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  • Category: Central Government

    Why Central Government employees are not happy with the pay hike of 7th CPC?

    The much awaited 7th CPC report was approved by the Central Government and there is a minimum hike of 15% of the present salary excluding allowances for every employee. Yet the employees associations are marching ahead for an indefinite strike from 11th July, if certain modifications are not made. For a common man, the hike at Rs. 10000/- (minimum) is not a small amount and he is surprised to know about the protests. The employees say the media and the government functionaries are misleading the people and the hike doesn't meet the basic requirements of an ordinary employee and the present Government is intentionally playing tactics to downplay the morale of the working class.

    Is it so? What are the genuine reasons for Central Government employees not to feel happy with the pay hike of 7th CPC?
  • #569866
    Let me deal with the question with my personal example.
    (a) I am a middle-level Class-I Central Govt. Officer posted in Delhi.
    (b) I live in Govt. accommodation. So, I don't get the benefit of HRA @30% on the basic pay, which is a huge loss for me.
    (c) After fixation of pay in my grade, I will be placed almost at the bottom of revised pay scale.
    (d) The Income Tax slab has not been changed. As a result, after pay fixation I will come under 30% tax bracket causing more tax outflow.
    (e) The Government has not increased the limit of exemption under Section 80-C. So, I have to give the entire arrears which I would receive to the Income Tax authorities.
    As a result of all these, you may find it astonishing that most probably my salary would actually come down immediately after pay revision. The newspaper reporters are not intelligent and patient enough to understand the issues. They always say that the loss to Govt. exchequer would be Rs. #@$ crores due to payment of DA, pay revision after 10 years, etc.
    If these reporters feel that paying salary is a loss to Govt. exchequer, they may start working without salary to prevent losses to the exchequer of the media houses.

    “Whenever I feel the need to exercise, I lie down until it goes away.” - Paul Terry

  • #569867
    I have been closely watching the demands of the government employees and even bank employees , often their demands are not justified and no government can agree to full demands. Given the situation it is great that Union government has agreed for increased pay which is going to cost 1,02,000 lakh crore to the National exchequer and I fear the government would punish the common man with fresh taxes and cess in future. Already we are undergoing collection of cess for the farm loans waived by the previous government and this BJP government would also levy fresh taxes and cess to recoup the increased pay and pension. My appeal to government employes to get satisfied with what was announced and never expect more than required. By the way I feel that government employees are paid more than they do the work and additional burden would be a National waste.
    K Mohan
    I consider myself as the learner everyday

  • #569868
    Mr. Mohan, please read my previous response. I have tried to explain that the position is not that rosy which is depicted by the ignorant reporters. So far as salary is concerned, the reporters always try to project that the paying salary to Govt. employees is a wastage of money. Don't you think it is highly irrational?
    Let me give another specific example. The Secretary (top bureaucrat) of say Department of Banking earns a salary of around Rs. 2,00,000/- (approximate) p.m. He decides the banking policy of the Govt. Now compare the salary of Chhanda Kochhar (of ICICI) or Deepak Parekh (of HDFC) with the salary of the Secretary. Both Ms. Kochhar and Mr. Parikh draws more than Rs. 5 crores annually as Head of individual banks. And the Secretary who monitors all banks, gets 250% less! Isn't it injustice?

    “Whenever I feel the need to exercise, I lie down until it goes away.” - Paul Terry

  • #569869
    Partha , we cannot compare the salaries drawn by own bank bosses with that of government officials. And mind it one wrong step by bank boss would turn the bank to loss and that onus is put squarely on them.
    K Mohan
    I consider myself as the learner everyday

  • #569870
    There are about 47 lakh central Government employees and about 53 lakh pensioners , which makes it about 1 crore, who will get benefited from the seventh pay commission report. But what about the remaining 131 crores (the population of India is estimated to be around 132 crores in the year 2016).
    Is there any such structured mechanism to periodically review the income of farmers, petty shop keepers, labors and vendors etc.
    The main issues raised by the central Government employees federations are wider gap between the minimum and maximum limits of salaries, fixation of minimum wages @ 2.57 against demanded 3.68 and withdrawal of new national pension scheme (NPS), which came into effect from October 2004.
    It is true that prices have risen phenomenally since last sixth pay commission report , but that applies in case of all citizens of India.
    Other concerns are non-revision of income tax slabs, as a major chunk of salaries will go to the income tax coffers.

    Let us encourage each other in sharing knowledge.

