Implementation of Cadre restructuring of Income Tax and NR Parmar case judgement

It is learnt that some members of the core committee and some associations are not happy with the report of sub-committee for allocation of posts and jurisdiction. This is the reason for delay in finalization of allocation of post and jurisdiction. It is also learnt that next meeting of core committee is scheduled on Monday i.e.16.12.2013. Therefore the final report may come after 16th December.  After finalization, all the DPC or revised DPC will be completed in a span of 40-45 days.  The merging of all the feeder cadres for ITI will be finalized before promotions. The new recruitment rules will be released after the approval of competent authority i.e. DOPT. Meanwhile an executive order will be passed by the CBDT for implementation of cadre restructuring before the approval of DOPT. In the case of implementation of NR Parmar's case judgement, it is decided by the board, associations and other relevant departments to go ahead with implementation of the Judgement in all the cadres. The Date of Requisition by the Department to the SSC is the criteria for considering the seniority of the DRs. It is also learnt that the Board has assured that it will provide the necessary data required to all the Regions since 1986, for implementation on the Judgement.

Retirement age

‘An in-principle decision has been taken to increase the retirement age by two years within this year itself’ : Sources

The proposal of increasing retirement age of central government employees from 60 to 62 is now the hottest issue to talk about. According to the sources, the central government is serious about increasing retirement age for various reasons. The leaders of Defence and Railway workers federations hinted about the possibility of increasing retirement age of central government employees, as the manpower sanction in railway and defence is very less than comparing to the retirement of its employees. There is a huge gap between recruitment and retirement. The resultant vacancies due to retirement and death left unfilled. So the departments find it hard to achieve their target in time without sufficient manpower. So the decision of increasing retirement age of central government employees from 60 to 62 seems inevitable at this juncture. The financial express also posted an article in this regard in its website www.financial express.com.

The government is planning to extend the retirement age of all central government employees by two years — from the current 60 to 62 years. Sources said that an in-principle decision has been taken in this regard and the department of personnel and training (DoPT) has begun the work to implement the same. A formal announcement to this effect is expected this year itself.

The last time the government extended the retirement age of central government employees was in 1998. It was also a two-year extension from 58. This was preceded by the implementation of the 5th Pay Commission, which had put severe strain on government’s finances. Subsequently, all state governments followed the Centre’s policy by extending the retirement age by two years. Public sector undertakings followed suit too.

The decision to extend the retirement age is well-timed both politically and economically.

The UPA government reckons the move would be a masterstroke. At a time when it is buffeted by several corruption cases, it is felt that the extension of the retirement age will go down well with the middle classes. Economically also, the move makes sense because by deferring payment of lump sum retirement benefits for a large number of employees by two years, the government would be able to manage its finances better.

“An in-principle decision has been taken to increase the retirement age by two years within this year itself. This would reduce the burden on the fisc from one-time payment of retirement benefits for employees including defence and railways personnel,” an official involved in the discussion said. With the fiscal consolidation high on the government’s agenda, this deferment would come handy.

There’s some flip side too if the retirement age is extended by two years. Those officials empanelled as secretaries and joint secretaries would have to wait longer to actually get the posts. And of course, there is the issue of average age profile of the civil servants being turning north.

It is also felt that any extension is not being fair with a bulk of people who still look for jobs in the government.

However, officials point out that at least it prevents an influential section of the bureaucracy to hanker for post-retirement jobs with the government like chairmanship of regulatory bodies or tribunals.

“As it is, a sizeable section of senior civil servants work for three to five years after the retirement in some capacity or the other in the government,” said a senior government official. The retirement age of college teachers and judges are also beyond 60.

As per a study, the future pension outgo for the existing Central and State government employees is estimated at a staggering R1,735,527 crore or 55.88% of GDP at market prices of 2004-05.

with the  inputs from : www.financialexpress.com

EXPECTED D.A. FROM JAN 2014

According to the figures available, the Central Government employees will get at least 9% increase in the Dearness Allowance w.e.f. 01/01/2014 thus the DA may be almost 100% of pay. 

FLASH

Cadre Restructuring of CBEC approved by Union Cabinet

Congratulation to all employees of CBEC.

Union Cabinet approved cadre restructuring of CBEC with number approved by Committee of Secretaries.