7th CPC – Rationalisation Applied in the Present Pay Structure

7th CPC – Rationalisation Applied in the Present Pay Structure

Rationalisation Applied in the Present Pay Structure

Rationalisation has been done to ensure that the quantum of jump, in financial terms, between these pay bands is reasonable. This has been achieved by applying ‘index of rationalisation’ from PB-2 onwards on the premise that with enhancement of levels from Pay Band 1 to 2, 2 to 3 and onwards, the role, responsibility and accountability increases at each step in the hierarchy. The proposed pay structure reflects the same principle. Hence, the existing entry pay at each level corresponding to successive grades pay in each pay band, from PB-2 onwards, has been enhanced by an ‘index of rationalisation’ as shown below in Table…

PAY BAND 1 (5200- 20200)
Grade Pay 1800 1900 2000 2400 2800
Current Entry

Pay

7000 7730 8460 9910 11360
Rationalised

Entry Pay (2.57)

7000*(2.57)

=18000

7730*(2.57)

=19900

8460*(2.57)

=21700

9910*(2.57)

=25500

11360*(2.57)

=29200

PAY BAND 2 (9300-34800)
Grade Pay 4200 4600 4800 5400
Current Entry

Pay

13500 17140 18150 20280^
Rationalised

Entry Pay (2.62)

13500*(2.62)

=35400

17140*(2.62)

=44900

18150*(2.62)

=47600

20280*(2.62)

=53100

PAY BAND 3 (15600-39100)
Grade Pay 5400 6600 7600
Current Entry

Pay

21000 25350 29500
Rationalised

Entry Pay (2.67)

21000*(2.67)

=56100

25350*(2.67)

=67700

29500*(2.67)

=78800

PAY BAND 4 (37400-67000)
Grade Pay 8700 8900 10000
Current Entry Pay 46100 49100 53000
Rationalised Entry Pay (2.57/2.67/2.72) 46100*(2.57)

=118500

49100*(2.67)

=131100

53000*(2.72)

=144200

HAG (67000-79000)
Current Entry Pay 67000
Rationalised Entry Pay (2.72) 67000*(2.72)

=182200

HAG+ (75500-80000)
Current Entry Pay 75500
Rationalised Entry Pay (2.72) 75500 *(2.72)

=205400

Apex 80000 (fixed)
Rationalised Pay (2.81) 80000*2.81

=225000

Cabinet Secretary 90000 (fixed)
Rationalised Pay (2.78) 90000*2.78

=250000