Monday, August 11, 2014

The "As On" vs "With Effect From" Matter, Again

With the issue of the Government Corrigendum dated 24 July 2014, there had been some palpable signs of slow movement, granted it was but a fraction of what is actually required but a movement nevertheless, towards an incremental improvement in the Rank Pay arrears scenario.

The reversal of deduction of rank-pay at the time of calculating revised emoluments for V CPC is a step forward and would address an anomaly that had come to light at a time when it was not even a blip on most radars, which were mostly fixated on tracking the IV CPC pay fixation.

But it is the language used in two recent official communications, one from Integrated Headquarters Ministry Of Defence (N) Directorate Of Pay And Allowances (Pay Section)  and another from Dte Of AV at Air HQ, that has served to highlight the efficacy, or the lack of it, of substitition of the "As On" in the original GOI implementation letter dated 27 December 2012 with "With Effect From" vide the corrigendum date 24 July 2014.

The letter issued through channels of Indian Navy states how, to take an example, a Lt Cdr, lets call him Lt Cdr "A", would not stand to gain by non-deduction of rank pay at V CPC if his un-revised basic pay "as on" 01 Jan 96 was below Rs.4050/- pm. The first thing that comes to mind is, what is meant by "unrevised basic pay"? Common sense would appear to suggest this is the value of the pre V CPC basic pay duly revised after implementation of Govt of India letter dated 27 December 2012. So it should be, essentially, the value of the "revised un-revised BP" at the time of implementation of V CPC. In other words, this should be the IV CPC basic pay for December 1995 as given in the "Due And Drawn Statement" issued by pay disbursement authorities issued in compliance of GOI letter dated 27 December 2012.

A simple calculation would reveal, that at the one-step lower IV CPC basic pay stage for Lt Cdr "A" in the example, viz, Rs. 3900/- pm, the revised emoluments for V CPC would work out, now without deduction of rank pay as ordered vide the GOI Corrigendum dated July 2014, as follows

[3900(Unrevised IV CPC BP but its revised value after implementation of GOI letter dated 27 December 2012) +600(RP)+550(IR)+4950(DA)+0.4{3900+600}] = 11440/-pm.

This figure is lower than the starting pay for Lt Cdrs in the revised V CPC pay scale of 11600-325-14850. So the Lt Cdr, whose "revised un-revised" IV CPC BP "as on" 01 Jan 96 was 3900/-, would still have his revised V CPC BP fixed at 11600/- in terms of the letters issued through the Naval HQs and Air HQs channels, presently resulting in "nil" arrears for him.

Let us examine this from another angle. Let us assume, another Lt Cdr "B" with "x" years of service was drawing 4500/- (after revision vide GOI letter dated 27 Dec 2012) in Dec 1995. His V CPC revised emoluments would be as follows

[4500(Unrevised IV CPC BP but its revised value after implementation of GOI letter dated 27 December 2012) +600(RP)+610(IR)+5202(DA)+0.4{4500+600}] = 12952/-pm.

The revised V CPC basic pay of this Lt Cdr for January 1996 would now, after reversing the V CPC rank pay deduction as ordered vide the GOI Corrigendum dated July 2014, be fixed at Rs. 13225/- in the V CPC pay scale for Lt Cdrs.

Now the Lt Cdr "A" in the previous example, whose BP was fixed at the starting point of Rs. 11600/-, would attain "x" years of service after 2 years ('transit time' from IV CPC basic of 3900/- to 4500/- in terms of the old scale). The thing to consider is would his basic pay at "x" years of service also equal that of Lt Cdr "B" when the latter had completed "x" years of service in January 1996?

This manner of BP parity appears tied to the "as on" vis-a-vis "with effect from" issue as well as the dubious concept of amending the basic pay without touching the basic pay scales. The whole overview of the cited case would change if the rank pay stages in the IV CPC running pay-scale and the discrete pay-scales of V CPC get reviewed for rationalising the pay-scales themselves after correcting for non-transparent reductions on account of Rank Pay while formulating the pay scales.

The above example is a hypothetical one. In reality, the Lt Cdr "B" of the example would have minimally been given the time scale rank of Cdr around the time of V CPC and Lt Cdr "A" would have followed suit, unless promoted by selection. So finding actual equivalent BPs at "x" years of service may not be an easy task.

Given the complexities involved, it may be prudent, as well "politically correct", for every one connected with the issue to steer clear of contentious terminologies of the "as on" variety while making out cases or issuing implementation directives. Given past experiences, inadvertent use of words or phrases, even if made in a valid manner in some specific context, poses a risk of misuse and manipulation by certain structures within the administration which, in any case, do not need unwitting assistance in their area of expertise and specialisation, viz., "re-phraseology", from the adversely impacted sections.

1 comment:

  1. This blog post covers some points that have already been addressed by GOI in "phase 2" of rank pay arrear payment, namely the applicability to calculation at the time of V and VI CPC.

    Now the focus is how the contempt petition hearing will sort out infirmities listed vide sub-paras (c), (d) and (g) of agenda point number 2 of minutes of RDOA AGM held on 22 Dec 2013.