Ministry Of Finance
(Department of Expenditure)
RESOLUTION
New Delhi, the 28th Febraury, 2014
No.1/1/2013-E.III(A)— The Government of India have decided to appoint the Seventh Central Pay Commission comprising the following:
1.Chairman – Justice Shri Ashok kumar Mathur
2.Member – Shri Vivek Rae
3.Member – Dr. Rathin Roy
4.Secretary – Smt. Meena Agarwal
2. The terms of reference of the commission will be as follows:
a) To examine, review, evolve and recommend changes that are desirable and feasible regarding the principles that should govern the emoluments structure including pay,
allowances and other facilities/benefits, in cash or kind, having
regard to rationalization and simplification therein as well as the
specialized needs of various Departments, agencies and services, in
respect of the following categories of employees:-
- i. Central Government employees-industrial and non-industrial;
- ii. Personnel belonging to the All India Services;
- iii. Personnel of the Union Territories;
- iv. Officers and employees of the Indian Audit and Accounts Department;
- v. Members of regulatory bodies (excluding the Reserve Bank of India) set up under Acts of Parliament; and
- vi. Officers and employees of the Supreme Court.
b) To examine, review, evolve and recommend changes that are
desirable and feasible regarding principles that should govern the
emoluments structure, concessions and facilities/benefits, in cash or
kind, as well as retirement benefits of personnel belonging to the
Defence Forces, having regard to historical and traditional parities,
with due emphasis on aspects unique to these personnel.
c) To work out the framework for an emoluments structure linked with
the need to attract the most suitable talent to Government service,
promote efficiency, accountability and responsibility in the work
culture, and foster excellence in the public governance system to
respond to complex challenges of modern administration and rapid
political, social, economic and technological changes, with due regard
to expectations of stakeholders, and to recommend appropriate training
and capacity building through a competency based framework.
d) To examine the existing schemes of payment of bonus, keeping in view, among other things, its bearing upon performance and productivity
and make recommendations on the general principles, financial
parameters and conditions for an appropriate incentive scheme to reward
excellence in productivity, performance and integrity.
e) To review the variety of existing allowances presently available to employees in addition to pay and suggest their rationalization and simplification, with a view to ensuring that the pay structure is so designed as to take these into account.
f) To examine the principles which should govern the structure of
pension and other retirement benefits, including revision of pension in
the case of employees who have retired prior to the date of effect of
these recommendations, keeping in view that retirement benefits of all
Central Government employees appointed on and after 01.01.2004 are
covered by the New Pension Scheme (NPS).
g) To make recommendations on the above, keeping in view:
- i. the economic conditions in the country and need for fiscal prudence;
- ii. the need to ensure that adequate resources are available for developmental expenditures and welfare measures;
- iii. the likely impact of the recommendations on the finances of the
State Governments, which usually adopt the recommendations with some
modifications;
- iv. the prevailing emolument structure and retirement benefits available to employees of Central Public Sector Undertakings; and
- v. the best global practices and their adaptability and relevance in Indian conditions.
- h) To recommend the date of effect of its recommendations on all the above.
3. The Commission will devise its own procedure and may appoint such
advisors, Institutional Consultants and Experts, as it necessary for any
particular purpose. It may call for such information and take such
evidence, as it may consider necessary. Ministries and Departments of
Government of India shall furnish such information and documents and
other assistance as may be required by the commission. The government of
India trusts the State Governments, Service Associations and other
concerned will extend to the Commission their fullest cooperation and
assistance.
4. The Commission will have Headquarters in Delhi.
5. The Commission will make its recommendations within 18 months of
the date of its constitution. It may consider, if necessary, sending
interim reports on any of the matters as and when the recommendations
are finalised.
.
RATAN P. WATAL, Secy
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