  • #569873
    #569869: Why can't we compare the salary of bank bosses with the top boss of entire banking sector of the country? Doesn't the failure of policy (developed by the Secretary, Banking) affect the functioning of banks?
    “Whenever I feel the need to exercise, I lie down until it goes away.” - Paul Terry

  • #569880
    Nothing can satisfy the human beings except the food that we eat. There is no ' enough' to salary. All will try their best to get more by demanding it. At times they succeed with some marginal effect, or fail with no effect. Why to satisfy with what government gives? Why not ask for more from the Government and satisfy?
    No life without Sun ¤

  • #569892
    @ Jagdish Patro, I am happy with the what ever Government has increased the salary in 7th pay , because they have a core team who analyse the inflation, price burden on Government and the other index, but as Government officers are unhappy that is their personal problem. Everybody always wants more and more, so if Government would have increased 100% then also they might want another more hike.
    So this is not a big issue for any one.

  • #569894
    @ Partha Kansabanik , I am not defending your issues, but just think by increasing more salary means Government officials will spend more, which will increase the inflation rapidly, then what would be the condition of rest of 121 crore people. who has not got anything hike in salary or earning but they have to pay more.
    And about HDFC and ICICI bank salary , these are private banks, they are working hard with lot of pressure for that reason they are getting such salary, as you know a Government officer career starts around Rs 25,000 where as a private employee start with RS 7,000. Both are banking sector.
    Private sector is for performance not for the qualification, where as Government job mostly depend upon just the past qualification.

  • #569899
    #569894 : Madam, do you want to say that Govt. employees get their salaries on the basis of their academic qualifications or qualifying the tough competitive examinations, and not on the basis of performance? If this is so, then in future don't expect to reach your destination while travelling by train or by Government-run bus, because the people associated with running the train or bus are not supposed to do any work, because they get their salaries for their academic qualification and not on the basis of performance, isn't it?
    “Whenever I feel the need to exercise, I lie down until it goes away.” - Paul Terry

  • #569944
    @ Partha Kansabanik , as you have given the bus and train driver, dont you think this is a silly example of whole system and whole work. I said on above message why the Senior most person of private banks get such huge salary, can you tell me which public sector company stay open after 5 pm, do they care to open for one hour extra to provide public service ( as this is out of rule), but private people work more and get more. So dont you think hard work should be compensated with higher salary? And yes no body can hire a driver if he is higher educated but does not have any practical experience.

  • #569953
    Mr Partha very well expressed the points in his very first response. Enhanced salary means more income tax. The Government employees are 24 hours servants. There may be office timings but whenever necessary the employees have to work extra time and they do not get paid anything more. Every one accuses that the employees are getting the salary without doing much work and hike in pay is a national waste of money. It is these employees who work to implement the policies f the Government. In times of calamities, it is these employees who work 24 hours to serve the people. The employees are agitating because the pay revision is the least in all the previous revisions.
    With regards

    " Be Good and Do Good "

  • #569963
    @ K.V Raghav Rao #569953, From the above message there is no where mentioned not by me not even by any other member, that Increase the pay scale for Government employee is a national wastage.
    We are discussing here that employee should stay happy with the hike. And about you are discussing during calamities Government employees do more work, do not forget that private employees are forced to do more work during social responsibilities, even volunteers work with out expecting any single pay. so we should not take such examples for the salary hike.

  • #569975
    1. Ms. Pattanaik: I am sorry to say that you are not at all aware of Government functions, like most of the other people. You give the examples of some service-providers (which are, in most of the cases, privatised) and conclude that the Govt employees don't work-so there is no need to increase their salary.

    2. Now I would like to quote your previous comment: "And about HDFC and ICICI bank salary , these are private banks, they are working hard with lot of pressure for that reason they are getting such salary, as you know a Government officer career starts around Rs 25,000 where as a private employee start with RS 7,000. Both are banking sector. Private sector is for performance not for the qualification, where as Government job mostly depend upon just the past qualification."-So, I gave the example of railway employees and state-owned bus service employees. Kindly explain the 'silly-ness' of this example.

    3. Your second quote: :"private employees are forced to do more work during social responsibilities, even volunteers work with out expecting any single pay. so we should not take such examples for the salary hike."-As a Central Govt. Officer actively associated with disaster management, I only laugh! The performance of the private sector employees have been adequately witnessed by all of us after Nepal earthquake at Raxaul border and Delhi airport! The private sector employees could not even efficiently send their relief materials upto these two points. The corporate top bosses are only interested in photo-ops with relief materials and air-crafts!

    “Whenever I feel the need to exercise, I lie down until it goes away.” - Paul Terry

  • #569983
    Refer to the response of Mr Mohan # 569867. Read the last sentence. It is your personal opinion that a Government employee should be happy with the pay hike. The Government employees who are directly affected feel otherwise and asking for more. The pay revision takes place at ten years interval where as the State Government pay revision is done every five years. It may look like to the others that the pay hike is substantial. It is the Government employees who are directly affected that can understand whether the pay hike is sufficient or not.

