Oil PSU gets a hike of 9% only

New Delhi: More than 3 lakh employees of Central public sector enterprises will have something to cheer about before the elections as the UPA Government plans to consider on Monday a further increase in their emoluments — a 9.4% hike in their basic salary. The Election Commission, sources said, has given its go-ahead today.

The Cabinet is expected to take up the recommendations of a Group of Ministers to merge Dearness Allowance (DA) with the basic salary with DA being calculated at 78.2% of basic salary instead of 68.8% as per a Department of Public Enterprises notification on November 26, 2008.
The new pay will continue to be effective from January 1, 2007.

“We informed the EC that there was a financial implication. We have been advised that we could take it up for Cabinet approval but not publicise the approval,” a DPE source said.

The Cabinet will also be asked to approve the GOM’s recommendation allowing the issue of perks such as House Rent Allowance from November 26, 2008, instead of the day each ministry issues the new pay scales through a Presidential directive.

The other concession is that 30 per cent of basic pay and Dearness Allowance will be allowed towards superannuation benefits instead of just 30 percent of basic pay as announced in the DPE notification.

The new scales will be applicable to 1.2 lakh non-unionized supervisory staff and 2.58 lakh board-level officers in 216 operational CPSEs.

Source:http://www.indianexpress.com/news/centre-moves-on-9-hike-in-basic-pay-of-its-psu-staff-gets-ecs-clear.../439666/