Friday, 26 August 2016

Option for pay fixation as per 7th CPC


                I wish to share the following information, regarding the options that can be exercised as per CCS(RP) Rules 2016 consequent on the implementation of 7th CPC.
                A kind attention is invited to the following order.
Ministry of Finance (Department of Expenditure) notification dated 25.7.2016 communicating CCS(RP) Rules 2016. 
As per the above communication, the following options are available.
1.       All officials can opt to fix their pay on the date of implementation i.e. 1.1.2016. In this case the pay will be fixed on the basis of the pay drawn on 1.1.2016. The date of next increment is 1.7.2016 and the subsequent increments will be drawn on 1st July every year.

2.       For the new recruits who joined exactly on 1.1.2016 their pay in the revised scale will be fixed on the date of joining and the date of next increment is 1.7.2016 and subsequent increments will be drawn on 1st July every year.

3.       For the new recruits who joined after 1.1.2016 but before 30.6.2016, their pay in the revised scale will be fixed on the date of joining and the date of next increment is 1.1.2017 and subsequent increments will be drawn on 1st January every year.

4.       For the new recruits who joined exactly on 1.7.2016,their pay in the revised scale will be fixed on 1.7.2016, the date of joining and the date of next increment is 1.1.2017 and subsequent increments will be drawn on 1st January every year.

5.       For the new recruits who joined after 1.7.2016 and thereafter,  their pay in the revised scale will be fixed on the date of joining and the date of next increment is 1.7.2017 and subsequent increments will be drawn on 1st July every year.

6.       All officials can opt to fix their pay on the date of next increment i.e. 1.7.2016. In this case, the increment on 1.7.16 in the pre revised pay will be drawn and the revised pay will be fixed on the basis of the pay as on 1.7.2016, after drawal of increment in the pre revised pay. In this case, the date of next increment will be 1.7.2017 and subsequent increments will be drawn on 1st July every year.  The date of next increment in this case should be 1.1.2017 and subsequent increments should be drawn on 1st January, the details are furnished at the end. A further orders in this regard is required.


7.       All officials who are promoted under MACPS, between 1.1.2016 and 25.7.2016, the date of notification, can exercise option for their pay fixation in the revised scale on any one of the following dates.
a.       On 1.1.2016
b.      On the date of next increment
c.       On the date of promotion.

8.       All officials who are promoted under MACPS, after 25.7.2016, the date of notification, can exercise option for their pay fixation in the revised scale on any one of the following dates.
d.      On 1.1.2016
e.      On the date of next increment, 1.7.2016

9.       All officials can opt to fix their pay on the date of their subsequent increments, i.e. 1.7.17 or 1.7.18 etc. In this case the increments in the pre revised pay will be drawn and the revised pay will be fixed on the basis of this pre revised pay.  The date of next and subsequent increments will be on 1st July every year.

10.   If no option is exercised before 3 months, the revised pay will be fixed on 1.1.2016, on the date of implementation of the orders.
There is a distinction between the “Date of next increment” and the “Date of subsequent increments”.             The first increment in the revised pay will be the date of next increment and those increments which will be drawn after 1 year from the previous increments are subsequent increments.
The following points may be kept in mind while deciding the date of next increment.
a.       Once an official switched over to the revised pay, no increments on the pre revised pay is allowed.

b.      In the revised pay, once the official completes 6 months or more in a particular stage (pay) in the revised pay, he is eligible for one increment. The next increment will be allowed on completion of 6 months in a particular stage or 1st of July16/Jan17 following, whichever comes later.

c.       Between 1.1.2016 and 1.1.2017, only one increment in the revised pay is allowed.

d.      The subsequent increments will be allowed after completion of 1 year from the date of next increment.

e.      For those officials who entered the service on or after 1.1.2016, their revised pay will be fixed from their date of joining only.

Now let us see what would be the date of next increment and subsequent increments consequent on the options exercised by an official. (As per serial number 1 to 10 above)
1.       Since the option is for 1.1.2016, his pay will pay in revised pay will be fixed on 1.1.2016.  As the official completes 6 months’ of service as on 1.7.2016, his date of next increment is 1.7.2016, in the revised pay.  His subsequent increments will be on 1st July every year i.e. 1.7.17,1.7.18 etc.

2.       For the official who joined service on 1.1.2016, his pay in the revised pay will be fixed on 1.1.2016 and the date of next increment is 1.7.2016, as the official completes 6 months’ service on 1.7.2016. His subsequent increments will be on 1st July every year i.e. 1.7.17,1.7.18 etc.

