DPE 3rd PRC Order for PSU Pay Revision in CPSE, 3rd PRC Highlights
DPE 3rd PRC Order for PSU Pay Revision in CPSE: Last year Government has approved the pay revision for all central government workers that was applicable from 01.01.2016. However, the PSU pay revision implements once one year of central pay commission. The manager, Non-Executive and Board level cadre of the Central Public Sector expecting the good pay hike because of the third PRC implementation from the 01.01.2017.T
3rd Pay Revision Implementation:
The Central Government licensed department, the DPE, has issued an official order no. W-02/0028/2017-DPE(WC)-GL-XIII/17 dated 03-08-2017 for the fitment advantages, revised pay scales for board-level & below board level executives, cafeteria allowance, House rent allowance, superannuation advantages, and performance-related pay etc once receiving the Committee of Secretaries call on the third PRC recommendations for DPE 3rd PRC Order for PSU Pay Revision in CPSE.
3rd Revised Pay Scales Calculator from 1st Jan 2017:
|3rd Pay Revision Calculator for the PSUs Applicable from 01.01.2017|
|Grade||Existing Pay Scale||Recommended Pay Scale||Applicable Schedule of CPSE|
|E0||12,600-32,500||30,000-1,20,000||A, B, C, D|
|E7||43,200-66,000||1,00,000-2,60,000||A, B, C|
3rd PRC Affordability Criteria for PSU Pay Scale:
As all of the workers were considering the comfort within the affordability criteria counseled by the 3rd Pay Revision Committee however going against the expectation it had been set to go with the Committee report. Means, it’ll be exhausting to urge the advantage of Pay Revision for the staff of loss-making PSUs. The standards are shown within the below table:
|3rd PRC Affordability Criteria for Pay revision implementation in PSUs|
|Additional financial impact of the full revised pay package as a % of average PBT of last 3 FYs||Fitment|
(% of BP+DA)
|Financial impact will be within 20% of average PBT of last 3 years||15%|
|More than 20% but upto 30% of average PBT of last 3 FYs||10%|
|More than 30% but upto 40% of average PBT of last 3 FYs||5%|
|More than 40% of average PBT of last 3 FYs||Nil|
3rd Pay Revision Committee for PSU:
The Central Public Sector corporations that were shaped to execute any special policy of the govt. of Republic of India for the betterment of the individuals, such CPSEs are given relaxations within the affordability criteria. The implementation of Pay revision advantage shall be subject to the approval of the several administrative Ministry or Department of the general public sector enterprise.
Also, there are several CPSEs that haven’t started the enterprise, such CPSEs might get the advantage of third PRC looking on the approval from the involved ministry.
The Coal India & its subsidiaries are going to be considered as one entity for crucial the affordability.
Annual Increments Rate:
There is no modification within the rate of annual & on promotion increments, each are kept at three-dimensional of basic pay.
Dearness Allowances: the entire DA are integrated for the calculation of fitment benefit. The dearness allowance rate are set to Zero on 01.01.2017 and same are revised on the quarterly basis.
House Rent Allowances:
|3rd PRC HRA Rates from date of Presidential order of respective CPSE|
|City Class||House Rent Allowance Rate|
|X – Class||24% of Basic Pay|
|Y – Class||16% of Basic Pay|
|Z – Class||8% of Basic Pay|
As the Committee of secretaries had not taken any final judgment on the Location-based hardship allowance, thus same is also notified by the Department of Public Enterprises once approval from the govt of India. Within the meanwhile, same are paid as per existing rates on pre-revised basic pay.
Perks & Allowances:
The allowances are paid as per the cafeteria approach and also the ceiling for a similar is 35th. The opposite infrastructure facilities like Hospital, School, faculty would be kept outside the ceiling of thirty fifth.
There is no quarrel with the superannuation benefit ceiling and also the same can stay 30 minutes of Basic pay Allowances of the individual worker. The quantity are deposited within the Provident Fund (PF), Gratuity, Post Retirement Medical advantage and Pension for workers. The ceiling for the gratuity has been raised from 10lakhs to twenty lakhs and also the same are funded through superannuation benefits quantity.
Performance Related Pay Scale:
There is a separate criterion for the individual still as company performance for the calculation of Performance connected pay. I’m not going into the main points. Because the Committee of secretaries had not taken any final judgment on the location primarily based hardship allowance, thus same is also notified by the Department of Public Enterprises once approval from the govt. of India..
|Performance Related Pay Criteria|
|Executive Grade||Current ceiling (% of Basic Pay)||New ceiling (% of Basic Pay)|
|E0 to E3||40||40|
|E4 to E5||50||50|
|CMD / MD (C&D)||150||125|
|CMD / MD (A&B)||200||150|
Final Pay Revision order for Individual PSU:
The Board of director of Individual CPSE can submit the proposal (based on the affordability criteria) to involved department/ministry. The proposal are reviewed by the finance wing of the ministry and thenceforth pay revision or Presidential Directive are issued for the PSU. Similarly, presidential directives would be issued by body department/ministry involved supported the results of the review that is to be done when each three years succeeding the implementation for DPE 3rd PRC Order for PSU Pay Revision in CPSE.