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Sunday 24 February 2013

HEROIC GREETINGS TO PARTICIPANTS OF STRIKE

FEB 20,21 two days Country wide strike was very much successful. Central and State govt staff, banks, insurance sector,transport,public sector, private sector employees and other un- organised workers in lakhs and lakhs participated the strike. In our postal department , the strike was grand success, especially in Tamilnadu circle, though there was some sabotage by a few section to break the strike, the strike was very great success. This will definitely force the Government to consider the genuine demands of the employees.

Circle union records its earnest and heroic greetings to the participants of the Strike.


G P MUTHUKRISHNAN CIRCLE SECRETARY  P3
                                      FNPO
 

Saturday 23 February 2013

About 8 lakhs Central Government employees took part in the 48 hour (two day) general strike yesterday and today organised by the Indian working class as per the call of the Joint platform of 11 Central Trade Unions of the country. Besides 5 lakh Defence Civilian employees are also reported to have participated in this historic action.
The Strike was total and cent per cent in Income tax and Postal departments. The participation ranged from 60 to 90% in other Government of India organisations except in the Central Secretariat. As per the report, the strike was total in Assam, Tripura, West Bengal, Orissa, Bihar Andhra Pradesh, Tamilnadu, Kerala, Chhattisgarh and 60 to 70% in Rajasthan, Gujarat, Madhya Pradesh, Punjab, Haryana and partial in other States.
In Delhi, the Income tax and RMS offices of the Postal Department virtually remained closed. Not a single employee reported for duty in these offices. Many offices of the Civil Accounts and Post offices in Delhi also did not function on these two days.
Many establishments of Printing and Stationery, Indian Bureau of Mines, Geological Survey of India, Medical Depots, Customs, Ground Water Board, ISRO, Directorate of Marketing Inspection, Civil Accounts, Central Public Works Department remained closed throughout the country on both the days.
The National Secretariat of the JCA places on record its sincere gratitude and appreciation of the efforts undertaken by the State/Branch level leaders to make this historic action of the Indian working class a resounding success by eliciting the total participation of the Central Government employees. The success of the two days strike action will no doubt embolden the employees and workers to chalk out intensified action programme including indefinite strike action to compel the Govt. to rescind the anti-people economic policies pursued since 1991.

Wednesday 20 February 2013

வேதனையோடு

போலி தொழிற்சங்க  வா(வியா)திகள்

                நாடு தழுவிய இரண்டு நாள் வேலைநிறுத்த போராட்டம் பிப்ருவரி 20 மற்றும் 21-  2013 இன்று வெற்றிகரமாக தொடங்கியது.  நாட்டின் பல்வேறு இடங்களில் இருந்தும் செய்திகள் வந்தவண்ணம் உள்ளன.
ஆனால் தமிழ்நாட்டில் மட்டும் அதுவும் அஞ்சல் துறையில் Mixed Responseஆக உள்ளது. ஏன் இந்த நிலை ?. இரு காரணங்கள் சொல்லபடுகிறது

1.      இரு மாத இடைவெளியில் அடுத்த போராட்டம் :

               ஊழியர் தரப்பில் ஒருவித அதிருப்தியும் உள்ளது என்னவென்றால் கடந்த 8, 10மாதங்களுக்கு முன்பே  இந்த வேலைநிறுத்த போராட்ட தேதி முடிவு செய்திட்ட போது , கடந்த டிசம்பர் மாதம் ஒரு நாள் வேலைநிறுத்த போராட்ட அறிவிப்பு NFPE தலைமை செய்தது ஏன் ?
அந்த அரசியல் சார்பு போராட்டம் தேவைதானா ? என ஊழியர் தரப்பில் வினா எழுப்பிகின்றனர். இதை மாற்று சங்கத்தின் தலைமை சிந்திக்குமா ?
உடனடியாக  இரு மாத இடைவெளியில் அடுத்த போராட்டம் ஒருவித சலனத்தை நம்மிடையே தோற்றுவிக்க காரணமாக விடலாமா ?

