Thursday, January 14, 2016

7th Pay Commission – Allowances are set to increase by 63%

7th Pay Commission – Allowances are set to increase by 63%

7th Pay Commission – Allowances are set to increase by 63%, Please read this news paper report published in English Daily:-
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14 postal-services causing heavy loss to India Post

It refers to RTI response revealing fourteen postal-services causing extra-ordinary heavy loss to postal-department with many of some services not being much used. A post-card worth just 50 paise costs rupees 7.18 to postal-department while not-so-much used and outdated Inland-Letter-Card priced at rupees 2.50 also costs department rupees 7.18. Significantly postal-department bears maximum loss on mailing registered newspapers at just 25 paise but costing the department rupees 10.59.With 25-coins discontinued and 50-paise coins virtually disappeared from circulation, minimum postal-tariff should be rupee one especially at a time when even beggars refuse to accept coins below rupee one.

Postal-department should discontinue Inland-Letter-Cards, and should have only sponsored ?Meghdoot? post-cards priced at rupee one with a part of subsidised cost coming from those having advertisements on the sponsored post-cards. An ordinary commoner may be using just one or two post-cards a month, but the heavy subsidy-bill costs much more indirectly in terms of fiscal-deficit or additional taxes on other commodities to meet heavy postal-subsidy.

All inland postal-tariffs (other than post cards and registered newspapers) including Speed Post tariffs should be fixed in multiples of rupees five while foreign-mail tariffs in multiples of rupees 20. Department of Post should approach Department of Revenue with plea to treat all postal-services equally in regard of levying service tax by abolishing service-tax on select postal-services like Speed Post.

Air and Surface (sea) mail tariffs for foreign mail should be fixed independently for equal tariff-rise for every 20 gms additional weight-slab for air-mail tariffs abolishing present system of levying air-surcharge on surface (sea) mail tariffs.

Likewise Surface (sea) mail tariffs for foreign mail can be fixed for equal tariff-rise for every 20 gms additional weight-slab. All this will enable postal-department issuing commemorative stamps only in two denominations of rupees five and twenty.

source :

Special Cover honouring Padma Vibhusan Dr. D. Veerendra Heggade – 6th January 2016.

Dr. D. Veerendra Heggade (b. November 25, 1948) is a philanthropist and the hereditary administrator of the Dharmasthala Temple. He succeeded to the post of Dharmadhikari at the age of 20 becoming the 21st Dharmadhikari of Dharmasthala Temple. In less than four decades, since he assumed responsibilities in 1968, he has carried his heritage to greater heights. Not only by continuing to protect the essence of the Kshetra, but also by achieving remarkable progress in his service to mankind. Considering the magnanimous service rendered by Dr. D. Veerendra Heggade to mankind, several organizations, Universities, Government Bodies have honored him with awards. Dr. Heggade has also been honoured with the Padma Bhushan and the Padma Vibhushan award, India's third and second highest civilian awards.

A Special Cover in honour of Dr. D. Veerendra Heggadeji on he being conferred the prestigious Padma Vibhushan for his outstanding yeoman service in the field of Spirituality, Education, Health and Rural development was released by Shri Manohar Parrikar, Hon'ble Defence Minister of India and Shri B. Sarangi Postmaster General N. K. Region, Dharwad at a function held at Dharwad on 6th January 2016 (Special Cover approval no. KTK/2/2016). Shri Prahlad Joshi, Hon'ble Member of Parliament, Dharwad and other dignitaries were also present on the occasion. Function was jointly organized by Sanskaar English Medium School and Lions Club of Hubli Pariwar. Lions President Mahaveer Kundur was instrumental in release of this special cover.

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7th Pay Commission pay scale report: Top 7 points to know

7th Pay Commission on pay and pension: Once the recommendations of the 7th Pay Commission are implemented, the biggest gainers will be pensioners. While the 7th Pay Commission pay scale increase of serving employees is 16%, pensioners will see a 23.63% rise. However, the big gain per se is in allowances, which rise by as much as 63%. 

