7th CPC Transport Allowance to the Railway employees - Deprival of higher rate to those working in pay Level 1 & 2

7th CPC Transport Allowance to the Railway employees - Deprival of higher rate to those working in pay Level 1 & 2


N F I R 
Registration No. : RTU/Nnn/31/2012
National Federation of Indian Railway
3, CHELMSFORD ROAD, NEW DELHI - 110 055
Affiliated to
Indian National Trade Union Congress (INTUC)
International Transport Workers' Federation (ITF)

No. IV /N FIR/7 CPC (Imp)/Allowance/20l6/Part I 
Dated: 05/04/2018
The Secretary (E),
Railway Board,
New Delhi

Dear Sir,
7th-central-pay-commission-transport-allowance-to-the-railway-employees-deprival-of-higher-rate-to-those-working-in-pay-level-1-2

Sub: Government’s decision on recommendation of the 7th Central Pay Commission Transport Allowance to the Railway employees - Deprival of higher rate to those working in pay Level 1 & 2-reg.

Ref: (i) Railway Board’s letter No. PC-V/2017/A/TA/1 dated 17/08/2017 (RBE No. 96/2017).
(ii) NFIR’s letter No. IV/NFIR/7CPC/Allowance/20l6/Part I dated 28/08/2017.
(iii) Railway Board’s letter No. PC-V/2015/PNM/NFIR/4 dated 17/20-11-2017.

Federation does not agree with the View taken by the Railway Ministry in this case as conveyed to NFIR vide Board’s letter dated 17/20-11-2017. Federation wants that the Railway Ministry should prepare proper case based on the facts and contentions of NFIR as explained in our letter dated 28/08/2017 to be placed before DoP&T/MoF.

II. Federation reiterates that as a result of issuance of instructions dated 17/08/2017, a situation has arisen wherein the Railway employees in Pay Level 3, drawing pay Rs. 21,700/- and above upto Level 8 hitherto entitled for Transport Allowance @ Rs. 3600 + DA thereon (in Al/A class cities and in other cities @ Rs. 1800 + DA thereon) have been deprived of the said rate due to the new norm for entitlement only when their pay reaches Rs. 24,200/-.

III. Further it is relevant to take note that pursuant to acceptance of the recommendations of 5th CPC and 6th CPC, the rates revised as follows:-

(a) Recommendations of 5th CPC - Transport Allowance 
RBE No. 179/ 1997 (rates w.e.f. 01/08/1997)

S.No.         -        Pay Scale of the employees        -     Al/A Class City             -     Other Places
1.                           Rs.8000-13500 or above            -         800               -                     400
2               Rs. 6500-10500 or above but below       -        400               -                     200
                             Rs. 8000-13500
3.                      Below Rs-6500-10500                    -        100               -                      75

Above position reveals that all the employees working in pay scale below Rs. 6500-10500 i.e. upto Rs. 6000-9800 (81 to S10A) were allowed Transport Allowance at the uniform rate of Rs. 100/- pm. in A1/A class cities irrespective of their pay.

(b) The Railway Board vide circular (RBE No. 111/2008 - effective from 01/09/2008 and RBE No. 95/2015) had prescribed following rates for payment of Transport Allowance to the Railway employees.

Employee drawing Grade pay of            -      Rate of  Transport Allowance For A1/A class cities
1.   GP 5400 & above                                                                         3200+DA
2.   GP 4200 -4800 
      GP below 4200 and pay in pay band = RS 7440                         1600 + DA
3.   GP below 4200 and pay below RS 7440                                          600 + DA

IV. From the comparison of two tables mentioned above, it could be seen that the Railway employees were allowed higher rate of Transport Allowance on drawing pay Rs. 7440/- irrespective of Grade Pay/Pay Band. The modified Board’s instructions issued vide letter dated 03/08/2017 and 17/08/2017, have deprived the Transport Allowance @ Rs. 3600+DA thereon to those in Pay Level 1 and 2 (7th CPC) due to imposition of restriction i.e. reaching the pay Rs. 24700/- ignoring the fact that the staff were already drawing pay @ Rs. 7440 in 6th CPC Pay Band/Grade Pay.

Federation, therefore requests the Railway Ministry to kindly arrange to make out case in the light of NFIR’s contentions for rendering justice to those staff of Pay Level 1 & 2 for granting Transport Allowance at rate i.e. 3600/- + DA thereon when they reach the corresponding pay @ Rs. 21700/- and not 24200/- to meet the ends of justice and refer to MoF.

A copy of the reference made to the MoF may be endorsed to the Federation for taking follow up action.

Yours faithfully,
(Dr. M. Raghavaiah)
General Secretary

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