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REPORT OF FIRST PAY REVISION COMMISSION TELANGANA 2020
VOLUME-I
CHAIRMAN : C.R. BISWAL, I.A.S. (Retd.)
MEMBERS : Dr. C. UMA MAHESHWARA RAO, I.A.S. Retd.)
Dr. MOHAMMED ALI RAFATH, I.A.S. (Retd.)
Table of Contents
VOLUME-I
Sl. No. Chapter Page No.
a. Acknowledgements 3 - 4
b. Executive Summary 5 - 11
I. Introduction 12-15
II. Pay Revision Commissions - An Overview 16-19
III. State Economy – An Overview 20-39
IV. Approach to Pay Revision 40-46
V. Recommended Pay Scales 47-59
VI Principles of Fitment 60-62
VII. Major Allowances 63-73
VIII. Special Pays 74-99
IX. Automatic Advancement Scheme 100-105
X. Leave Benefits 106-126
XI. Other Allowances 127-199
XII. Advance Increments 200-201
XIII. Loans and Advances 202-212
XIV. Medical Facilities 213-219
XV. Gazetted Status 220-228
XVI. Pensionery Benefits 229-248
XVII. Contributory Pension Scheme (NPS) 249-251
XVIII. Work charged Establishment & Full Time Contingent Employees 252-260
XIX. Contract/ Outsourcing employees 261-271
XX Human Resources 272-279
XXI. Financial Implications 280
ACKNOWLEDGEMENTS
At the outset we would like to express our gratitude to the Government for reposing in us the trust and confidence for chairing the 1st Pay Revision Commission for Telangana and writing its Report. This task has enabled us to look at the organizational structure of Government and understand the hopes and aspirations of employees manning this structure and the challenges faced by them in the process of governance. This was a new experience for us as throughout our 35 years of working in Government, we took this structure always for granted to leverage it to the max for the development of the State and its citizens. Time has come now to give back to this organization and to all those manning it and with the same enthusiasm and commitment what is rightly due to them namely a pay structure that will inspire confidence and motivate them to work selflessly and with commitment to bring smile on the faces of people whom they have undertaken to serve.
In this task we have received unprecedented cooperation from every single association of employees, retired pensioners and contract and contingent employees who met us during the course of hearing and deliberations on their representations. We would like to express our deep appreciation to the Office Bearers and other functionaries of the various Associations and Unions of the serving employees and the Pensioners for providing valuable information in response to the Questionnaire circulated by the Commission and in making excellent presentations during the discussions held with them.
The entire support for the successful completion of this Task is provided by Finance Department. Our gratitude is due to all of them and especially to Sri K.Ramakrishna Rao, IAS, Principal Secretary to Government and Sri N. Siva Sankar, IAS (Retd.) (former Principal Secretary), Senior Consultant, for providing excellent staff and facilities for the smooth working of the Commission and for helping us in addressing several complicated issues that were referred to Commission for advice. Our personal thanks are also due to Sri Narsing Rao, IAS (Retd.) for initiating us into this exercise.
Sri K. Dharmaiah, Additional Secretary to Government has been a great source of strength as he undertook the task of analyzing all the representations and formulate proposals for the restructuring of the pay scales. We were amazed by his popularity amongst the employees of regions where he worked while in service.
We would like to thank immensely Sri Sudarshan Reddy and his senior officers in the Directorate of Economics and Statistics, Sri K.S.R.C. Murthy, Director of Treasuries and Accounts, Smt. Parvathi, Joint Director, Pension Payment Office and their senior officers for providing most invaluable support in working out the ‘Need- based minimum wage’ based on ILC norms and data for quantification of increase in allowances. I am also grateful to Dr. G.R. Reddy, Advisor to Government (Finance) for providing research material and data and for writing the paper on the State of Telangana Economy. We would also like to thank Smt. Santi Kumari, IAS, Principal Secretary to Government, Health, Medical and Family Welfare Department and Sri A.Gopal Reddy, IPS (Retd.) Secretary, Bhadratha and Arogya Bhadratha for helping the Commission in analyzing the Health facilities to the employees/pensioners.
Our sincere appreciation goes to Sri K. Dharmaiah, Additional Secretary and his entire team in the Office of PRC and in particular Sri R. Mojiram Naik, Smt. P. Geetha, Deputy Secretaries to Government, Sri P. Anna Rao, Sri J. Chandrasekhar and Sri M. Sajit Kumar Reddy, Assistant Secretaries to Government, Sri T. Raghupathi Reddy, Sri D. Nagi Reddy, Sri T. Raju, Sri N. Srinivasu and Sri Y. Venkatesh, Section Officers, for helping the Commission in framing the ‘questionnaire’ on various aspects of pay structure covered by our ‘Terms of Reference’ and providing guidance in several complicated matters and also provided the basic structure of this Report, toiled day and night and on holidays for organizing meetings with Secretariat Departments, HODs, Associations of employees, individuals and pensioners, preparing notes and bring on table.