Here we will elaborate on the 7th Pay Commission pension recommendations: 

1. The 7th Pay Commission report has determined the initial starting salary at the lowest entry point in government at Rs 18,000, when the comparable wage for a helper in the private sector would be only about Rs 9,000 to Rs 11,000 per month. Currently, in the government, this employee gets about Rs 15,750, including dearness allowance. In other words, if the proposals are accepted, with effect from the new year, the increase in emoluments at the lowest level in the government will be a minimum of 14.2%. 

2. The figure of Rs 18,000 has been determined after considering the minimum nutritional, clothing, fuel, recreational and housing requirements for a family of four. The 7th Pay Commission pay scale report has, by and large, followed the methodology approved by 15th Indian Labour Commission. Its approach is based on the idealistic notion that the government should set standards by being an ideal employer. 

3. The 7th Pay Commission pay scale report then divides the proposed new minimum basic pay by the existing basic salary of Rs 7,000 to determine a factor of 2.57. With some small modifications, this is applied across the board to determine salaries all along the hierarchy comprising fifteen levels in all. 

4. At the apex level of secretary to the government, this The 7th Pay Commission pay scale report multiplier is 2.81. The salary at this level will thus increase from the existing Rs 80,000 per month (Rs 1,78,000 with dearness allowance) to Rs 2,25,000 per month. (Reuters photo)
5. Along with increase in pensions of 23.66%, The 7th Pay Commission report proposals will require an additional outlay of Rs 1,02,100 crore per annum (0.65% of GDP). 7th Pay Commission is confident that the government will be able to absorb this expenditure without straining the fisc. 

6. It is worthwhile also to examine the opportunity cost of this 7th Pay Commission report expenditure and its overall effect on the economy; 89% of the persons employed by the central government, admits the 7th Pay Commission, belong to Group ‘C’ where functions are clerical; 8% of the personnel belong to Group ‘B’ where responsibilities tend to relate to first level supervision of clerical cadres or day-to-day implementation of policies and rules. This leaves just three 3% Group ‘A personnel’ whose responsibilities are either managerial or relate to policy formulation or evaluation. The bulk of the expenditure of Rs 1.02 lakh crore thus relates to augmenting the salaries and allowances of Group ‘C’ employees where the value added to decision-making is minimal. Increasing their pay and allowances further, in economic terms, means only increasing the subsidy to a privileged segment of the population. 

7. On the other hand, the 3% Group ‘A’ employees—particularly at the top echelons—are being paid much below the market wage, that is, they would earn much more were they to carry out comparable functions outside the government. Even after the 7th Pay Commission recommendations, a secretary to the government, would get only Rs 2,25,000 per month. Even a middle-level executive in a multi-national corporation would be earning a higher salary than this. 

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New proforma for Departmental compassionate cases

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Government sets up panel to study 7th Pay Commission’s recommendations

Constitution of an Empowered Committee of Secretaries to process the recommendations of the 7th Central Pay Commission

Press Information Bureau
Government of India
Ministry of Finance

Constitution of an Empowered Committee of Secretaries to process the recommendations of the 7th Central Pay Commission

The Union Cabinet, chaired by the Prime Minister Shri Narendra Modi, has given its approval for setting up an Empowered Committee of Secretaries under the Chairmanship of Cabinet Secretary, in order to process the recommendations of 7th Central Pay Commission (CPC) in an overall perspective.

The Empowered Committee of Secretaries will function as a Screening Committee to process the recommendations with regard to all relevant factors of the 7th CPC in an expeditious detailed and holistic fashion.


New mail id of CPC, Hyderabad

New mail id is created for CPC, Hyderabad (CBS). In future all mails are to be sent to new mail id only. New mail id is: Extract of e-mail received from CPC:

GPS-enabled vehicles for Postal Delivery in DLF Phase I

The Gurgaon postal department has in a pilot project deployed nearly a dozen, GPS-enabled vehicles, including six rented e-bikes, for postal delivery in DLF Phase I.

