Suggestions - Federation of Railway Officers' Association
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Sixth Central Pay Commission:Suggestions
User Name: Federation of Railway Officers' Association New Delhi
Comparison with public/private sectors
Should there be any comparison/parity between pay scales and perquisites in Government and the public/private sector?
Comparison is inevitable when we live in an open, modern society. Further, in the job market if the Government wants to obtain and retain talent, comparison is called for, if not parity. Previous pay commissions had taken into account the prevailing salaries in the private sector while considering payscales. While it is accepted that private sector employees function under a different matrix of work conditions, along with a different set of incentives, it is argued that disparity in emoluments should not widen to such an extent that requisite merit/talent to ensure good governance gets compromised.
Is it possible to quantify all other benefits, excluding pay, derived by employees in Government and the public and private sectors from security of tenure, promotional avenues, retirement packages, housing and other invisibles? In view of these benefits, can there be any fair comparison between the salaries available in the government vis-à-vis the salaries in the private sector?
Exact Quantification may not be possible, but a rough comparison is possible, especially with the public sector, even if not with the private sector.
In order to ensure a fair comparison based on principles of equity and social justice, would it not also be appropriate to take into account the economic conditions of large sections of the community that are less privileged than Government employees and many of whom live below the poverty line?
Economic conditions of the large sections of community is indeed to be taken into account to ensure equity and social justice.Again, the Government's endeavor is to alleviate poverty and economic distress, and never to perpetuate them. The role of Government and its servants is to raise the economically weak. But only talented, knowledgeable and the best among the pool of eligible candidates, if join the Govt., can raise the weak. Hence, there is a need to economically empower Government servants. Further, Government is not a 'doler of employment'. Far from it, Governments are concerned with Citizens' collective well being. From a doler of Employment, Government should be seen as a model employer displaying a balance of equity & equality
International comparisons
Some countries have raised civil service pay scales almost to levels prevalent in the private sector on the hypothesis that a well-paid bureaucracy is likely to be honest and diligent. To what extent would such a hypothesis be valid and how far would such a course of action be desirable?
The hypothesis may be valid. But it has to be qualified by the often observed phenomena that corruption is driven by 'greed' and not 'neejd'. The Government shall have to ensure by effective control & monitoring mechanisms that a well-paid bureaucracy remains honest, i.e. after paying the Government servants well, stringent punitive sanctions be envisaged to weed out unhealthy practices/ corrupt Govt. servants.
Impact on other organizations
Salary structure in the Central and State Governments is broadly similar. The recommendations of the Pay Commission are likely to lead to similar demands from employees of State Governments, municipal bodies, panchayati raj institutions & autonomous institutions Their paying capacity is considerably limited. To what extent should this factor be considered in devising a reasonable remuneration package for Central Government employees?
This is a very pertinent question. Salary of the federal Government Servants ought to be higher than that of States because of i) All India transfer liabilities ii) Central Government servants are involved in policy formulation and providing broad guidelines. Their focus is broad and wide. Such an approach calls for talent and ability. Hence to attract and retain the best talent, the compensation package should be higher. iii) Panchayati Raj/Municipal bodies are involved in routine day-to-day activities and their functions cannot be compared to that of policy level initiatives of the Central Government. iv) Salary and competence of the federal structure should always be higher than that of federating units. This is true in all federal democracies. v) In view of the reasons cited above, the Sixth Pay Commission should unequivocally advocate against extending central parity to State Government and lower level bodies.
Salaries
How should we determine the salary to be paid to a Secretary in the Central Government? Please suggest an appropriate basic pay for a Secretary? Can appointment to this post be made on a contractual basis where salaries and tenure are linked to the performance in terms of achieving defined targets?
This reply is basically concerned with the overall structure and not the basic pay of a single post. Though having a contractual tenure looks attractive and professional in theory, in practice, such a contractual tenure can be used by politicians and others to pressurize senior officers. Keeping in view the socio- political environment prevailing in the country, it is not desirable to have contractual appointment of secretaries. It would further tilt the balance of power against bureaucracy. More often than not, it may not deliver desired outcomes as probability of such contractual appointees succumbing to the irrational desires of political masters and other extraneous centers of power in order to enjoy their contractual tenure peacefully or may be to get it extended is very high. However, for some technical/specialized short term assignments, where the outcomes are quantifiable, appointment can be done on contractual basis.
