IDA ROM JULY 2016

IDA FROM JULY 2016: 2.4% INCREASE

30/06

Labour Bureau of India has released the Consumer Price Index for May 2016:

It is 275 points.

With this, the IDA rate from July 2016 is assessed as 114.8%.

From January 2016 it continues as 112.4%.

Hence, the increase from July 2016 is 2.4%.

IT IS HISTORIC; BECAUSE IT IS THE LOWEST EVER

30/06

The Government of India has finally taken a decision on Seventh CPC report. It has rejected all the proposals from the Empowered Committee and accepted the CPC report almost in toto.

Minimum pay for Group D will be Rs 18000, not 23400 as propagated. A Group D is getting Rs 7000 as minimum pay + Rs 8750 as CDA now.So, the net increase is only Rs 2250.00.

If you multiply the existing pay by 2.57 you will get new basic pay.

Same multiplication factor of 2.57 is applied for pensioners.There is no difference between serving staff and pensioners.

Immediately the pension will be revised multiplying by 2.57. In other words;

Present basic pension: Rs 100 plus Present DA : Rs 125

New basic pension: Rs 257.00 + 0% DA: Net increase is 32 % of existing basic pension.

CPC suggested another method to revise pension giving weightage to increments earned in the scale at the time of retirement. It is something like OROP (One Rank One Pension). Government will constitute a committee to study if this method is feasible or not. Pensioners have to wait for another 4 months to see the Committee’s recommendations.

IN SHORT, the Government has not given anything extra to the employees and pensioners.

Fifth CPC suggested 20% increase to employees and pensioners. The Gujral Government increased it to 40% then. SixthCPC suggested 40% increase in pension and gave Grade Pay to serving staff, which is something about 54%. Government accepted that recommendation.

This is the lowest increase ever given by any CPC. It is most disappointing.

And, Mr Arun Jaiteley, the Finance Minister says it is HISTORIC.

It is HISTORIC because it is the lowest.