MINUTES OF THE MEETING OF NATIONAL ANOMALY COMMITTEE HELD ON 12th DECEMBER, 2009

A meeting of the National Anomaly
Committee (NAC) was held on 12th December, 2009 in
Conference Room No.119, North Block,
New Delhi under the Chairmanship of
Secretary (Personnel). A list of
participants who attended the meeting is annexed.

2. At the outset, the Chairman welcomed the representatives of
the Staff Side and Official Side. The
Chairman stated that the recommendations
of the 6th CPC have been implemented with certain modifications. While
processing the Report, the Committee of Secretaries also consulted the
Staff Side. As decided by the Cabinet at
the time of approving the Report of the Sixth CPC, instructions have been
issued for setting up of Anomaly Committees at the National as well as
Departmental Level in order to ensure the resolution of anomalies. The
Chairman informed that the National Anomaly Committee would discuss the
anomalies common to two or more Departments and anomalies pertaining
to common categories of employees. Further, he indicated his firm
belief as well as conviction that all the anomalies can be resolved through
the consultative process. The Chairman also informed that the next (46th)
meeting of the National Council (JCM) has been scheduled to be held on 16th
January, 2010 under the Chairmanship of Cabinet Secretary.

The Chairman also reiterated the resolve of the
Government to maintain a sustained
level of contact with the Staff Side in order to take forward the
process of consensus building and collaborative endeavour to achieve the
goals of higher productivity, efficiency and staff welfare. Thereafter,
the Chairman invited the Leader and Secretary of Staff Side to say a few words.

3. Leader of the Staff Side Shri M. Raghaviah thanked the Chairman
and conveyed the appreciation of the Staff Side for convening the meeting of
the National Anomaly Committee. He further stated that the opening address of
the Chairman conveyed the right message and stated that all anomalies can be
resolved in a peaceful fashion. He thanked the Government for all the
improvements over and above the recommendations of the 6th CPC and
stated that there are certain areas where there is some unrest with respect
to implementation of the recommendations of the 6th CPC and requested the
Chairman that all such issues should be resolved as soon as possible. He once
again thanked the Chairman and reiterated the resolve of the Staff Side for
cordial and healthy industrial relations.

4. Secretary of the Staff Side Shri Umraomal Purohit
reciprocated the sentiments expressed by the Chairman and indicated that all
the anomalies can be resolved through mutual discussion. He also thanked the
Chairman, for not only for convening the first meeting of the NAC at such
a short notice, but also taking initiative in scheduling the next
meeting of the National Council (JCM) on 16th January, 2010. He mentioned
about the long delay in convening the meeting of the National Council but also
stated that he hoped that from now onwards things would change for the better.
Secretary, Staff Side drew the attention of the Chairman towards
non-functioning / delays in holding the meetings of the Departmental
Councils in various Ministries/Departments. Emphasising the importance of
the Departmental Councils in the Scheme of Joint Consultative Machinery
and Compulsory Arbitration, Secretary of the Staff Side stated that
some way out has to be found to ensure that Departmental Councils
work properly in all Ministries/Departments and its meetings are held
regularly. While complimenting the Government for timely implementation of
the recommendations of the 6th CPC, Secretary of the Staff Side stated
that the definition of the anomaly which was adopted earlier has been
altered this time which may lead to certain problems. He also stated that
the Report of the 6th CPC is not like the earlier reports and the new
format recommended by the 6th CPC is being gradually adopted. He also
referred to certain issues like Risk Allowance (RA), Patient Care
Allowance and Fixed Medical Allowance (FMA) for pensioners and requested
that final orders on these issues may be issued only after discussing the
same with the Staff Side. Secretary of the Staff Side also drew the attention
of the Chairman towards certain benefits like
maternity leave, child care leave and stated that the same have not been
extended as yet to the women industrial employees and requested for early
action in this regard. Secretary of the Staff Side also complimented the
Government with respect to the setting of the
Fast Track Committee and stated that the Fast Track Committee has
resolved long standing problems of the employees. He once again thanked the
Chairman for convening the meeting of the NAC and for giving him an opportunity
to express his feelings.