What should be the reasonable ratio between the minimum and the maximum of a pay scale?
The concept of ni^iwteining ratio between the minimum pay scale and the maximum pay scale is outdated in the present environment of globalization. There is a need for efficient, responsive Government, which is sensitive to the requirement of the citizens. The job content, skill set required, performance parameters required at the lowest level and at the highest level are very different. The compensation level has to be linked to the contribution of the post in terms of productivity and contribution made to the performance of the organization. There is no such ratio in the private sector. The job content, skill set required and responsibility attached to the post of CEO is very high, hence presently the pay scale/compensation, at the higher levels is very high and is no way linked to the lowest level of posts. The abysmally low and anachronistic pay scales in the Government at present have led to the talented persons opting for much greener areas in the private sector instead of joining Government. This is also leading to the rising turnover of officers at the higher levels. The attrition rates at the lower and middle levels of Group A services are going up, because the private sector /MNCs are able to lure away the talented officers with lucrative pay packages. In the United Kingdom also, this concept has been done away with, where the compensation at the higher level, is at par with the private sector. Moreover, the compensation at the lowest level is higher than that prevalent in the private sector. Broadly speaking a fresh Group 'D" entrant earns (unskilled labour) is about Rs.3000/-. At the same time, the difference between Govt. and private sector at the top level is roughly 20 times. We have seen that for recruitment to a few thousand posts, the number of applications at Group D level, reaching staggering 20 lakhs. International Comparison The Singapore Government as a part of reforms of Civil Services have granted pay scales to civil servants, comparable to that of the Private Sector, which has contributed to a great extent in improving the efficiency and performance of the Government. This has drastically reduced the level of corruption in the Bureaucracy. Today Singapore is ranked among the top ten least corrupt country in the world. Similar model is being attempted in the Malaysia and New Zealand. Notwithstanding above, the present ratio between minimum and maximum is 1:10, a significant reduction over the decades. There should be enough remuneration to those who work. Hence it can be rationalized to about 1:15. Further, third pay commission had recommended a ratio of 1:21 (lowest pay scale Rs160 and highest Rs 3500), which should be progressively achieved. The ratio is also indicative of the scale of progress that one can achieve in one's service career
Is it necessary to persist with a pre-determined minimum-maximum ratio on ideological considerations? Or is it more important to ensure efficient administration by preventing flight of outstanding talent from Government?
Pre determined minimum-maximum ratio on ideological considerations is detrimental to ensuring talent in Government departments. Efficiency in administration is the need. If talented people are to be attracted and retained by the government, they need to paid higher, especially group A officers. Further, a ratio is 'indicative' of the progress one can achieve by remaining in Government service, i.e., it indicates that sustained hard work and stability, one can increase one's earnings by a reasonable figure over a span of 2-3 decades.
Relativities
Employees in the Secretariat and analogous establishments are entitled to higher pay scales than the corresponding field functionaries. This was supposed to compensate them for the loss of certain facilities available to them in field assignments and the extra effort required for decision-making at the policy level. Are these factors valid even today particularly in the context of decentralization and devolution of administrative powers? Is this discrimination between field and secretariat functionaries even justified today?
These factors are no longer valid today. There should not be any discrimination between field level and Secretariat level offices as they are performing the same kind of job.
Group-A Services
Is there a case for a Unified Civil Service, merging therein all Central (both technical and non-technical) and All India Services, allowing vertical and horizontal movement ? Or should there be two distinct streams, one embracing all the technical services and the other for non-technical services?
There is a case for Unified Civil Service and thus unified pay scales and perks to all Group 'A' officers. All group 'A' officers who come through UPSC, be merged to a single service. The reasons are as follows: i) They are recruited through the same body. ii) hold mainly administrative/managerial/policy formulation involving assignments from middle management level onwards in their departments, iii) They are involved in policy formulation of the Government. Such a step would allay misgivings among services - It is the first step to end perceived disparity among services and render equal treatment to all the services. However, the need for specialization can not be ignored and therefore based on their academic background and experience they can be deployed cutting across sectors for middle level/senior level general assignments.
