SWITCH OVER OPTION TO 7 CPC FROM DNI IN CASE (MACP/PROMOTION)

5. Drawl of pay in the revised pay structure.– 

Save as otherwise provided in these rules, a Government servant shall draw pay in the Level in the revised pay structure applicable to the post to which he is appointed: Provided that a Government servant may elect to continue to draw pay in the existing pay structure until the date on which he earns his next or any subsequent increment in the existing pay structure or until he vacates his post or ceases to draw pay in the existing pay structure:

Provided further that in cases where a Government servant has been placed in a higher grade pay or scale between 1st day of January, 2016 and the date of notification of these rules on account of promotion or upgradation, the Government servant may elect to switch over to the revised pay structure from the date of such promotion or upgradation, as the case may be.

Explanation 1.- 

The option to retain the existing pay structure under the provisos to this rule shall be admissible only in respect of one existing Pay Band and Grade Pay or scale.

Explanation 2.-

The aforesaid option shall not be admissible to any person appointed to a post for the first time in Government Service or by transfer from another post on or after the 1st day of January, 2016, and he shall be allowed pay only in the revised pay structure.

Explanation 3.- 

Where a Government servant exercises the option under the provisos to this rule to retain in the existing pay structure of a post held by him in an officiating capacity on a regular basis for the purpose of regulation of pay in that pay structure under Fundamental Rule 22, or under any other rule or order applicable to that post, his substantive pay shall be substantive pay which he would have drawn had he retained the existing pay structure in respect of the permanent post on which he holds a lien or would have held a lien had his lien not been suspended or the pay of the officiating post which has acquired the character of substantive pay in accordance with any order for the time being in force, whichever is higher

Summary of Understanding

Retention in Old scale is admissible if the following conditions are satisfied : 

1. Until Date of Next Increment / Subsequent Increment in existing Pay structure “Or”

2. Until he vacates his post in the existing pay structure “or”

3. Until he ceases to draw pay in the existing pay structure “And “

4. Admissible only in case of one existing Pay Band and Grade Pay or scale “And”

5. Admissible to retain in existing Pay structure of a post on which he holds a lien

For Example- ( I) ( MACP)

A Postal Assistant got 3rd Financial Up gradation to G.P (4600) under MACP scheme we.f. 21.03.2016 vide Memo Dt 25.04.2017. He opted to revise his pay on promotion from his DNI in the existing Pay structure. And also , he earlier opted to switch over to 7th cpc from DNI 01.07.2016. His fixation has been done as:

	Band Pay	GP	BAsic
Pay as on 20.03.16	15930	4200	20130
On 21.03.16	15930	4600	20530	Higher  G.P allowed as opted to D.N.I
01.07.2016 One Annual Increment One Promotional Increment Pay in the Higher GP	16540	4200	20740
	17170	4200	21370
	17170	4600	21770	Pay Fixed in the 6th CPC
7th CPC Fixation on 01.07.2016 21770* 2.57=55948	56900	Level-7	56900	DNI 01.07.2017

The above example is in accordance to the conditions.

1. Retained in 6th CPC up to Date of DNI 30.06.3016.

2. As it is MACP, there is no change/vacation of POST.

3. As he opted to DNI , his pay will be ceased on 01.07.2016 . So, there is no ceasation of pay structure up to 30.06.2016. ( His pay structure from 01.1.16 to 30.06.16 is 9300-34800+ GP 4200) 

4. The official is in one Pay Band and Grade Pay . i.e 9300-34800+ GP 4200 up to 30.06.2016. 

5. Here the official holds LIEN as there is no change/ vacation of post.

So, in this case all the 5 points of Rule-5 of 7 CPC are satisfied. So , the above Pay fixation is right.

Fixation by Audit of the same Example

As per Audit

1. As the MACP( upgradation) is between 01.01.16 to 25.07.2016, the official can not opt to switch over to 7 th cpc from DNI 01.07.2016 

2. In case of Upgradation/Promotion between the said date , the official must be switched over to 7th CPC either from 1.1.16 or from Date of Promotion. 

3. Promotional benefit will be given in revised Pay Rule Only not in the existing pay. 

At first he has to switch over to 7th CPC, then only his Pay on MACP/ Promotion will be fixed.

“ Is there any specific rule for the above Audit Objection Sl NO 1 to 3” 

The audit is putting a Phrase as follows:

“ If the date of Next Increment on 01.07.2016 for a Post held on 01.01.2016 falls after the date of promotion, then the date of next increment for the post held on 01.01.2016 has no relevance for option. Thus, the option can not be exercised from 01.07.2016 to switch over to revised pay structure.”

Criticism of Audit Objection

As the official is granted Financial Up gradation only, So there is no change of Post. So, the official hold the same post till DNI which he hold the same since 01.01.2016. 

Clarification 

1. Whether the audit objection for the above example is right or not ?

2. Whether other officials who granted MACP between 1.1.16 to 01.07.2016 and earlier switched over to 7th CPC can now Re-exercise the option to 7th CPC from their DNI in pre revised structure i.e 01.07.2016 or not …. ? Vide DOP OM NO: 4-13/17-IC/E-IIIA dt at New Delhi the 12.12.2018

3. If the option “ 2” is “ Not” or “ Denied”, then for whom , the above O.M (DOP OM NO: 4-13/17-IC/E-IIIA dt at New Delhi the 12.12.2018 ) is concerned.

Please comment if any H.O / circle is suffering from same case. Please email to my email if u have a solution.

Prepared By Ananta Charan Sahoo

Email- anantacharan002@gmail.com