The Allowance Committee Report submitted today to the Finance Minister
The
Committee on Allowances headed by Shri Ashok Lavasa, Finance Secretary
and Secretary (Expenditure) submitted its Report to the Union Finance
Minister Shri Arun Jaitley yesterday; The Report will be now placed
before the Empowered Committee of Secretaries (E-CoS) to firm-up the
proposal for approval of the Cabinet.
The
Committee on Allowances, constituted by the Ministry of Finance,
Government of India to examine the 7th CPC recommendations on
Allowances, submitted its Report to the Union Finance Minister Shri Arun
Jaitley yesterday. The Committee was headed by Shri Ashok Lavasa,
Finance Secretary and Secretary (Expenditure),M/o Finance, Government of
India and had Secretaries of Home Affairs, Defence, Health & Family
Welfare, Personnel & Training, Post and Chairman, Railway Board as
its Members and Joint Secretary (Implementation Cell) as its Member
Secretary.
The Committee was set-up in pursuance of the Union Cabinet decision on
29.06.2016 when approving the 7th CPC recommendations on pay, pensions
and related issues were approved. The decision to set-up the Committee
was taken in view of significant changes recommended by the 7th CPC in
the allowances structure and a large number of representations received
in this regard from various Staff Associations as well as the
apprehensions conveyed by various Ministries / Departments. The 7th CPC
had recommended that of a total of 196 Allowances, 52 be abolished
altogether and 36 be abolished as separate identities by subsuming them
in another allowance.
The Committee took note of all the representations received from various
stakeholders on the 7th CPC recommendations on Allowances.
Representations and demands for modifications were received in respect
of 79 allowances which have been examined in detail by the Committee. In
doing so, the Committee interacted with all the members of the Standing
Committee of National Council (Staff Side), Joint Consultative
Machinery (JCM) as well the representatives of various Staff
Associations of Railways, Postal employees, Doctors, Nurses, and
Department of Atomic Energy. It also interacted with the representatives
of the Defence Forces, DGs of Central Armed Police Forces (CAPFs)
namely CRPF, CISF, BSF, ITBP, SSB, and Assam Rifles as also senior
officers from IB and SPG to understand the viewpoint of their
personnel. As mentioned in the Report, the Committee held a total of 15
meetings and was assisted by a Group of Officers headed by Additional
Secretary (D/o Expenditure) in examining the representations.
Based on such extensive stakeholder consultations and detailed
examination, the Committee has suggested certain modifications in the
7th CPC recommendations so as to address the concerns of the
stakeholders in the context of the rationale behind the recommendations
of the 7th CPC as well as other administrative exigencies. Modifications
have been suggested in some allowances which are applicable universally
to all employees as well as certain other allowances which apply to
specific employee categories such as Railway men, Postal employees,
Scientists, Defence Forces personnel, Doctors and Nurses etc.
The Report, now being examined in the Department of Expenditure,
Ministry of Finance, will be placed before the Empowered Committee of
Secretaries (E-CoS) set-up to screen the 7th CPC recommendations and to
firm-up the proposal for approval of the Cabinet. It may be recalled
that while recommendations of the 7th CPC on pay and pension were
implemented with the approval of Cabinet, allowances continue to be paid
at old rates. After consideration by the E-CoS, the proposal for
implementation of 7th CPC recommendations on Allowances after
incorporating the modifications suggested by the Committee on Allowances
in its Report shall be placed before the Cabinet for approval.
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