Do you feel that the pattern of pay scales for all Group A Services should be redesignated so as to attract candidates of the requisite caliber? Keeping in view some of the compensation packages being offered to fresh professionals by the private sector, what emoluments would you suggest for an entrant to a Group-A Service in Government?
Yes, it has to be redesignated but after keeping in view the overall framework. The detailed pattern of pay scales is dealt with in para 10.1&10.2 respectively, and it suggests that promotions may be delinked from the availability of posts, by making them time-bound. In money terms, keeping in view some of the compensation packages being offered to fresh professionals by the private sector, - the Minimum of the pay scale at the entry level of Gr. A should be fixed at 35,000/ p.m. and that at SAG level should be at £$,000/ p.m. (the present corresponding figures are 8, 000/ p.m. and 18,400/p.m.). Secretary's pay could be fixed at about 1.1 lakhs (the present figure is 26,000/ p.m). The reasons are-Government requires talent and it has to be willing to pay for that talent. The social cost of poorly paid Government servants having inferior talent is very high. And if you want higher talent, Government should also have to pay well. ii) The employment field is very competitive and talented youngsters have many options, with Government service being just another option. The days of unemployment of professionals are over. Now employers vie with one another to attract talented youngsters. Hence the Government's compensation package has to be higher so that it is not put to a disadvantage in hunting talent. iii) Compared to earlier days, youngsters joining Government departments only with 'service motive' is a rarity and that's the reality. iv) Government service should not become a nursery for experience and training so that officers subsequently leave the job in search of greener pastures. To attract and retain talent, along with salary, there should be built-in incentives for highly qualified people to join the Civil Services. Professionally qualified people joining the Services are an asset to the government and add to their value and profile. Towards this end, the government can consider give an incentive in the form of increments for professionally qualified people joining the Civil Services. Recognised professionals like doctorates/doctors/engineers/lawyers/CAs/ICWAs etc. from recognized Universities should attract 2 increments in their scale of pay. This should be continued in their entire service life so that the government can retain talent. It should be restricted to 2 such professional qualifications (i.e. 4 increments) at the entry level. As an incentive for them to continue their education and acquire knowledge in public interest, like MBA, masters in Public Affairs, PhD, etc,2 more increments could be given to each of the additional qualification so acquired. However it should be restricted to 6 increments in total. This will goad the employees to acquire more qualifications and broaden their perspective and deepen their understanding in their fields. A similar system exists in academics, where lecturers with PHD qualifications get 4 increments to be continued throughout their career.
Professional personnel
Should there be a higher compensation package for scientists in certain specialized streams/departments like Department of Space, Department of Atomic Energy? If so, what should be the reasonable package in their case?
No Comments.
Classification of posts
Presently, civilian posts in the Central Government are classified into four Groups (A, B, C and D) with reference to their scales of pay. The Fifth Central Pay Commission had recommended their reclassification into Executive, Supervisory, Supporting and Auxiliary Staff. Would you suggest any changes in the existing classification or should the classification recommended by Fifth Central Pay Commission be adopted with/without modifications?
The existing classification is fine enough. (To be read along with 9)
Restructuring of Group C & D posts
Should all lower Group C functionaries in the Secretariat be replaced by multi-functional Executive Assistants, who would be graduates and well versed in office work, secretarial skills and use of modern office equipment including computers? Should Similar arrangements can be evolved for Group C posts in other organisations of Government?
Group 'C functionaries be replaced by multifunctional executive assistants, who are graduates, well versed in office work. This will do away with the present day system of LDC, UDC, Stenographers, PAs etc. Such classifications are counter-productive as people refuse to accept the totality of functions in a unit. An arrangement of having multifunctional Executive Assistants will make the office premises healthy, functionally vibrant and above all, oriented towards service delivery. It will bring in responsive administration. Similar arrangements should be made Group 'C' in other organizations of the Government as well.
Should a similar regrouping of Group D staff into fewer categories capable of performing diverse functions also be carried out?
