7th CPC recommendations

Rationalisation Applied in the Present Pay Structure as has been proposed by 7th CPC. Table 4: Rationalisation Applied in the Present Pay Structure
Pay Band 1	(5200- 20200)
Grade Pay	1800	1900	2000		2400		2800
Current Entry Pay	7000	7730	8460		9910		11360
Rationalised Entry Pay (2.57)	7000*(2.57) =18000	7730*(2.57) =19900	8460*(2.57) =21700		9910*(2.57) =25500		11360*(2.57) =29200
Pay Band 2	(9300-34800)
Grade Pay	4200	4600	4800		5400
Current Entry Pay	13500	17140	18150		20280^
Rationalised Entry Pay (2.62)	13500*(2.62) =35400	17140*(2.62) =44900	18150*(2.62) =47600		20280*(2.62) =53100
Pay Band 3	(15600-39100)
Grade Pay	5400	6600	7600
Current Entry Pay	21000	25350	29500
Rationalised Entry Pay (2.67)	21000*(2.67) =56100	25350*(2.67) =67700	29500*(2.67) =78800
Pay Band 4	(37400-67000)
Grade Pay	8700	8900	10000
Current Entry Pay	46100	49100	53000
Rationalised Entry Pay (2.57/2.67/2.72)	46100*(2.57) =118500	49100*(2.67) =131100	53000*(2.72) =144200
HAG	(67000-79000)
Current Entry Pay	67000
Rationalised Entry Pay (2.72)	67000*(2.72) =182200
HAG+	(75500-80000)
Current Entry Pay	75500
Rationalised Entry Pay (2.72)	75500 *(2.72) =205400
Apex	80000 (fixed)
Rationalised Pay (2.81)	80000*2.81 =225000
Cabinet Secretary	90000 (fixed)
Rationalised Pay (2.78)	90000*2.78 =250000
^ In the existing system no entry pay has been prescribed at the level of GP 5400 (PB-2). Therefore a logical
figure  has  been  interpolated  here  based  on  the  fitment  table  issued  by  Government  of  India  post  VI  CPC recommendations.
5.1.20 While a carefully calibrated gradation has been adopted as the levels progress upwards, it would be seen that two levels, corresponding to GP 8700 and GP 10000 witness a slight departure.
i.      In  the  existing  system  there  is  a  disproportionate  increase  in  entry  pay  at  the  level pertaining to GP 8700. To address this, the proposed increase at this level has been moderated.
ii.      In so far as GP 10000 is concerned, this represents the Senior Administrative Grade, which carries a significantly higher degree of responsibility and accountability. Further, the levels of SAG and above are those which are involved in policy formulation.
iii.      Hence, in recognition of the same, the entry pay pertaining to GP 10000 as well as that
of HAG and HAG+ has been enhanced by a multiple of 2.72.
iv.      The Apex pay of Secretary/equivalent and pay of Cabinet Secretary/equivalent has been
fixed by applying indices of 2.81 and 2.78 respectively. The rationalised entry pay so arrived has been used in devising the new pay matrix.
5.1.21 The pay matrix comprises two dimensions. It has a “horizontal range” in which each level corresponds to a ‘functional role in the hierarchy’ and has been assigned the numbers 1, 2, and 3 and so on till 18. The “vertical range” for each level denotes ‘pay progression’ within  that  level.  These  indicate  the  steps  of  annual  financial  progression  of  three  percent within each level. The starting point of the matrix is the minimum pay which has been arrived based on 15th  ILC norms or the Aykroyd formula. This has already been explained in Chapter 4.2.
5.1.22 On recruitment, an employee joins at a particular level and progresses within the level as  per  the  vertical  range.  The  movement  is  usually  on  an  annual  basis,  based  on  annual increments till the time of their next promotion.
5.1.23 When the employee receives a promotion or a non-functional financial upgrade, he/she progresses one level ahead on the horizontal range.
5.1.24 The pay matrix will help chart out the likely path of pay progression along the career ladder of any employee. For example, it can be clearly made out that an employee who does not have any promotional prospects in his cadre will be able to traverse through at least three levels solely by means of assured financial progression or MACP, assuming a career span of
30 years or more.
5.1.25 The new pay matrix for civilian employees is brought out in Table 5: