Sunday, 6 March 2022

AP REPORT OF 11th PAY REVISION ASUTOSH MISHRA COMMISSION PRC 2020 Volume wise

AP REPORT OF 11th PAY REVISION ASUTOSH MISHRA COMMISSION PRC 2020 Volume wise

AP REPORT OF 11th PAY REVISION ASUTOSH MISHRA COMMISSION PRC 2020 Volume wise AP REPORT OF 11th PAY REVISION COMMISSION PRC 2020 Volume-I  2020 & Volume-II/1 & Volume-II/2 & Volume-III & Volume-IV & Volume-V ASUTOSH MISHRA, IAS (Retd.) Pay Revision Commissioner


AP REPORT OF 11th PAY REVISION ASUTOSH MISHRA COMMISSION PRC 2020 Volume wise 


Fortuitously, I had all the field postings, spanning over more than 12 years in my career in the Indian Administrative Service, in the districts of the State of Andhra Pradesh in its present reorganized form. I learnt and honed my basic administrative skills while serving the people of this State in the formative years of my career. I therefore express my deep sense of gratitude to the State Government for affording me yet another opportunity for serving the State in the capacity of Pay Revision Commissioner. This exercise has enabled me to understand more closely the cadre compositions, administrative hierarchies and inter and intra-departmental parities among different categories of employees




Pay revision of the State Government employees is an important quinquennial exercise for recalibration of remunerations and other service conditions of the State Government employees. As I near the end of this assignment I look back with gratitude to all the entities, institutional and individual, who made my job easier.

I am immensely thankful to the Chief Secretaries Sri DineshKumar, Sri Anil Chandra Punetha, Sri L.V. Subramanyam and Smt. Nilam Sawhney who personally enquired about my functional requirements as well as creature comforts and issued necessary instructions to all concerned to ensure for me a comfortable work environment.

The exercise of pay revision/fixation for a complex entity like the State Government, with its vast spatial spread and multitude categories of functionaries, requires proper comprehension of the organizational structures, nature of functions etc. I am thankful to the 

Heads of Departments who furnished all the required information and Service Rules to the Commission in response to the Questionnaire and Schedules sent to them.

I must make a special mention here about the assistance rendered to me by the General Administration Department in alloc jiating suitable accommodation for the convenient day-to-day functioning of the Commission and for holding its meetings. I express my thankful gratitude to Sri M. Ravichandra, IAS, Sri Peeyush Kumar, IAS, and Sri S.S.Rawat, IAS, Finance Secretaries who approved the complement of supporting staff as well as establishment expenses required for the smooth functioning of the Commission.

The Commission had extremely meaningful interactions with the Joint Action Committees (JACs) and various Service Associations relating to the service issues encountered by the employees. They have given very clear and pointed presentations before the Commission about their aspirations and the expectations. I am thankful to the office bearers of the JACs and the various Service Associations for interacting with the Commission in extremely orderly and disciplined fashion. My special thanks are to the office bearers of the District Level JACs who organized our district-level interactions in equally orderly manner. These interactions brought to our notice several new perspectives and fresh issues for examination.

Iam personally grateful to Sri K.V.S.K.S. Papa Rao, who has been with me right since I landed at the Gannavaram Airport for joining as the Pay Revision Commissioner. His past experience with previous PRCs, willingness to work hard, tremendous ability to liaison with various departments of the Government and ferret out relevant information and Government orders were assets which I have banked upon for completing this assignment. 

He has painstakingly put up all the analytical reports on pay parity related representations from various categories of employees and given me insights on several issues. I remain ever thankful to him.

I am acknowledging with a deep sense of gratitude the help rendered by Sri Nemani Yogeswara Sastry, Director of Economics & Statistics and his staff for providing me macro-economics data as well data relating to prices of essential items of consumption relating to the State. I am equally grateful to Sri B. Shoban, who unflinchingly responded to my request to put together a status report on the State’s economy. He has put up a very succinct write-up and I sincerely acknowledge his help in this regard.

Ordinarily settled in Hyderabad, I had to find a suitable residential accommodation close to my work place in the State Secretariat at Velagapudi. I am immensely thankful to Sri N.A.V. Rama Rao and Sri Y. Kruparao (my former Personal Secretary) for locating a comfortable apartment in a gated community for my stay and helping me in setting up a make-shift residence.

I have banked upon my Peshi staff Sarvasri K. Pardha Saradhi, Assistant Secretary to Government (Rtd) and OSD in PRC and N.Hari Kumar, DEO, to manage all the short-hand, typing and computer work that I entrusted to them. I am particularly thankful to Sri N.A.V.Ramarao (on deputation from the department of Prohibition and Excise) for helping me by orderly presentation of all the grievance booklets and departmental schedules and for smooth conduct of the meetings at the Secretariat level as well as in the Districts. My Drivers 

Sri B.Ananth Maha Lakshamaiah and Sri P. Nagaraju have made my journeys safe and comfortable. Similarly the Peshi attenders Sri I.Parasuram Naik and Sri V. Narasimha Prasad took personal care of my creature comforts. I am extremely grateful to all of them.