               என்றைக்கும் ஊழியர் நலன் சார்ந்து முடிவுகளை எடுக்கும் தேசிய சங்கம்  இம்முறையும் கடந்த டிசம்பர் மாதம் ஒரு நாள் வேலைநிறுத்த போராட்டத்தை ஆதரிக்க வில்லை. அந்த அரசியல் சார்பு போராட்டம் தேவையில்லை என நல்ல முடிவை எடுத்தது.  ஆனால் மாற்று சங்கத்தின் தலைமையோ போராட்டத்தை ஆதரித்தது ? ஏன்
அன்றே நாம் கூட 10.12.2012 அன்று நமது website இல் Our FNPO and its affiliated unions have decided not to participate in the proposed strike by others on 12.12.12. However on the same demands, we propose to go on strike in the month of FEB. 2013. Details will be posted during first week of Jan. 2013 after consultation with other Central Govt Employees Unions/ Federations
 என தெளிவாக சொன்னோம் .

      2.  கோஷ்டி பூசல் 

                எப்போதும் தொழிலாளர்களுக்காக பிறந்தவர்கள் என காட்டிகொள்ளும் மாற்று சங்கம்.  மேடை கிடைத்தால் வீர வசனங்களை
வீரா வேசமாக பேசி மார்தட்டி கொள்பவர்களின்  இன்றைய நிலை என்ன ?
பல்வேறு கோட்டங்களில் தங்களுக்குள் உள்ள கோஷ்டி பூசல்களால் அகிலஇந்திய தலைமையின் எதிர்ப்பாளர்கள் கோட்ட மட்டங்களின் தங்கள்  எதிர்ப்பை காட்ட தங்கள் உறுப்பினரை  கூட வேலை செய்ய சொல்வதாக கேள்விப்பட்டோம். மிகுந்த மனவேதனைதான். இந்த செய்கை ஊழியர் மட்டத்தில் போராட்டகுணத்தை நிர்த்துபோக செய்யாதா ?  சிந்திக்க மறந்தது ஏன்?

              ஏன் நமது  மயி லாடு துறை    கோட்டத்தில் கூட JCA  முடிவுக்கு மாறாக  மாற்று சங்கத்தில் தங்களுக்குள்ளாகவே முக்கியமான தொழிற்சங்க தலைவர்கள் மட்டும் போராட முடிவெடுத்தது வருத்தத்திற்குரியது.

மிக பெரிய தொழிற்சங்கம் இப்படி முடிவெடுக்கலாமா ?
பெரியது என்பது எண்ணிக்கையில் மட்டும் இருந்து என்ன பயன் ? எண்ணத்தில் இல்லையே ? என்பது வேதனையே ?

             குறிப்பாக JCA வில் தலைமை  பொறுப்பில் உள்ளவர்கள் JCA நோக்கத்திற்கு எதிராக இப்படி முடிவெடுக்கலாமா ?
இந்நிலை தொடருமானால் நாளை நாம் கூட JAC வில் பங்கேற்பதா இல்லையா ? என மறுபரிசிலனை செய்யவேண்டிய நிலை உருவாகும்.
மிகுந்த தொழிற்சங்க அனுபவம் உடைய திரு  G ஊமதுரை  போன்றவர்கள் கூட இப்படிப்பட்ட முடிவை எடுத்தது வேதனைக்குரியது.

            இந்திய தேசமெங்கும்  அனைத்து பகுதி ஊழியர்களும் அணி திரளும் போது 
நாம் மட்டும் ஒதுங்கிக் கொள்ளலாமா ?  அப்படி  செய்வது   கோழைத்தனமாகாதா?  தேவை குழு மனப்பான்மையா ?                                     பொது நன்மை தேவையா ?  
தனி மனிதர்களின் விருப்பு வெறுப்பு  தேவையா ?சிந்திக்க வேண்டுகிறோம் .

            இன்று 10 கோடி பேருடன் இணைந்து  போராட வில்லையானால் , நாளை   தனியே போராடி மட்டும்  தலைகீழாக  மத்திய அரசின் கொள்கை முடிவுகளை புரட்டிப் போட்டுவிட முடியுமா ?  ஒவ்வொரு துறையிலும் ஊழியர்கள் பாதிக்கப் படும் போது  ஆங்காங்கே போராடி  தடுக்க முடியாத போது , தற்போது  அனைத்து பகுதி ஊழியர்களும் ஒன்று  திரண்டுள்ளோம் ! இன்னும் காலம் முடிந்து விடவில்லை. இன்னும் ஒருநாள் எஞ்சி உள்ளது இன்றாவது முடிவெடுங்கள் நாளைய  போராட்டம் இன்னும் தீவிரமாகட்டும்
.
போராடுவோம் !                         போராடுவோம் !                                போராடுவோம் !

போராட்டத்தை முழு வெற்றியாக்குவோம் !

