All India Retired BSNL Executives Welfare Association

(Central Headquarters:C-8/230, Yamuna Vihar, Delhi-110053)

PRESIDENT : M.L.Sharma General Secretary : Kishan Singh

No.AIRBEWA/2010/ dated at New Delhi 19.04.2010

To

Shri S.C.Misra,
Member (Services), Telecom. Commission
Deptt. Of Telecommunications
Sanchar Bhavan, New Delhi-110001

Sub:- Inadequate/ incorrect compensation to BSNL Employees getting Revised Pay scales
with 68.8% IDA Merger w.e.f. 01/01/2007 owing to non-availability of IDA formula for
68.8% IDA Merger because DPE has stipulated 78.2% IDA Merger vide its OM dated
02/04/2009 and DPE has consequently issued quarterly enhancement of IDA increase
corresponding to 78.2% IDA Merger in revised pay cales w.e.f. 1/12007 only over a period
of last three years

Sir,

Respectfully it is brought to your kind notice that all the Executives/ Non-Executive Employees
of BSNL whose pay has been revised in IDA scale w.e.f. 1/1/2007, are being paid
proportionately less IDA over a period of last three years as compared to their actual Eligibility
formula based on the Price Index and consequent neutralization through IDA.

All the DPE Circulars for payment of IDA w.e.f. 01/01/2007 are based on the calculation that
78.2% IDA has been merged with the Basic Pay of the Employees as is categorically clear from
Para 2 of respective DPE Circulars for payment of IDA.

Para 2 of recent circular of DPE for payment of 30.9% IDA vide F.No.2(70)/2008-
DPE(WC)-GL-I/ 2010 dated 15th January 2010 states as below:-

“2 The above rates of DA would be applicable in the case of IDA Employees who have
been allowed revised pay scales (2007) as per DPE O.M. dated 26/11/2008. 09/02/2009 &
02/04/2009.”

Above Para clearly states that 30.9% IDA is payable to only those who have been been granted
revised pay scales with 78.2% IDA Merger.This formula of 30.9% IDA is not applicable for
those BSNL Employees who have been given 68.8% IDA Merger.
If a proportionate formula for BSNL Employees with 68.8% IDA Merger at the time of revision
on 01/01/2007 is calculated then past IDAs for all the threee years are to be revised. Current
IDA w.e.f. 01/01/2010 shall work out to around 32.6% of IDA.

This issue was discussed by undersigned with DPE Officials whereas they stated that pay
revision should have been done with 78.2% IDA Merger as per their instructions and their
IDA formula is based on 78.2% IDA Merger. Further DPE has not given any IDA formula
for 68.8% IDA Merger on 01/01/2007/

In case BSNL insists on 68.8% Merger only, as is the case at present, then IDA formula for the
period from 1/1/2007 to 1/1/2007 needs to be revised by DPE accordingly otherwise BSNL
Employees and Pensioners shall stand shortchanged in the matter of payment of due IDA
towards salary and Pension.

Eventhough BSNL management had assured the BSNL Executive Associations in their meetings
and also the BSNL Non-Executive Unions in their wage Agreements, that they shall try to
resolve this issue by following the DPE guidelines and providing for 78.2% IDA Merger as on
01/01/2007 to the Executives and Non-Executives at an early date. But this issue is still awaiting
settlement/ finalization in BSNL.

You are requested to kindly look into the matter and arrange for resolution of this problem to
rectify this anomaly at the earliest.

Thanking you.

Yours faithfully,

Dated at New Delhi (Kishan Singh)

The 19/04/2010 General Secretary
All India Retired BSNL Executives Welfare Association
C-8/230, Yamuna Vihar, Delhi-110053