A similar regrouping of the Group D staff into fewer categories with multiskilling would be beneficial. It will help to reduce/rationalise Group 'C and Group 'D' employees in the Government.Instead of having multiple pay scale structures, Group A officers can be classified into 3 Grades - Junior Management, Middle Management and Senior Management Grades. Each of this could be a timescale, to be given irrespective of the availability of vacancies. This will lead to a delinking of pay and promotions, so that officers do not suffer financial disadvantage even if their cadre-management is poor. This will also rationalise multiple pay scales, and attendant issues of fixation etc. It will also do away with the need of cadre review/restructuring at regular intervals, which is a time consuming exercise.. A running scale would be preferable. In the running scale, higher pay could be given after one completes the specified no. of years. Accordingly they can be designated in their offices.
Pay Scales
How should a pay scale be structured? What is a reasonable ratio between the minimum and maximum of a pay scale?
Instead of having multiple pay scale structures, Group A officers can be classified into 3 Grades - Junior Management, Middle Management and Senior Management Grades. Each of this could be a timescale, to be given irrespective of the availability of vacancies. This will lead to a delinking of pay and promotions, so that officers do not suffer financial disadvantage even if their cadre-management is poor. This will also rationalise multiple pay scales, and attendant issues of fixation etc. It will also do away with the need of cadre review/restructuring at regular intervals, which is a time consuming exercise.. A running scale would be preferable. In the running scale, higher pay could be given after one completes the specified no. of years. Accordingly they can be designated in their offices.
The successive Pay Commissions have progressively reduced the number of distinct pay scales. The number of scales has therefore come down from more than 500 scales at the time of the Second Central Pay Commission to 51 scales before Fifth Central Pay Commission, which was brought down to 33 scales by the Fifth Central Pay Commission. The reduction in the number of pay scales brings in attendant problems like the promotion and the feeder grades coming to lie in the same pay scale, etc. Do you feel whether the existing number of pay scales should be retained or increased or decreased or whether the same should be replaced by a running pay scale?
Instead of having multiple pay scale structures, Group A officers can be classified into 3 Grades - Junior Management, Middle Management and Senior Management Grades. Each of this could be a timescale, to be given irrespective of the availability of vacancies. This will lead to a delinking of pay and promotions, so that officers do not suffer financial disadvantage even if their cadre-management is poor. This will also rationalise multiple pay scales, and attendant issues of fixation etc. It will also do away with the need of cadre review/restructuring at regular intervals, which is a time consuming exercise.. A running scale would be preferable. In the running scale, higher pay could be given after one completes the specified no. of years. Accordingly they can be designated in their offices.
Increments
What should be the criteria for determining the rates and frequency of increments in respect of different scales of pay? Should these bear a uniform or varying relationship with the minima and/or maxima of the scales?
Frequency of increment should be 1 year, as at present. It should bear a varying relationship with the mimima/maxima of the scales.
Revision of pay scales
Is there any need to revise the pay scales periodically especially when 100% neutralization for inflation is available in form of dearness allowance?
Yes. There is a need to revise pay scales periodically. Inflation is just one of the factors that is considered when pay revision is done. Other factors, such as salaries offered by comparable employers, also come into play. Also, there is continued need for a periodic Pay Commission. Pay is just one among the many areas, such as performance , cadre management, training, honing up of skills etc that a Pay Commission deliberates upon. DA provided is based on WPI, whereas real cost of living is based on Consumer Price Index (CPI). Moreover, the credibility of inflation figures are at low ebb because of removal of price sensitive commodities like onion etc. from the basket of goods considered for assessing inflation.
How should pay be fixed in the revised pay scales? Should there be a point-to-point fixation? If not, please suggest a method by which it can be ensured that senior personnel are not placed at a disadvantage vis-à-vis their juniors and due weightage is given for the longer service rendered by the former
we shall give suggestions in due course
Compensatory Allowances
Is City Compensatory Allowance a sufficient compensation for the problems of a large city? If DA and HRA provide full neutralization, do you think CCA should continue? Is there a need for changing the basis of classification of cities and the rates of CCA? If so, please suggest the revised basis and rates.