Saturday 16 February 2013

CORE BANKING IN POST OFFICES


Core Banking – Towards Execution - 2012-14
G. Natarajan, Director (Core Banking Solutions)
The first ATM in India was installed by HSBC Bank in 1987.[1] Post offices will get ATMs next year. The technology gap between India Post and HSBC (India) is more than 20 years. The last branch of SBI went live on the core banking (CB) platform in the year 2008.[2] The last departmental post office will go live on the core banking platform in 2014. There will still be a gap of six years.
Reasons for Core Banking
The need for core banking for Post Office Savings Bank (POSB) arises out of many reasons:
1. Cost of operations: The cost of operations in core banking is less than those of the present system. The remuneration we get from the Ministry of Finance for Post Office Savings Bank work is based on an average of five transactions per account per year. If we take out the back office work, this would mean that we spend roughly Rs. 30 per transaction. (Surprisingly, banks’ counter transaction costs are around Rs. 45-50 per transaction.[3] Are our costs hidden? Is it because of our low-cost GDS model? Is it due to economies of scope? We do not know.) On the other hand, the transaction cost of withdrawal from an ATM is Rs. 15-18. For net banking, the cost is Rs. 4 per transaction.[4] With the advent of core banking, the unique duplicating process in post offices from BO to SO to HO suddenly appears to be an operational nightmare. A process that has led to the creation of SOSBs seems out of place and time, when compared to the centralised process of core banking.
2. Anti–money laundering (AML) norms: It is easy to comply with anti–money laundering norms through core banking. The AML norms require the post office to detect when a customer has opened multiple accounts. This is not possible in Sanchay Post, the current software that is used for POSB operations. Moreover, unless we comply effectively with the KYC norms, we will not be able to issue debit cards to our customers, as effective compliance to KYC is a precondition for participating in an inter-operable payment network that facilitates withdrawing money from any ATM or transact from any point-of-sale (POS) machine in shops.
3. Erosion of competitive advantage of POSBs in rural areas: The business correspondent (BC) model and the UIDAI authentication through Aadhaar may make the presence of POSBs in rural areas irrelevant. The BC model is a direct threat to our GDS model. The problems of  principal – agent and information asymmetry that the banks suffered in the BC (agent) model is eliminated by the use of Aadhaar. Today the bank knows instantly that the money that is withdrawn through its BCs (agent)  is done so by the account holders—through UIDAI authentication—and not by the BCs themselves. The loosely structured BC model seems effective through the use of technology. The BC model seems to be as good as our GDS model. The information asymmetry that has helped POSB maintain a competitive advantage over banks is in the process of being eroded. Suddenly, the Postmaster’s knowledge of the neighbourhood becomes irrelevant. Aadhaar has replaced the local knowledge of the Postmaster helping the bank identify the account holders. Aadhaar also makes the customers, particularly in villages, less vulnerable to local power structures, and lowers the risk of being exploited by BCs.[5] This, along with the advantage of quicker MIS in core banking and the facility to integrate with NEFT (National Electronic Fund Transfer), has made the state governments and central government increasingly choose banks, rather than POSB, for benefit transfers. And yet there is still hope for POSB, as the BC model has not progressed well; it suffers from other problems, including that of lower remuneration paid to agents.
4. Changing customer preferences: The number of debit cards has grown from 5 crore in 2005 to around 29 crore today.[6] This is an increase of nearly 6 times in a span of 7 years. In India Post, we constantly talk about retaining our existing customers; what about those customers who have never visited a POSB in the last decade? Those 29 crore debit card holders have the option to transact in 7 lakh outlets (1 lakh ATMs and 6 lakh POS machines in shops) and in e-commerce portals—so why should they come to the post office?
Core Banking Project
The core banking project is part of the IT project, 2012 that aims to bring in various IT solutions with the required IT infrastructure to the post offices. India Post plans to implement core banking in all departmental post offices (around 25,000) by 2014. The 1.3 lakh branch offices will also be covered by deploying the CBS (Core Banking Solution) mobile application in hand-held devices that are to be supplied to these offices. The only difference is that these branch post offices will initially start working in an off-line mode and depending on availability of network connectivity, will move to an online mode.  120 post offices in six circles (Assam, Karnataka, Maharashtra, Rajasthan, Karnataka, Tamilnadu and Uttar Pradesh) have been identified for rolling out the pilot. ATMs are to be installed in all Head Offices and in around 200 MDGs/SOs. India Post has already signed the contract with M/s Infosys Ltd, the Financial Services System Integrator (FSI), for implementing Core Banking Solutions and for installing ATMs. 
Challenges Faced and Mitigation Plans
The major challenges faced by India Post are listed here:
1. Large number of offices and aggressive timelines: The large number of post offices makes the project the largest CB implementation attempted in India. See the table below:
S.No
Name of Bank
Number of Branches under CBS
1
Post Office Savings Bank
25,464*
2
State Bank of India
17,000 +
3
Punjab National Bank
4,857
4
Bank Of India
3,211
5
Canara Bank
3,109
6
Bank of Baroda
3,096
7
Union Bank of India
2,926
8
Syndicate Bank
2,327
9
UCO Bank
2,148
