IDA INCREASED 5.0% FROM 1-10-2022

Friday, 4 August 2017

04/08


Department of Public Enterprises has issued Office Memorandum on 3-8-2017 (just now uploaded in their website) based on Cabinet decision on implementation of report of Third Pay Revision Committee.

It does not talk about PENSION REVISION, as expected.

There is no specific mention about BSNL in the OM.

About affordability the OM says:
3. The revised pay scales would be implemented subject to the condition that the additional financial impact in the year of implementing the revised pay package for Board level Executives, Below Board level executives and non-unionized Supervisors should not be more than the 20% of the average Profit Before Tax (PBT) of the last three financial years preceding the year of implementation.”
There is a dangerous clause in the OM;
“No fitment or any other benefit of pay revision will be implemented in the CPSEs where the additional financial impact of the revised pay package is more than 40% of the average PBT (Profit Before Tax) of the last 3 financial years.”
A more dangerous clause in the OM is that “if the profitability of a CPSE falls in such a way that the earlier revision now entails impact of more than 20% of average PBT of last 3 years, then PRP/Allowances will have to be reduced to bring down impact…”
Now, we have to see how DoT proceeds further. 

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