5. The Chairman stated that Government also understand that the
report of the 6th CPC is different and was of the view that there is a need
for greater dissemination of information on the recommendations of the
6th CPC. Accordingly, he requested the Staff Side for a list of
questions /issues on which more information is required so that the Government
can prepare a list of Frequently Asked Questions (FAQs) and put the same on the
web site for, increasing awareness etc. The Chairman also assured to take
necessary steps to ensure that meetings of the Departmental Councils
of various Ministries / Departments are held regularly. Regarding the
definition of an anomaly, the Chairman opined that this should not lead to any
problems and stated that official side is open to examining the matter if it is
found that there is indeed a case. The Chairman also requested the Staff
Side to forward issues which could have become anomalies had the said
para not been deleted for further examination of the same.

6. Thereafter, the anomalies as per the agenda were taken
up for discussion:

Agenda Item Nos. 1 to 4-
Anomaly in Pay Fixation in case of merqer of various Pay Scales.

As the anomalies mentioned at item No.1 to 4
represented similar items, it was decided to club the four items
together. The Staff Side demanded that since the pre-revised
Pay Scales of Rs.5000-80001-,
Rs.5500-90001- were merged with the pay scale of Rs.6500-10500, the pay of
the incumbents holding the pay scales of Rs.5000-80001- and Rs.5500-9000
should have been fixed with effect from 1.1.2006 by applying the
multiplying factor of 1.86 at Rs.65001. The Staff Side stated that the
intention of the Pay Commission was to upgrade the two pay scales and merge
them with the higher pay scale of Rs.6500. Therefore, denying the
benefit of higher pay scale to the concerned employees is not justified. Joint
Secretary (Pers), Department of Expenditure stated that this issue was
raised by the Staff Side before the Committee of Secretaries set up by the
Government to process the Report of the Sixth CPC. Further, JS (Per)
informed that pay fixation in the revised pay structure has been done strictly
in accordance with the fixation tables given in the Report of the 6th
CPC (with suitable modifications due to change in fitment factor from
Rs.1.74 to 1.86) and therefore, this could not be termed as an anomaly. She
further stated that all the employees in the pre-revised Pay Scales of
Rs.5000-8000 and Rs.5500-9000 were given the uniform fitment benefit @ 40% of
the maximum of the pay scale of Rs.6500-10500, i.e., 40% of Rs.10500 as Grade
Pay. In case the merger of the pre-revised pay scales of Rs.5000-8000 and
Rs.5500-9000 with Rs.6500-10500 had not been recommended by the Pay
Commission, then the fitment benefit granted to the Government servants
who were in the pre-revised scales
of Rs.5000-8000 and Rs.5500-9000 would have been much lesser i.e. 40%
of Rs.8000 and Rs.9000 respectively. JS (Per) also clarified that the paras
in the text of the Report should be read in conjunction with the fitment tables
as they are not independent of each other. The fitment tables have been
incorporated for the first time in a Report of the Central Pay Commission
and are very much part of its recommendations. However, the Staff Side
insisted that from the phraseology of the report of the 6th CPC, it is evident
that the intention of the Pay Commission was to upgrade the two pay scales and
pay fixation done merely on the basis of the fixation table given in the report
of the 6th CPC cannot be an excuse to justify the denial of benefit on this
ground to the concerned employees. The Staff Side reiterated that it was an
anomaly precisely for the reason that vide Para 2.2.19, the 6th CPC has
stated unambiguously that where pre revised pay scales have been merged
it has been done by extending the minimum prescribed for the highest pay scale
with which the other pay scales are being merged. However, the pay band has
been fixed with reference to the minimum of the lowest pay scales which
have been merged. The Chairman, while reiterating that the tables are very
much part of the recommendations of the Pay Commission, suggested that
Ministry of Finance, Department of Expenditure may look into this issue
further.

