Clarification – Revision of Pay Scales 2001 dt 03.11.2001

OFFICE MEMORANDUM

Subject: Revision of Pay Scales 2001

I am directed to refer to AGPR’s letter No. TM/HA/1-73/Vol.48(BoS- 2001/22.33 dated 16.10.2001 on the above subject and to clarify the points raised by AGPR with reference to Finance Division’s O.M. No. F.1 (5) Imp/2001, dated 04.09.2001, ad seriatim as under:

POINT RAISED BY AGPR

Para 5 of Fin. Div O&M No. F.1(5)

Imp/2001 dated 04.09.2001

• Regarding the initial fixation of pay, the contention of AGPR is that pay of the employees in service on 30.11.2001 shall be fixed after allowing increment falling on 01.12.2001, if due, in old scale.
• Similarly, in case a Government servant had reached the maximum of his pay scale on 01.12.2001 he shall remain eligible for move- over w.e.f. 01.12.2001 and thereafter his pay be fixed in the revised basic scales.

Para 6

CLARIFICATION BY FINANCE DIVISION

The viewpoint of AGPOR is confirmed.

Move-over has been discontinued w.e.f. 04.09.2001. Therefor, only the employees who had reached the maximum of their scales on or before 01.12.1999 would remain eligible for move-over. Employees reaching maximum of their respective pay scales on 01.12.2000 shall not be eligible to move-over.

(ii) The scheme of selection grade has been discontinued w.e.f. 04.09.2001 whereas the revised pay scales are applicable w.e.f. 01.12.2001. This office is of the view that the selection grade and move- over should also be discontinued from 01.12.2001

Selection grade has been discontinued w.e.f. 04.09.2001. It cannot be allowed to anybody after 04.09.2001. The position with regard to move-over has been clarified in preceding para.

While fixing the pay of employees moved over from one BS to another BS, it has been observed that it creates anomalies when their fixation is made by bringing them to their original scale of the post from where they had moved over vis-à-vis those who hold these scales on regular appointment.

Few examples are given below

• Government Servants BS-19 moved over BS-20 and in receipt of pay of Rs.13,595/- will be fixed in BS-18 in the revised pay scale 2001 at Rs.22,240/- thus creating a difference of Rs.2000/- in the initial fixation (i.e. less than that what would have been fixed had he not been brought to his original scale from where he had moved over)
• Government Servant BS-18 moved over to BS-19 and in receipt of Rs. 11,600/- will be fixed in BS-18 at Rs. 18,665/- in the revised pay scale. In case pay is fixed on point- to-point basis in BS-19 in the revised pay scale it would be Rs. 18,550/-. The officers holding regular appointment in BS-19 draw less than the officers BS-18 moved over to BS-19.
• Pay of Government servant BS-16, drawing pay Rs. 4,702/- will be fixed in the revised pay scale @ Rs. 7,050/- whereas the pay of Government servant in BS-15 by virtue of move over from BS-11 and drawing pay Rs. 4668/- will be fixed in BS-11 @ Rs. 7,140/- which will be higher than the pay of Government servant in BS-16 irrespective of the fact that Government servant in BS-16 was drawing more pay than that drawn by the Government servant in BS-16 was drawing mover pay than the drawn by the Government servant who had moved over from BS-11 to BS-5 prior to the revision

There is no anomaly and needs no clarification. Pay will be fixed according to para 7 (seven) of Finance Division’s O.M. No. F.1 (5) \ Imp/ 2001 dated 04.09.2001.

of pay scales.

The example, II of Finance Division O.M. provides method of fixation in cases where the pay in moved over scale is not within the maximum stages of the revised basic pay scale from where one has moved over. Apart from extending the scales beyond prescribed stages (i.e. 30 up to scale 16), future increments up to a maximum of 3 years have also been allowed in such cases as personal to such employees. A question arises whether future increments (maximum 3 years) will also be admissible in cases where pay in revised BPS is fixed at the maximum or one or two stages below maximum on 01.12.2001. If not, it will cause a discrimination.

• It has been stated that special pay/allowances sanctioned to offices as percentage of pay shall be discontinued w.e.f. 01.12.2001 and at the same time it is stated that such pay/allowances would be adjusted in future increments. It is assumed that special pay/allowances for offices would be frozen as drawn on 30.11.2001 and would be treated as personal pays/allowances and adjustable in future increments.
• There will, however, be cases where the employees would reach maximum of pay scale without full adjustment and hence would continue to draw that special pay/allowances. It will create anomalous situation likewise the existing “personal allowance”.

The words “and adjusted in future increments” occurring after 01.12.2001 in fourth line of para 9 may be considered as deleted.

Para 15

The contention of this office is that the rates prescribed for various categories of Government servants along with the conditions written in revised column from Sr. No.I to

IV under para 11 are correct. However, it may be clarified whether the condition of maintenance of motorcar is to be observed for revised rates of Rs.620/- p.m.

It may be confirmed whether the special pays/allowances admissible on certain posts (including the departments) as percentage of pay is admissible on the existing rates with reference to the pay in the revised basic pay scales (2001) subject to the limits mentioned in the O.M.

The table under para 11 (eleven) of the Finance Division’s O.M. No. F.1(5) Imp/2001, dated 04.09.2001

may be read as follows:

• Government servants in BS-16 (Gaze-ted) and above maintaining motor car not registered for commercial purposes Rs. 620/- p.m.
• Government servants in BS-11 and above others than those at (i) above Rs.340/- p.m.
• Government servants BS-1 to BS-10 maintaining motor car/motor cycle/scooter Rs.230/- p.m.
• Government servants in BS-1 to BS-10 not maintaining motor cycle/scooter Rs.170/- p.m.

