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  • Thursday, 8 September 2016

    7th CPC IMPLEMENTATION RESOLUTION



    (TO BE PUBLISHED IN PART-I SECTION 3 OF THE GAZETTE OF INDIA EXTRAORDINARY)

    GOVERNMENT OF INDIA
    MINISTRY OF DEFENCE

    New Delhi, the 5th September, 2016

    RESOLUTION

    No. 02 (E)      
    No. 1(6)/2016/D (Pay/Services)

    1.         The Seventh Central Pay Commission (CPC) was set up by the Government of India vide Ministry of Finance (Department of Expenditure) Resolution No.1/1/2013-E-III (A) dated 28th February, 2014. The Commission submitted its report on 19th November, 2015. The report covered among other things, matters relating to structure of emoluments, allowances, and conditions of service of Armed Forces personnel. Government has given careful consideration to the recommendations of the Commission relating to these matters in respect of Personnel Below Officer Rank (PBOR) of the Armed Forces and have decided that the recommendations of the Commission on the aforementioned matters in respect of these categories of Defence personnel shall be accepted as follows. Some of the major points in respect of Defence Personnel (PBOR) are as mentioned below: -           

    (i)         Implementation of the revised pay structure will be w.e.f. 01.01.2016.

    (ii)        Pay related Matter;

    (a)        The existing system of Pay Band and Grade Pay has been replaced with separate Pay Matrices for both Defence and Military Nursing Services personnel.

    (b)        Fixation of pay of each employee is the new Pay Matrix as on 01.01.2016 would be done by multiplying his/her basic pay by a factor of 2.57.

    Note-1:            With regard to fixation of pay in the new Pay Matrix as on 01.01.2016, the existing pay (Pay in Pay Band plus Grade Pay) in the pre-revised structure as on 31.12.2015 shall be multiplied by a factor of 2.57. The figure so arrived at is to be located in the Level corresponding to employee’s Grade Pay in the new Pay Matrix. If a Cell identical with the figure so arrived at is available in the appropriate level, that Cell shall be the revised pay; otherwise the next higher cell in that Level shall be the revised pay of the employee.   

    Note-2:            After fixation of pay in the appropriate Level as specified in Note-1 above, the subsequent increments shall be at the immediate next Cell in that Level.

    (c)        General recommendations on pay recommended by the Commission have been accepted with the following exceptions in the Defence Pay Matrix, namely:

    i.          The index of Rationalisation of Level 13 A (Brigadier) in Defence Pay Matrix may be revised upward from 2.57 to 2.67.   

    ii.         Additional 3 stages in Level 12A (Lt Col), 3 stages in Level 13 (Colonel) and 2 stages in Level 13A (Brigadier) may be added appropriately in the Defence Pay Matrix.

    (iii)       Increase in Military Service Pay (MSP) of Personnel Below Officer Rank (PBOR) from Rs 2000/- to Rs 5200/- p.m. MSP would be counted only for Dearness Allowance (DA) and Pension purposes;

    (iv)       There would be two dates for grant of increments viz, 1st January and 1st July of every year, instead of existing date of 1st July. However, an employ will be able to avail annual increment only on one of these two dates depending on the date of appointment, promotion, or grant of financial upgradation;

    (v)        Recommendations on Allowances (except Dearness Allowance) would be referred to a Committee comprising Finance Secretary & Secretary (Expenditure) as Chairman and Secretaries of Home Affairs, Defence, Health & Family Welfare, Personnel and Training, Post and Chairman, Railway Board as Members. The Committee would submit its report within a period of 4 months. Till a final decision on Allowances is taken based on the recommendations of this Committee, all Allowances would continue to be paid as existing rates in existing pay structure, as if pay had not ben revised w.e.f 1.1.2016 i.e. status quo would be maintained;

    (vi)       Arrears of Pay would be paid during the current financial year;

    (vii)      Recommendations not relating to pay and allowances and other administrative issues specific to department/cadres/posts would be examined separately as per the Transaction of Business Rules/Allocation of Business Rules.

    2.         Other instructions on Pay Fixation and increment not specifically covered in these instructions will be as in Government of India, Ministry of Finance (Department of Expenditure) Resolution No. 1-2/2016 – IC dated 25th July, 2016. 

    3.         The decisions taken by the Government accordingly on various recommendations of the Commission in respect of Personnel Below Officer Rank (PBOR) of Armed Forces are indicated in the statement at Annexure-I to this Resolution. New Pay Matrix for Personnel Below Officer Rank (PBOR) is at Annexure –II. 

    Sd/-------------------------
    (V Anandarajan)
    Joint Secretary to the Government of India

    ORDER

    Ordered that the Resolution be Published in the Gazette of India Extraordinary.

