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Saturday, September 20, 2008

Fixation of Pay and Date of Increment on Promotion

Fixation of Pay and DNI on Promotion

In light of (F.No: 1/1/2008-IC dated 13.9.08) clarification, the common option under Rule 5 of CCS Revised Pay Rules 2008 for 6CPC Pay fixation as well as pay fixation for ACP/Promotion is not warranted now.
Those who get ACP/Promotion will have the option of getting their 6CPC pay fixed on 1.1.2006 or on the date of their pre-revised increment based on the option exercised by them under Rule 6 of CCS Revised Pay Rules 2008. Afterwards, for the purpose of fixing the Pay on account of ACP/Promotion they can exercise one more option under FR 22 (I) (a) (1) to get his pay fixed in the higher post either from the date of his promotion, or from the date of his next increment, viz., July of the year.
Now, let’s see the method to be adopted in these two options
Option 1 : Pay Fixation from the date of next increment:
On the date of promotion pay in the pay band shall continue unchanged, but the grade pay of the higher post will be granted. Further re-fixation will be done on the date of his next increment ie. 1st July. On that day he will be granted two increments; one annual increment and the second on account of promotion.
Option 2: Pay fixation on the date of promotion/ACP
The increment on account of promotion will be granted on the day of promotion, but the employee has to wait for another 12 months to get his annul increment. In other words, he shall get his first annual increment in the higher grade on the next 1st July, if he was promoted between 2nd July and 1st January. If he was promoted between 2nd January and 30th June of the particular year, he shall get his increment on 1st July of the next year.
Comparison of Options:
Those who get their promotion between 2nd Jan and 30th June will get the additional benefit of one annual increment in the ACP/Promotion year itself, if they opt to defer their pay fixation for promotion to next grade to 1st July of the year at the loss of fixation benefit from promotion month to July of that year. This onetime loss will be very minimal while comparing long term benefit we get out of addition of one more increment in the year. Anyway, this onetime loss has also been minimized by the Govt to the extent possible as the grade pay gets revised on the date of ACP/Promotion though we prefer to defer it to July.
On the contrary, for those who get the their promotion between 2nd July and 1st January, deferring their pay fixation to next July will not fetch any additional benefit as they will earn their annual increment prior to their promotion in July during that year. So they can opt for fixing the pay on their regular date of promotion which would fetch them an additional increment in the same year.
We feel that this comparison will be applicable only to straight cases and may tend to vary in special cases.

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