3.       For the official who joined service between 2.1.2016 and 30.6.2016 his pay in the revised pay will be fixed on the date of joining and the date of next increment is 1.1.2017, as the official did not complete 6 months on 1.7.2016. As on 1.1.2017, the official would complete more than 6 months. For example, if the official joined service on 1.3.2016, he will be completing 6 months’ service on 1.9.2016 but his date of next increment will be 1.1.2017.  His subsequent increments will be on 1st Jan every year.

4.       For the who  joined service exactly on 1.7.2016, his pay will be fixed on 1.7.2016 itself in the revised pay, and the date of next increment will be 1.1.2017, as he would be completing 6 months’ service on 1.1.2017. His subsequent increments will be on 1st Jan every year.

5.       If an official joined service after 1.7.2016, say on 1.8.2016, his pay will be fixed on 1.8.16 and his date of next increment will be on 1.7.2017 as he would complete less than 6 months’ service as on 1.1.2017. His subsequent increments will be on 1st July every year.

6.       If an official opt for fixation on the date of next increment i.e. 1.7.16, the due increment will be drawn in the pre revised pay on 1.7.16, and based on this pay his revised pay would be fixed on 1.7.16. As per the orders cited under reference above, the date of next increment will be on 1.7.2017, since there is no mention about date of next increment in this case under rule 10 of the said orders. . But it should be on 1.1.2017, as the official completes 6 months’ period on 1.1.2017 and also the official did not draw any increment in the revised pay. In this case, the official will get arrear for one month only (july 16). It may noted that as per case 4 above, the the official who joined service exactly on 1.7.16 is entitled for next increment on 1.1.2017, after a service of 6 months in the revised pay. On the same lines, in this case also the date of next increment should be 1.1.2017. The subsequent increments will be on 1st of Jan every year. I hope the Government will issue suitable modified orders in this regard, and I hope one more opportunity for exercising a revised option will be given.  Till such time, it is safe to opt for pay fixation as per option 1 above. I hope this option will be beneficial for a majority of the officials, especially for whose date of retirement falls during the first half year ( Jan to June), as the officials will get their last increment before their retirement. Also, I hope that having the increment in Jan rather than July would be an advantage, as all the pay commissions are implemented from 1st of Jan. This should be studied in detail.

7.       In this case, the official has 3 options to choose from.
(i)                  Revised pay may be fixed on 1.1.2016 and the pay on MACP can be fixed on the date of promotion in the revised pay. If the date of MACP is 1.3.2016, the official can opt for revised pay w.e.f. 1.1.2016 and then get the pay fixed on 1.3.2016 on MACP in the revised pay. In this case, the date of next increment will be on 1.1.2017, as the official would complete 6 months’ service only on 1.9.2016. The subsequent increments will be on 1st Jan every year.

(ii)                The official can draw the pre revised pay upto the date of promotion, get the fixation for MACP and then switch over to the revised pay. In the above example, the official can draw pre revised pay upto 29.2.2016, get his MACP on 1.3.2016 in the pre revised pay, and then switch over to the revised pay w.e.f. 1.3.2016. In this case also, the date of next increment will be on 1.1.2017 and subsequent increments will be on 1st Jan every year.

(iii)               If the date of MACP is after 1.7.16, the official can draw the pre revised pay upto 30.6.2016, draw his increment in the pre revised pay on 1.7.2016 and then get the fixation for MACP on the date of promotion in the pre revised pay and then switch over to the revised pay.  If the date of MACP is 15.7.2016, the official can draw pre revised pay upto30.6.2016, get the periodical increment on 1.7.2016 in the pre revised scale. His pay will then be fixed for MACP on 15.7.2016 in the pre revised pay and then the pay will be fixed in the revised pay on 15.7.2016 based on the pre revised pay as on 15.7.2016.
All such officials are requested to work out the above options, and choose the best suited to them before exercising option.
8.       In this case, the official can either opt for fixation on 1.1.2016  on the date of next increment i.e.1.7.2016. As per the RP rules the official has no option for fixation of pay on their date of promotion which would be after the date of notification i.e. 25.7.2016.The officials are requested to work out the options, and choose the best suited to them before exercising option. I hope the government will issue modified orders so that the above option (option 7) will also be applicable for the promotions between 26.7.2016 and 1.1.2017. If the training period is counted for MACPS, these officials have a chance that their date of MACPS may be advanced to a date prior to 25.7.2016. I hope it will happen.

9.       In this case, the official will receive pre revised pay upto the date of the increment on which the official gives option. Upto that date increment will be paid on the pre revised pay only. On the date of the particular increment, after drawal of the periodical increment in pre revised pay, his pay will be fixed in the revised pay based on the pre revised pay on that date. His next and subsequent increments will be on 1st July of the next and subsequent years.

10.   In this case, the method and benefits will be the same as in option 1.


Information shared by 
R.Hariharakrishnan, Postmaster, 
Srivaikuntam HO, Tamilnadu 628601

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