Last but not the least, I must mention the excellent Secretariat assistance rendered by Sarvasri B. Srinivasulu, S.P. Naidu and Smt. B.Madhavi, Assistant Secretaries to Government and Section Officers K. Bhushanarao and R.V.S.N. Murthy, deputed from the Finance Department and other supporting staff Sarvasri K. Sivaram Kumar, DPO of A.P.T.S., P. Abdullah, Rizwan, Balakrishna of APCFMS and other office subordinates B.Buchanna, K.S. Jagadish and B. Divyarani. I shall be failing in my duty if I don’t make a special mention of the effort put in by Sri Katta Hari Krishna, DPO in compiling and putting up the Excel Data relating to pay-scale details of various categories of employees in all the departments of Government in a suitable template. This made my job of putting together Volume-III of the report much easier. Sri Kodali Bala Krishna, DPO extended excellent support in page setup. 

I am grateful to all the above mentioned individuals in my official and personal capacity.


EXECUTIVE SUMMARY

1. Pay Scale:

a) The Master Scale concept is retained with 32 Grades and 83 stages (increased from 81stages). The Master scale is formulated with the following features:

i. Annual increment to range from 3% of the pay in initial stages to 2.34% at the end.

ii. Periodicity of increase in increment is recommended to be 3 years up to stage 72 in the Master Scale, 4 years for stage 73-80 and 2 years thereafter.

b) The New Pay Scale is evolved by merging 100% of Dearness Allowance (as on 01.07. 2018) with Basic Pay and adding the fitment benefit.

c) The ‘Minimum Pay’ for the lowest paid employee is to be ₹.20,000/- per month.

d) The ‘Maximum Pay’ in the Master scale is worked out to Rs1,79,000/- p.m. which represents a Maximum to Minimum ratio of 8.95.

e) In the event of stagnation in pay scale, grant of up to 5 stagnation increments is recommended.

2. Fitment:

The Commission recommends a fitment benefit of 27 % on Basic Pay.

3. Date of Effect of New Pay Scale:

The new pay scales may come into effect from 1.7.2018. Government may however take a view regarding the date from which the monetary benefit would accrue keeping in view its resource position and the various demands thereon.

4. Dearness Allowance:

a) The existing practice of revising the Dearness Allowance (DA) twice a year, on 1st January and 1st July, in tandem with the sanction of DA by the Government of India may be continued.

b) Since the Central rates of DA are based on the DA merged scales of 1.1.2016 while in the State DA is recommended to be fully merged on 1.7.2018, the Commission recommends a conversion factor of 0.91 for sanction of DA from 1.1.2019. It means that for every 1 % increase in DA sanctioned by the Government of India, the DA to be sanctioned by the State to its employees would be 0.91% starting from 1.1.2019.

5. House Rent Allowance:

a) HRA may be allowed at the following rates 

(i) @ 30% of basic pay subject to a ceiling of ₹.26,000/- p.m. for employees shifting from Hyderabad on bifurcation of State.

(ii) @ 22% of pay basic pay subject to a ceiling of ₹.22,500/- p.m. in cities with population above 10 lakh 

(iii) @ 20% of pay basic pay subject to a ceiling of ₹.20,000/- p.m. in cities with population of above 2 lakh and up to 10 lakh.

(iv) @ 14.5% of pay basic pay subject to a ceiling of ₹.20,000/- p.m. in cities with population of above 50,000 and up to 2 lakh

(v) Rest of the employees @12% subject to a limit of ₹.17,000 p.m.

b) Additional HRA in lieu of rent free accommodation is retained at 8 % of basic pay, but the monetary ceiling is recommended to be increased from ₹.2,000/- to ₹.2,600/- p.m.

6. City Compensatory Allowance:

For the purpose of grant of City Compensatory Allowance, the Commission has recommended two slab rates, one for Visakhapatnam and Vijayawada and the second for the 12 other Municipal Corporations . The quantum of allowance is increased for all the pay ranges (Municipal Corporations of Visakhapatnam and Vijayawada ₹400-1000 and other Municipal Corporations ₹,300-750).

7. Advance Increments

The Commission has recommended not to grant in the normal course any special increment for possessing higher qualifications.

8. Loans and Advances

a) The Commission has recommended that the Government tie-up with financial institutions for grant of House Building/Personal Conveyance loans and link up repayment to salary disbursement. Back-ended subsidy of 2.5% has been recommended on such loans;

b) Pending such tie up, revised eligibilities, amounts and floating rate of interest linked to Repo Rate have been recommended in respect of all types of advances;

c) It is recommended that the eligibility for ‘Advance for purchase of Personal Computer’ may be increased to a maximum of 3 times during the entire service career subject to a minimum gap of 7 years between the purchase of two successive computers and complete repayment of previous computer advance.