10
Central Bank of India
2,141
                         * By 2014
 However, the pace of implementation of CB system in banks has picked up in the last few years. In some banks, even 50 bank branches have gone live on the CB system in one day. India Post’s decision to go for a proven solution and an experienced vendor is also expected to mitigate the problem of implementing CB systems in a large number of offices over a shorter period of time.
2. Skill levels of staff: The existing staff’s skill levels in computers have definitely improved in the last few years. Today in Project Arrow, more than 12,000 offices are reporting daily. This shows that we are moving ahead in our skill levels, which enables us to work more effectively in a computerized environment. However, the CB system brings in new process changes that require training. This is planned to be mitigated by requiring the vendor to train around 15,000 staff, including around 2,000 as trainers under the Train the Trainer model. The change management vendor (M/s TCS Ltd) will devise training strategies to manage the change in a smoother way.
3. Migration of legacy data: The large amount of legacy data to be migrated both in electronic and manual format poses a serious challenge. The existing process of duplicating data from BO to SO to HO is making the data unreliable unless agreement and related work is done. Many activities have been undertaken, in the last few years, to digitize and cleanse the data, and these activities are expected to mitigate the problems of legacy data migration.
4. Integrating with an inter-operable network: Another challenge is how we would put in place systems and processes to participate in an inter-operable electronic payment network run by the National Payments Corporation of India, specifically the National Financial Switch that connects all ATMs in India. This would mean that India Post complies with the Prevention of Money Laundering Rules, 2005, and the Payment and Settlement Systems Act, 2007. Eventually, in order to participate in this inter-operable electronic payment system, India Post has to fall under the regulatory supervision of RBI. India Post has received RBI’s approval to install ATMs and issue ATM cards. Its successful performance in a closed system of ATM networks (i.e., ATM cards) will eventually lead to RBI’s approval for issuing debit cards. Successful performance requires changes in our existing process and developing accounting and operational procedures.
Migration of Legacy Data:
Migrating data from Sanchay Post to the new CBS (Core Banking Solutions) software will be a major challenge while implementing core banking in post offices. The data that is to be migrated from Sanchay Post to core banking software has to be  up-to-date and reliable. Data can be made up-to-date by posting of all transaction data and by updating master data and standing instructions. Data can be made reliable by settling minus balance, SBCO objections and DB Analyzer discrepancies.
This is illustrated below:
Steps Taken towards Migrating Legacy Data
Many steps have been taken, right from Project Arrow, to digitize accounts and carry out account holder signature scanning. More than 14 crore accounts have been digitized. Roughly 12 crore signatures have been scanned. 
Pre-data migration activities that are monitored through fortnightly Project Arrow VCs have proceeded as given in the table below:
Activity
Key Parameters monitored
Offices
Date from which monitored
Data authentication Activity  - 1
Pending Interest posting in SB accounts
All offices
15.8.10
Pending minus balance
All offices
31 12.10
Pending number of SBCO objections beyond 6 months
All offices
25.3.11
Data Authentication Activity  - 2
Stage - I Online Monitoring of 34 Parameters in 4000 offices –focus on digitization, settling SBCO objections, clearing minus balances and database discrepancies (DB Analyzer)
Pilot - 120 offices
 7.3.12
Phase- 1 A - 701 Head Offices
20.3.12
Phase- 1 B - 1509 Sub Offices of Pilot circles
1.5.12
Phase- 2 A - 1679 Sub offices of rest of the  16 circles
4.5.12
Data Authentication Activity - 3
Stage - II Online monitoring of additional parameters for 120 Pilot offices – focus on work on agreement
Pilot - 120 offices
1.9.12 (Test)
Data Authentication Activity-  4
Visit by Circle/Regional level team - percentage checks and completion of pending work.
All circles
Parallel activity from Stage- 1.
These activities are showing results. The amount of negative balance (minus balance) has reduced from Rs. 640 crore to Rs. 64 crore since 2010. An online CB system pre-migration monitoring website is now in place, from which 4,000 offices are reporting their progress every day. The online website has a scoring system to grade the post offices. These scores and data are analyzed at various levels (and ultimately in Project Arrow VCs every fortnight). Project managers and executives of the National Institute of Smart Government (NISG) are training our postal staff in pre–data migration activities. In the last six months, more than 1,200 post offices have been visited by the NISG team. The data quality of many of the 4,000 offices has improved and is now almost ready for migration to the CB system. This online monitoring system will be expanded to the remaining departmental post offices.
The core banking project doesn’t bring incremental improvements to the existing process; rather, it overturns existing processes, specifically the BO to SO to HO process that post offices currently follow. It opens up the post office 24-7 through its ATMs. It enables POSB customers to perform transactions 24-7 in around 1 lakh ATMs and to perform transactions in 6 lakh POS outlets. It enables people to transfer money, sitting at home, from their account to any bank account through NEFT. Eventually, core banking will help change the perception of the post office in people’s minds and once again make the post office relevant to their needs.

