Tuesday, September 10, 2013

Resolution on appointment of 7th Pay Commission and Merger of 50% DA with Pay adopted in INTUC conference

The delegates’ conference of INTUC adopted a resolution on appointment of the 7th pay commission in its 30th Plenary Session held in Raipur, Chhattisgarh. Since it is one of the major Central Trade Unions in India, the resolutions which are adopted in its conference will be given national importance and it would be taken up seriously by the Central Government. As the INTUC is the labour wing of Congress Party, it is expected that the demands made by the INTUC will be considered favourably by the Government. The resolution on appointment of the 7th Pay Commission is given below

Resolution on appointment of the 7th Pay Commission

The delegate conference of INTUC demands the central government of India to appoint 7th pay commission without any delay.

The 6th central pay commission has recommended a new concept of Pay Band and Grade Pay as replacement to the 5th CPC pay scales/pay structure, which was accepted by the government. Consequently the revised Pay Band/Grade Pay was implemented with effect from January 1, 2006.

In the case of central public sector undertakings, the wages are invariably revised once in five years. The 5th cpc, in the case of central government employees, had recommended that the wages should be revised at least once in 10 years. The degree of inflation in economy determines the pace of erosion of the real value of wages. However this factor was never taken into consideration while determining the wage structure. It is however acknowledged that there has been DA compensation for the central government employees which does not compensate the actual erosion of wages in terms of actual cost of living.

The Government of India should take necessary measures to control the inflation in the essential commodities so that the state/central government employees and general public can maintain their living standard, as they are passing through severe hardship to meet both the ends. It is the general practice that after every 10 years, a new Pay Commission is appointed to examine the economic conditions of the government employees. In the larger interests of the state and central government employees, it is required to appoint the 7th Pay Commission to revise the wages and other benefits in the light of prevailing economic conditions.

The INTUC delegates’ conference earnestly appeal to the government of India to appoint the 7th Pay Commission immediately, so that employees can maintain their living standards intact in the face of steep inflation.

Merger of 50% DA with Pay: Resolution adopted in INTUC Conference

The 30th Plenary Session of Indian National Trade Union Congress INTUC  is being held in Raipur from 6-9-2013 to 9-9-2013 is concluded today. There are 4 Resolutions which are considered to be very important are adopted in this Conference. One of the four main resolution is Merger of 50% DA with Pay for central government employees. So the INTUC urges the central government to consider the demand and accord sanction for merging 50% DA with pay. The Resolution On Merger Of 50% DA With Pay which has been adopted in 30th Plenary Session of INTUC held in Raipur from 6-9-2013 to 9-9-2013 is given below.

Resolution on Merger of 50% DA with Pay

The Wage structure revision for Central Government employees had been enquired into by the successive pay Commission appointed by the Government of India during the past decades and gave their reports. The Government had considered the reports and decided for implementation with certain changes and improvements.

The previous pay Commissions (3rd, 4th, 5th and 6th) have, by and large, covered the aspects of the principle of wage determination . But however the job contents, remuneration commensuration with the nature of duties and responsibilities have not been taken into consideration by the pay Commissions while determining the revised pay structure, consequently the railway men have been put into disadvantage.

The 5th CPC had recommended that the DA must be merged with pay and treated as pay for computing all allowance as and when the percentage of dearness compensation exceeds 50%. Accordingly even before the setting up of 6th CPC, the DA of 50% was merged with pay.

Presently, the dearness compensation is 80% as on 1st January, 2013, while the DA had crossed 50% of pay as on 1st January, 2011.The demand for merger of DA to partially compensate the erosion in the real wages was first mooted by the Gadgil Committee in the 2nd pay Commission period. The 3rd CPC had recommended such merger when the cost of living Index crosses over 272 points i.e. 72 points over and above the base index adopted for the pay revision. In other words, the recommendation of the 3rd CPC was to merge the DA when it crossed 36%. The Government in the national Council JCM at the time of negotiation had initially agreed to merge 60% DA and later the whole of the DA before the 4th CPC was set up. The 5th CPC had merged 98%of DA with pay.

As the DA already stood at 80% of Pay and another instalment is expected to be granted wef July, 2013 which may cross 90%,it is necessary that the Government takes steps to merge 50%DA with pay for all purposes for the year 2013 for ensuring compensation to the erosion of value of real wage of government employees.

The Plenary Session of INTUC therefore urges upon the Government of India to consider the demand and accord sanction for merging DA component i.e. 50% of DA with pay for all purposes.

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