The rented e-bikes will have an average running cost of just Rs1.5 a km inclusive of electricity and maintenance. "This initiative has been taken in support of a pollution-free environment," said Umesh Verma, post-master general. "Besides, it will also help in speedy and prompt delivery of mail."

Most postmen in India are provided bicycles, or even have to foot it out to deliver letters and packets. The deployment of e-bikes will transform the delivery system, speeding up postal services.

The postal department is facing stiff competition from private courier operators most of whose representatives deliver packages on two-wheelers.

7th pay commission hike may be delayed: Deccan Herald reports

New Delhi, Jan 14, 2016, 
Parliamentary Affairs Minister M Venkaiah Naidu

The Union Cabinet on Wednesday approved setting up of a panel of secretaries to process the recommendations of the 7th Pay Commission, implying that implementation of new pay grades will be delayed further. 

The government had promised to implement it from January 2016. The commission had recommended a 23.55 per cent hike in government salaries last year which will pose a financial burden of Rs 1.02 lakh crore or 0.65 per cent of the GDP 

Briefing reporters after the cabinet meeting, Parliamentary Affairs Minister M Venkaiah Naidu said the panel will be headed by cabinet secretary. 

“The Empowered Committee of Secretaries will function as a Screening Committee to process the recommendations with regard to all relevant factors of the 7th CPC in an expeditious detailed and holistic fashion,” he said. 

The commission’s awards are expected to put a burden of Rs 74,000 crore on the general budget and Rs 28,000 crore on the railways budget. 

Read more at:

Postal department officials suspended for not delivering Ramvilas Paswan's New Year cards

Three postal department officials, including the postmaster of the main post office of Hajipur have been suspended for non-delivery of New Year greeting cards send by Union Minister Ramvilas Paswan to the people of his Hajipur Lok Sabha constituency.

Acting on the complaint of LJP workers and others that greeting cards send by the Minister was found abandoned on the third floor of the district bar council building, Superintendent of Post Umesh Chand Prasad ordered suspension of the three officials.

Those suspended included postmaster of Hajipur main post office Lallan Ram, Public Relations Officer Raj Kumar Shrivastava and postman Deonarayan Mahto, Prasad told PTI today.

Prasad said he received a complaint that more than 450 greeting cards were found strewn on the third floor of the district bar council building and preliminary inquiry found the complaint was true.

Hence, action was taken, the Superintendent of Post said.

He said arrangements were being made to distribute the greeting cards to the persons concerned at the earliest.

A detailed probe was on in this connection and if involvement of more officials come to light, action would be taken against them, Prasad said.

Source:-The Economic Times

Raising of Bonus Payment Ceiling to the Central Government Employees

Raising of Bonus Payment Ceiling to the Central Government Employees: National Council (Staff Side) (JCM) addressed to the Secretary Department of Expenditure, Government of India.

Ph.: 23382286
National Council (Staff Side)
Joint Consultative Machinery
For Central Government Employees
13-C, Ferozshah Road New Delhi – 110001
E Mail : 
Shiva Gopal Mishra
No. NC-JCM-2015/S.C 
January 11,2015 
The Secretary
Government of India
Department of Expenditure
North Block, New Delhi- 110 001 
Subject: – Raising of Bonus Payment Ceiling to the Central Government Employees.
Reference: – The payment of Bonus (Amendment) Bill 2015. 
The Payment of Bonus (Amendment) Bill 2015 was passed by both the houses of the Parliament. The amendment provides that the existing Ceiling limit of Bonus for 30 days Rs. 3,500/- is enhanced to Rs. 7,000/- for 30 days. This amendment will take effect from 01.04.2014 (A copy of the Bill passed in the Parliament is enclosed for your kind ready reference). 

