Announce 8th Pay Commission And Restoration Of OPS In 2025-26 Budget– AIDEF To Union Finance Minister

In the coming days everybody’s eyes will be on the Union Budget 2025-26, which Nirmala Sitharaman the Finance Minister will be placing in the Parliament. 10 major Central Unions including AITUC, HMS, CITU, & INTUC have already given their Joint proposals to be included in the Budget to the Finance Minister. The Central Trade Unions have submitted 18 issues concerning the working people of the Country.

The All India Defence Employees Federation have endorsed the demands submitted by the Central Trade Union and have submitted about 12 demands pertaining to the Central Government Employees and Pensioners. In their memorandum submitted in the Finance Minister Nirmala Sitharaman on 29.12.2024, the AIDEF have demanded withdrawal of Corporatisation of Ordnance Factories, filling up of 3 Lakhs vacant post in Defence, Restoration of Old Pension Scheme, Constitution of 8th Central Pay Commission, CGHS related issues, Pensioners grievances, to increase the Income Tax exemption limit up to Rs.10 Lakhs etc.,.

During an interaction with C. Srikumar, National Secretary of AITUC and General Secretary of AIDEF, on the proposals given by the Central Trade Unions and AIDEF to the Finance Minister for including in the Budget, he stated that “Our experience is Government always give a patient hearing to Industrial Houses, Corporates and Multi-National and their demands are always taken care in the Budget. The demands of the Working class and Trade Unions are always neglected. Even for the Central Trade Unions the time allotted is just 30-40 minutes and sometimes through Video Conference. The Government comfortably forgets that the workers are the wealth creators and the common people of the country only contribute for the Revenue of the Government through Income Tax and GST. However, their interest is not taken care in the Budget. There are many issues affecting the Central Government Employees and Pensioners. Therefore, the AIDEF has identified 12 Major issues and submitted our views on all these issues to the FM for her favourable consideration while preparing the Budget. If the Government continues to neglect us then the year 2025 will be full of struggles”, concluded C. Srikumar.

www.indianpsu.com accessed a copy of the AIDEF Letter dated.29.12.2024 addressed to FM Nirmala Sitharaman, which is given below for the benefit of the viewers of www.indianpsu.com –

04/1004/MIN/AIDEF/24

29th of December 2024

To
Smt. Nirmala Sitharaman ji
Hon’ble Defence Minister
Government of India
South Block. New Delhi.

Subject : Forwarding of the view points of AIDEF on issues of the Central Government Employees / Defence Civilian Employees to be considered for framing Budget for the year 2025-2026.

Respected Madam,

The All India Defence Employees’ Federation (AIDEF) is the major and pioneer Federation of the 4 lakh Defence Civilian Employees working in the different Defence Establishments under the Ministry of Defence and is recognized by the Government of India. The 10 major Central Trade Unions and Sectoral Federations have jointly submitted the Memorandum to your Honour on 27.12.2024, in which they have submitted the view points on issues to be considered for framing Budget for the year 2025-2026. This Federation fully endorse the same and in addition to that we submit the following concrete proposals for favourable consideration and for including in the Budget 2025-2026. We also may be given an audience in this regard.

1) Withdrawal of Corporatization of Ordnance Factories and to strengthen all the Government Defence Industry in the interest of national security and Defence preparedness. The 41 Ordnance Factories under the Department of Defence Production are the fourth force of the Defence of our Country manufacturing and supplying all types of Ammunition / Weapon / Arms / Tanks / Equipments / Troop Comfort Items / Parachutes / Vehicles / Boots / Tents etc. to the Armed Forces. The Ordnance Factories have played a very vital role in all the War India has fought successfully. This 223 years organization has been corporatized into 7 non viable Companies w.e.f. 01.10.2021 despite the opposition by the employees and by this Federation and also in violation of all the 5 written assurances given by the previous 5 Defence Ministers. After more than 3 years of Corporatization it is observed that the decision of the Government to corporatize the Ordnance Factories is a failure which we have brought to the notice of the Hon’ble RM and hence demanded for restoration of the OFB status to the Ordnance Factories. We have also demanded that all the employees who are on deemed deputation at present in the Ordnance Factories should be allowed to retire as Central Government Employees / Defence Civilian Employees as assured by the Government in the Hon’ble High Court of Madras in the W.P. filed by AIDEF. We also demand that all the other Defence Industries under Government such as
DRDO, DGQA, MES, EME, Depots, Naval Dockyards and Air Force Units should be strengthened and expanded in the interest of national security and Defence preparedness of our Country.