9. Leave Benefits:

a) Additional 5 days Casual Leave has been recommended in favour of non-teaching women employees on par with the teaching women employees;

b) Child Adoption Leave up to 180 days is recommended for woman employee having less than two surviving children if she legally adopts a child up to one year of age. Subject to the same conditions, paternity leave up to 15 days may be extended to ‘single’ male employees (unmarried/widower/divorcee) within a period of 6 months of child adoption;

c) Child Care Leave has been recommended to be increased to 180 days in a maximum of three spells. It may also be extended to ‘single’ male employees (unmarried/widower/divorcee);

d) Special Casual Leave of up to 7 days in a year is recommended for orthopedically challenged employees needing to change prosthetic aides. Same duration of Special Casual Leave has also been recommended for Nursing staff working in h

igh risk ward;

e) Revised rates have been prescribed for Ex-gratia Allowance payable to the employees who are granted extra-ordinary leave for the treatment of certain diseases.

10. Medical Benefits:

a) In order to ensure financial sustainability of EHS, the quantum of employees’ contribution should be increased in steps over a period of time along with similar step-up in the Government contribution;

b) The pending claims of the network hospitals should be settled expeditiously by releasing additional funds to the Arogyasri Trust;

c) The facility of Annual Health check-up may be extended to the Pensioner and his/her spouse;

d) The Dr. YSR Arogyasri Trust may hold talks with a few hospitals in Hyderabad, Bangalore and Chennai, empanelled by the concerned State Governments, for inclusion under the EHS;

e) Medical Allowance to Service Pensioners / Family Pensioners is recommended to be enhanced to ₹.500/- p.m.

11. Special Pays:

The quantum/rate of Special Pay for the existing category of employees has been recommended to be suitably enhanced. In respect of a few categories we have recommended its discontinuance.


12. Other Allowances:

a) Mileage Allowance is recommended to be increased to ₹.15.50 per k.m. for petrol driven vehicles, ₹.11.50 per k.m. for diesel driven vehicles and ₹.6.40 per k.m. for motor cycles/ scooters.

b) Rates of Daily Allowance and Lodging Charges may be enhanced by 33 % to ₹.300-600 per day for tours inside the State and ₹.400-800 per day for tours outside the State

c) For the purpose of payment of lodging charges a fresh classification of places, inside and outside the State, has been drawn up and lodging charges have been fixed from ₹.300/- to ₹.1700/- per day.

d) Conveyance charges to Court Masters and Personal Secretaries to Hon’ble Judges of A.P. High Court/ APAT has been increased to a maximum of ₹.5000/- per month.

e) Fixed Travelling Allowance enhanced to a maximum of ₹.1700/- per month from the existing ₹.1200/- per month. The rates applicable for minimum 20 days touring in a month have been rationalised pro rata compared to the rates fixed for minimum 15 days touring in a month. Several new categories of employees from the Departments of Animal Husbandry, Cooperation, Sericulture, School Education and Panchayatiraj/Tribal Welfare Engineering have been recommended to be added to the list to get FTA.

f) The limit for Tuition Fee reimbursement has been enhanced to ₹.2500/- per annum per child, subject to a maximum of two children.

g) Funeral Charges of deceased employee has been recommended for increase to ₹.20,000/-.

h) Special Compensatory Allowance payable for working in the Tribal areas has been increased from the existing minimum and maximum of ₹.500/- per month and ₹.1275/- per month respectively to ₹. 700/- per month and ₹.1800/- per month. 

i) Substantial increases have been suggested in Uniform Allowance, Uniform Maintenance Allowance and Stitching Charges.

j) Enhanced admissibility of Risk Allowance has been suggested and new categories have been added to the existing list of employees eligible for ‘Risk Allowance’ in the Departments of Animal Husbandry and Forest.

k) ‘Ration Allowance’ has been recommended at enhanced rates. New categories have been suggested for inclusion in the Insurance Medical Service and HM&FW departments.

l) Increases have been recommended in ‘Emergency Health Care Allowance’, PG Degree and Diploma Allowance, Non Private Practice Allowance, Tribal Allowance and Rural Allowance for several categories of employees in Medical related Departments.

m) ‘Readers Allowance’ to Visually Challenged teacher and lecturers is recommended to be enhanced by 33 percent, up to a maximum of ₹. 1200/- per month.

n) ‘Delhi Allowance’ / ‘Special Compensatory Allowance’, to the staff working in the Andhra Pradesh Bhavan at New Delhi, has been recommended to be enhanced to 15% of Basic Pay subject to a maximum of ₹.5000/- per month.

o) ‘Special Gratuity Allowance’ to drivers of AP Bhavan has been recommended to be increased to ₹.30/- per hour subject to a ceiling of 100 hours in a month.

p) ‘Conveyance Allowance’ to physically challenged employees has been enhanced to 10% of Basic Pay subject to a maximum of ₹.2000/- per month.

