• Pay Protection for Public Sector Undertaking Employees

Sir, i am working as Manager in Malwa Gramin Bank, in which Govt. of India has 50 Percent, Govt. of Punjab has 15 Percent and Sponsor Bank State Bank of Patiala is having 35 percent share. i am working here from more than 4.5 years. Now i have got selected in Punjab Labour Department through competitive exam held by Subordinate Service Selection Board, Govt Of Punjab.
i want to ask if i am eligible for pay protection as salary in Bank is higher. if yes, then what is the procedure for the same.
Asked 8 years ago in Labour

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2 Answers

No.1213/2009-Pay-I

Government of India

Department of Personnel & Training

Estt (Pay-I) Section.

*****

New Delhi dated the 30Th March, 2010

OFFICE MEMORANDUM

Subject: Guidelines for fixation of pay of candidates working in Public Sector Undertakings etc., recommended for appointment by the Commission by the method of recruitment by selection – regarding.

Reference is invited to this Department’s OMs No. 1211/88-Pay-I dated 7.8.89 and 1211196-Pay-I dated 10.7.98, whereby guidelines for fixation of pay of candidates working in Public Sector Undertakings etc., recommended for appointment by the Commission by the method of recruitment by selection through interview only, were issued.

2. Subsequent to the implementation of the recommendations ofthe 6th CPC and the issue of CCS(RP) Rules 2008, the system of Running PayBands and Grade Pays has been introduced. Accordingly, in partial modification of this Department’s OM dated 7.8.89 and 10.7.98 referred toabove, the method of pay fixation in respect of those appointed on or after1.1.2006 will be as under

in case of candidates working in Public Sector Undertakings, Universities, Semi-Government Institutions or Autonomous Bodies, who are appointed as direct recruits on or after 1.1.2006 on selection through interview by a properly constituted agency including Departmental Authorities making recruitment directly, their initial pay may be fixed by granting them the Grade Pay attached to the post. Further, their pay in the Pay Band may be fixed at a stage so that the pay in the Pay Band +Grade Pay and DA as admissible in the government, protects the pay +DA already being drawn by them in their parent organisations. The pay in the Pay Band fixed under this formulation will not be fixed at a stage lower than Entry Pay in the Revised Pay Structure (corresponding to the Grade Pay applicable to the post) for direct recruits on or after 1.1.2006 as notified vide Section II, Part A of First Schedule to CCS(RP) Rules, 2008. The pay in the Pay Band fixed under this formulation will not exceed Rs. 67000, the maximum of the Pay Band PB-4.”

3. The conditions for admissibility of pay protection shall be the same as stipulated in this Department’s OMs dated 7.8.89 and 10.7.98 referred to above.

These orders will be applicable w.e.f. 1.1.2006

(Rita Mather)

Director (Pay)

Ajay Sethi
Advocate, Mumbai
96084 Answers
7727 Consultations

5.0 on 5.0

Some extracts of office memorandum dated 30.10.2010 in No.1213/2009-Pay-I Government of IndiaDepartment of Personnel & Training Estt (Pay-I) Section.is given below:

Subsequent to the implementation of the recommendations ofthe 6th CPC and the issue of CCS(RP) Rules 2008, the system of Running PayBands and Grade Pays has been introduced. Accordingly, in partial modification of this Department’s OM dated 7.8.89 and 10.7.98 referred toabove, the method of pay fixation in respect of those appointed on or after1.1.2006 will be as under:

“In case of candidates working in Public Sector Undertakings, Universities, Semi-Government Institutions or Autonomous Bodies, who are appointed as direct recruits on or after 1.1.2006 on selection through interview by a properly constituted agency including Departmental Authorities making recruitment directly, their initial pay may be fixed by granting them the Grade Pay attached to the post. Further, their pay in the Pay Band may be fixed at a stage so that the pay in the Pay Band +Grade Pay and DA as admissible in the government, protects the pay +DA already being drawn by them in their parent organisations. The pay in the Pay Band fixed under this formulation will not be fixed at a stage lower than Entry Pay in the Revised Pay Structure (corresponding to the Grade Pay applicable to the post) for direct recruits on or after 1.1.2006 as notified vide Section II, Part A of First Schedule to CCS(RP) Rules, 2008. The pay in the Pay Band fixed under this formulation will not exceed Rs. 67000, the maximum of the Pay Band PB-4.”

3. The conditions for admissibility of pay protection shall be the same as stipulated in this Department’s OMs dated 7.8.89 and 10.7.98 referred to above.

A judgment by Delhi high court in

Sanjog Kapoor vs Union Of India (Uoi) And Ors. on 20 April, 2007 is in favor of your situation.

T Kalaiselvan
Advocate, Vellore
86285 Answers
2292 Consultations

5.0 on 5.0

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