You are aware that any change in Bonus Act would be an indicator while deciding the Payment of Bonus to the Central Government Employees. Accordingly, every time when Bonus Act is amended raising the payment ceiling limit, it is extended to Central Government Employees also. This issue was also raised by the Staff Side in the Standing Committee Meeting of National Council (JCM) held on 09th October, 2015. 

It is therefore requested that steps may be taken for issuing Government Orders for enhancing the Bonus Payment Ceiling limit of Central Government Employees both PLB and Adhoc Bonus to Rs. 7,000/- w.e.f 01.04.2014 and arrears of PLB and Adhoc Bonus for the year 2014-2015 may be paid to the employees. 

An earlier and favorable action is solicited. 

Thanking you, 

Yours Sincerely, 
(Shiva Gopal Mishra) 

India Post has diversified online but faces obstacles in getting youth to opt for services

Before the month ends, the Postal Department will have taken another step towards digitalisation of its services by introducing internet banking. But, it still has a long way to go before ensuring the digital generation is drawn to its services.

It has already taken several other measures, which are expected to be attractive to youngsters. Of the 2,340 post offices in the Chennai city region, 521 have been networked with core banking solutions so far. This would help customers operate their accounts or carry out transactions from any networked post office.

Though post offices have diversified into a number of services, including e-commerce and retail business, a chunk of its revenue comes from the postal savings schemes. Of the Rs. 10,730 crore earned as annual revenue last fiscal, postal savings schemes contributed to nearly Rs. 6,000 crore. And therefore, the Department has to make these schemes attractive to the youth.
Residents however complain that there are already many problems that are preventing customers from opting for postal savings services and they need to be addressed.

S. Kuppasami, a resident of Pattabiram, said he had to wait for five days before he got money after maturity of recurring deposit. Sometimes, new customers hesitate to invest due to the problem of procedural delays.

S. Rajpandian, president of Tamil Nadu Postal Agents Welfare Association, said many regular customers, including senior citizens and working professionals, take up saving schemes after they are introduced to these by agents. But now, the number of postal agents has also dwindled, and there is a need to adopt new strategies to reach out to people, especially the digital generation.

As of now, youngsters opt for schemes like national savings certificate to get tax deductions.
“Postal saving schemes provide a better interest rate than banks. But, only 30-40 per cent of the youngsters opt for saving schemes,” he said.

Following a dip in earnings from commissions, many agents have diversified into other professions.

“Only 1,000 agents still continue to promote postal schemes along with others. We expect core banking solutions to simplify the process as customers can operate or close accounts from any of the CBS post offices,” he added.

Department officials have started campaigning in schools to inculcate thrift. However, the Department is yet to gain access to manufacturing companies or IT companies for such campaigns.

Mervin Alexander, Postmaster General (Chennai City Region), said: “We write to government departments about schemes and plan to extend the campaign to college students. There has been an increase by 5 per cent in customers opting for saving schemes this year. We expect more youngsters to use post offices once internet banking is launched for, it offers a feature that will enable them to open deposit accounts and transfer money. We will take measures to rectify delays.”

Source :

Govt sets up panel on 7th Pay panel's advice

New Delhi, Jan 13 (PTI) Government today decided to set up a high-powered panel headed by Cabinet Secretary P K Sinha to process the recommendations of the 7th Pay Commission which will have bearing on the remuneration of 47 lakh central government employees and 52 lakh pensioners.

The Cabinet has approved the setting up of Empowered Committee of Secretaries to process the recommendations of 7th Pay Commission in an overall perspective, Parliamentary Affairs Minister M Venkaiah Naidu told reporters here.

The implementation of the new pay scales is estimated to put an additional burden of Rs 1.02 lakh crore on the exchequer in 2016-17. Subject to acceptance by the government, they will take effect from January 1, 2016.

