Monday, January 18, 2016

CIRCULAR - 1/2016

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

Reference: AIA/Circular-01/2016                                                          Dated:  16th January 2016

Unit Secretaries,
Members & Spl. Invitees – NE &
Members of Women’s Committee

Dear Comrades,

            The National Executive Committee held on 9th January 2016 at Hyderabad endorsed the views expressed by the Confederation of Central Government Employees and Workers and also by the NJCA on the recommendations of the 7 CPC and called upon the personnel of IA&AD to join the struggles for improvements in the recommendations.

            The NE re-iterated the decision of the NJCA, endorsed by the Confederation, to demand to recalculation of the minimum wage determined by the 7 CPC, terming it arithmetically wrong and hence a fraud on the employees. The minimum wage and the fitment formula have to undergo changes as per the Dr Aykroyd formula, based on the current prices of essential commodities as prevalent in the market on 1.1.2016. The meeting adopted the 26 point charter of demands and decided to mobilise the membership and the entirety of working personnel in Indian Audit & Accounts Department in the struggle for ensuring the acceptance of the 26 point charter of demands.

            The NE meeting called up on the all the Units and the members to join enmasse in the 3 –day dharna on 19-20-21 January 2016, call for which has been given by the NJCA.

            The NJCA has decided to organise the indefinite strike in the first week of March 2016 if the government does not negotiate and settle the demands raised by the Staff Side, JCM vide its letter dated 10th December 2015 within two months. The NJCA would meet on 8thFebruary 2016 to decide the date of strike, if no negotiated settlement is arrived at by then.

            The NE meeting noted that though it is nearly two months since the submission of  the report by the 7 CPC the Government is yet to form the Empowered Committee - except a statement regarding its intention to do so no concrete measure has been initiated.
            (The government has now announced that the cabinet approval has been given for the appointment of empowered committee, though the formal notification on its constitution has not been done).

            It looks as if the government intends to dilly-dally and delay and thus deny any improvement in the recommendations of the 7 CPC which are nothing but a fraud on the employees.

            There is a need to intensify the campaign amongst the employees and officers, raising a banner of revolt on the recommendations of the 7 CPC. The anger prevalent amongst the employees should be channelised through organisational mobilisation so that more and more employees and officers join the protest actions and the indefinite strike.
            While focussing on the general recommendations of the 7 CPC on the minimum wage, fitment formula, HRA, Advances, CCL etc, we should also educate the employees and officers of the raw deal given to the IA&AD and Organised Accounts Cadres by the 7 CPC. Our Circulars 26 and 28 (of 2015) may be widely used in this regard. Our Letter to CAG on the recommendations and improvements required may also be used in the campaign.  (Copy enclosed).

            The National Executive Committee authorised the Secretariat to chalk out appropriate mobilisation programmes through visit of office-bearers to various stations. It further decided to co-ordinate with programmes chalked out Confederation.

            With greetings,
Yours fraternally

Secretary General

15/1089-90, VASUNDHARA, VASUNDHARA (P.O.), Dt. GHAZIABAD (U.P), PIN-201012
Ph: 0120-2881727/98681 45667

Reference: AIA/B-1/74/2015                                                                     Date:        3rd December 2015 

The Comptroller & Auditor General of India,
9, Deen Dayal Upadhyay Marg,
New Delhi – 110124
     Subject: Recommendations of 7 CPC and IA&AD - reg. 

I am to invite your kind attention to the recommendations of the 7 CPC. All India Audit & Accounts Association is of the considered view that the 7 CPC has let down the Central Government employees in general and Audit & Accounts cadres especially.

This Association, with a deep sense of gratitude, acknowledges the honest and sincere efforts made by the Hon’ble C & A. G of India in projecting the just demands of various cadres of IA&AD, recommending up-gradation of the scales of staff in IA & AD in his memorandum to 7th CPC.  