Bibliography


Friday 15 February 2013


India Post Selects Infosys to Transform its Financial Services


New Delhi, India - August 9, 2012: Infosys, a global leader in consulting and technology, today announced that it has been selected by the Department of Post, Ministry of Communications and Information Technology, Government of India for a mission-critical program that will enhance India Post's financial services across 150,000 post offices in the country. This is part of the 'India Post 2012' modernization program that aims at bringing transparency, agility, flexibility and scalability to India Post's operations.
Under the agreement, Infosys and India Post will embark on a transformational initiative, which encompasses Financial Services System Integration. This project, estimated at INR 700 crores, aims to transform India Post into a technology-enabled and autonomous market leader, by revolutionizing its financial operations and end-user services.
As Financial Services System Integrator, Infosys will implement and manage its flagship Finacle™ Core Banking and McCamish™ Insurance products to help India Post transform its banking and insurance operations - covering more than 200 million banking customers across urban and rural India; including a large base of insurance customers. Infosys will be installing 1,000 ATMs for India Post as part of this program to increase the effectiveness of its delivery channel and will also implement an electronic Content Management system to manage millions of documents generated as part of India Post's financial operations.
For the project, Infosys will support India Post in the following areas:
  • Complete System Integration including designing, building, supplying, installing and commissioning hardware and software
  • Data migration and deployment of the platforms and solutions across all identified post offices
  • Supporting multi-year managed services, application support and infrastructure operations
  • Training more than 35,000 India Post employees across the country on the usage and deployment of the new platform and solutions
Speaking about this deal, Mr. A. S. Prasad, Deputy Director General, Financial Services, India Post said, "We are confident that Infosys' extensive global experience with transformational programs in the financial and systems integration space will be instrumental in rolling out this ambitious program aimed at driving technology superiority at India Post, by introducing key solutions like core banking. This transformational program is expected to enhance India Post's services, bringing us on par with the best in the banking industry; and will help us expand the reach and effectiveness of our operations through technology enablement of India Post employees."
"Infosys will be drawing upon its expertise and domain knowledge across the banking and financial sector, to transform India Post's services to empower end-consumers. This project offers us rich scope to innovate and optimize the largest financial and insurance distribution channel in the country and we look forward to deploying our strong capabilities across industries and technologies, in a role that has the potential to significantly impact millions of citizens in the country," said Mr. CN Raghupathi, VP and Head India Business, Infosys.

About India Post

For more than 150 years, the Department of Posts (DoP) has been the backbone of the country’s communication and has played a crucial role in the country's socio-economic development. It touches the lives of Indian citizens in many ways: delivering mails, accepting deposits under Small Savings Schemes, providing life insurance cover under Postal Life Insurance (PLI) and Rural Postal Life Insurance (RPLI) and providing retail services like bill collection, sale of forms, etc. The DoP also acts as an agent for Government of India in discharging other services for citizens such as Mahatma Gandhi National Rural Employment Guarantee Scheme (MGNREGS) wage disbursement and old age pension payments. With 1, 55,015 Post Offices, the DoP has the most widely distributed postal network in the world.