    With regards

    " Be Good and Do Good "

  • #569986
    I too have worked in the government for long years and am presently working in a public sector enterprise. In between the two periods, I have worked in 2 private organisations for a few years. Having experienced both kinds of service, I am in a position to understand the pros and cons of both types of service. Both have their pros and cons.

    Yes, I agree, for most government jobs (not all, let me emphasise), things are a lot easy for government employees. Especially for the lower ranked posts in the government, the salary is a lot better than the private sector. Responsibilities are also far less for them. (Private sector lower strata employees can however climb up very fast up the salary ladder, if they work good).

    But for higher ranked officials, the salary is less compared to private and responsibilities are comparable to that of the private. Lower ranked government employees are a satisfied lot when it comes to job satisfaction. But most officials are not happy with their career aspects. In government, however efficient you may be you cannot bypass the time bound system. You have to stagnate in the bottom for many years, before you can hope for reaching some respectable ranks in your service.

    Things are entirely different in the private sector, where with your skills and talent you can reach the top levels in no time. For someone very ambitious, the private sector is the best bet. For those who want to have a secure, easy and laid back life and ready to sacrifice on the monetary part, government service is the best. In private your job is not at all secure and anytime in your career you may be given the pink slip, if you don't keep up with the demands of your organisation.

    Friends, the above comparison is only a general one. There are govt organisations where the work pressure is more than private organisations.

    As far as 7th pay commission report is concerned, the media and perhaps the political bosses are simply misleading the general population. Almost everywhere the govt is claiming (as being shown by the media) that the hike is 23.55%, whereas the real hike is only approx. 14%. So someone who was getting 20,000/- earlier as (basic + DA) will now get only Rs 2800/- extra and not 10,000/- as being claimed by the author in this thread. Those in govt accommodation won't be getting any HRA. So hike in HRA doesn't matter to them.

    So my question to all those who are wondering why the government employees are agitating is, what's the big deal about a raise which is less than Rs 3000 for someone who is among the lowest strata of the government. All government pensioners will get only 14% ( and not 23.55% as being advertised) hike on their previous gross pension. They don't get any allowances.

    Patience and perseverance pays

  • #570046
    The discussion about government employee's hike is unnecessary one. It is up to the employer and employee. Are we discussing about any private companies hike? Are we discussing about farmer's revenue? Then why should give importance to government employees alone? Even if you give 200% hike, no one will get satisfy irrespective of Private and Government employees.

    If you visit SBI or any other PSU banks then you will get to know the attitude of government employees. BSNL is the worst among all. Obviously they are few honest employees also, but their percentage is very less. Why don't government abolish pay commission, DA and implement performance based hike every year? But many of them wont agree for that because they know how how they are performing.

    Best Regards,

  • #570053
    Suresh Kumar,
    It is very difficult to assess the performance of a government employee. Only a government employee will have to do the job. The boss of the office may not do justice to all his subordinates. The Government is not a small organisation like a private company where the performance of an employee can be easily assessed.

    No life without Sun ¤

  • #570068
    #570046: The problem is that the work in Govt. offices is not quantifiable. A policy decision can't be quantified, although the implementation of the said policy can be quantified to some extent(not fully). And the private sector employees, I am sorry to say, only understand the concept of quantifiable job. That is the main problem. In addition to this, private sector employees don't understand the Govt. pay structure also. They only echo what the media-people say.
    “Whenever I feel the need to exercise, I lie down until it goes away.” - Paul Terry

  • #570071
    Partha Kansabanik #570068 , Why Government offices , Public sector companies hire private companies to full fill their CSR activities, why they take the help of R&D from private organizations. Is it because they have less hard working employees.
    If there is not sufficient salary for doing easy work, why there is an application of lakhs where is only post is available in 100 numbers?
    While searching for a groom why most of parents expecting tehir son in law should be a Government officer, even they agree with Government peon where as they reject a private officer.

    Both job have their own value, but we should not say Government decision in 7th pay is worst.
    By giving such burden to whole nation where as the money will goes to only 1-2 Crore Government officials.
    Why 130 Crore people will suffer this inflation hike.

  • #570074
    #570071: Whenever a private sector company improves the salary of its employees, they pass on the burden on the consumers. Then why don't you protest? I am sincerely advising you to keep your obsolete idea (that Govt. employees don't work) with yourself. There are various areas where private sector can never compete with public sector.

    There is another issue I want to mention. Various social security measures applicable to the Govt. employees all over the world was first conceptualised by famous British statesman, Edmund Burke, whom, the Indians know as a great orator who impeached Warren Hastings. Any serious student of Public Administration will tell you the famous comment of Burke: "Government should be the ideal employer, if not the best." Private sector should follow the pay structure of the Government and try to improve it further. It is not prudent to try to destroy the pay structure of Government to avoid responsibility of developing a scientific pay structure for own employees (by private sector).