No, CCA is not a sufficient compensation. It has to be revised upwards and that too substantially. DA and HRA can never give full neutralization in a country as diverse and as complex as India. The cost of living is very much city specific and hence the need to continue with CCA.Yes; there is a need for changing the basis of classification of cities and the rates of CCA. The present classification of 'A' 'B' 'C grade cities is too general and vague. For example, Bangalore, is a B-1 category city, but the cost of living there is higher than cities like Delhi, in many respects. Similar is the case with Pune. Similarly though Goa is a B Grade State, the cost of living there is much higher than other B-1 grade cities of the country. In cities like Bangalore, Pune etc. the house rent is very high, and the HRA provided is hardly sufficient. A reclassification of cities should also be done for HRA based on region specific, city specific inputs.
Pay and perquisites for Armed Forces
What should be the basis for determination of pay scales for Armed Forces Personnel? What percentage weightage should be assigned to (i) parity with civil services, (ii) comparison with private sector, (iii) special and hazardous nature of duties, (iv) short career span and (v) restricted rights?
NO VIEWS
How should the pay of a soldier, sailor and airman be determined? How should it relate to the minimum wage in Government and the pay of a constable in paramilitary or internal security forces?
NO VIEWS
Abolition of feudalism
Should all vestiges of feudalism in the country like huge residential bungalows sprawling over several acres, large number of servant quarters, retinues of personal staff, bungalow peons, use of uniformed personnel as batmen or on unnecessary security or ceremonial duties etc. be abolished? Please make concrete suggestions.
Yes, feudalism should be avoided not only in the bureaucracy but also with politicians.
Specific proposals
In what manner can Central Government organizations functioning be improved to make them more professional, citizen-friendly and delivery oriented?
Technology, imbibing fresh ways of functioning from the private sector, goal-oriented philosophies, and fresh ways of staffing senior management positions.
Please outline specific proposals, which could result in: (i) Reduction and redeployment of staff, (ii) Reduction of paper work, (iii) Better work environment, (iv) Economy in expenditure, (v) Professionalisation of services, (vi) Reduction in litigation on service matters, (vii) Better delivery of service by government agencies to their users.
2 (i) Answer: Reduction and redeployment of staff. Reduction:Considerable reduction of staff has already taken place since the freezing of recruitment by the Central Government, except in selected departments. Further reduction will lead to a breakdown of functioning. Redeployment.Certain State Governments allow their servants to go on leave for 5 years.Such a practice can be done in the Centre as well. Talented people will have opportunities to earn well in a professionally more fulfilling environment. By allowing Government servants to go on deputation even in private sector, without compromising on the position of Government, their strength can be reduced/controlled, their diverse experience in the Govt. and in private sector can be leveraged by both the sectors besides enhancing their skills/capability. Allowing women employees to work half day with half pay for 2-3 years post maternity. They can look after their family.. (Only for Group C and Group D). 16.2 (ii) Answer: Reduction of Paper work (1) The transaction between Government and its employees are based on 'mistrust and suspicion'. It has to be transcended from 'mistrust to trust'. (2) Unified Civil Service merging therein all the Services as mentioned in 6.1 above will ensure that papers/files don't move for cadre management/ review etc (3) Having mainly 3 scales for the entire Govt. Service as outlined in 10.2 and delinking pay from promotion can reduce files moving for promotions. (4) Paper work can be avoided if we give fixed amount based on entitlement to expenses such as (i) newspapers bills (ii) entertainment allowance (iii) conveyance charges etc. (5) In the case of LTC, it should be simplified to mean 2 trips in 4 years (one LTC and one HTC). The concept of half block year etc. (2 year period) should be done away with. 16.2 (iii) Answer: Better work environment Implementing steps at 9.1 and 9.2 would automatically ensure healthy, hygienic work environment with seamless functioning. 16.2(iv)) Answer: Economy of Expenditure: Using computers, internet and cellphones for better communication and faster documentation. 16.2(V) Answer: Professionalisation of services: By asking each Department/Ministry to come out with a Charter of Services; also by outsourcing wherever possible. 16.2 (VI) Answer: Reduction of litigation on service matters. Delinking of Pay and Promotion as enshrined in 10.1 16.2 (VII) Answer: Better delivery of service by government agencies to their users: same as in 16.2(V)
New concepts
Do you think the concepts of contractual appointment, part-time work, flexible job description, flexi time etc. need to be introduced in Government to change the environment, provide more jobs and impart flexibility to the working conditions of employees?
