Treatment of Special Additional Allowance after 01.12.2001 dt 21.07.2007
In light of the evolving financial guidelines, the Finance Department has recently reviewed and addressed several queries concerning the applicability of various allowances, specifically the Special Additional Allowance, Special Relief Allowance, and Ad-hoc Relief Allowance. This review, conducted in consultation with the Federal Government, has led to the issuance of crucial clarifications aimed at guiding and streamlining the administrative processes. Below, we delve into the specific clarifications regarding the Special Additional Allowance as they relate to the Revised Basic Pay Scales introduced on December 1, 2001.
Background
The Special Additional Allowance was initially sanctioned through the Finance Department’s notification No. FD (PC)2-2/99 dated July 27, 1999, and was applicable from July 1, 1999. However, with the advent of the Revised Basic Pay Scales, effective December 1, 2001, several allowances, including the Special Additional Allowance, were subject to reevaluation and adjustment.
Queries and Clarifications
Query 1: Continuation of Special Additional Allowance
Query: Will the Special Additional Allowance, which was sanctioned by the Finance Department’s notification dated July 27, 1999, and was applicable from July 1, 1999, remain admissible at its frozen level to government servants who were appointed or absorbed into new posts after the introduction of the Revised Basic Pay Scales on December 1, 2001?
Clarification: The Special Additional Allowance was indeed frozen from December 1, 2001, and remained applicable only to those government employees who were already receiving it before this date. The allowance was not extended to new appointments or transfers made after the introduction of the Revised Basic Pay Scales. This policy ensured that while existing beneficiaries retained their allowance, new appointees or those who transferred into new posts post-December 1, 2001, did not automatically receive this benefit.
However, the recent review has adjusted this stance. It has now been clarified that the Special Additional Allowance will be admissible to government servants who were receiving this allowance immediately before their appointment or transfer into a new post after December 1, 2001. This means that if an employee was entitled to and receiving the Special Additional Allowance prior to their appointment or transfer on or after December 1, 2001, they will continue to receive this allowance at its frozen level.
Implications for Government Employees
This adjustment holds significant implications for government employees navigating transitions between posts. Here’s what employees and administrative officers need to understand:
- For Current Beneficiaries:
- Employees who were in receipt of the Special Additional Allowance before December 1, 2001, and who subsequently were appointed or transferred to new posts, will see their allowance continue without interruption. The allowance will be granted at the frozen level as applicable before the Revised Basic Pay Scales came into effect.
- For New Appointees:
- Government servants newly appointed or transferred on or after December 1, 2001, who were not in receipt of the Special Additional Allowance immediately prior to their new appointment, will not be eligible for this allowance. The allowance is restricted to those who were already beneficiaries before the specified date.
Administrative Actions Required
To implement these clarifications effectively, several administrative steps should be undertaken:
- Review of Records:
- Administrative departments must review records to identify employees who were in receipt of the Special Additional Allowance before the cut-off date and verify their eligibility based on their current status.
- Update of Payroll Systems:
- Payroll systems should be updated to reflect the continued eligibility of employees who meet the criteria for the allowance. This includes adjusting allowances in accordance with the revised guidelines and ensuring accurate disbursement.
- Communication with Employees:
- Clear communication should be established with all affected employees to inform them of the changes and to provide clarity on their allowance status. This transparency helps in managing expectations and avoiding potential disputes.
- Training for Administrative Staff:
- Administrative staff responsible for processing allowances should be trained on the new guidelines to ensure proper application of the revised policies.
Conclusion
The clarifications regarding the Special Additional Allowance offer a significant update for government employees and administrative officers. By allowing the continuation of this allowance for those who were beneficiaries before the Revised Basic Pay Scales took effect, the Finance Department aims to ensure fair treatment for long-standing employees while maintaining clear boundaries for new appointees. This nuanced approach balances the needs of existing staff with the broader objectives of fiscal management and policy consistency.