Agenda Item No.5- Revised
Pay Rules

(i) The Staff Side stated that since the 6th CPC has introduced
the new system of Pay Bands and Grade Pay, there was a lot of confusion among
the employees in deciding about the option for switching over to the revised
pay scales. Accordingly, Staff Side demanded that the first option exercised
may not be treated as final and one more option should be given to the
employees. Officers of Department of Expenditure informed that all the cases of
revision of option in relaxation of CCS (RP) Rules, 2008 referred to them
had been agreed to by them. However, JS (Pers) agreed to look into
the matter regarding delegation of powers to the administrative ministries
to allow the options.

(ii) Regarding reckoning of Special Allowances and
Qualification Pay at the time of fixation of pay in the revised pay
structure, the Staff Side demanded that the same should have been taken into
account while fixing the revised pay of the concerned Government servants. JS
(Per) stated that this was not provided for in the CCS (RP) Rules, 2008. In
this context, Members of Staff Side demanded that Rule should be modified to
allow reckoning of Special Allowances Qualification Pay. JS (Per) enquired
about the procedure followed at the time of implementation of Fifth Pay
Commission’s recommendations. Responding to this, Staff Side stated that
an item pertaining to reckoning of such allowances / pay for the purpose of
pay fixation after Fifth CPC was pending in the Standing Committee of
the National Council. In this context, JS (Per) observed that CCS (RP) Rules,
2008 have no provision for this purpose and there is no precedent on the matter
since the item raised by Staff Side after implementation of Fifth CPC’s
recommendations is still pending in the Standing Committee, logically
the present issue could be taken up depending on the final decision on the item
pending in the Standing Committee.

(iii) It was noted that this part has already been
discussed as it relates to agenda item Nos.1 to 4.

(iv) Regarding anomaly in fixation of pay between direct
recruits and promotees, the Staff Side argued that while applying Rule 8 of the
CCS (RP) Rules, 2008, the pay of direct recruits and new entrants is fixed at
a higher stage when compared to the existing employees who were promoted in
the same grade. The Staff Side demanded that this anomaly should be rectified
by incorporating a provision that in case after 1.1.2006, if a promotee’s pay
is getting fixed at a stage lower than that of a direct recruit as given in
Section 2 of the First Schedule of the CCS (RP) Rules, then the pay of
the promotee should be fixed at the same stage as that of a direct recruit/
new entrant so that the existing employees pay is protected at par with the pay
given to a new entrant. JS (Pers) stated that the pay of the new entrants is
being fixed strictly in accordance with the principles laid down by the 6th
CPC in this regard. In case where a promotee and post 1.1.2006 direct
recruit are borne on the same seniority list and the senior is drawing less
basic pay than the junior, the pay of the senior can be stepped up. The Staff
Side argued that it was not the intention of the 6th CPC to grant higher
pay to direct recruitees vis-a-vis promotees and also stated that
stepping up of pay is not being allowed in many Ministries1 Departments
in such matters. The Staff Side further stated that the pay granted to the
fresh entrant is the deemed minimum pay of the post and no promotees can be
fixed below the minimum pay of the post to which he is promoted on
regular basis. The Chairman suggested to the Department of Expenditure to
re-examine the matter.