13. Pensionary Benefits:

In respect of pensionary benefits our recommendations are the following:

a. To consolidate pension/family pension with dearness relief as on 1.7.2018. 27% of the basic pension/family pension is to be treated as fitment benefit.

b. To continue the existing provision of full pension after 33 years of qualifying service with 5 years of service weightage. Similarly no change is recommended in the formula for fixation of pension/family pension.

c. A revised scale of additional quantum of pension starting from 70 years of age has been suggested

d. If a government servant dies while in service, enhanced family pension is recommended to be paid to his dependants for a period of up to 10 years without any upper age limit. In case of death after retirement the enhanced family pension should be payable for a period of seven years or up to the date on which he would have attained 67 years, had he survived, whichever is earlier.

e. The conditions of 45 years age limit in respect of unmarried/widowed/divorced daughter of family pensioners may be rescinded and the stipulation regarding having children may be altered so as to exclude widowed/divorced daughter having a child who has attained 25 years of age or started earning.

f. To allow Dearness Relief on both the basic pensions (Service and Family) received by the same pensioner.

g. The quantum of minimum pension/ family pension is recommended to be increased to ₹.10000/- p.m.

h. The maximum amount of Gratuity payable at the time of retirement is recommended to be enhanced from ₹.12 lakh to ₹.16 lakh.

i. The maximum limit for Death Relief amount on the death of a service pensioner/ family pensioner is recommended to be enhanced to ₹.20,000/-.

j. The financial assistance is recommended to be increased to the level of minimum service pension/family pension (₹.10,000 per month) with dearness relief thereon after 1.7.2018.

k. The existing ceiling limit of commutation at 40% of basic pension and provision regarding restoration of commuted portion of pension after 15 years should be continued.

14. Work Charged Establishment:

The scales of pay of Work Charged establishment have been rationalised keeping in view the qualifications prescribed at the entry level and the service conditions.

15. Full Time Contingent Employees and Contract Employees:

i. The Commission recommends a remuneration of ₹.20,000/- p.m. (i.e. the minimum pay of Last Grade Employees in the proposed RPS) plus DA to the Full-time Contingent/Daily Wage/ Consolidated Pay/NMR employees whose services have not been regularized and who are already drawing a remuneration of ₹.13,000/- p.m. + DA in the 2015 RPS.

ii. In respect of Contract employees also the remunerations may be fixed at the minimum of the time scale, in the now revised pay scale, of the equivalent category in regular employment in the Government.

iii. The revision in remuneration in respect of these employees may be given effect to simultaneously (with effect from the same date) with the regular Government employees.

16. Home Guards:

i. They may be paid Daily Allowance at the rate of 1/30th of the Minimum Pay (in the Revised Pay Scale recommended in this report for the Police Constables) plus Dearness Allowance thereon at the rates applicable to the Government employees from time to time.

ii. The Home Guards may allowed to draw TA/DA at the rates applicable to Police Constables when they are sent on bandobaust duty to a place which is more than 8 km. from their normal place of duty. 

17. Automatic Advancement Scheme:

The existing scheme of AAS may continue with the following modifications:

(1) The present SPP Scale -II/SAPP Scale-II, eligible after 24 years of service in the same post, may be rechristened as SPP Scale -IIA/SAPP Scale-IIA 

(2) An employee, on completion of 30 years of service in a particular post, may be granted one increment in the SPP Scale IIA/ SAPP Scale IIA, as the case may be, which shall be called the Special Promotion Post Scale II-B/ Special Adhoc Promotion Post Scale II-B. 

(3) The benefit of Automatic Advancement Scheme may be continued up to and inclusive of Grade­25 in the revised scales i.e., ₹.76730-162780.

18. Human Resources to Meet Contemporary Requirements of Governance

a. Each department should draw up a Recruitment Plan, updated on annual basis, containing details of existing vacancies in staff and officers, vacancies likely to arise in future due to retirement/ promotion etc. and phase wise recruitment to be made through APPSC / DSC or through Contract.

b. In future Contract staff may be appointed only against positions which are temporary in nature and not against permanent positions. Those of the qualified Contract employees, who have been appointed on merit after following transparent and competitive recruitment process, may be regularised in service against available vacancies in permanent posts.

c. Outsourcing should be only of services such as cleaning and maintenance, security/ watch and ward, bill collection, managing reception desks, supply of vehicles/drivers etc. These functions should be outsourced to Agencies on competitive tendering and in future no individual personnel should be hired on outsourcing basis.

d. Gaps in training should be identified, department wise, by a Committee constituted under the auspices of the Andhra Pradesh HRD Institute, Bapatla and budgetary support provided for planning and conducting induction/ refresher training programmes for different categories of employees.

e. General Administration (Services) Department may constitute a Committee to review, in a time bound manner, the Service Rules of all the departments in consultation with the respective Heads of Departments. While doing so adequate attention should be given to the aspect of career planning.

f. Executive staff at the field level may be provided with mobile phones with CUG connectivity to quicken the process of decision making, problem solving and to monitor progress.

g. Increasing number of ‘Government to Citizen’ (G2C) services should be brought under the umbrella of ‘Mee Seva’.

