grant of first increment after promotion consequent on the orders dated 31.7.2018

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This article is regarding the grant of FIRST increment after initial appointment, promotion including upgradation under MACPS.
            In this regard, the following communications may be referred to.
1.       Rule 10 of CCS(RP) Rules 2016.
2.       Govt of India, Ministry of Finance, Department of Expenditure no F.No.4-21/2017-IC/E.III(A) dated 31.7.2018.
Consequent on the implementation of the 7th CPC, two dates of increments viz. 1.1 and 1.7 were introduced. The rule further provides that an employee shall be entitled to only one annual increment either on 1st January or 1st July depending on the date of appointment, promotion or grant of financial upgradation.
The sub-rule (2) of CCS(RP) Rules provides that increment in respect of an employee appointed or promoted or granted financial upgradation including upgradation under MACP during the period between the 2nd day of January and 1st day of July (both inclusive) shall be granted on 1st day of January and the increment in respect of an employee appointed or promoted or granted financial upgradation including upgradation under MACP during the period between 2nd day of July and 1st day of January (both inclusive) shall be granted on 1stday of July. Thereafter, the increment will be granted on annual basis. This is introduced so that the employee should not wait for more than 6 months for getting his first increment.
As per the communication referred 2 above, it is clarified that in case an employee is promoted or granted financial upgradation including upgradation under the MACP scheme on 1st January or 1st July, where the pay is fixed in the level applicable to the post on which promotion is made in accordance with the Rule 13 of the CCS (RP) Rules, 2016, the first increment in the level applicable to the post on which promotion is made shall accrue on the following 1st July or 1st January, as the case may be, provided a period of 6 months’ qualifying service is strictly fulfilled. The next increment thereafter shall, however, accrue only after completion of one year.
The above order creates an anomaly in the pay fixation. It requires modification. Otherwise, the interest of the seniors will be affected. For example, consider the following cases.
Consider three employees A, B and C with date of appointment 1.3.2007, 1.6.2007 and 1.7.2007. All the officials are appointed as Postal Assistants in the Department of Posts, with grade pay 2400.
The initial pay would be Rs.7510+2400 GP and total Rs. 9910
The pay from time to time would be as follows.
Official A
DCCS 1.3.2007  MACPS I due on 1.3.2017. opted for fixation on DNI i.e. 1.7.2017
Period
Pay
GP
Total
Remarks
1.3.2007
7510
2400
9910
Initial appointment
1.7.2008
7810
2400
10210
No increment on 1.7.2007
1.7.2009
8120
2400
10520
1.7.2010
8440
2400
10840
1.7.2011
8770
2400
11170
1.7.2012
9110
2400
11510
1.7.2013
9460
2400
11860
1.7.2014
9820
2400
12220
1.7.2015
10190
2400
12590
1.1.2016
33300
7th CPC fixation
1.7.2016
34300
First increment after 7th CPC
1.3.2017
34900
Next higher stage in the promoted scale upto 30.6.2017. Option on DNI.
1.7.2017
37000
Pay fixation for MACP.
1.1.2018
37000
No increment on 1.1.2018 since date of promotion is not on 1.1 or 1.7.
1.7.2018
38100
First increment after MACP
Official B
 DCCS: 1.6.2007   MACPS I due on 1.6.2017. Non qualifying service 30 days.  Hence, his MACP will be granted only on 1.7.2017. opted for fixation on date of promotion i.e. on 1.7.2017.
Period
Pay
GP
Total
Remarks
1.6.2007
7510
2400
9910
Initial appointment
1.7.2008
7810
2400
10210
No increment on 1.7.2007
1.7.2009
8120
2400
10520
1.7.2010
8440
2400
10840
1.7.2011
8770
2400
11170
1.7.2012
9110
2400
11510
1.7.2013
9460
2400
11860
1.7.2014
9820
2400
12220
1.7.2015
10190
2400
12590
1.1.2016
33300
7th CPC fixation
1.7.2016
34300
First increment after 7th CPC
1.7.2017
37000
MACP pay fixation
1.1.2018
38100
First increment after MACPS as per the orders dated 31.7.2018
Official C
 DCCS: 1.7.2007   MACPS I due on 1.7.2017. Opted for fixation on the date of promotion.
Period
Pay
GP
Total
Remarks
1.7.2007
7510
2400
9910
Initial appointment
1.7.2008
7810
2400
10210
1.7.2009
8120
2400
10520
1.7.2010
8440
2400
10840
1.7.2011
8770
2400
11170
1.7.2012
9110
2400
11510
1.7.2013
9460
2400
11860
1.7.2014
9820
2400
12220
1.7.2015
10190
2400
12590
1.1.2016
33300
7th CPC fixation
1.7.2016
34300
First increment after 7th CPC
1.7.2017
37000
MACP pay fixation
1.1.2018
38100
First increment after MACPS as per the orders dated 31.7.2018
If we compare the pay of these 3 officials as on 1.1.2018, the senior most official A who has no non qualifying service is getting Rs. 37000 whereas the official B, who is junior to A and having a non qualifying service of 30 days is getting Rs.38100, the official C who is the juniormost official is getting Rs.38100. This adversely affects the interest of the senior most official.
The remedy suggested.
The benefit given in the orders dated 31.7.2018 should be extendedto those employees who are promoted or granted upgradation including upgradation under the MACP scheme and whose pay is fixed on 1.1 or 1.7 as per the option. In the case of employees A and B above, since their pay is fixed on 1.7 as per their option, the first increment after MACPS should be granted on 1.1.2018 which maintains equality among the officials.
It may be noted that the senior cannot claim for stepping up of pay as per the orders on MACPS. The senior most official A, eventhough opted for his pay fixation on his DNI, will get less pay than his junior.
The order dated 31.7.2018 needs to be modified as follows.
Original order
As per the communication referred 2 above, it is clarified that in case an employee is promoted or granted financial upgradation including upgradation under the MACP scheme on 1st January or 1st July, where the pay is fixed in the level applicable to the post on which promotion is made in accordance with the Rule 13 of the CCS (RP) Rules, 2016, the first increment in the level applicable to the post on which promotion is made shall accrue on the following 1st July or 1st January, as the case may be, provided a period of 6 months’ qualifying service is strictly fulfilled. The next increment thereafter shall, however, accrue only after completion of one year.
To be modified as
As per the communication referred 2 above, it is clarified that in case an employee is promoted or granted financial upgradation including upgradation under the MACP scheme on 1st January or 1st July, and in case of an employee who exercises option for fixation of pay on Date of next increment, consequent on promotion or financial upgradation including upgradation under MACP, and where the pay is fixed in the level applicable to the post on which promotion is made in accordance with the Rule 13 of the CCS (RP) Rules, 2016, the first increment in the level applicable to the post on which promotion is made shall accrue on the following 1st July or 1st January, as the case may be, provided a period of 6 months’ qualifying service is strictly fulfilled. The next increment thereafter shall, however, accrue only after completion of one year.
I hope, the Government will consider this aspect and cause issue modified orders in order to render justice to the senior officials.
Thanking you.
Article by
R.Hariharakrishnan,
Manager,
Postal Stores Depot,
Tirunelveli 627002

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