2) Filling up of the more than 3 lakh posts lying vacant in the Defence Establishments. At present there are more than 13 lakh posts lying vacant in all the Central Government Departments including Railways, Defence etc. In the Defence alone there are more than 3 lakh Civilian Posts lying vacant and all these jobs are being outsourced / privatized through contract and casual employment etc. in violation of the judgments of Hon’ble Supreme Court. We therefore demand that all the posts lying vacant in the Central Government Ministries / Departments including in the Defence Ministry should be filled up and the employees who are deployed on contract / casual basis should all be regularized.

3) Withdrawal of NPS and UPS and restore the non contributory defined and guaranteed Pension under the CCS(Pension) Rules 1972, (Now 2021). This Federation right from 2003 is demanding for withdrawal of the contributory NPS Scheme implemented to the Central Government Employees w.e.f. 01.01.2004, since it takes away the fundamental rights of the Pension of the Government employees and old age security to live a decent and dignified retired life. We therefore request your honor to reconsider the matter and announce in the budget 2025-2026 to withdraw the NPS and UPS and restore the non contributory defined and guaranteed Pension under the CCS(Pension) Rules 1972, (Now 2021).

4) Constitution of the 8th Central Pay Commission for Central Government Employees and Pensioners. The Wage / Pension revision of the Central Government Employees / Pensioners including Armed Forces and Para-Military Forces takes place once in 10 years and the next wage / Pension revision is due on 01.01.2026. As you are aware that any Pay Commission will take minimum 2 years for conducting its study / interaction etc. to submit its final report to the Government and the Government also will take minimum 6 months for taking decision on its implementation. Government itself says that the inflation is in the range of 4% to 7% and on an average it shall be about 5.5%. If we compare the retail prices of essential commodities and goods which are required for daily life from 2016 to 2023 they have increased by over more than 90% as per the local retail market. But we are provided only with 53% DA as on 01.07.2024. The Central Government Revenue has also doubled from the year 2015 to 2023 for which the Central Government Employees contribution is enormous. Moreover, due to acute shortage of manpower in all the Central Government Establishments each employee is forced to do the work of more than 2 employees. Due to the escalating price rise and increasing medical and housing expenditure etc. the Pensioners are also in deep trouble. It is also a fact that a major portion of the wages of the employees / Pension goes back to the Government in the name of Income Tax and GST etc. Therefore, the Hon’ble Finance Minister may kindly announce the setting up of 8th Central Pay Commission for the Central Government Employees and the Pensioners.

5) Releasing of the 18 months DA / DR arrears which was frozen during the COVID-19 pandemic period. We have been demanding to the Government that in accordance with the judgments of the Hon’ble Supreme Court and also considering the fact that the economic conditions of the country is in a satisfactory level, the 18 months DA / DR arrears due to the Central Government Employees and Pensioners which was frozen during the COVID-19 pandemic period may please be paid back to the employees and Pensioners.

6) Restoration of Festival Advance for the Central Government Employees. In one of the meeting of the National Council (JCM) the Official Side agreed to restore the Festival Advance to the Central Government Employees. Even after more than 2 years no Government orders have been issued in this regard. Since, the Festival Advance is only an interest free loan to be recovered in 10 installments, it is requested that as demanded by the Staff Side in the National Council (JCM) Rs. 30,000/- per year may be sanctioned as Festival Advance.

7) Implementation of the recommendations of the Parliamentary Standing Committee on Petitions with regard to CGHS facilities to the Central Government Employees and Pensioners. The Parliamentary Standing Committee on Petitions with regard to CGHS facilities to the Central Government Employees and Pensioners in its 162nd report on the petition “praying for comprehensive medical facilities to Central Government Employees, Pensioners and their dependents” to the Rajya Sabha on 10th of August, 2023 have given various recommendations for improvement of the CGHS functioning. Such as to ensure that once a referral is issued, patient should not be required to visit CGHS Doctor again for undergoing the prescribed treatment procedure / investigations, to settle the complaints on the empaneled hospitals charging excess amount from the beneficiaries, revision of the CGHS rates, establishing additional Wellness Centers, to address the issue of shortage of Doctors, to improve the attitude of Doctors and allied staff towards the patients, to ensure availability of all types of Medicines, to improve the infrastructure of the Wellness Centers, to construct Buildings for housing the Wellness Centers, relaxation of norms with regard to setting up of new Wellness Centers and consider exploring setting up of new Wellness Centers at a rapid place in newer Towns, especially in the suburbs of the large cities so that more and more serving and retired employees as well as their dependents can avail the benefits of CGHS without much hassle, setting up of more AYUSH WCs in newer cities and also undertake initiatives to popularize Indian system of medicines among the beneficiaries of CGHS etc. The Committee also recommended that a pan-India Committee comprising doctors, beneficiaries and Members of Parliament should be constituted at the top level to do brainstorming on practical things and be mandated to submit a report on the overall aspects of the CGHS following a review of the whole situation. We request to kindly implement all these recommendations of the Parliamentary Standing Committee.

