Location based compensatory allowances and Non-Practicing Allowance for CPSE Employee

Location based compensatory allowances and Non-Practicing Allowance (NPA) for Board Level and below Board Level Executives and Non-Unioinised Supervisors of  CPSE

Ministry Of Heavy Industries and Public Enterprises has issued office memorandum 7th September,2017 regarding Location based compensatory allowances and Non-Practicing Allowance (NPA) based on pay revision of board level and below Board Level Executives and Non-Unionised Supervisors of Central Public sector Enterprises (CPSEs) w.e.f. 01.01.2017.

The undersigned is directed to refer to para 10 of this department’s O.M.of even No. dated 3rd August,2017 and sub-para 3(b) of Para 1 of OM of even No. dated 4th August,2017 regarding the issue of separate guidelines in respect of Location based Compensatory Allowance and Non-practicing Allowance. After due consideration, the Government has decided on Location based compensatory Allowance and Non-Practicing Allowance as follows: 

Location based Compensatory Allowance: 
(i) For serving in North-East States and Ladakh Region:- 

location-based-compensatory-allowances-npa-cpse-staff-paramnews

v) In the event of a place falling in more than one category, i.e. (i)/(ii) and (iii) mentioned above, in that case only the higher rate of allowance will be admissible. 
Non-practicing Allowance(NPA): 

NPA upto 20% of Basic Pay would be paid to Medical Officers. NPA will not be considered as pay for the purpose of calculating other benefits. 

The allowance specified in this O.M. will be outside the purview of Ceiling of 35% of Basic Pay under ‘Cafeteria Approach’ and would be effective from the date of issue of presidential directive. 

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