7th Pay revision of Employees following CDA pat-tern in Central Public Sector Enterprises (CPSEs)
Government of India
Ministry of Heavy Industries & Public Enterprises
Department of Public Enterprises
Public Enterprises Bhawan,
Block No.14, CGO Complex, Lodhi Road,
New Delhi-110003. Dated, the 17th August, 2017
Subject: Pay revision of employees following CDA pat-tern in Central Public Sector Enterprises (CPSEs) -reg.
On the recommendations of the High Power Pay Committee (HPPC), and the Supreme Court’s Judgment dated 03.05.1990 in CMP No. 10864/1989, DPE had issued OM No. 2(43)/90-DPE (WC) dated 12.06.1990 extending the Central Government pay scales to the employees of Public Sector Enterprises following the CDA pattern in 69 CPSEs as indicated in Annexure IV of said OM dated 12.06.1990. The DPE, vide OMs dated 24.10.1997 and 14.10.2008 further revised the pay and allowances of the said 69 CPSEs following the CDA pattern.
2. Consequent to the issue of the Notification dated 25.7.2016 by the Department of Expenditure, Ministry of Finance on the revision of pay scales of the Central Government Employees w.e.f. 01.01.2016, the pay scales in respect of the Public Sector employees following the CDA pattern of pay in 69 Public Sector Enterprises would also be revised w.e.f. 01.01.2016 as per the judgment dated 3.5.1990 of Supreme Court on recommendations of the HPPC.
3. Accordingly, the pay scales of the employees of CPSEs following the CDA pattern will be revised w.e.f. 01.01.2016 as per the Notification dated 25.7.2016 (Annexure I). The rates of Dearness Allowance would be as per the DoE OM dated 04.11.2016 (Annexure II (a)) and 30.03.2017 (Annexure II(b)).
4. (a) The revised rates of allowances indicated below will be as per the annexure indicated against each. These allowances will take effect from 1.7.2017.
i. Transport Allowance as per the DoE OM dated 7.7.2017 (Annexure III(a)) and 2.8.2017 (Annexure III (b)).
ii. Travelling Allowance as per the DoE OM dated 13.7.2017 (Annexure IV).
iii. Special Duty Allowance for the North Eastern Region as per the DoE OM dated 18.7.2017 (Annexure V)
iv. Island Special Duty Allowance for Andaman & Nicobar Group of Islands and Islands of the Union Territory of Lakshadweep as per the DoE OM dated 18.7.2017 (Annexure VI)
v. Special Compensatory Allowance subsumed under the Tough Location Allowance as per the DoE OM dated 19.7.2017 (Annexure VII).
vi. Hard Area Allowance as per the DoE OM dated 14.7.2017 (Annexure VIII). vii. Project Allowance as per the DoE OM dated 19.7.2017 (Annexure IX).
viii. Non-Practicing Allowance as per the DoE OM dated 7.7.2017 (Annexure X).
ix. House Rent Allowance as per the DoE OM dated 7.7.2017(Annexure XI).
x. Dress Allowance asper the DoE OM dated 2.8.2017(Annexure XII).
(b) (i). Abolition of Special Compensatory (Hill Area) Allowance as per the DoW OM dated 13.7.2017 (Annexure-XIII)
(ii) Abolition of the existing Care taking Allowance, Extra Duty Allowance, Flag Station Allowance, Flight Charge Certificate Allowance, Library Allowance, Rajbhasha Allowance and Special Appointment Allowance – Grant of Extra Work Allowance as per the DoE OM dated 20.7.2017 (Annexure XIV)
(C) Any subsequent amendments made by the DoE in respect of the above allowances for Central Government Employees would be automatically applicable to these employees also.
5. Separate guidelines would be issued on Leave Travel Concession and Children Education Assistance & Reimbursement of Tuition Fee after the issue of OMs by Department of Personnel & Training in this regard.
6. The benefit of pay revision may be allowed only to employees of those CPSEs that are not loss making and are in a position to absorb the additional expenditure on account of pay revision from their own resources without any budgetary support from the Government. The Board of Directors would consider the proposal of pay revision of all employees in CPSEs, keepting in mind the affordability and capacity of the CPSE to pay. Thereafter, they will submit a proposal to their Administrative Ministry/Departments, which will approve the proposal with the concurrence of its Financial Advisor. In respect of the Food Corporation of India, the concurrence of the Department of Expenditure would also be required.
7. All Administrative Ministries/Department of the Government of India are requested to bring the above to the notice of CPSEs under their Administrative jurisdiction who are following the CDA pattern of scales for their information and necessary action.