.20 the sum total would be 231.66 and if it is for 168.80 then the sum total stands at 219.44 and so the perennial loss of Rs12 for every 100 per month.

With the above illustration, one can understand the importance of 78.2 % merger and all the Trade Unions should echo the demand united and settle the issue without fail. M-9426201999

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