8) Implementation of the Parliamentary Standing Committee recommendations on Pensioners grievances. The Parliamentary Standing Committee on Personnel, Public Grievances, Law and Justice submitted its report on “Pensioners Grievances” on 10th of December, 2021. The Parliamentary Standing Committee in its report has recommended to implement the recommendations of the 7th CPC regarding Insurance amount and monthly contributions towards the Central Government Employees Group Insurance Scheme, the Committee recommended to provide additional Pension of 5% on attaining 65 years of age, 10% on reaching 70 years of age, 15% on reaching 75 years, enhancing Fixed Medical Allowance to Pensioners to Rs. 3,000/- per month, opening CGHS Centers at District locations or designating functional Government Hospitals in District Headquarters as CGHS Centers etc. None of these recommendations are implemented by the Government. We request that the Government of India may kindly implement all the above recommendation of the Parliamentary Standing Committee.

9) Restoration of Commuted Pension after 12 years. The Staff Side of the National Council (JCM) has been demanding for restoration of the Commuted Pension after 12 years instead of the present 15 years, since the Government recovers the entire commuted Pension within 11 years with interest. Many of the State Governments are restoring the commuted portion of the Pension after 12 years. There is no justification for recovering the 40% commuted Pension from the Pensioners for 15 years. Therefore, it is requested that the Government may kindly restore the commuted Pension after 12 years from the date of commutation.

10) Implementation of Court Judgments on service matters of the Central Government Employees and Pensioners. Due to Government not considering the genuine grievances on service matters of the employees and Pensioners they are forced to approach the Court of law for getting justice. If the employee fails in the Court of law on a particular issue then the Government universally apply the judgment on the plea that it is a verdict of the Court, on the other side if the employee wins the case then the Government drag them upto the Hon’ble Supreme Court and even after Supreme Court Judgment revision petitions are filed and when the revision petition also is dismissed by the Supreme Court then the benefit is restricted only to the Petitioners in the Court case resulting in multiplicity of litigations for the same settled matter. This was several times criticized by the Apex Court of the Country. Therefore, a policy decision may be taken by the Government to implement the Court judgments in favour of the employees to all the similarly placed employees thereby reducing litigations on service matters.

11) Strengthening and effective function of the Joint Consultative Machinery (JCM) Scheme for the Central Government Employees. The JCM Scheme was introduced by the Government of India during the year 1964 with the object of promoting harmonious relations and of securing the greatest measure of cooperation between the Government in its capacity as employer, and the general body of the employees in matters of common concern, and with the object further, of increasing the efficiency of the public service. It is now 60 years after the scheme is introduced. While for the first 4 decades the scheme was functioning effectively with regular meetings and sorting out the problems through joint consultations and compulsory arbitrations, it is most unfortunate that during the past 2 decades the JCM Scheme is diluted and side lined in such a manner that meetings takes place very rarely, issues are pending years together without any solution resulting in arbitrary decisions by the Official Side in all the Ministries on cadre review / Corporatization / restructuring / closure / framing of RR / abolition of posts etc. This has resulted in demoralization of the Central Government Employees which will have serious impact on their performance and productivity. We therefore, request the Hon’ble Finance Minister to kindly take a decision and announce in the Budget about the effective functioning of the JCM Scheme and to conduct meetings and take decisions in accordance with the constitution of the JCM Scheme.

12) Income Tax rebate for the salaried employees. Considering the inflation and also the escalating cost of living, health care, education etc. there should not be any Income Tax on salaried income upto Rs. 10 lakh in a year. Tax deduction should be there only for the income which is over and above Rs. 10 Lakh per year which means upto Rs. 10 lakh income it should be tax free.

Respected Madam, even though there are many more issues which are agitating the minds of the Central Government Employees and Pensioners we have only brought the major issues which requires your personal attention while preparing the budget of our country for the year 2025-2026. We are confident that your good self will consider all the above proposals and we expect that it will find a place in your budget speech / budget with a positive and favourable decision.
With kindest regards,

Thanking you,

Yours sincerely

(C. SRIKUMAR)
General Secretary
Leader/Staff Side
Departmental Council (JCM)