7th CPC Multiplication Factor Clarification
After the release of 7th CPC notification, there has been some confusion on the air about the multiplier percentage (%) which should be used to calculate the revised basic pay.
We have gone through the report and believe the confusion is created because of the below matrix (Table 4: Rationalisation Applied in the Present Pay Structure) which is displayed in the page no 73 of the report, where it shows different multiplying factor for different Pay Band and Grade Pay.
However, in Page 77 (5.1.28 – Pay Fixation in the New Pay Structure) the commission wants every employee to multiply his/her basic pay with a factor of 2.57 and match the nearest highest value corresponding to their Pay Brand and Grade Pay.
Also, refer (5.1.29) in Page 77, it gives below the calculation method and also how employees should apply the new pay structure
We believe the multiplying factor is 2.57 for the existing employee is because of the example which is also used in the report, do refer the page no: 78, Example I.
After applying the multiplication factor of 2.57, the output value should be referred in the fitment matrix as elaborated in the example
In other examples which are illustrated in the report also highlight the usage of 2.57 as multiplying factor for the current employees.
If you look at the Example II, they have referred to any Employee “T” in GP “4200” and used the multiplying factor as 2.57, however if we were supposed to use the Table 4 (Table 4: Rationalisation Applied in the Present Pay Structure) then the multiplication factor should have 2.62 which is not been applied and hence we believe the multiple factor is 2.57.
With the above example and the content we believe that multiplying factor for the existing employee should be 2.57 and our calculator is been built on this basis.
The differential percentage should be used for Entry Pay as per page no 79, point (5.1.31).
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