CPSE – 3rd Pay Revision: Increment, Bunching of Pay, Dearness Allowance in Revised Pay Structure

CPSE – 3rd Pay Revision: Increment, Bunching of Pay, Dearness Allowance in Revised Pay Structure

(Annexure to DPE OM No. W-02/0028/2017-DPE (WC)-GL-XIII/17 dated: 3rd August, 2017)

Increment, Bunching of Pay, Dearness Allowance in Revised Pay Structure – Annexure-III

Annexure-III (A)
(Para 6)

Stagnation Increment: In case of reaching the end point of pay scale, an executive would be allowed to draw stagnation increment, one after every two years upto a maximum of three such increments provided the executives gets a performance rating of ‘Good’ or above.

Bunching of Pay: – In CPSEs where a lower fitment benefit (i.e. 10% or 5%) is granted due to affordability, there is a possibility of bunching at different grades due to revised Basic Pay falling short of reaching starting point of revised pay-scale. The revised BP due to bunching of pay in these cases would be the higher of the followings –

  • Adding the difference between the ‘pre-revised Basic Pay’ and ‘the minimum of the pre-revised pay scale’ to the starting point of revised pay scale.
  • The revised BP as arrived after applying the fitment benefit (ie 10% or 5% of BP plus DA).

[Example for Basic Pay revision in cases of bunching in a Grade/level]

Sl. No,
Parameters
Pre-revised pay-scale of E-6 level
(in Rs.)
Minimum/ Starting of pay-scale
Minimum + 1 increment @3%
Minimum + 2 increments @3%
Minimum + 3 increments @3%
(A)
(B)
(C)
(D)
1
E-6 level:Pre-revised BP
(31.12.16)
36600
37700
38840
40010
2
DA (1.1.2017)
Say:120%
43920
45240
46608
48012
3
Total
(1) + (2)
80520
82940
85448
88022
4
Fitment benefit
% of BP+DA
5%
5%
5%
5%
5
Fitment benefit amount
(4) x (3)
4026.0
4147.0
4272.4
4401.1
6
Net amount to  arrive at revised BP
(3) + (5)
84546.0
87087.0
89720.4
92423.1
7
Rounded off
Next Rs.10/-
84550
87090
89730
92430
8
Minimum of E-6’s revised pay-scale
Starting point
90000
90000
90000
90000
9
Difference between the  ‘pre-revised  Basic Pay’
and the ‘minimum of the pre-revised pay scale’
Linked to figure at Column (A) mentioned at SI. No.1.
(A) – (A)i.e.36600-36600
(B) – (A)i.e.37700-36600
(C) – (A)i.e.38840-36600
(D) – (A)i.e.40010-36600
10
Difference amount
=
0
1100
2240
3410
11.
Net of difference added to starting point of revised
pay-scale
(8) +(10)
90000
91100
92240
93410
12. 
Revised Pay-scale
Higher of (7) or (11)
90000
91100
92240
93410

Annexure-III (B)
(Para 7)

Rates of Dearness Allowances for the employees of CPSEs following IDA pattern

Effective Date
Rate
of Dearness Allowance (in percentage)
01.01.2017
0
01.04.2017
-1.1
01.07.2017
-0.2

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