19. Financial Implication:

The financial implication of the Commission’s recommendations is estimated to be of the order of about ₹.3,181 Crore.

Fortuitously, I had all the field postings, spanning over more than 12 years in my career in the Indian Administrative Service, in the districts of the State of Andhra Pradesh in its present reorganized form. I learnt and honed my basic administrative skills while serving the people of this State in the formative years of my career. I therefore express my deep sense of gratitude to the State Government for affording me yet another opportunity for serving the State in the capacity of Pay Revision Commissioner. This exercise has enabled me to understand more closely the cadre compositions, administrative hierarchies and inter and intra-departmental parities among different categories of employees.

Pay revision of the State Government employees is an important quinquennial exercise for recalibration of remunerations and other service conditions of the State Government employees. As I near the end of this assignment I look back with gratitude to all the entities, institutional and individual, who made my job easier.

I am immensely thankful to the Chief Secretaries Sri DineshKumar, Sri Anil Chandra Punetha, Sri L.V. Subramanyam and Smt. Nilam Sawhney who personally enquired about my functional requirements as well as creature comforts and issued necessary instructions to all concerned to ensure for me a comfortable work environment.

The exercise of pay revision/fixation for a complex entity like the State Government, with its vast spatial spread and multitude categories of functionaries, requires proper comprehension of the organizational structures, nature of functions etc. I am thankful to the Heads of Departments who furnished all the required information and Service Rules to the Commission in response to the Questionnaire and Schedules sent to them.

I must make a special mention here about the assistance rendered to me by the General Administration Department in alloc jiating suitable accommodation for the convenient day-to-day functioning of the Commission and for holding its meetings. I express my thankful gratitude to Sri M. Ravichandra, IAS, Sri Peeyush Kumar, IAS, and Sri S.S.Rawat, IAS, Finance Secretaries who approved the complement of supporting staff as well as establishment expenses required for the smooth functioning of the Commission.

The Commission had extremely meaningful interactions with the Joint Action Committees (JACs) and various Service Associations relating to the service issues encountered by the employees. They have given very clear and pointed presentations before the Commission about their aspirations and the expectations. I am thankful to the office bearers of the JACs and the various Service Associations for interacting with the Commission in extremely orderly and disciplined fashion. My special thanks are to the office bearers of the District Level JACs who organized our district-level interactions in equally orderly manner. These interactions brought to our notice several new perspectives and fresh issues for examination.

Iam personally grateful to Sri K.V.S.K.S. Papa Rao, who has been with me right since I landed at the Gannavaram Airport for joining as the Pay Revision Commissioner. His past experience with previous PRCs, willingness to work hard, tremendous ability to liaison with various departments of the Government and ferret out relevant information and Government orders were assets which I have banked upon for completing this assignment. 

He has painstakingly put up all the analytical reports on pay parity related representations from various categories of employees and given me insights on several issues. I remain ever thankful to him.

I am acknowledging with a deep sense of gratitude the help rendered by Sri Nemani Yogeswara Sastry, Director of Economics & Statistics and his staff for providing me macro-economics data as well data relating to prices of essential items of consumption relating to the State. I am equally grateful to Sri B. Shoban, who unflinchingly responded to my request to put together a status report on the State’s economy. He has put up a very succinct write-up and I sincerely acknowledge his help in this regard.

Ordinarily settled in Hyderabad, I had to find a suitable residential accommodation close to my work place in the State Secretariat at Velagapudi. I am immensely thankful to Sri N.A.V. Rama Rao and Sri Y. Kruparao (my former Personal Secretary) for locating a comfortable apartment in a gated community for my stay and helping me in setting up a make-shift residence.

I have banked upon my Peshi staff Sarvasri K. Pardha Saradhi, Assistant Secretary to Government (Rtd) and OSD in PRC and N.Hari Kumar, DEO, to manage all the short-hand, typing and computer work that I entrusted to them. I am particularly thankful to Sri 

N.A.V.Ramarao (on deputation from the department of Prohibition and Excise) for helping me by orderly presentation of all the grievance booklets and departmental schedules and for smooth conduct of the meetings at the Secretariat level as well as in the Districts. My Drivers 

Sri B.Ananth Maha Lakshamaiah and Sri P. Nagaraju have made my journeys safe and comfortable. Similarly the Peshi attenders Sri I.Parasuram Naik and Sri V. Narasimha Prasad took personal care of my creature comforts. I am extremely grateful to all of them.Last but not the least, I must mention the excellent Secretariat assistance rendered by Sarvasri B. Srinivasulu, S.P. Naidu and Smt. B.Madhavi, Assistant Secretaries to Government and Section Officers K. Bhushanarao and R.V.S.N. Murthy, deputed from the Finance Department and other supporting staff Sarvasri K. Sivaram Kumar, DPO of A.P.T.S., P. Abdullah, Rizwan, Balakrishna of APCFMS and other office subordinates B.Buchanna, K.S. Jagadish and B. Divyarani. I shall be failing in my duty if I don’t make a special mention of the effort put in by Sri Katta Hari Krishna, DPO in compiling and putting up the Excel Data relating to pay-scale details of various categories of employees in all the departments of Government in a suitable template. This made my job of putting together Volume-III of the report much easier. Sri Kodali Bala Krishna, DPO extended excellent support in page setup. I am grateful to all the above mentioned individuals in my official and personal capacity.


