President salary raise dims babu’s hopes !

For those bureaucrats who score a Perfect Ten on integrity index, government’s decision to fix the President’s salary at Rs. 1 lakh a month will come as a rude jolt. This is because babus who don’t depend on a “upri (extras)” to supplement their incomes, the presidential salary could be a bar for their pay hikes in the 6th Pay Commission.

The salary of the cabinet Secretary, India’s highest paid officer can surely not cross Rs. 1 lakh. This is because of the convention that since government officers service on presidential pleasure; their salary cannot exceed that of the occupant of Rashtrapati Bhawan. So the cabinet secretary who now draws a gross of Rs.65, 000 can only expect a modest raise. The top bureaucrat’s present basis is Rs.30, 000. Add to it, 50% merged dearness pay, 31% additional DA, Rs.300 city compensatory allowance, and the total comes to a little under Rs.65, 000.Theoretically, the cabinet secretary’s maximum possible revised salary can now be Rs.99, 999 but that’s the limit. To begin with, there would no DA. “that’s only a manner of saying it. If we consider a hefty 40% hike, the highest basic would be around Rs.90, 000. But 40% sounds heavenly, “said a customs officer who has served in finance ministry. “A 30% hike would peg the highest around Rs. 85, 000,” he added. A totally new regime of perks and allowances is, however, not ruled out. Speculation has run wild on the pay panel recommending a dream hike for officers and employees, considering how corporate salaries have shot up. Some guesstimates put the maximum beyond Rs.1 lakh

A fresh IAS recruit draws am average Rs...17,000) gross) now. A 30% increase would take his monthly salary to Ts.22, 000, while a 40% hike would peg it around Rs.24, 000. Going by tradition, the scale for officers from other services would be less and the employees’ compensation even lower. “Money is crucial but a comparison with the corporate sector is unfair as the government is not a profit making firm. A more realistic comparison would be with the country’s per capita income as officials serve the people. We should keep in mind the government’s fiscal position,” the officer said.
A pay panel source admitted the President’s salary revision has roughly fixed the “benchmark” for “what is in store”.
(Source: The Times of India dt. 15.1.08)