Pay Revision of Executives ( Board level Executives, below Board level Executives and Non-Unionized Supervisors) of Central Public Sector Enterprises (CPSEs) w.e.f. 1.1.2007

The Union Cabinet today gave its approval for accepting the recommendations of 2nd Pay Revision Committee (PRC) as a package with regard to Dearness Allowance, House Rent Allowance, Leased Accommodation, City Compensatory Allowance, other allowances / perks, Variable Pay / Performance Related Pay, Memorandum of Understanding, Performance Management System, Remuneration Committee, Long Term Incentives, Cost to the Company, retirement age, Non Unionized Supervisory staff, pay of executives moving from holding companies to subsidiary companies or vice-versa on deputation / transfer, pay of Government officers on deputation to CPSEs and Superannuation Benefits. The decision has been approved on the recommendations of Committee of Secretaries (CoS).

The revised pay scales would be implemented by issue Presidential Directive in respect of each CPSE separately by the concerned Administrative Ministry / Department. The revised pay scales will be effective from 1.1.2007. The payment of HRA, perks and allowances based on the revised scales will, however, be from the date of issue of Presidential Directives.

The expenditure on account of pay revision has to be entirely borne by the CPSEs, out of their earnings and therefore, no financial outgo from the Government on account of pay revision is envisaged.

An Anomalies Committee consisting of Secretaries of DPE, DOE and DoPT may be constituted to look into further specific issues / problems that may arise in implementation.

Six Pay Commission | Revised DA, HRA, TA and Other Allowances consequent on 6CPC implementation

Government has announced the the Dearness Allowance rates (DA rates) applicable to each half year from the year 01-01-06, consequent on implementation of Sixth Pay Commission report.

The following are the revised DA Rates : 

Date from which Payable	Rate of DA per mensem
From 1.1.2006	Nil
From 1.7.2006	2% of basic pay + NPA where applicable
From 1.1.2007	6% of basic pay + NPA where applicable
From 1.7.2007	9% of basic pay + NPA where applicable
From 1.1.2008	12% of basic pay + NPA where applicable
From 1.7.2008	16% of basic pay + NPA where applicable

The following are the revised HRA rates

Based on the recommendations of the Sixth Central Pay Commission, the earlier classfication of cities has been revised viz., A-1 to “X”, B1 and B2 to “Y” and C and unclassfied cities to 

 “Z”. The rates of HRA applicable to X, Y, and Z cites are as under.

Classfication of Cities and Towns	Rate of HRA as percentage of (Basic Pay + NPA where applicable)
X	30%
Y	20%
Z	10%

Revised Transport Allowances (TA)

Employes drawin grade Pay of	Rate of Transport Allowance per month
	## 13 cities classfied as A-1/A earlier	Other places
Grad Pay of Rs.5400 and above	Rs. 3200 + DA thereon	Rs. 1600 + DA thereon
(i) Grade Pay of Rs.4200, Rs.4600 and Rs.4800 (ii) those drawing grade pay below Rs.4200 but drawing pay in the pay band equal to Rs.7440 and above	Rs.1600 + DA thereon	Rs. 800 + DA thereon
Grade pay below Rs. 4200 and pay in the pay band below Rs.7440	Rs. 600 + DA thereon	Rs. 400 + DA thereon

## A1/ A cities : Hydrabad (UA), Bangalore (UA) , Delhi (UA), Greater Mumbai (UA), Chennai (UA), Kolkata (UA), Ahmedabad (UA), Surat (UA), Nagpur (UA), Pune (UA), Jaipur (UA), Lucknow (UA), and Kanpur (UA)

Download Governement Orders for revised DA, HRA, TA and other Allowances 

Subscribe to Tarun Reflex and information on Pay Commission by Email

Subscribe to Tarun Reflex | Personal,Political and Technical by Email