(v) Regarding the date of annual increment, the Staff Side
argued that since the date of increment of all the Central Government employees
has been fixed as 1st of July of every year, the employees whose increment dates
are between 1st February 2006 and 1st June 2006 have to wait for more than 12
months for their first increment after the implementation of the
recommendations of the 6th CPC. The Staff Side argued that this situation is
quite anomalous since this will affect the employees who retire during
the period between 1st February to 3oth June every year. They will suffer a
loss of one increment perpetually and thus affecting their pension. The Staff
Side demanded that the employees, whose increment falls between 1st February
to 1st June, 2006, may be given an increment on 01.01.2006 as a
one-time measure. JS (Per) intimated that as per the recommendation of Sixth
CPC in the matter, which has been accepted by the Government, now there is
only one day in the year, i.e., 1st of July of every year, for the purpose
of granting annual increments. Further, it was stated that as far as cases of
promotions that took place between 1st of January and 30th of June
are concerned, instructions have already been issued that in such
cases, Government servants have the option to have their pay fixed under FR
22(l)(a)(I). As per this, they will be granted two increments on 1st July,
one annual increment , and the other on account of promotion. Regarding
employees who retire during the period between lst February to 30^th
June every year, it was intimated that even prior to 01.01.2006, there were
cases where the date of superannuation of a Government servant could be just one
day prior to their DNI. Even at that time, there was no system to grant an
additional increment to Government servants in such cases. Regarding the
demand of the Staff Side that the employees whose increment falls between
1st February to 1st June, 2006 may be given an increment on
01.01.2006 as a one-time measure, JS (Per) stated that the issue will be
looked into keeping in view its repercussions and a final view on the matter
will be taken after factoring the likely repercussions. The Staff Side further
stated that the Revised Pay Rules in relaxation of F.R. are meant only for
the purpose of fixing the pay in the revised Pay scales. It has no
application thereafter. It is on this specific understanding that the
staff side had demanded the one time relaxation as otherwise the one
time relaxation would not address similar issues of future recruitees and
promotees. The Official Side contended that the Revised Pay Rules would override
the provisions of the Fundamental Rules permanently. The Staff Side then
contended that an increment has to be granted on completion of one year
service. It must not be postponed except on award of a penalty on
initiation of disciplinary proceedings. After some further discussion,
the official side agreed to reconsider this matter.

(vi) The Staff Side agreed to drop this part relating to
deduction of tax from salary.

(vii) The Staff Side stated that as per the existing
scheme the temporary status employees have been granted the minimum of
the corresponding scale of pay of regular employees (with benefit of
annual increments). Therefore it would be necessary that these employees if
they are non matriculates are given the requisite training and the benefit of
fixation of pay at Rs.7000/- (with grade pay of Rs.1800 with effect from 01
.01.2006. The Secretary, Staff Side pointed out that in respect of those who
have retired / die during the period between 1.1 .2006 and 1.9. 2008 it would
not be possible to impart training to them. He, therefore, suggested,
referring to his letter in this regard that they may be given the benefit of
Grade Pay of Rs.1800 with effect from 1.1.2006. Regarding granting of
temporary status to casual labourers, JS (Pers) informed that Department of
Expenditure had already rendered their advice in the matter to JS (E), DoPT.
Further action is to be taken by DoPT.

Agenda Item Nos.6 &
7-Benefit on Promotion

The Staff Side stated that prior to implementation of
the recommendations of the 6th CPC while on promotion, the employees used to
get the benefit of almost two increments subject to a minimum benefit
of Rs.100. However, after the implementation of the recommendations of the
6th CPC, the promotion benefit is restricted to one increment, i.e.,
three percent of the lower pay band and grade pay. The Staff Side demanded that
there should be at least a benefit of two increments while on promotion. JS
(Pers), while reminding that this issue was also raised by the Staff Side
before the Committee of Secretaries set up by the Government to process the
Report of the Sixth CPC, stated that this was not an anomaly in terms of the
definition of the anomaly. Further, she stated that as per the recommendations
of Sixth CPC, in addition to 3% increment, the difference of grade pay also is
given to the employee while on promotion and hence there is no
justification in the demand of the Staff Side. The Staff Side argued that in
the case of PB-I, the difference of grade pay is Rs.100 to Rs.400 only
and in PB-2, the difference of grade pay is Rs.200 to Rs.400 only.
Therefore the Staff Side demanded that two increments while on promotion
are fully justified. However, JS (Per) stated that since this was not
an anomaly, Staff Side should raise this matter outside the forum of
National Anomaly Committee

Agenda Item No.8-
Re-fixation of pension and family pension

Director (Pension) informed that the Dearness Relief is
admissible toall categories of Central Government pensioners1 family
pensioners. Therefore, it was agreed that the item may be treated as closed.