About Infosys Ltd

Many of the world's most successful organizations rely on the 151,000 people of Infosys to deliver measurable business value. Infosys provides business consulting, technology, engineering and outsourcing services to help clients in over 30 countries build tomorrow's enterprise.
For more information about Infosys (NASDAQ: INFY), visit www.infosys.com

Safe Harbor

Certain statements in this release concerning our future growth prospects are forward-looking statements, which involve a number of risks and uncertainties that could cause actual results to differ materially from those in such forward-looking statements. The risks and uncertainties relating to these statements include, but are not limited to, risks and uncertainties regarding fluctuations in earnings, fluctuations in foreign exchange rates, our ability to manage growth, intense competition in IT services including those factors which may affect our cost advantage, wage increases in India, our ability to attract and retain highly skilled professionals, time and cost overruns on fixed-price, fixed-time frame contracts, client concentration, restrictions on immigration, industry segment concentration, our ability to manage our international operations, reduced demand for technology in our key focus areas, disruptions in telecommunication networks or system failures, our ability to successfully complete and integrate potential acquisitions, liability for damages on our service contracts, the success of the companies in which Infosys has made strategic investments, withdrawal or expiration of governmental fiscal incentives, political instability and regional conflicts, legal restrictions on raising capital or acquiring companies outside India, and unauthorized use of our intellectual property and general economic conditions affecting our industry. Additional risks that could affect our future operating results are more fully described in our United States Securities and Exchange Commission filings including our Annual Report on Form 20-F for the fiscal year ended March 31, 2012 and on Form 6-K for the quarters ended September 30, 2011, December 31, 2011 and June 30, 2012.These filings are available at www.sec.gov Opens in a new window. Infosys may, from time to time, make additional written and oral forward-looking statements, including statements contained in the company's filings with the Securities and Exchange Commission and our reports to shareholders. The company does not undertake to update any forward-looking statements that may be made from time to time by or on behalf of the company.

Thursday 14 February 2013


STRIKE DISCUSSION FAILED
           The Cabinet Minister for Labour &Minster of States for Labour held discussion with Central leaders on 13-02-2013 on the charter of demands. Discussion failed as Central Government is not ready to concede the demands. All the Trade Union Leaders unanimously decided to go ahead with the two days strike.
 தயாராவோம், அனைவரையும் ஆயத்தபடுத்துவோம் 
                 வேலை நிறுத்தத்தை வெற்றிகரமாக்குவோம் !

இந்திய தேசத்தின் மிகப் பெரும் தொழிற் சங்கங்களான  
நமது  INTUC, மற்றும் AITUC, CITU, BMS, HMS உள்ளிட்ட 11 தொழிற்சங்க மையங்கள், மத்திய , மாநில, பொதுத் துறை ஊழியர் சங்கங்கள்  அறிவித்துள்ள 48 மணி நேர வேலைநிறுத்தம்.

அஞ்சல்துறையில் நமது FNPO NFPE, சம்மேளனங்கள் மற்றும்  GDS ஊழியர் சங்கங்கள்  சேர்ந்து நடத்தும் வேலை நிறுத்தம்.

7 ஆவது ஊதியக்குழு , 50% பஞ்சப்படி இணைப்பு, GDS போனஸ், புதிய பென்ஷன் திட்டம் ரத்து செய்தல்  போன்ற 25 அம்சக் கோரிக்கைகளுக்கான வேலை நிறுத்தம்.

பிப்ரவரி 20 & 21 இரண்டு நாட்கள் வேலை நிறுத்தம் ! வேலை நிறுத்தத்தை வெற்றிகரமாக்குவோம் !

Tuesday 12 February 2013

7th Pay Commission Projected Pay Scale


People may think that the babus again started to make voice over pay revision and next pay commission or 7th Pay commission. There is a saying that “The crying baby gets the milk”. The need makes the man to act.
One should try to understand the fact that being a government servant one can witness a considerable pay hike at least twice or thrice of his/her entire service period. Because, other than promotion, only the pay commission recommendation will give them considerable pay hike. But it takes place once in ten years. Now a days a government employee can render service 20 or 30 years only due to non availability of employment opportunity in government service below the age of 25. So there is no need to be get annoyed by hearing the voice for seventh pay commission from central government employees. Because constituting next pay commission is for nothing but to review the salary of the govt. servants with the current economical condition of the country.

