Saturday, August 11, 2012

Circular 20-2012

Dear Comrades
Please find Circular 20 posted below, along with our proposals on cadre restructuring that has already been submitted.
with greetings
yours fraternally
M. S. Raja
Secretary General



15/1089-90, VASUNDHARA, VASUNDHARA (P.O.), Dt. GHAZIABAD (U.P), PIN-201012

Ph: 0120-2881727/4101593/ 0 – 98681 45667




Reference: AIA/Circular-20/2012                                                        Dated:  10th August 2012



Unit Secretaries,

Members & Spl. Invitees – NE &

Members of Women's Committee


Dear Comrades,


On Cadre Restructuring


Based on the detailed discussion and the conclusions there-on arrived at in the CWC meeting held at New Delhi on 27-28 July 2012, we have submitted our views on the proposed cadre-restructuring in IA&AD. Copy of the letter is placed at our blog.


The CWC concluded that there is nothing in the proposed cadre restructuring that will act as a stimulator for any section of the personnel working in the Department. We have therefore requested the administration to provide with the details of "waiting period for promotion in each cadre (upto the level of PB 4) in different offices and wings vis-à-vis the eligibility criteria as per recruitment rules" to this Association so that we can further enrich the cadre restructuring proposals with our proposals on career progression for all cadres.


Irrespective of whether administration would provide us the details or not, our units should supply the following details immediately in the given format.




Time taken for next promotion (in years)























The last promotion effected in any cadre and time span for the promotion may be given in Column 3 against each cadre.

This will enable us to give a more comprehensive proposal on the cadre restructuring – as cadre restructuring means more on fast-tracking the career advancement.


Discussion on Pay Scales


In the National Anomaly Committee meeting held in March 2011, it was agreed that item No 28 – on the pay scales of Audit & Accounts cadres – discussion would be held outside the anomaly committee (as the item included the pay scale of Gazetted cadre –AAO).


The meeting, after much deferment, was held on 30th July 2012. Coms SK Vyas, KKN Kutty, MS Raja and T Satyanarayana represented the staff side. Joint Secretaries of DOPT as well as Deptt of Expenditure were present.


The staff side pointed out that in case of pay scale of Auditor/Accountant, the recommendation of SCPC has not been implemented, where as in the case of Senior Auditor/Accountant the conclusion of pay commission that parity was never accepted by the government itself is wrong on the basis of facts. It was also pointed out that SCPC had recommended that as the pay scale of SO is upgraded, the AAO has to be given the next higher pay scale. The government resolution stated that 'the post of SO and AAO are merged as recommended by the Pay Commission'. The staff side pointed out that this is totally misrepresentation of facts.


(The Pay Commission had actually stated that AAO and AO should be merged, though we cannot agree with that and our demand is that AO should be granted GP of 6600).


The official side agreed to call for comments from IA&AD and hold another meeting where the officials from IA&AD would also be present. 


The record note of discussion is attached. Units may please translate it to local language and circulate amongst the employees.




In Circular 19, it was stated that the 'proposed date of the conference is from 11th March to 14th March 2012.' It may kindly read as 11th March to 14 March 2013. The error is regretted.


With greetings

Yours fraternally





Secretary General







15/1089-90, VASUNDHARA, VASUNDHARA (P.O.), Dt. GHAZIABAD (U.P), PIN-201012

Ph: 0120-2881727/4101593/ 0 – 98681 45667





8th August 2012



The Comptroller & Auditor General of India,

9, Deen Dayal Upadhyay Marg,

New Delhi – 110124



Subject: Proposed Restructuring of cadres – reg.





At the outset I express our gratitude for arranging a separate briefing on the proposed restructuring of cadres to the Secretary General of this Federation who couldn't make it to the 6th June 2012 meeting on the subject because of indisposition.


This Association is of the considered view that, whatever may be the constraints, the department should have abided by the standing instructions of the DOPT that for the purpose of restructuring of cadres a committee be formed with representation to the staff Associations.


This Association is of the firm opinion that cadre restructuring which does not consider the aspirations – on career progression as well as higher pay scales - of the majority of the personnel working in the Department cannot be accepted.