    “Whenever I feel the need to exercise, I lie down until it goes away.” - Paul Terry

  • #570075
    The Government entrusts certain works on contract basis to private firms. If the same work is to be done by the Government additional staff will be required. Additional staff means employment until they attain the age of 60 years. This will result in extra burden and hence the Government uses the services of the private sector which means onetime payment and no problems of pension etc.
    In private sector there is no job guarantee whereas in the Government service the employee has job security.
    The Government employees are also a part of the society. It is the duty of the Government to look after their welfare. There are many schemes implemented by the Government for the benefit of the public. This is also one such measure.

    With regards

    " Be Good and Do Good "

  • #570078
    In private sector, remuneration of an employee is directly dependent on their capability to earn for the company. If an employee is able to contribute in increasing the profit of the company phenomenally, then his/her salary will also be increased accordingly. The salaries of CEO's of certain MNCs are mind boggling to say the least. In comparison the salary of the highest level 'naukarshah'(bureaucrat) appears a pittance.
    The Government is not a commercial entity. Instead its role as a social welfare agency is increasing day by day. With about 50% jobs being reserved, the Government departments are increasing becoming like a mammoth welfare organizations to distribute salaries like a dole.
    Such people will never be satisfied as they are accustomed to live on doles without any attendant sincerity, devotion and responsibility toward their duties.

    Let us encourage each other in sharing knowledge.

  • #570079
    All those government employees who are not satisfied with the hike have option to quit the job and go for a private job if they think they are getting less than private employees. If they have the guts they will quit but if they like their job then they will stay with it.

    I don't know what else a government employee wants. They get all sorts of facility and job security. They get salary which is inflation proof and every six months salary is adjusted according to inflation. If they are still not happy then it has to do with greed in their mind because they know they will not lose their job/salary even after going on hunger strike.

    India is a country of a 1.2 billion people and there are government employees who are about 1 to 2 crore(approx). They get higher salary and job security compared to any private job. Private employees if go on strike for salary hike will probably lose their job. If government employees were so efficient then why most of the Indian citizen have to face hardship while going for some official work? Why most of the government organisations are in pathetic state even after getting enough funding from government.

    Government employees should know that what they are being paid as salary comes from the pocket of rest of the population who are rich/poor. Everyone will notice that once a pay commission approves a hike there is a rise in taxes. If rest of the population is living on a meager salary why can't government employees?

  • #570115
    All the Government employees I am sorry. The average salaries of Government employees in India are much much higher when compared to private sector employees if we take into account most of the countries in the world. In fact, the salaries should be brought down on par with the world countries. So, instead of getting increments, they should get decrements. It is a known fact that most of Government employees are inefficient except a few. If they were efficient and all the Government run companies produced world class products, we might not have faced the problem of balance of payments issue in 1991-92. After liberalization, we could see our currency reserves have increased. So, private sector is responsible for our reserves now. Then how can we compare the salaries of company CEO with a secretary. With their inefficiency, once they created current account deficits and now they want to create more fiscal deficit by increasing the revenue expenditure.

  • #570131
    The Government is not a company to earn profits. The Government employees are not there bring profits. They are there to implement the policies of the Government elected by the people.
    With regards

    " Be Good and Do Good "

  • #570139
    If they are not there for profit generation, then why they are comparing their salaries with CEO salaries of private companies. In fact, all the government employees are not meant for policy implementation. Why can't we assume railways as company model and why can't its employees work hard for its profitability by showing efficiency? Do we really produce world class products from our Government run companies?
    It is corruption activity of Government employees, which is causing higher production costs, which in turn reduces profitability and product quality.

    As Babu said in his earlier response, those who are not satisfied with their salaries can quit their job and join the private sector and those, who are interested in taking less salary can fill that government job. So, before people start to agitate for reducing the salaries of Government employees, it is better the Government employees should do their work efficiently by taking what they are getting.

  • #570143
    Just to compare the public sector and private sector in India take the example of Air India.
    At present Air India is only the third largest carrier in India, with a market share of 15.4% lagging behind IndiGo and Jet Airways. There was a net loss of Rs. 541 crores during the year 2014-15.
    However still, there are demands/protests from time to time to raise their salaries.

    Let us encourage each other in sharing knowledge.

  • #570166
    Now logical discussion has stopped in this thread. The anger and disappointment are coming our with full force!
    “Whenever I feel the need to exercise, I lie down until it goes away.” - Paul Terry

  • #570199
    I think the minimum salary of 18000 is likely to be hiked reasonably to satisfy the demand of unions which has announced an indefinite strike from 11th July, as assured by the trios HM, FM and RM during the meeting held recently. I think this will bring some happiness to the CG employees. Also, this would help others with an increase in the present fitment factor of 2.57. Let us see some cheers on the faces of Central Government Employees and also the CG pensioners.
    No life without Sun ¤

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