No.NC/JCM/2024                                                                                                            Dated: June 25, 2024

The Finance Secretary

Ministry of Finance,

(Government of India),

North Block,

New Delhi

Respected   Sir,

Sub: Consideration of the important issues of the Central Government Employees – Reg.

I, on behalf of Staff Side of the National Council(JCM), wish to draw your kind attention towards the undernoted significant issues of the Central Government Employees, which are creating serious sense of disappointment amongst them and agitating their mind, and need to be finalized by the Government, with the fervent hope that the same would be addressed on priority.

1.                   Restoration of the “Defined and Guaranteed Pension Scheme” in place of National Pension System(NPS) for the Government Employees appointed on or after 01.01.2004

We have thorough discussion with the Committee constituted by the Government of India, under your Chairmanship,  to review the Pension System for the Government Employees. We had been hopeful that, as per our demand, the Government will decide that, 50% of the salary will be paid as “Pension” with neutralization of Dearness Allowance, so that, life of the pensioners should not be miserable.

We had thought that this committee will submit its report to the Government and the employees, appointed after 01.01.2004, will get relief, however, it is quite unfortunate that, up till now, nothing fruitful has been done in this regard.

It is, therefore, requested that the issue, which is creating lot of mental agony and anguish in the Government Employees, particularly Railway Employees, where large-number of Loco Pilots running trains as “Frontline Staff”, are always feeling aggrieved, should not be forced to work under depression, which may cause train accident and can be a potential threat to Rail Safety.  

2.                   Constitution of the 8th CPC

The Government of India appointed 7th Central Pay Commission in the year 2014, and it was assured that the Pay Commission would finalize its recommendations within 18 months’ time. Accordingly, 7th CPC submitted its report to the Government on 19th November, 2015. Subsequently, the Government constituted a “High Level Committee” to examine the recommendations of the 7th CPC for implementation thereof. The Central Government Employees were highly disappointed on certain important recommendations of the 7th CPC, and the first was “Minimum Wage”, while the other was “Fitment Formula” for Fixation of Pay in the 7th CPC. It was just after serving of Strike Notice for “Indefinite Strike”, the Government invited the Staff Side/National Council(JCM) for holding discussion, and the entire issue was discussed with the Group of Ministers, in a meeting held on 30th June, 2016 at the residence of Shri Rajnath Singh, the then Hon’ble Home Minister(Govt. of India), wherein the then Hon’ble Finance Minister, Shri Arun Jaitley, Hon’ble Minister for Railways, Shri Suresh Prabhakar Prabhu and Hon’ble MoSR, Shri Manoj Sinha, were also present, whereupon it was assured that the Government would consider these two aspects in a positive manner. However, Minimum Wage continues to be Rs.18,000 against duly justified demand, based on Aykroyd Formula, for Rs.26,000, and  Fitment Formula has also not been improved as assured by the GoMs in the meeting held with the Staff Side(NC/JCM) on 30.06.2016.

Now, after the end of the COVID-19 Pandemic situation, revenue collection of the Government has improved remarkably and the GDP growth of the country is also ranging between 5-6% as of now. The GST collection has also shown a steep increase and has been around Rs.2 lakh crore during the preceding month. Income Tax collection has also been around Rs.10 lakh crore during the previous financial year, and the entire Tax collection was around Rs.14 lakh crore. Actual expenditure on Wages and Allowances of the Government Employees is around 7.3% of the total revenue expenditure of the Central Government and the expenses on Pension is around 4% of the total revenue expenditure.   

The 7th CPC, under para 1.22 of its report had recommended as under:-  

1.22      “It is also recommended that the matrix may be reviewed periodically without waiting for the long period of ten years. It can be reviewed and revised on the basis of the Aykroyd formula which takes into consideration the changes prices of the commodities that constitute a common man’s basket, which the Labour Bureau at Shimla reviews periodically.  It is suggested that this should be made the basis for revision of that matrix periodically without waiting for another Pay Commission”.

Regrettably, the above recommendation of the 7th CPC remains Non-Accepted, with the result that, while Consumer Price Index has increased remarkably, as a result of which Dearness Allowance/Relief has already reached to 50% w.e.f. 01.01.2024, but no revision of the Matrix has taken place till date.   

It would not be out of context to mention here that, conventionally there has been practice of revising  Wages and Advances of the Central Government Employees by appointing Central Pay Commission at an interval of 10 years during the last five decades as per practice in vogue. The recommendations of the 7th CPC were also implemented w.e.f. 01.01.2016 and Dearness Allowance having been crossed 50% in January, 2024, there is gross justification for constitution of the 8th CPC to consider and recommend revision of the Wages and Allowances of the Central Government Employees, that should take effect from 01.01.2026 as per previous practice in vogue.

I would, therefore, request you to personally intervene in the matter, so that, 8th CPC is appointed without any further delay.

3.                   Creation of additional posts in commensurate with increased workload in Indian Railways

Your goodself is well aware that the Indian Railways, the second line of the Defence of the country, is the cheapest, convenient and safe mode of transportation of passenger and freight in this country and operate round-the-clock 24X7 throughout the year in all weathers and odd and peculiar conditions for overall development of the country over the years.

With tremendous increase in the population of the country, an urgent need has always felt to expand and increase Railway Service to cope-up with enhanced requirement of the Railway Customers, for which new trains are regularly introduced. Doubling and tripling of railway tracks is a regular process and electrification of the entire railway track is the prime objective of the Government, as a result of which, majority of railway track has been electrified. Semi-High Speed and High Speed Trains are also on priority of the present Government.

It may also be appreciated that, majority of the categories of Non-Gazetted Cadre in Indian Railways are uncommon and are totally involved in maintenance and safe operation of the Indian Railways.  With the increase in workload, caused due to introduction of new train services(both passenger and freight), addition of new tracks and other infrastructure and rolling stocks, doubling and tripling of railway tracks, electrification of majority of routes, unconventional requirement  creation of additional posts in Mechanical, Electrical, S&T, Civil Engineering and Operating and Commercial Categories of the Indian Railways, without which safe and efficient train operation cannot be imagined. Thumb rule of “Matching Saving” for creation of additional posts is absolutely impracticable in case of the Indian Railways being a round-the-clock operating system.

It would, therefore, be quite appropriate and in the larger interest of safe and efficient Rail operation that the Ministry of Railways be permitted to create additional posts, in commensurate to additional workload and providing requisite manpower for enhanced workload due to addition of new trains and infrastructure.

4.       Filling-up of vacancies

A large-number of vacancies are existing in almost all the Government Departments, causing lot of frustration among the existing staff because of increased workload. It is, therefore, requested that, all such vacancies should immediately be filled-up.

We sincerely hope that, the above-mentioned important issues of the Central Government Employees would attract your kind attention and will be considered favourably. 

     Yours faithfully,

(Shiva Gopal Mishra)

 Secretary(Staff side)

√Copy to: All Constituents of the NC/JCM(Staff Side) – For information.