Exected New Basic Pay in R.P.S 2020 at Diffierent Fitment levels
PRC Report 2021 RPS 2020 recommendations New Fitment Executive Summary
1. Pay Scale:
a) The Master Scale concept is retained with 32 Grades and 80 segments. The Master scale is formulated keeping in mind the following principles:
i. Annual increment to range from 3.36% of the pay in initial stages to 2.33% finally.
ii. Periodicity of increase in increment to be 3 years.
b) The New Scale is evolved by merging DA with Basic Pay as on 1.7.2018.
c) The ‘Minimum Pay’ for the lowest paid employee is to be Rs.19,000/- per month.
d) The ‘Maximum Pay’ in the Master scale is worked out to Rs.1,62,070/-per month, which represents a Minimum to Maximum ratio of 1 : 8.53.
e) In the event of stagnation which should not normally arise, grant of up to 5 stagnation increments is recommended.
2. Fitment:
The Commission recommends a fitment of 7.5% on Basic Pay.
3. Date of Effect: Since the DA is merged as on 1.7.2018, the new scales come into operation from 1.7.2018. Government may take a view on the date from which the financial benefit would accrue keeping in view its
resource position and the various demands thereon.
4. Dearness Allowance:
a. The existing practice of following the GOI in sanctioning DA twice a year is to be continued.
b. As the Central rates of DA are based on DA merged scales of 1.1.2016 while DA as on 1.7.2018 has been merged in the scales now proposed for the State employees, the Commission recommends a conversion factor of 0.910 for sanction of DA from 1.1.2019. It means that for every 1% increase in DA sanctioned by GOI, the DA to be sanctioned by the State to its employees would be 0.910 % for the DA starting from 1.1.2019.
5. House Rent Allowance:
a). The classification of cities and towns has been updated with reference to the Final Census figures of 2011 obtained from the Director of Census Operations and from the latest notification of new municipal areas from the Director of Municipal Administration, Hyderabad.
b). The existing rates of HRA viz. 30%, 20%, 14.5% and 12% has been changed to 24%, 17%, 13% and 11% respectively for different places, based on population. This has been done keeping 7 th CPC recommendation in view.
c). Additional HRA in lieu of rent free accommodation is retained at 8% of basic pay, but the monetary ceiling is increased from Rs.2,000/- to Rs.2,500/- p.m.
6. City Compensatory Allowance:
The present classification of municipal areas for the purpose of
payment of City Compensatory Allowance is retained. The quantum
of allowance is, however, increased for all the pay ranges.
7. Enhancement of Age of Superannuation:
The age of superannuation is extended from 58 years up to 60 years.
8. Advance Increments
The Commission has not recommended any special increment for possessing higher qualifications.
9. Loans and Advances
The Commission has recommended encouraging the employees to
go in for house building loans from commercial banks by Government
suitably subsidizing the interest rates. Pending such an arrangement, increase in the quantum of various loans and advances is
recommended.
10. Leave Benefits:
a) The Child Care Leave (CCL) be enhanced from 90 days to 120
days in the case of normal children.
b) CCL be enhanced from 90 days to two years, in the case of
disabled children only, on par with GOI. This leave be granted with
100% of the salary for the first 365 days and 80% of the salary for
the next 365 days.
c) CCL be extended to single male parents who may include
unmarried or widower or divorcee employees.
d) Special Disability Leave is substituted by a new Leave named
“Work Related Illness and injury Leave (WRILL)” and Special
Disability Leave for accidental injury and Hospital Leave are
merged in WRILL.
11. Medical Benefits:
a) The Commission has recommended streamlining the cashless
treatment under EHS by collecting 1% basic pay from employees and
1% of basic pension from the pensioners and creating a ‘separate
reserve’ as in case of Arogya Bhadratha. The expenditure shall be
met from the above reserve initially and the same shall be recouped
from the reimbursement by the Government, after scrutiny of bills as
per the existing rules.
b) It is also recommended to extend the EHS to the retired CPS
employees by collecting a lumpsum amount equal to one month
pension or as decided by the Government at the time of their
retirement.
c) Medical Allowance to Service Pensioners and Family Pensioners is
recommended to be enhanced from Rs.350/- p.m. to Rs.600/-p.m.
12. Special Pays:
a) The existing special pays are enhanced suitably.
b) Further the Commission has recommended special pay of 15% of
basic pay to certain categories of Protocol Department.
REPORT OF FIRST PAY REVISION COMMISSION TELANGANA 2020