But the 7th CPC without analysing - critically and rationally - any aspect of the memoranda submitted by the Hon’ble CAG of India as well as the Staff Side has summarily rejected all the submissions made before it by the CAG of India (and also by the Staff Side) resulting in great disregard to the august office. This outright rejection of the demands put up by the CAG of India and the staff side has given a stunning blow to the morale of the personnel of IA&AD.

 We are sure that the Hon’ble CAG of India will make unfailing efforts in making Government understand the indignation and heart burn of the staff of IA & AD. 

It is further submitted that the C&AG of India to use his good offices to make the government understand the negation of factual positions on the part of 7 CPC with regard to grant of parity in pay scales to Senior Auditor/Accountant vis-à-vis Assistant of CSS.

We here-by submit our comments & views on the departmental issues vis-à-vis the report of the 7 CPC.
1. a) We request that the government may kindly be moved on the specific comment of the 7  CPC that the Government had never granted parity in pay scale to SA with
Assistants of CSS. This statement of 6 CPC remained to be corrected and has been repeated by 7 CPC.

This statement is factually wrong and hence totally unacceptable. In 1983, the        Government of India had vide letter from SC Mahalik, Jt. Secretary, Min. of Finance, Deptt of Expr. addressed to Shri AK Mitra, Director (Staff), O/o C&AG of India DO No 110141/1/78-EG-I, dated September 21, 1983 accepted the demand for grant of parity – to 80% of Auditor cadre. (Copy enclosed).

The 4th CPC extended the pay higher pay scale to Accountants also - OM No F.5 (32)-E.III/86-Pt.II, Ministry of Finance, Deptt of Expenditure date 12th June 1987. (Copy enclosed).

The laborious effort of the Administrative Staff College, Hyderabad in conducting work study on the then Auditor’s cadre has been given a burial by the successive pay commissions. This point may kindly be driven home.

b) The 7 CPC has rejected the demand for GP 4200, PB2 to Auditor/Accountant on the untenable ground that they are not subjected to personal interview at the time of recruitment. The fact that they have to qualify a departmental confirmatory examination for confirmation, failing which facing reversion as LDC, has been overlooked.

2) The recommendation of 6 CPC with regard to grant of GP 5400 in PB3 to all Gazetted officers remained to be implemented in the case of AAO of IA&AD and Organised Accounts.

In Chapter 11.62, vide para 18 on IA&AD the 7 CPC recommends “replacement levels for AAO, AO and SAO”. But vide Para 11.12.140 – Ministry of Defence, Organised Accounts - the report states “The Commission is therefore of the view that there is no justification for excluding officers in the organised accounting departments who are at GP 4800 from this dispensation. It therefore recommends that all officers in organised accounts cadres (in the Indian Audit and Accounts Department, Defence Accounts Department, Indian Civil Accounts Organisation, Railways, Post and
Telecommunications) who are in GP 4800 should be upgraded, on completion of four years’ service to GP 5400 (PB-2), viz., Pay level 9, in the pay matrix”.

     This may kindly be ensured that this recommendation is implemented in IA&AD without fail.

(The slight of IA&AD and thus CAG of India may please be strongly objected to).

3) The 7 CPC has also not accepted the demand for grant of higher pay scale to AOs and SAOs. The rejection of the demand by the 7 CPC is quite arbitrary and lacks logic –
rather, the 7 CPC has failed to advance any logic for refusing higher pay of GP 6600 and 7600 in PB3 to AOs and SAOs. The argument that Senior Audit/Accounts Officer is a feeder cadre for Gr A is arising from wrong understanding. The SAO, on promotion, is posted as Dy Accountant General/Dy Director on promotion, not at the level of Direct Recruitee IA&AS.

4) The same treatment has been meted out to Divisional Accountants and Divisional Accounts officers. The submissions made by the CAG of India as well as by the Staff Side has been totally ignored and rejected.