EXECUTIVE SUMMARY

1. Pay Scale:

a) The Master Scale concept is retained with 32 Grades and 83 stages (increased from 81stages). The Master scale is formulated with the following features:

i. Annual increment to range from 3% of the pay in initial stages to 2.34% at the end.

ii. Periodicity of increase in increment is recommended to be 3 years up to stage 72 in the Master Scale, 4 years for stage 73-80 and 2 years thereafter.

b) The New Pay Scale is evolved by merging 100% of Dearness Allowance (as on 01.07. 2018) with Basic Pay and adding the fitment benefit.

c) The ‘Minimum Pay’ for the lowest paid employee is to be ₹.20,000/- per month.

d) The ‘Maximum Pay’ in the Master scale is worked out to Rs1,79,000/- p.m. which represents a Maximum to Minimum ratio of 8.95.

e) In the event of stagnation in pay scale, grant of up to 5 stagnation increments is recommended.

2. Fitment:

The Commission recommends a fitment benefit of 27 % on Basic Pay.

3. Date of Effect of New Pay Scale:

The new pay scales may come into effect from 1.7.2018. Government may however take 

a view regarding the date from which the monetary benefit would accrue keeping in view its resource position and the various demands thereon.

4. Dearness Allowance:

a) The existing practice of revising the Dearness Allowance (DA) twice a year, on 1stJanuary and 1st July, in tandem with the sanction of DA by the Government of India may be continued.

b) Since the Central rates of DA are based on the DA merged scales of 1.1.2016 while in the State DA is recommended to be fully merged on 1.7.2018, the Commission recommends a conversion factor of 0.91 for sanction of DA from 1.1.2019. It means that for every 1 % increase in DA sanctioned by the Government of India, the DA to be sanctioned by the State to its employees would be 0.91% starting from 1.1.2019.


5. House Rent Allowance:

a) HRA may be allowed at the following rates 

(i) @ 30% of basic pay subject to a ceiling of ₹.26,000/- p.m. for employees shifting from Hyderabad on bifurcation of State.

(ii) @ 22% of pay basic pay subject to a ceiling of ₹.22,500/- p.m. in cities with population above 10 lakh 

(iii) @ 20% of pay basic pay subject to a ceiling of ₹.20,000/- p.m. in cities with population of above 2 lakh and up to 10 lakh.

(iv) @ 14.5% of pay basic pay subject to a ceiling of ₹.20,000/- p.m. in cities with population of above 50,000 and up to 2 lakh

(v) Rest of the employees @12% subject to a limit of ₹.17,000 p.m.

b) Additional HRA in lieu of rent free accommodation is retained at 8 % of basic pay, but the monetary ceiling is recommended to be increased from ₹.2,000/- to ₹.2,600/- p.m.

6. City Compensatory Allowance:

For the purpose of grant of City Compensatory Allowance, the Commission has recommended two slab rates, one for Visakhapatnam and Vijayawada and the second for the 12 other Municipal Corporations . The quantum of allowance is increased for all the pay ranges (Municipal Corporations of Visakhapatnam and Vijayawada ₹400-1000 and other Municipal Corporations ₹,300-750).

7. Advance Increments

The Commission has recommended not to grant in the normal course any special increment for possessing higher qualifications.

8. Loans and Advances

a) The Commission has recommended that the Government tie-up with financial institutions for grant of House Building/Personal Conveyance loans and link up repayment to salary disbursement. Back-ended subsidy of 2.5% has been recommended on such loans;

b) Pending such tie up, revised eligibilities, amounts and floating rate of interest linked to Repo Rate have been recommended in respect of all types of advances;

c) It is recommended that the eligibility for ‘Advance for purchase of Personal Computer’ may be increased to a maximum of 3 times during the entire service career subject to a minimum gap of 7 years between the purchase of two successive computers and complete repayment of previous computer advance.


