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7th Central Pay Commission – Minimum wage and Fitment formula

7th CPC – Minimum wage and Fitment formula

Comrades,

The Staff side had demand of minimum wage of Rs 26000/- & fitment formula of 3.71. Against this the 7th CPC had recommended minimum wage of Rs 18000/- & fitment formula of 2.57. The 7th CPC recommendations has provided only at 14% wage hike at Group “C” level it is only ranging from Rs 2240/- to  Rs  3500/- increase per month, and at Group “B” level ranging from Rs 4000/- to   Rs 6500/- increase per month. After deductions & income tax the net increase will be just from Rs 500/- to Rs 3000/- only .

 This increase is lowest by any pay commission, hence vast changes are required as the prices of essential commodities have gone up and also the inflation rate has gone up.  

There are various reports on 7th Central Pay commission on the media reports on minimum wage of Rs 21000/- & fitment formula of 3.00, (which is at 34% wage hike against the 14% wage hike recommended by the 7thCPC).

The Empowered committee of Secretaries have not finalised any such minimum wage and fitment formula, the meeting is scheduled on 11th June 2016.    

Please go through minimum wage as on 1/1/2016 using the prices as on 1/7/2015 of the Director of Economic & statics , Ministry of Agriculture and Farmers Welfare, Government of India, New Delhi.

Sources website : http://rpms.dacnet.nic.in/QueryReport.aspx                              

Minimum Wage as per Government  Prices  as on 1/7/2015

Item Per Month Average Amount
  3 units Rate  
  in Kgs/ mt    
Rice  fine/Wheat 42.75 32.45 1387.2375
Dal / Pulses   7.2 112.96 813.20
Raw Vegetables 9 112.96 1016.64
Green Vegetables* 11.25 26.78 301.275
Other Vegetables* 6.75 50 337.5
Fruits 10.8 45 486
Milk Dairy 18 97.92 1762.56
Sugar 5 41.85 209.25
Edible Oil 3.6 142.42 512.712
Fish 2.5 231.67 579.175
Meat Mutton 5 401.95 2009.75
Egg 90 4.68 421.2
Detergents* 1 250 250
Clothes 5.5 279.34 1536.37
Total     10809.6695
Housing @ 7.5%     810.65
Miscellaneous @ 20%     2161.93
Total     13782.2495
Additional @ 25%     3445
      17227.2495
Grand Total –      
Minimum pay for unskilled worker in the erstwhile Group D     17227
Additional @ 25% for Group “C”     4306.75
Minimum pay for skilled worker in the erstwhile Group “C”     21533.75
 Rounded off to Rs 22000/-      
Add 6%  for DA = 125%  difference     646
Actual Minimum wage as on 1/1/2016     22179.75
       

We should add 10% for difference between retail price and Government rates.  It is clear that we should get minimum wage of Rs 24500 and fitment formula is 24500/ 7000 is 3.40 that is 50% wage hike .

The 7th CPC had provided wrong prices for example

Rice/Wheat Rs 25.93 per kg

Dal (Toor/Urad/Moong) Rs 97.84 per kg

If correct prices were adopted by the 7th CPC and correct methodology is adopted we would have got better minimum wage and fitment formula,  

Comrades it is the time to struggle, we should educate the members and prepare for struggle, so that we should get at least 50 % wage hike without allowances, as allowances are not taken into pension benefit.

Only struggle will get us benefit. Please don’t believe on rumours. Now it is now or never.  Serve strike notice on 9th June 2016.

Comradely yours

(P.S.Prasad)

General Secretary

Source : http://karnatakacoc.blogspot.in/

Also read this...

  1. 7th CPC Fitment Formula and Minimum Wage – Karnataka COC
  2. Model Minimum Wage Calculation Using Dr. Aykroyd Formula and 15th ILO Norms as on 1.7.2015 – Karnataka COC
  3. Minimum Wage and Fitment Formula, Granting two increment on promotion, Annual increment on 1st Jan and 1st July – P.S.Prasad
  4. Minimum wage and fitment formula for Central Government Employees
  5. Minimum wage of 7th CPC may be 21000 and Fitment Formula from 2.86 to 3.15
  6. Depending on the weightage fitment formula may range from 2.72 times to 3.72 in 7th Pay Commission
  7. Central has so far not set up the High Level Committee on Minimum Wage and Fitment Formula revision and other main demands of CG employees – Karnataka COC
  8. AIRF asked MR to expedite action on High Level Committee to review Minimum wage and Fitment Formula
  9. NJCA Official Press Statement – Indefinite Strike Deferred – Committee set up to look into the matter of minimum wage and fitment formula

June 9, 2016 Tagged With: 7th Central Pay Commission, 7th CPC, 7th CPC Empowered Committee Filed Under: 7th Central Pay Commission, 7th CPC Empowered Committee, 7th CPC News

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