    Ordered also that a copy of the Resolution be communicated to: - 

    1.         Army Headquarters.
    2.         Naval Headquarters.  
    3.         Air Force Headquarters.
    4.         Pay Commission Cells of Army, Navy, and Air Force.
    5.         Controller General of Defence Accounts and all CDAs.
    Sd/-----------------
    (V Anandarajan)
    Joint Secretary to the Government of India


    ANNEXURE-I

    STATEMENT SHOWING THE RECOMMENDATIONS OF THE VII CENTRAL PAY COMMISSION RELATED TO PERSONNEL BELOW OFFICER RANK (PBOR) OF THE ARMED FORCES AND GOVERNMENT DECISION THEREON (FIGURES REFERRED IN PARENTHESIS PERTAIN TO CHAPTER AND PARAGRAPH OF THE PAY COMMISSION REPORT)

    Sl No
    Recommendations of the VII CPC
    Decision of the Government
    1.
    Fitment Factor: The Seventh CPC has recommended fitment in the pay band in the following manner: -
    “The fitment in the new pay matrix is essentially a multiple factor of 2.57. The multiple is the ratio of the new minimum pay arrived at by the Commission and the existing minimum pay. The fitment factor is being applied uniformly to all employees. It includes a factor of 2.25 to account for DA neutralisation, assuming that the rate of Dearness Allowance would be 125 percent at the time of implementation of the new pay as on 01.01.2016. The actual raise/fitment being recommended by the Commission is 14.29 percent. An identical fitment of 2.57 has also been applied to the existing rates of Military Service Pay (MSP) applicable to Defence forces personnel only.’ (Para 5.2.7)        
    Minimum Pay, Fitment Factor, Index of Rationalisation, Pay Matrices and general recommendations on pay recommended by the Commission in as much as it impacts PBORs accepted without any material alteration.



    2
    Rate of Increment: The rate of annual increment is being retained at 3 percent (Para 5.1.38)
    There would be two dates for grant of increment viz. 1st January and 1st July of every year, instead of existing date of 1st July. However, an employee will be able to avail annual increment only on one of these two dates depending on the date of
    appointment, promotion, or grant of financial upgradation.
    3
    Military Service Pay for PBORs: The Defence forces personnel, in addition to their pay as per the Matrices above, will be entitled to payment of Military Service Pay for all ranks up to and inclusive of Brigadiers and their equivalents. The
    Commission recommends an MSP for Defence forces personnel at Rs 5,200 for JCOs/ORs.
    MSP will continue to be reckoned as Basic Pay for purposes of
    Dearness Allowance, as also in the computation of pension. Military Service Pay will however not be counted for purposes of House Rent  Allowance, Composite Transfer Grant and Annual Increment, (Para
    No. 5.2.22)
    Rate of Military Service Pay (MSP) is accepted. However, MSP will be counted only for Dearness Allowance (DA) and Pension.
    4
    Group ‘X’ Pay: The Commission recommends:
    (a) X pay for JCOs/ORs in Group ‘X’ at Rs 6,200 per month: For all X trades which involve obtaining a qualification which is equivalent of a diploma recognised by AICTE. This amount is the difference in the minimum of the Pay level 6 (corresponding to Grade Pay of Rs 4200 in VI CPC),  and Pay Level 5 (corresponding to Grade Pay of Rs 2800 in VI CPC). (Para 6.2.88)

    (b) X Pay for JCOs/ORs in Group X at Rs 3, 600 per month: (standard fitment of 2.57 on the existing X pay of Rs 1,400) for those currently in X pay, but not having a technical qualification recognised by AICTE. (Para 6.2.88).    


















    Accepted.
    5.
    Pay Scales of Honorary Commissioned Officers: The Commission, taking note of the existing framework of Honorary Commission recommends that the Junior Commissioned Officers on their promotion as Honorary Lieutenant or Honorary Captain shall be placed in the pay level 10 and pay level 10B respectively. They will, in addition be paid Military Service Pay of Rs 15, 500 per month on par with that payable to all the Commissioned officers. (Para 6.2.92).






    Accepted.
    6
    Grant of Financial Upgradation under MACP to the DSC Personnel: Since Defence Security Corps personnel are personnel under the Army, they would also be permitted the benefit of MACP. However, this benefit should be limited to a total of three upgrades in the entire service career, both during regular employment and in the course of reemployment as Defence Security Corps personnel. As they are defence forces personnel the benefit of MACP would be extended to them after a period of eight years from their dat of reemployment, in case they do not get a promotion. (Para 6.2.98).  












    Accepted.






    7
    Pay Structure of Non-Combatant (Enrolled): The Commission recommends MSP for Non-Combatants (Enrolled) at the rate of 70 percent of combatants. Accordingly, the Commission recommends an enhancement of MSP for Non-Combatant (Enrolled) in the Air Force from the existing rate of Rs 1,000 per month to Rs 3,600 per month. (Para 6.2.100 & 6.2.101)





    Accepted.