5) Apart from the rejection of the demands on pay scales that the Department and the staff side put forward, the 7 CPC has also recommended for the discontinuance of all advances – including advances for Travel, Tour etc and advances for medical treatment. The discontinuance of advances for travel and tour will have an adverse impact on the personnel of IA &AD more than any personnel of any other department.  We therefore submit that the Department may insist on continuance of all existing advances.

6) Also, the recommendation for production of bill or voucher for re-imbursement of accommodation charges and daily travelling expenses is to be waived as it was done after the implementation of 6 CPC recommendations. Self certification should be permitted disregarding the level (in the pay matrix) in which the person is placed.

7) Qualification Pay (Chapter 8.9)
On grant of additional pay/increment on passing of SAS examination also, IA&AD has been left out while there is a recommendation for Railway Accounts Staff.
The relevant portion of the report of 7 CPC is reproduced below:

“8.9.43  It is granted to Accounts staff of Indian Railways for qualifying certain examinations.

Clerks Gr.II (Accounts Clerks)/Typists on passing App-II Examination
Rs. 180 pm
Sr. Accounts Assistant/Accounts Assistant/Stock Verifier/
Typist/Stenographer on passing App-III Examination
First Year                  Rs 240
Second Year             Rs 420

8.9.44 Demands have been received to increase the allowance to four times its present value.

Analysis and Recommendations

8.9.45 Since the allowance is not indexed to DA, it is recommended to raise it by a factor of2.25. The amount will further rise by 25 percent each time DA crosses 50
percent. The nomenclature should be changed to Railway Accounts Examination Allowance.”

It may kindly be ensured that IA&AD personnel is also assured of the additional pay/increment as is recommended for Railway Accounts Staff on passing of SAS examination.

The 7 CPC is totally silent on the Qualification Pay granted to Auditor/Accountant on passing of Departmental Confirmatory examination. Grant of Qualification pay for Auditor/Accountant on passing of Departmental Confirmatory examination may also be increased on the same analogy of using the multiplication factor of 2.25 with further rise by 25% each time the DA crosses 50%.

8) On Internet Allowance, Mobile Phone Allowance & News Paper Allowance, it has been recommended by 7 CPC - “The ministries should continue dealing with these allowances on their own, subject to the ceilings notified by the Ministry of Finance from time to time. The present ceilings should, however, be raised by 25 percent and the entire amount should be paid, lump sum, to the eligible employees without the need for production of vouchers.” (Para 8.17.61). This may please be made applicable for the personnel of IA&AD also.   

It is requested that the CAG of India may take a firm stand in the Empowered Committee that may be formed to finalise the recommendations so that the ignominy faced by IA&AD and its personnel from top to bottom is rectified and higher pay scale is granted to personnel of IA&AD (and also of Organised Accounts).

We shall be submitting our comments and proposals on the general recommendations of the 7 CPC on minimum wage etc separately.

     Thanking you in anticipation,

Yours faithfully,

(M. S. Raja)
Secretary General

15/1089-90, VASUNDHARA, VASUNDHARA (P.O.), Dt. GHAZIABAD (U.P), PIN-201012
Ph: 0120-2881727/98681 45667

Reference: AIA/B-1/75/2015                                                                     5th December 2015
The Comptroller & Auditor General of India,
9, Deen Dayal Upadhyay Marg,
New Delhi – 110124
     Subject: Recommendations of 7 CPC on Minimum Pay etc - reg. 
This is in continuation to this Association’s letter AIA/B-1/74/2015 dated 3rd December 2015 on the recommendations of the 7 CPC.        

Issues specific to IA&AD has been covered in our earlier letter mentioned above. Here, we present our views and objections to the recommendations of the 7 CPC on issues such as minimum pay, fitment formula, increment, MACPS, allowances and other general issues, briefly.