9. Leave Benefits:

a) Additional 5 days Casual Leave has been recommended in favour of non-teaching women employees on par with the teaching women employees;

b) Child Adoption Leave up to 180 days is recommended for woman employee having less than two surviving children if she legally adopts a child up to one year of age. Subject to the same conditions, paternity leave up to 15 days may be extended to ‘single’ male employees (unmarried/widower/divorcee) within a period of 6 months of child adoption;

c) Child Care Leave has been recommended to be increased to 180 days in a maximum of three spells. It may also be extended to ‘single’ male employees (unmarried/widower/divorcee);

d) Special Casual Leave of up to 7 days in a year is recommended for orthopedically challenged employees needing to change prosthetic aides. Same duration of Special Casual Leave has also been recommended for Nursing staff working in high risk ward;

e) Revised rates have been prescribed for Ex-gratia Allowance payable to the employees who are granted extra-ordinary leave for the treatment of certain diseases.

10. Medical Benefits:

a) In order to ensure financial sustainability of EHS, the quantum of employees’ contribution should be increased in steps over a period of time along with similar step-up in the Government contribution;

b) The pending claims of the network hospitals should be settled expeditiously by releasing additional funds to the Arogyasri Trust;

c) The facility of Annual Health check-up may be extended to the Pensioner and his/her spouse;

d) The Dr. YSR Arogyasri Trust may hold talks with a few hospitals in Hyderabad, Bangalore and Chennai, empanelled by the concerned State Governments, for inclusion under the EHS;

e) Medical Allowance to Service Pensioners / Family Pensioners is recommended to be enhanced to ₹.500/- p.m.

11. Special Pays:

The quantum/rate of Special Pay for the existing category of employees has been recommended to be suitably enhanced. In respect of a few categories we have recommended its discontinuance.


12. Other Allowances:

a) Mileage Allowance is recommended to be increased to ₹.15.50 per k.m. for petrol driven vehicles, ₹.11.50 per k.m. for diesel driven vehicles and ₹.6.40 per k.m. for motor cycles/ scooters.

b) Rates of Daily Allowance and Lodging Charges may be enhanced by 33 % to ₹.300-600 per day for tours inside the State and ₹.400-800 per day for tours outside the State

c) For the purpose of payment of lodging charges a fresh classification of places, inside and outside the State, has been drawn up and lodging charges have been fixed from ₹.300/- to ₹.1700/- per day.

d) Conveyance charges to Court Masters and Personal Secretaries to Hon’ble Judges of A.P. High Court/ APAT has been increased to a maximum of ₹.5000/- per month.

e) Fixed Travelling Allowance enhanced to a maximum of ₹.1700/- per month from the existing ₹.1200/- per month. The rates applicable for minimum 20 days touring in a month have been rationalised pro rata compared to the rates fixed 

for minimum 15 days touring in a month. Several new categories of employees from the Departments of Animal Husbandry, Cooperation, Sericulture, School 

Education and Panchayatiraj/Tribal Welfare Engineering have been recommended to be added to the list to get FTA.

f) The limit for Tuition Fee reimbursement has been enhanced to ₹.2500/- per annum per child, subject to a maximum of two children.

g) Funeral Charges of deceased employee has been recommended for increase to ₹.20,000/-.

h) Special Compensatory Allowance payable for working in the Tribal areas has been increased from the existing minimum and maximum of ₹.500/- per month and ₹.1275/- per month respectively to ₹. 700/- per month and ₹.1800/- per month. 

i) Substantial increases have been suggested in Uniform Allowance, Uniform Maintenance Allowance and Stitching Charges.

j) Enhanced admissibility of Risk Allowance has been suggested and new categories have been added to the existing list of employees eligible for ‘Risk Allowance’ in the Departments of Animal Husbandry and Forest.

k) ‘Ration Allowance’ has been recommended at enhanced rates. New categories have been suggested for inclusion in the Insurance Medical Service and HM&FW departments.

l) Increases have been recommended in ‘Emergency Health Care Allowance’, PG Degree and Diploma Allowance, Non Private Practice Allowance, Tribal Allowance and Rural Allowance for several categories of employees in Medical related Departments.

m) ‘Readers Allowance’ to Visually Challenged teacher and lecturers is recommended to be enhanced by 33 percent, up to a maximum of ₹. 1200/- per month.

n) ‘Delhi Allowance’ / ‘Special Compensatory Allowance’, to the staff working in the Andhra Pradesh Bhavan at New Delhi, has been recommended to be enhanced to 15% of Basic Pay subject to a maximum of ₹.5000/- per month.

o) ‘Special Gratuity Allowance’ to drivers of AP Bhavan has been recommended to be increased to ₹.30/- per hour subject to a ceiling of 100 hours in a month.

p) ‘Conveyance Allowance’ to physically challenged employees has been enhanced to 10% of Basic Pay subject to a maximum of ₹.2000/- per month.