    Pay Matrix (Defence Forces Personnel – except Military Nursing Service)

    [Tables edited for compactness by Aerial View]

    Pay Band
    5200-20200
    9300-34800
    15600-39100
    Grade Pay
    2000
    24000
    2800
    3400
    4200
    4600
    4800
    5400
    5400
    6100
    6600
    Level
    3
    4
    5
    5A
    6
    7
    8
    9
    10
    10B
    11
    1
    21700
    25500
    29200
    33300
    35400
    44900
    47600
    53100
    56100
    61300
    69400
    2
    22400
    26300
    30100
    34300
    36500
    46200
    49000
    54700
    57800
    63100
    71500
    3
    23100
    27100
    31000
    35300
    37600
    47600
    50500
    56300
    59500
    65000
    73600
    4
    23800
    27900
    31900
    36400
    38700
    49000
    52000
    58000
    61300
    67000
    75800
    5
    24500
    28700
    32900
    37500
    39900
    50500
    53600
    59700
    63100
    69000
    78100
    6
    25200
    29600
    33900
    38600
    41100
    52000
    55200
    61500
    65000
    71100
    80400
    7
    26000
    30500
    34900
    39800
    42300
    53600
    56900
    63300
    67000
    73200
    82800
    8
    26800
    31400
    35900
    41000
    43600
    55200
    58600
    65200
    69000
    75400
    85300
    9
    27600
    32300
    37000
    42200
    44900
    56900
    60400
    67200
    71100
    77700
    87900
    10
    28400
    33300
    38100
    43500
    46200
    58600
    62200
    69200
    73100
    80000
    90500
    11
    29300
    34300
    39200
    44800
    47600
    60400
    64100
    71300
    75400
    82400
    93200
    12
    30200
    35300
    40400
    46100
    49000
    61200
    66000
    73400
    77700
    84900
    96000
    13
    31100
    36400
    41600
    47500
    50500
    64100
    68000
    75600
    80000
    87400
    98900
    14
    32000
    37500
    42800
    48900
    52000
    66000
    70000
    77900
    82400
    90000
    101900
    15
    33000
    38600
    44100
    50400
    53600
    68000
    72100
    80200
    84900
    92700
    105000
    16
    34000
    39800
    45400
    51900
    55200
    70000
    74300
    82600
    87400
    95500
    108200
    17
    35000
    41000
    46800
    53500
    56900
    72100
    76500
    85100
    90000
    98400
    111400
    18
    36100
    42200
    48200
    55100
    58600
    74300
    78800
    87700
    92700
    101400
    114700
    19
    37200
    43500
    49600
    56800
    60400
    76500
    81200
    90300
    95500
    104400
    118100
    20
    38300
    44800
    51100
    58500
    62200
    78800
    83600
    93000
    98400
    107500
    121600
    21
    39400
    46100
    52600
    60300
    64100
    81200
    86100
    95800
    101400
    110700
    125200
    22
    40600
    47500
    54200
    62100
    66000
    83600
    88700
    98700
    104400
    114000
    129000
    23
    41800
    48900
    55800
    64000
    68000
    86100
    91400
    101700
    107500
    117400
    132900
    24
    43100
    50400
    57500
    65900
    70000
    88700
    94100
    104800
    110700
    120900
    136900

    Pay Matrix (Defence Forces Personnel) continued

    Pay Band
    37400-67000
    67000-79000
    75500-80000
    80000
    90000
    Grade Pay
    8000
    8700
    8900
    10000




    Level
    12A
    13
    13A
    14
    15
    16
    17
    18
    1
    116700
    125700
    139600
    144200
    182200
    205400
    225000
    250000
    2
    120200
    129500
    143800
    148500
    187700
    211600


    3
    123800
    133400
    148100
    153000
    193300
    217900


    4
    127500
    137400
    152500
    157600
    199100
    224100


    5
    131300
    141500
    157100
    162300
    205100



    6
    135200
    145700
    161800
    167200
    211300



    7
    139300
    150100
    166700
    172200
    217600



    8
    143500
    154600
    171700
    177400
    224100



    9
    147800
    159200
    176900
    182700




    10
    152200
    164000
    182200
    188200




    11
    156800
    168900
    187700
    193800




    12
    161500
    174000
    193300
    199600




    13
    166300
    179200
    199150
    205600




    14
    171300
    184600
    205100
    211800




    15
    176400
    190100
    211300
    218200




    16
    181700
    195800
    217600





    17
    187200
    201700






    18
    192800
    207800






    19
    198600
    214000






    20
    204600







    21
    210700







    22








    23








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