1. Minimum Wage

We strongly disapprove the method of calculation of minimum wage.
1. The rates of commodities are taken from a dubious source i.e. Indian Labour Institute Shimla. Prices of commodities arrived at is 9217.99
      The website of the Agricultural Ministry gives the retail prices of various places. Even according to it the prices of commodities will come to Rs. 11,342 as on 1.11.2015.
     Secondly, the Commission has taken the average of 12 months. This is not acceptable.   It should be as on 1.1.2016 or atleast as on 1.11.2015.
    For Misc. 20% is correctly taken.  Whereas for Educational and Recreation the S.C. judgement is 25%, the CPC has reduced it to 15%. Not acceptable.
    Housing must be 7.5%. This has been taken as a lumpsum of Rs. 524 i.e. 3% similar to the exercise done by the 6th CPC.  Not acceptable.  It has to be 7.5% .
   The weightage for skilled labour has been correctly taken at 25%.

i)  If Aykroyd formula is applied correctly as agreed upon in the 15 ILC (1957) added with the 25% weightage as directed by the SC in 1992, the minimum wage would work out to Rs 20,760/- even on the fraudulent figure of 9218/-
     Adding 3% against future DA, it would become) Rs 20760+623 = Rs 21,383/-
ii) If the agricultural ministry figures are taken for computation, then 9218 would be replaced by Rs 11,342/ and the minimum wage would be Rs 25,549/- as on 1.11.2016.
                 The minimum pay needs to be corrected as above. 
2. Fitment Formula
2.57 is arrived at on the basis of an arbitrary, unscientific and hence irrational calculation of minimum wage at Rs 18,000/- . Change in minimum pay and thus a change in the fitment formula is a must.
                 The fitment formula has to be corrected based on the proposal given at 1.
                  i.e. 3.05 according to 1 (i)
and 3.65 according to 1 (ii) which is the most logical and correct one doing justice.

3. Ratio between Minimum wage and highest wage
            Highest salary: 18000:225000 i.e. 1:12.5
            If we take pay of Cabinet Secy the ratio is 1:14.  The ratio is more than even what the    6th CPC recommended.
            We demand a ratio of 1: 8

4. Multiplication Factor
            The pay scales have been constructed by applying different multiplication factor. 
While it is 2.57 for PB 1, 2.62 for PB2, 2.67 for PB 3, 2.72 for PB4 and 2.81 for Secretary level officers.
The different rates are meant to maintain the existing disparity introduced by the 6th CPC. 
The common multiplication factor should be applied – after the correcting the minimum wage calculation.

5. Increment
            The increment granted is less than 3% as per the matrix given.
For e.g., in the matrix level 1, the pay becomes 18500 after one increment instead of      18,540. This could be seen at many stages.
3% increment should be ensured to all at every level, stage.

6. HRA
HRA as per centage of pay has been reduced to 24%, 16% and 12% from the existing 30% , 20% & 15% - the CPC  has irrationally applied a multiplication factor of 0.8 at every stage which is not acceptable. The existing rates should be retained.

7. Increment on Promotion
Only one increment recommended, it should be raised to two increments (on promotion).

8. Group Insurance
            Huge hike is proposed under group insurance scheme. This is quite disproportionate.
It should be reduced to Rs 350, Rs. 750 & Rs. 1500 with insurance cover of Rs 3,50,000, Rs. 7,00,000 and Rs. 15,00,000

1. MACPS should be unambiguously on the basis of cadre hierarchy available in the respective Departments.
2. The condition of “very good’ the annual performance appraisal to be eligible for getting benefit of MACPS is not acceptable.  The eligibility criteria should be only “average” in the APR.

10. Efficiency Bar
Introduction of “Efficiency Bar” which was discarded by 5 CPC and linking future increments to earning of Very Good remark in the APR is totally reprehensible and hence not acceptable. This should not be accepted. The present status should continue.
11. Advances
All kinds of interest free advances are recommended to be abolished. This is a retrograde recommendation. All existing interest free advances such as Travel & tour advance, festival advance, cycle advance, medical advance, house building advance, natural calamity advance etc. should continue.

12. Allowances
Allowances like for Small family Allowance, Cash Handling allowance etc should continue.
     Thanking you in anticipation,

Yours faithfully,

(M. S. Raja)
Secretary General