Demand Survey for CGEPHI Scheme

Demand Survey for Central Government Employees & Pensioners Health Insurance Scheme.

Subsistence Allowance on Revised Pay

Decisions of Supreme Court on Subsistence Allowance for Suspended Employees

The Supreme Court has ruled that a government employee under suspension is not entitled to subsistence allowance on the basis of a revised pay scale if the disciplinary action against him or her has been taken before the revision.

A bench of Justices R V Raveendran and K S Radhakrishnan in a judgement said the suspended employee is entitled to subsistence allowance on the basis of a revised pay scale if the suspension had taken after the revision.

Interpreting rule Note 3 to Rule 7 of the Revised Pay Rules and FR 53(1)(ii)(a) and Office Memorandum dated 27th, the apex court said the rule is clear that if the revision of pay takes effect from a date prior to the date of suspension of a government servant then he/she would be entitled to benefit of increment in pay and in the subsistence allowance for the period of suspension.

"But if the revision of scale of pay takes effect from a date falling within the period of suspension then the benefit of revision of pay and the subsistence allowances will accrue to him only after reinstatement depending on the fact whether the period of suspension is treated as duty or not," Justice Radhakrishnan writing the judgement said.

The apex court passed the judgement while upholding an appeal filed by the Centre challenging the directions passed by the Central Administrative Tribunal and the Delhi High Court to pay subsistence allowance to R K Chopa, a suspended employee of the Ministry of Commerce and Industries.

source-PTI

DA Hike by 8% w.e .from 01-01-2010

Dearness Allowance Hike by 8% from 01-01-2010

As per Consumer Price Index the DA rate comes to 35.70% at the end of December-2009.

Cash Handling norms for GDSBPM

The case filed by NUGDS Genl.Secy Shri.P.U.Muralidharan regarding un-scientific revision of norms for cash handling issued by Dept.Of.Posts was stayed by CAT Ernakulam Bench (OA : 76/2010)

source-fnpo

All existing EDSOs will be abolished

As per Dte. orders, All existing EDSOs will be downgraded as BOs or up-graded as dept. SOs before 28.2.2010 as there is no much distinction between the functioning of the EDSOs and BOs

Anomaly Commiittee - Items for Discussion

The Department of Post proposes to hold the anomaly committee in the 1st week of February(05-02-2010)

List of Agenda items for Discussion in the Anomaly committee meeting of the
Department of Posts:

1. Placement of TBOP/BCR PA/SA at lower level in comparison to same cadre in
Telecom
2. Denial of Higher Pay scale and also denial of special allowance of PO&RMS
Accountants for fixation of pay on promotion
3. Anomaly of omission of grant of PB2 to Postal Machine Assistants renamed as
Technical Postal Assistants.
4. Head Mailman- disturbance of relativity with Postman/Mail Guard following 5th CPC
5.Charge Hand- Placement of charge hand in PB 2 rather than its merger with Artisan Grade I
6. Artisan Grade I - Common cadre including Railways and Defence - Parity from 1.1.1996
7. Data Entry operators- Lower placement than other Central Government Departments
8. Cash Handling Allowance to PO & RMS Treasurer - allowing allowance at par with cashiers in administrative offices.
9. Sorter in DAP_ relativity disturbance from 5th CPC compared to Postman Cadre
10. Grant of Supervisory allowance to LSG/HSGII/HSGI supervisors- non grant of
graded supervisory allowance
11.Anomaly in connection with revision of pay scale of BCR Group D (now multi skilled Group C) - non grant of PB-1 with grade pay of Rs.1900/-
12. Supervisory Allowance for Head Postman/Overseer Postman
13. TA/DA to Mail Overseer
14. Higher pay scale to PA/SA Supervisory Posts.
15. Anomaly in pay fixation of Stenographers
16.Grant of pay scale to drivers equal with Postal Assistants (reference in accordance with judgment of High court of Madras)

Income Tax Exemption limit may increase next F.Y.

Income Tax Exemption limit for individuals may increase

Government is exploring an increase in the income-tax exemption limit for individuals to compensate for the high recent inflation, but revenue considerations and the fact that the limit was hiked sharply in 2008-09 could force it to maintain status quo or give just a token hike. The proposal has figured in the preliminary discussions , as the policymakers debate ways to give some relief to households from high inflation. Retail inflation, as measured by the consumer price index for industrial workers, was 13.5% in November 2009. A decision is likely over the next three weeks as the budget-making process gathers pace.
“It (the decision) will depend on the revenue considerations that are weighing high on the policymakers as the government is under pressure to signal its return to fiscal consolidation, a government official told ET.
“In general, the trend is to give general relief to taxpayers and a marginal hike is unlikely to have any significant impact on the finances ofthe government especially if it is looking at hiking excise duty and service tax rates,” said D K Joshi, principal economist at rating agency CRISIL.
The government had substantially hiked the exemption limit in the budget 2008-09 and a given a token Rs 10,000 hike in the final budget for 2009-10 , after the United Progressive Alliance came back to power in 2009 elections.
Over the four years to fiscal 2009-10 , the exemption limit has risen at a compounded average growth rate of 12.5%, well ahead of the inflation in this period but less than the current inflation. Food inflation is running at over 18% right now.
“Keeping in view the high inflation, there are expectations from the FM to increase the slabs and provide some more income in the hands of people as economic relief… slab rates require a complete re-look as the basic threshold is very low and basic tax rate get triggered at a very low income level in comparison with global practices,” said Vikas Vasal, partner, KPMG.
The new draft direct taxes code, which is also being given finishing touches with the government looking to introduce it in the budget session, proposes to exempt an individual from paying income tax if his income is upto Rs 1,60,000 a year.
Any income in excess of Rs 1.6 lakh and up to Rs 10 lakh would attract a rate of 10%. Besides, the code also proposes to raise investment limit to Rs 3 lakh from current Rs 1 lakh.
There is also thinking that since the new code proposes to include all perks, including that of government employees in the total income, theexemption limit needs to be raised and this budget may be an opportune time to at least indicate the government intent in that direction, officials said.