The Empowered Committee of Secretaries will function as a Screening Committee to process the recommendations with regard to all relevant factors of the Commission in an expeditious detailed and holistic fashion, an official statement said.

Finance Minister Arun Jaitley had said earlier that he was not worried about fiscal deficit and government would be able to meet its target despite additional outgo on account of higher pay.

He had admitted however that the impact of implementing the recommendations, which will result in an additional annual burden of Rs 1.02 lakh crore on exchequer, would last for two to three years.

Small businesses want to use postal services, says eBay

11.01.2016 - Postal services are facing a golden opportunity in the e-commerce market, if they can offer reliable, affordable, fast and traceable cross-border delivery, according to eBay.

You've got mail (Photo: B-sides)

Stefan Krawczyk, head of eBay’s government relations team, revealed that 93 per cent of businesses using eBay in Europe engage in cross-border commerce. The majority are micro firms with fewer than 10 employees.

Efficient postal services are at the heart of the new trade model, he said. 

“Despite experiencing delivery problems, there is great willingness among small business owners to forget about the private package operators and turn to what they know best – their local post office,” Krawczyk said.

With a 20-year history, eBay is one of the longest-running online market platforms in existence.

“eBay is sitting on very rich data. We see the transactions and what people are selling and where the products are sent,” Krawczyk said.

Inclusive trade

E-commerce is the way that small businesses that would otherwise have fallen by the wayside can be included in the world economy, he explained, giving an example of a small-town Italian shoemaker, who transformed his ailing family business through online sales.

“The key to this story is that this guy’s business would have been nothing if it wasn’t for postal services. For the smaller business, it’s the Post that makes the difference – because it is there nearby and hopefully it will stay there,” Krawczyk said.

Krawczyk appealed to Posts to solve problems in cross-border parcel delivery.

“The answers are pretty easy and straightforward and there are best-case example and scenarios there to guide us. These micro-multinationals need your help.”


Between 2010 and 2014, eBay saw an increase of 48 per cent in the number of firms in the European Union (EU) selling to 15 or more countries. Almost all the EU-based firms using eBay sell to customers in four or more continents. 

“You will be surprised to see that very remote regions with low GDP and high unemployment are often the ones that have the highest density of internet-savvy sellers,” Krawczyk said, urging delegates to think of e-commerce as a tool to achieve economic development.

The complexities of exporting often lead to high failure rates among small entrepreneurs. Only 37 per cent of small sellers in the EU are still exporting on eBay after three years.

Krawczyk said it was essential for small and medium sized enterprises to be able to sell their products through mobile channels and that platforms like eBay made this possible.

“There is a whole ecosystem of small entrepreneurs and they need third-party marketplaces like us,” Krawczyk said.   

“That’s where the economy is going and that’s where the opportunities lie,” he added.

Krawczyk was speaking at a recent conference on trade facilitation at the Universal Postal Union headquarters in Berne. 


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Virajpet post office gets rail booking system

The South Western Railway has commissioned Computerised Advanced Reservation System at Virajpet post office at Virajpet in Kodagu district.
This is the 10th India Post Computerised Advanced Reservation Centre (PRS) in Mysuru division.

Working hours

The facility in South Coorg will benefit those in surrounding areas like Gonikoppal, Ammathi, Ponnampet and others, said K. Anil Kumar, Senior Divisional Commercial Manager.

The working hours of the PRS will be from 8.30 a.m. to 2.30 p.m. except on Sundays and general holidays. All transactions including tatkal bookings will be undertaken here.

In addition to normal charges, the following commission is payable per ticket: sleeper and II sitting – Rs.15; 3AC and AC chair car – Rs. 20 and other upper classes – Rs. 30, a release said.

For cancellation of reservations, in addition to normal cancellation charges, a commission of Rs. 10 per ticket will be levied.

Rajkumar Lal, Divisional Railway Manager, South Western Railway, Mysuru, said this facility would be very useful for people of South Coorg.