How the pay of a govt. employee had been fixed at the beginning of the Independence India.
Till now there are six pay commission had been constituted to review and recommend pay structure of central government employees.
All the six pay commissions have taken many aspects into consideration to prescribe the pay structure for government servants.
In the first pay commission the concept of ‘living wage’ was adopted.
In second pay commission it had been reiterated that the pay structure and working condition to be crafted in a way so as to ensure the effective functioning of government mechanism.
The third pay commission adopted the concept of ‘need based wage’
The Fourth CPC had recommended the government to constitute permanent machinery to undertake periodical review of pay and allowances of Central Government employees, but which got never implemented.
In Fifth pay commission all federations demanded that the pay scale should be at par with the public sector. But the pay commission didn’t accept this and told that the demand for parity with the Public Sector was however difficult to concede as it felt that the Job content and condition of service in the government and pulic sector not necessarily the same. There were essential differences between the two sectors.
The Sixth Central Pay Commission, claimed that it had not only tried to evolve a proper pay package for the Government employees but also to make recommendations rationalizing the governmental structure with a view to improve the delivery mechanisms for providing better services to the common man
What about seventh pay commission?
Generally every pay commission, before recommending a pay structure, it used to analyze all the aspects including the economic situation of the country, financial resources of the government, comparison with the public sector, private sector and state government pay structure etc. So it is very much clear that Pay Determination is very complicated and sensitive task. Without any doubt every one accepts that this is very challenging task too. In order to determine the new pay structure the pay commission has to go through voluminous data consisting current economic condition, strength of the work force and working condition etc. In the meantime, if one tries to suggest or comment about 7thy pay commission pay scale or about what the seventh pay commission pay scale would be, it will not get much importance.
But when we come across all the recommendations of six pay commissions, we observed an interesting factor which is common to all the pay commission recommendations, particularly in the matter of percentage of increase in the pay. Average 3 times increase in the pay was recommended by each pay commission and it was accepted by government and implemented. We have posted three articles about six pay commissions before this post.
Click the link given below to see those articles and average increase was worked out in the table.
First CPC to Third CPC Pay Scales
Fourth CPC pay scale and Fifth Pay commission
Short Description about Sixth Pay Commission
Obviously it is simple thing, we can say it a mathematical coincidence that we have in common in all previous pay commission, but we cannot neglect this. Because it was there, every time it is noticed that the revised pay was approximately three times higher than its pre revised pay. Apart from all the factors which has been used to determine the pay revision, we can use this simple formula ‘common multiplying factor’ to know the 7th pay commission pay scale . If next pay commission prefer to continue the same running pay band and grade pay system for seventh pay commission also, the pay structure may be like the following projected figures given below, using common multiplying factor ‘3’. The Following is only the projected figure using common multiplying factor ‘3’


SIXTH CPC PAY STRUCTURE
PROJECTED  PAY STRUCTURE  FOR NEXT  (VII)  PAY COMMISSION
Name of Pay Band/ Scale
Corresponding Pay Bands
Corresponding Grade Pay
Entry Grade +band pay
Projected entry level pay using uniform multiplying factor` 3’
Band Pay
Grade Pay
Entry Pay
PB-1
5200-20200
1800
7000
15600-60600
5400
21000
PB-1
5200-20200
1900
7730
15600-60600
5700
23190
PB-1
5200-20200
2000
8460
15600-60600
6000
25380
PB-1
5200-20200
2400
9910
15600-60600
7200
29730
PB-1
5200-20200
2800
11360
15600-60600
8400
34080
PB-2
9300-34800
4200
13500
29900-104400
12600
40500
PB-2
9300-34800
4600
17140
29900-104400
13800
51420
PB-2
9300-34800
4800
18150
29900-104400
14400
54450
PB-3
15600-39100
5400
21000
29900-104400
16200
63000
PB-3
15600-39100
6600
25530
46800-117300
19800
76590
PB-3
15600-39100
7600
29500
46800-117300
22800
88500
PB-4
37400-67000
8700
46100
112200-20100
26100
138300
PB-4
37400-67000
8900
49100
112200-20100
26700
147300
PB-4
37400-67000
10000
53000
112200-20100
30000
159000
HAG
67000- (ann increment @ 3%) -79000
Nil


201000
HAG+ Scale
75500- (ann increment @ 3%) -80000
Nil



226500
Apex Scale
80000 (Fixed)
Nil



240000
Cab. Sec.
90000 (Fixed)
Nil



270000