Contractual appointment, part time work, flexible job description etc. are not suitable in Government sector, as already, Government servants are supposed to be on duty for 24 hours; putting down such provisions could lead to misuse and absenteeism. However, some very specialized short term assignments/jobs can be contracted out, in so far as they are quantifiable in nature.
For improving punctuality/introducing new concepts like flexi time, should biometric entry/exit be introduced?
Yes, they should be introduced. Biometric entry /exit will ensure discipline at all levels of Government servants.
What steps should be taken to ensure that scientists, doctors, engineers and other professionals with sophisticated education and skills are retained in their specialized fields in Government? Should they be appointed on contract with a higher status and initial pay, advance increments, better service conditions, etc.?
Advance increments and better service conditions shall be an incentive to grow in specialized fields, however contractual appointment will not be in administrative interest as explained in detail earlier also.
Should there be lateral movement from Government to non-Government jobs and vice versa? If so, in which sphere(s) and to what extent ?
Lateral movement should be there to give career diversity to Government employees. Lateral movement (i) hones the skill of employees, (ii) Provides diverse career opportunities for qualified and able staff/officers. At present, in most of the PSUs, the Government officers are permitted to join on immediate absorption basis, which is contrary to the spirit behind the above progressive suggestion. They should be allowed to proceed on deputation basis while maintaining their lien with the Government.
It has been suggested that existing Government employees should be encouraged to shift to employment on contract for specified periods in return for a substantially higher remuneration package. Would you agree?
No, existing Govt. servants should not be allowed to shift on contract basis. Instead of ability and hardwork, this could lead to a situation where pay is determined by one's negotiating skills and subjective considerations.
Performance Appraisal
In what way should be present system of performance appraisal be changed? Should be ACR be an open document?
No. ACR should not be an open document, as this could lead to further pressure on reporting and reviewing officers, and lead to a situation where honest appraisal will be impossible. However, if the assessment/grading obtained by an officer shall come in the way of his future career progression, it should be mandatory to communicate it. Supreme Court had decided in the case of UP Jal Nigam that where ACRs are below the bench mark for next promotion and where there is a downward trend in the performance, it should be communicated.
How far has the introduction of self-assessment helped in the process of appraisal?
Very helpful
Should appraisal be done for an entire team instead of for individuals?
Could be considered
In what manner can Government employees be made personally accountable for their acts of omission or commission, without any special safeguards? Would you recommend any amendments to Article 311 of the Constitution, Section 197 of the Code of Criminal Procedure, Section 17 and 19 of the Prevention of Corruption Act, 1988 and various rules relating to conduct of Government servants and disciplinary proceedings?
The existing safeguards are felt to be adequate
Holidays
Kindly comment on the appropriateness of adopting a five-day week in Government offices when other sectors follow a six day week. Please also state whether the number of Gazetted holidays in Government offices should be reduced? Please also comment on the appropriateness of declaring Gazetted holidays for all major religious festivals.
Five day week is appropriate. This is the international practice. Further, on exigencies of work the employees do come to office on Saturdays. There is no need to reduce the number of Gazetted holidays in the Government. It is appropriate to declare Gazetted holidays on major religious festivals - because though we are a secular state, we are a religious society. It is the religiousness of our people that has added work ethics to our society. It is a strength that needs to be nurtured. Again, our 'secular state' is also positive in its connotation as it extends equal treatment to all religions and not, "no treatment to any religion".
What do you think is the state of work ethics and punctuality in Government offices? Kindly suggest ways of improving these.
In attached and subordinate offices, wherever possible, punching biometric attendance machines can be introduced. Every Ministry/Department should identify their subordinate offices where punching system can be implemented. Biometric entry /exit will ensure discipline in all levels of Government servants. People should be enthused to be punctual and adhere to work ethics. Employees should be goaded to achieve their targets and adhere to the ethics. Higher compensation, better facilities, career advancement opportunities, deputation, and a feeling that they are working for the state and society at large rather than any particular, petty sectoral interest can achieve this. It is a caring Government that can ensure this.
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May 12th 2010, by
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I want to know about medical compensession ground base, because my father is cancer patient.