Agenda Item No.9-Paritv in
Pension

Regarding anomaly in the pension for Government
servants, who retired / died in harness between 1.1.2006 and 1.9.2008,
Director(Pension) informed that Department of Pension and Pensioners Welfare
has already clarified vide its O.M dated 11/12/2008 that the provision
of payment of pension at 50% of the emoluments (pay last drawn or
50% of average emoluments received during the last ten months, whichever is
more beneficial to the retiring employee, shall be applicable to all
Government servants retiring on or after 1.1.2006. Therefore, it was agreed
that the item may be treated as closed. The Staff side also drew the
attention of the Chairman towards difficulties being faced by many
pensioners in getting the second instalment of the arrears of pension. The
Chairman assured the staff side that he would take up the matter with the
Department of Financial Services and also instructed Director (Pensions) to
ensure that the problem is sorted out at the earliest.

Agenda Item
No.10-Cornrnutaion of Pension

The Staff Side dropped this item

Agenda Item No.15, 16 & 17
-Parity in Pension to all Pensioners

Regarding parity in pension of all pre 1996 retirees with
those who retired on or after 1.1.1996, the Staff Side stated that the
pensioners were not given parity in pension irrespective of the date from
which they had retired. The Government in the past have accepted the
principle that there shall be parity in pension irrespective of the date
from which they had retired. The benefit was given while implementing the
5th CPC recommendations. The Staff Side further stated that the 6th
CPC in para 5.1.47 has stated that in order to maintain the existing
modified parity between present and future retirees it will be
necessary to allow the same fitment benefit as is being recommended
for the existing Government employees. However, while implementing the
6th CPC, the pensioners who retired prior to 01.01.2006 were given only
40% of the basic pension where as the serving employees were given 40% of the
maximum of their pay scale. The Staff Side, therefore, demanded that the
pensioners should be granted 50% of the Grade Pay in the scale from which
they had retired by way of fitment benefit and not 40% of basic pension.
JS (Pers) informed that as per the recommendations of Sixth CPC, modified
parity had already been granted to all pre-01.01.2006 pensioners.
Consequent upon the implementation of Sixth CPC’s recommendations
regarding pension, all pre-01.01.2006 pensioners have been granted fitment
benefit equal to 40% of their pre-revised basic pension, subject to the revised
pension, in no case, being fixed lower than fifty percent of the sum of the
minimum of the pay in the pay band and the grade pay thereon
corresponding to the pre-revised pay scale from which the pensioner had
retired. At this, the Staff Side argued that a reading of the
recommendation of Sixth Pay Commission on the matter indicated that the
intent of the Pay Commission was to grant modified parity to pre-1.1.2006
pensioners by allowing same fitment benefit as is being recommended to the
existing Government employees subject to the provision that revised pension
shall not be lower than 50% of the minimum of the pay in the pay
band prescribed for the grade pay and the sum of the grade pay corresponding
to the pre-revised pay scale from which the pensioner had retired. On the other
hand, the Government had approved modified parity with reference to the
minimum of the pay band plus the grade pay which is not consistent with the
recommendation of the Sixth CPC. Officers of Department of Expenditure
stated that this was not the intent of the recommendation of the Pay
Commission. After some discussions, the staff side requested the official side
to examine the matter once again.

Agenda Item no 27-Constant
Attendance Allowance

Director (Pensions) informed the Members of the
Committee that suitable instruction have already been issued vide O.M.
No.45/6/2008-P&PW dated the 7th December, 2009. Therefore, it was agreed that
the item may be treated as closed.

7. It was decided that the remaining items shall be taken up for
discussionin the next meeting of the National Anomaly Committee. ,