As the proposals acutely fall short of expectations of the majority of the personnel of IA&AD, this Association requests that details of waiting period for promotion in each cadre (upto the level of PB 4) in different offices and wings vis-à-vis the eligibility criteria as per recruitment rules may kindly be provided to this Association to enable us to submit a comprehensive proposal.


It is, therefore, requested that the proposals may kindly be revisited accommodating the views of the staff side giving expression to the aspirations and expectations of the majority of personnel. It is further requested that without taking into account the reservation/views expressed by the staff side and without arriving at a consensus through continued discussions with staff side the cadre restructuring may not be finalised. 


            Pending availability of detailed inputs to give a comprehensive view on how/what the cadre restructuring in IA&AD should be, we are submitting our views on the basis of the briefing on the cadre restructuring (Annexure I). This Association would be making further detailed submission on the career progression of different cadres once the details as requested above (para 4) is provided to this Association.


Thanking you in anticipation,


Yours faithfully,




(M. S. Raja)

Secretary General











            It is nearly three decades since cadre restructuring was effected in Indian Audit & Accounts Department. The process that was set in motion in 1982-83 was finally concluded when the Manual of Instructions on Restructuring (MIR) was issued in December 1983 and options or preferences were called for from every existing personnel, excluding Gr A.


            Thus came into being two distinct functional offices vis. O/o Accountant General (A&E) (which the MIR terms as parent office) and O/o Accountant General (Audit). The restructuring was implemented with effect from 01.03.1984.


            The restructuring took place in two cadres – Auditors and Section officers – even though all other cadres were per force had to exercise option to be in the parent office or in the newly created office – as far as the offices of Accountants General are concerned. In the separate audit offices it was a straight jacket affair.


            80% of the posts in the cadre of Auditor (330-560) was functionally upgraded and granted the pay scale of 425-800, at par with Assistants in CSS and was designated as Senior Auditor. The cadre Section Officer (500-900) was similarly restructured into Section officer (20%) and Assistant Audit Officer (80%) with pay of 650-1040 (Gazetted). The higher, functional scales were available only in the newly created offices of Accountant General (Audit) and all separate audit offices. The pay scale in the offices of Accountant General (A&E) continued at 330-560 for (newly designated) Accountants and 500-900 for Section Officers.


            The Fourth CPC recommended the same pay scale for Senior Auditors and Assistants in CSS ie 1400-2600. It further recommended restoration of the 'broad parity that existed between audit and accounts'. Govt of India accepted this recommendation wide OM dated 12th June 1987 extended the same pay scale for Accounts staff (of IA&AD and organised Accounts) with effect from ie 1400-2600 for Senior Accountants (80%) and 1640-2900 for Assistant Accounts Officers.


            The main thrust of the restructuring of cadres of 1984 was that it gave a much sought after upgradation of pay scale as well as a movement to the cadres which otherwise were stagnating at the entry stage itself.


            Even today, the same pattern is continued in IA&AD. Though the pay scale of Assistants is continuously being raised after the audit and accounts staff attains parity is a pernicious act that demoralises the entirety of IA&AD personnel.   The auditor/accountant onwards expect that the cadre restructuring would address one of basic issues ie parity with Assistants in CSS (maintaining vertical relativity) would be addressed through the cadre restructuring.


Cadre Restructuring in other Departments


During this three decade span, every other govt departments had two or three cadre restructuring. For example, CBDT had two cadres restructuring in 2000 and second one in 2012. Similarly Department of Post had one cadre restructuring in 1990s and second one is in the final stages of being finalised. Department of Space as well as Department of Atomic Energy are on the final stages of finalising second cadre restructuring during the last 25 years. In the ministry of Railways every 10 years, cadre restructuring takes place. In the case of CSS second cadre restructuring was effected in 2008, within five years of 1st cadre restructuring. In all these departments and Ministries, the majority employees' expectations are addressed to a great extent.






            It is unsure whether the proposals can be called 'proposals on cadre restructuring' as such, as there is no proposal on restructuring of any of the Gr C & B  cadres – except that of creation of a post of Audit Manager in Gr B gazetted. The proposals are far away from the core concern of the majority of the personnel in the department – ie higher grade pay for auditor/accountant, Sr AO/Sr Acctt. and of AAOs. Even the demand for Gr A status for SAO has been ignored and a pittance is offered in compensation against the demand and expectation of granting grade pay of 6600 to SAOs.


