Showing posts with label Setting up 7th CPC. Show all posts
Showing posts with label Setting up 7th CPC. Show all posts

RATIONALE BEHIND DEMAND FOR 7TH CENTRAL PAY COMMISSION.

RATIONALE BEHIND DEMAND FOR 7TH CENTRAL PAY COMMISSION

   Due to no response from the Central Govt. to the proposal for a fruitful discussion on a 15-point charter of demands which includes revision of wages from January 01, 2011 by setting up of 7th Central Pay Commission(CPC) and Merger of 50% DA with Pay submitted to the Prime Minister   by the  Confederation of Central Government Employees and Workers on July 26, the latter has  warned of a one-day’s all India strike on December 12.

   The Confederation’s affiliated federations/unions/associations are organizing a country wide campaign to make the agitation a success. In this context, it is quite relevant to discuss the justification of formation of 7th CPC .

CAMPAIGN MATERIAL ON 15 POINT CHARTER OF DEMANDS

CAMPAIGN MATERIAL ON 15 POINT CHARTER OF DEMANDS

UNLEASH A CAMPAIGN ON 15 POINTS OF CHARTER OF DEMANDS

LAUNCH NATIONWIDE STRIKE ON 12.12.12

CONFEDERATION OF CENTRAL
GOVERNMENT EMPLOYEES AND WORKERS
Manihsinath Bhawan
A/2/95 Rajouri Garden
New Delhi. 110 027.

Dated: 20th November, 2012                      

EXPLANATORY NOTE ON DEMANDS

Item No. 1. Revision of wage with effect from. 1.01.2011.

   The present wage structure of the Central Govt. Employees has been made on the basis of the 6th Central Pay Commission's recommendations.  The 6th CPC introduced a new concept in the form of Pay band and Grade Pay.  The recommendations of the Commission were implemented with effect from 1.1.2006 in the case of Pay and in the case of allowances with effect from 1.9. 2008.  In the case of Central Public Sector undertakings, the wage revisions normally takes place after every five years.  The 5th CPC in the case of Central Government employees recommended wage revision in every 10 years.  In the past wage revision has been linked to the extent of erosion of real wages.  The degree of inflation in the economy determines the pace of erosion of the real value of wages.  The retail prices of those commodities which go into the making of minimum wages have risen by about 160% from 1.1.2006 to 1.1. 2011, whereas the D.A. compensation in the case of Central Government employees on that date had been just 51%.  It is also an acknowledged fact that the 6th CPC had computed the minimum wage by suppressing the retail price of these commodities in the market on the specious plea that official statistics of the retail prices of these commodities were not available.  They therefore, computed the retail price by increasing the wholesale price by 20% for each of the commodity whereas the actual retail price in the market was 60% more than the wholesale price.  While in the case of Group B,C & D employees, the Commission applied a multiplication factor of 1.86 for arriving at the revised pay structure, in the case of Group A Officers, the factor was ranging from 2.36 to 3 times. In the matter of fitment formula also, unlike recommended by the 5th CPC, the 6th CPC adopted varying percentages whereby the officers in Group A were given rise extending from 42 to 49%, whereas the employees in Group B,C,D were granted only 40%. While implementing the Commission's recommendations, the Government further accentuated the discrimination further. The recommendations of the 6th CPC when implemented gave rise to very many glaring anomalies. They were assured to be looked into and settled through negotiations in the JCM. The effectiveness of JCM as a potent forum to settle issues has been eroded over the years. Thus, though the National Anomaly Committee met 4-5 times, it could not settle any major issues.