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{T0 BE PUBLISHED IN PART-I SECTION-3 OF THE GAZETTE OF INDIA EXTRAORDINARY) GOVERNMENT OF INDIA MINISTRY OF DEFENCE, New Delhi, the 5th September, 2016 OLUTION Nez 0(E) No. 1(7) /2016/D (Pay/Services) 1. The Saventh Central Pay Commission (GPC) was set up by the Government of India ‘Vide Ministry of Finance (Department of Expenditure) Resolution No. 3/1/2033-E.101(A) dated 28 February, 2014. The Commission submitted its report on 19 November, 2015, ‘The report covered among other things, matters relating to structure of emoluments, allowances and conditions of service of Armed Forces personnel, Government has given careful consideration to the recommendations of the Commission relating to these matters in respect of Personnel Below Officer Rank (PBOR) of the Armed Forces and have decided that the recommendations of the Commission on the aforementioned matters in respect of these categories of Defence personnel shall be accepted as follows, Some ofthe major points in respect of the Defence Personnel (PBOR) are as mentioned below: Implementation of the revised pay structure will be w.e 01.01.2016; Gi) Pay related matter; a) The existing system of Pay Band and Grade Pay has been replaced with separate Pay Matrix for Defence forces personnel as specified at Annexure- TL. b) Fixation of pay of each employee in the new Pay Matrix es on 01.01.2036 would be done by multiplying his/her basic pay by a factor of 2.57. Note-1 With regard to fixation of pay in the new Pay Matrix as on 01.01.2016, the existing pay (Pay in Pay Band plus Grade Pay) in the pre- revised structure as on 31.12.2015 shall be multiplied by a factor of 2.57. The figure so arrived at is to be located in the Level eoresponding to employee's Grade Pay in the new Pay Matrix. If a Cell identical with the figure so arrived at is evailable in the appropriate Level, that Cell shall be the revised pay; otherwise the next higher cell in that Level shall be the revised pay of the employee. Note-2 After fixation of pay In the appropriate Level as specified in Note-4 above, the subsequent increments shall be at the immediate next Cell in that Level. (ii) Increase in Military Service Pay (MSP) of Personnel Below Officer Rank (PBOR) from Rs, 2000/- to Rs. 5200/- p.m. MSP would be counted only for Dearness Allowance (DA) and Pension purposes; Gv) There would be two dates for grant of increment viz. 15 January and 1st July of every year, instead of existing date of 1st July. However, an employee will be able to avail annual inerement only on one of these two dates depending on the date of appointment, promotion or grant of financial upgradation; () Recommendations on Allowances (except Dearness Allowance) would be referred toa Committee comprising Finance Secretary & Secretary (Expenditure) as Chairman and Secretaries of Home Affairs, Defence, Health & Family Welfare, Personnel and ‘Training, Posts and Chairman, Railway Board as Members. The Committee would submit its report within a period of 4 months, Till a final decision on Allowances is taken based on the recommendations of this Committee, all Allowances would continue to be paid at existing rates in existing pay structure, as if the pay had not been revised w.e.f, 11.2016 i.e. , status quo would be maintained; (i) Arrears of Pay would be paid during the current financial. year; (vi) Recommendations not relating to pay and allowances and other administrative issues specific to department/ cadres/ posts would be examined. separately as per the ‘Transaction of Business Rules/ Allocation of Business Rules. 2, Other instructions on Pay Fixation and increment not specifically covered in these ‘instructions will be as in the Government of India, Ministry of Finance (Department of Expenditure) Resolution No. 1-2/2016-IC dated 25th July, 2016. 8: The decisions taken by the Government accordingly on various recommendations of the Commission in respect of Pexsonnel Below Officer Rank (PBOR) of Armed Forces are indicated in the statement at Annexure-I to this Resolution, New Pay Matrix applicable to Personnel Below Officer Rank (PBOR) is at Annexure-IL, LB (V. Anandarajan) Joint Secretary to the Government of India ORDER Ordered that the Resolution be Published in the Gazette of India Extraordinary. Ordered also that a copy of the Resolution be communicated to: 5a 2. 3. 4. 5. 6. 7 8. 9. . Army Headquarters, - Naval Headquarters, - Aix Force Headquarters. |. Pay Commission Cells of Army, Navy and Air Force, Controller General of Defence Accounts and all CDAs. . Director General of Audit, Defence Services, Ditector of Public Relations, Ministry of Defence, . Finance Division of Ministry of Defence, *_Jmplementation Cell of Ministry of Finance (Department of Expenditure), 20. All other concerned. VA be (V. 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