13. Pensionary Benefits:

In respect of pensionary benefits our recommendations are the following:

a. To consolidate pension/family pension with dearness relief as on 1.7.2018. 27% of the basic pension/family pension is to be treated as fitment benefit.

b. To continue the existing provision of full pension after 33 years of qualifying service with 5 years of service weightage. Similarly no change is recommended in the formula for fixation of pension/family pension.

c. A revised scale of additional quantum of pension starting from 70 years of age has been suggested

d. If a government servant dies while in service, enhanced family pension is recommended to be paid to his dependants for a period of up to 10 years without any upper age limit. In case of death after retirement the enhanced family pension should be payable for a period of seven years or up to the date on which he would have attained 67 years, had he survived, whichever is earlier.

e. The conditions of 45 years age limit in respect of unmarried/widowed/divorced daughter of family pensioners may be rescinded and the stipulation regarding having children may be altered so as to exclude widowed/divorced daughter having a child who has attained 25 years of age or started earning.

f. To allow Dearness Relief on both the basic pensions (Service and Family) received by the same pensioner.

g. The quantum of minimum pension/ family pension is recommended to be increased to ₹.10000/- p.m.

h. The maximum amount of Gratuity payable at the time of retirement is recommended to be enhanced from ₹.12 lakh to ₹.16 lakh.

i. The maximum limit for Death Relief amount on the death of a service pensioner/ family pensioner is recommended to be enhanced to ₹.20,000/-.

j. The financial assistance is recommended to be increased to the level of minimum service pension/family pension (₹.10,000 per month) with dearness relief thereon after 1.7.2018.

k. The existing ceiling limit of commutation at 40% of basic pension and provision regarding restoration of commuted portion of pension after 15 years should be continued.

14. Work Charged Establishment:

The scales of pay of Work Charged establishment have been rationalised keeping in view the qualifications prescribed at the entry level and the service conditions.

15. Full Time Contingent Employees and Contract Employees:

i. The Commission recommends a remuneration of ₹.20,000/- p.m. (i.e. the minimum pay of Last Grade Employees in the proposed RPS) plus DA to the Full-time Contingent/Daily Wage/ Consolidated Pay/NMR employees whose services have not been regularized and who are already drawing a remuneration of ₹.13,000/- p.m. + DA in the 2015 RPS.

ii. In respect of Contract employees also the remunerations may be fixed at the minimum of the time scale, in the now revised pay scale, of the equivalent category in regular employment in the Government.

iii. The revision in remuneration in respect of these employees may be given effect to simultaneously (with effect from the same date) with the regular Government employees.

16. Home Guards:

i. They may be paid Daily Allowance at the rate of 1/30th of the Minimum Pay (in the Revised Pay Scale recommended in this report for the Police Constables) plus Dearness Allowance thereon at the rates applicable to the Government employees from time to time.

ii. The Home Guards may allowed to draw TA/DA at the rates applicable to Police Constables when they are sent on bandobaust duty to a place which is more than 8 km. from their normal place of duty. 

17. Automatic Advancement Scheme: The existing scheme of AAS may continue with the following modifications:

(1) The present SPP Scale -II/SAPP Scale-II, eligible after 24 years of service in the same post, may be rechristened as SPP Scale -IIA/SAPP Scale-IIA 

(2) An employee, on completion of 30 years of service in a particular post, may be granted one increment in the SPP Scale IIA/ SAPP Scale IIA, as the case may be, which shall be called the Special Promotion Post Scale II-B/ Special Adhoc Promotion Post Scale II-B. 

(3) The benefit of Automatic Advancement Scheme may be continued up to and inclusive of Grade­25 in the revised scales i.e., ₹.76730-162780.

18. Human Resources to Meet Contemporary Requirements of Governance

a. Each department should draw up a Recruitment Plan, updated on annual basis, containing details of existing vacancies in staff and officers, vacancies likely to arise in future due to retirement/ promotion etc. and phase wise recruitment to be made through APPSC / DSC or through Contract.

b. In future Contract staff may be appointed only against positions which are temporary in nature and not against permanent positions. Those of the qualified Contract employees, who have been appointed on merit after following transparent and competitive recruitment process, may be regularised in service against available vacancies in permanent posts.

c. Outsourcing should be only of services such as cleaning and maintenance, security/ watch and ward, bill collection, managing reception desks, supply of vehicles/drivers etc. These functions should be outsourced to Agencies on competitive tendering and in future no individual personnel should be hired on outsourcing basis.

d. Gaps in training should be identified, department wise, by a Committee constituted under the auspices of the Andhra Pradesh HRD Institute, Bapatla and budgetary support provided for planning and conducting induction/ refresher training programmes for different categories of employees.

e. General Administration (Services) Department may constitute a Committee to review, in a time bound manner, the Service Rules of all the departments in consultation with the respective Heads of Departments. While doing so adequate attention should be given to the aspect of career planning.

f. Executive staff at the field level may be provided with mobile phones with CUG 

connectivity to quicken the process of decision making, problem solving and to monitor progress.

g. Increasing number of ‘Government to Citizen’ (G2C) services should be brought under the umbrella of ‘Mee Seva’.

19. Financial Implication:

The financial implication of the Commission’s recommendations is estimated to be of the order of about ₹.3,181 Crore.








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