            The All India Audit & Accounts Association considered the proposals from the administration in details. The conclusions are as given below.


1.         The field formation of IA&AD should also have the same structure as available at HQr office – with senior most PAG/DGA being in charge of administration – other PAG/AG/PDA being heads of functional wings. Also, future recruitments will have to be in a single/common cadre. This will allow man power flexibility.


2          The different nomenclatures such as (Sr) Auditor/Accountant, Asstt Audit/Accounts Officer, (Sr) Audit/Accounts Officer may be changed into a common nomenclature ie (Sr) Auditor, Asstt Audit Officer, (Sr) Audit officer, irrespective of wings.


3,         The erstwhile record keeper may be de-merged from MTS and may be granted GP of 1900.


4.         The cadre of LDC may be upgraded to GP of 2400 and re-designated as Audit Assistant. Existing LDCs may be promoted as Auditor (Accountant) as a onetime measure.


5.         Other cadres may be granted the following GPs


Auditor/Accountant – GP 4200,

    SA –  GP 4600,

AAO –  GP 4800 & GP 5400 (PB2) on completion of 4 years,

   AO –  GP 6600

 SAO -   GP 7600


6.         Recruitment in all cadres should be done locally. The projected staff strength of 117000 and the proposal to recruit 20000 personnel by 2020 does not match. Recruitment of 20000 personnel by 2020 would not improve the PIP in the department, as the rate of retirement is at a higher range and will continue to be so in the next 7-8 years. Net result will be that even in 2020, the department will be with the same number of personnel as is now.


7.         Therefore, there is a need to increase the number of recruitment in the base cadre of Auditor(Accountant) and the rate of retention would be higher only if we resort to local recruitment, if needed by coming out of SSC. SSC had proved over the years that they are incapable of providing enough hands of the state with the result that not even 50% of allotted candidates report for joining and more than 50% of those joined the department leaving the job.


8.         Further, SA may be classified as Gr B non-gazetted subject to that JCM facility would be available to SA; otherwise it may be reverted back to Gr C.



9.         On the proposals made by Administration


            Without prejudice to the above proposals from our side, we here-by give our views on the proposals from the administration.


            Item wise response is given below:


            i) Creation of Audit Manager:

We re-iterate our stand that AOs be granted GP of 6600 & SAO, the GP of 7600  with Gr A status.

At present there are many offices, where under the 10% quota of Audit Manager none of the existing SAOs will be benefited. The conditions of 7 years as SAO and age restriction of 55 years are detrimental. This will have to be looked into and resolved. 


ii)  AAO – introduction of All India cadre & two channels of promotion

This proposal will create functional difficulties as well as heartburns amongst AAOs at ground level. There should not be two set of AAOs working in the same office. 


The option can be exercised at a later stage of all India posting on promotion. If the requirement is to get more hands inducted into IA&AS, the scheme of conducting special exam (as was done in mid 1990s) may be re-introduced. 


            iii)  SAS Exam.

We are of the view that present system of wing/function-wise exam should continue. Or, it should be a common SAS exam for the entire department.


            iv) Supervisor

The recent circular (re-iterated in the proposals on cadre restructuring) fixing the Strength of Supervisor as 4% of AAO cadre is quite inadequate and it may be upwardly revised to 20% of the AAO cadre. This Federation has already submitted how the scheme is operated in Organised Accounts.


            v) Change of designation


            The proposal is to change the designation of SA to Audit/Accounts Assistant.


It was in the memorandum to the 3rd CPC in 1972, the then CAG stated that the designation of the then UDC is changed into Auditor so as to give weightage to the demand for parity in pay scale with Assistant in CSS. Any change to Audit/Accounts Assistant would weaken our position.

Any change as proposed would be detrimental to the interest of the cadre. Our view on the subject is already stated at 2.


            vi) Direct recruitment in the SA cadre


Senior Auditor/Accountant posts (not cadre) were created as a result of cadre restructuring with effect from 1.3.1984. The proposal to convert the post of SA to cadre with element of direct recruitment would tantamount to doing away with the restructuring of cadres of 1984.


As per the restructuring of cadres of 1984, IA&AD stood gained as 80% posts in Auditor cadre was upgraded. That position may not be reversed. Direct recruitment in SA cadre may not be introduced.