Only the special pay/allowances admissible on certain posts have been revised as percentage of pay subject to the maximum limits prescribed in para 15. Special pay/allowances sanctioned to offices/departments have been discontinued under para 9.

Para 16

• At Annex-II of the O.M. only revised rates of Commutation have been given by replacing the existing commutation table but in the new table both the words existing and revised pay scales have been indicated which creates confusion. The position may be clarified.
• (i) The increases in pensions @ 20% and 25% allowed w.e.f. 01.07.1999 shall be discontinued

w.e.f. 01.12.2001. The contention of this office is that this clause regarding the discontinuation above increase is only to Government servants who opt the revised basic pay scales with revised package of pension commutation and not the existing pensioners.          The   above presumption may be confirmed.

• Similarly, the 5% increase allowed w.e.f.01.12.2001 will also be admissible to these pensioners.
• The benefit of restoration has been withdrawn. It is assumed that the benefit will not be admissible to those who opt the revised scales and pension package and restoration of surrendered portion of pension will remain admissible to the pensioners retired after 01.12.2001 under the pre-revised basic scales (2001).

(g)            The increase allowed w.e.f.01.12.2001 is on net pension inclusive of dearness increases allowed in the past. It is assumed that all increases allowed in the past are to be included in the net pension.

The revised commutation table is applicable to new pay scales, 2001 only. The subheading “Existing and Revised pay scales” in Annex-II to Finance Division’s O.M. No. F.I(5) Imp/2001, dated 04.09.2001 may be considered as deleted.

The view point of AGPR is confirmed. Para 16 (d) applies only to those employees who retire on or after 01.07.2001 and opt for the new pay scales in para 17 of Finance Division’s O.M. No. F.I(5) Imp/2001, dated 04.09.2001. This provision shall not apply to those who choose to remain in 1994 pay scales.

Increase of 5% in pension is available to retirees in 1994 pay scales.

The benefit of restoration of commutation value of pension has been withdrawn w.e.f.01.12.2001 irrespective of an employee’s date of retirement.

The view point of AGPR is confirmed.

• The contention of this office is that in case a Government servant does not opt for new pay scales and pension/commutation, his pension/ commutation will be calculated according to the existing rate and on completion of year of pension purchased, his commutation will be restored after 01.12.2001 may be confirmed.

As explained against para 16(e) above. However, if a person chooses to remain in 1994 pay scales, his pension and commutation will be calculated according to the existing rate and the commutation table.

Para 18

The provision of this para is not clear. It may be clarified whether the 5% will be discounted from the revised pay or from the revised gross pension or just the 5% increase admissible w.e.f.01.12.2001 is not be allowed to those who opt for revised basic pay scales and pension.

Family Pension

Para 19 of AGPR letter

Para 18 of the O.M. under reference is very clear and does not lend itself to any misinterpretation. The retiring employees who opt for 2001 pay scales are not entitled to 5% increase in pension as per para 16(g)(iii). Besides their gross pension will be reduced by 5%.

• In case of family pension (death during service) under the existing rules legal heirs are entitled to Net Pension equal to 50% of pension and gratuity equal to 25% of gross pension. Under revised scheme of pension/commutation whether the family pension will be:

• Equal to 50% of gross pension or 60% of the gross pension.

• The gratuity will be admissible equal to 20% or 25% of the gross pension.

Under the existing the benefits of family pension are equal to 75% of total pension of the Government servant.

• It may be clarified whether or not the increase in pension allowed by the Government w.e.f.01.12.2001 @ 5%, 10% and 15% is also admissible during re-employment

It has no relevance with the revised pension and commutation scheme. The family pension (in case of death during service) will be 50% of gross pension.

The gratuity will be admissible equal to 25% of gross pension. Paragraph 6 (six) of Finance Division’s O.M. No. 6(1) Reg.I/75, dated 07.01.1997 has not been changed/revised.

Under the existing rules/policy no increase in pension is admissible during re-employment.

of the pensioner.

Additional Clarification

Whether special Additional Allowance will be admissible to the civil employees recruited after 01.12.2001.

They will not get any Special Additional Allowance.

NO. FD (FR) (ACCOUNT) A&A-II-1/74

Dated 2^nd August 2000 Subject: CLAIMS OF ARREAR OF PAY DUE TO ANOMALY

I am directed to invite attention to the instructions contained in footnote at page 30 of the Delegation of Financial Powers Rules, 1990 that claims of arrears of pay and allowances other than T.A. more than six years old, require sanction from Finance Department for payment without investigation by audit.

In addition to the foregoing, the claims regarding anomaly where pay of the Government servants is re-fixed on dates after 01.06.1991 become due on the date/day on which pay was re-fixed by audit office after removing anomaly and as such the period of delay will be calculated from the date of re-fixation of pay by audit office after removing anomaly or from the date of issue of sanction/order and not from the period of the claim of arrears of pay due to which the anomaly occurred.

No. FD. (PC)-3-1/2002

Dated the 11^th March 2002

Subject: CONSTITUTION OF ANOMALIES COMMITTEE ON THE INTRODUCTION OF PAY REVISION SCHEME 2001

I am directed to state the consequent upon the introduction of Revised Basic Pay Scales, 2001, it has been decided to set up an anomalies committee to (a) resolve anomalies that may arise out of the introduction of the Revised Basic Pay Scales (b) resolve the anomalies, if any, involving the disparities in pay scales of comparable posts under the Federal and Provincial Governments and Provincial Governments inter se, and (c) perform such other functions consequent upon the introduction of Revised Basic Pay Scales, as may be entrusted to it by the Government. The constitution of the anomalies committee will be as under:

1. Finance Secretary                                                            Chairman
2. Administrative Secretary concerned                             Member
3. Secretary Services (S&GAD)                          Member
4. Addl. Finance Secretary (Regulations)            Member