Introduction of a new performance based pecuniary benefit.

The Sixth Pay Commission in paragraph 2.5.8 of its report recommended introduction of a new performance based pecuniary benefit, over and above the regular salary, for the Central Government employees. The Government of India accepted the recommendations and decided that the detailed guidelines will be issued by the nodal ministry. Performance-Related   incentive will be payable taking into account the performance of the organization and employee during the period under consideration. It is based on the principle of differential reward for differential performance. Then, it had also suggested the introduction of performance related incentive scheme (PRIS) in the government under which employees would be given pecuniary remuneration over and above the pay, replacing the ad hoc bonus scheme. The cabinet secretariat has developed result framework document (RFDs) and the ministries and departments have engaged themselves into this exercise which is being monitored now on a regular basis. According to the plan, at the end of the financial year, all ministries/departments will list out their achievements in a report against the agreed results formalised at the beginning of the year. This report will be finalised by May 1, and then will be placed before the Cabinet by June 1. This means the government will have a fair idea of a ministry or a department's performance for each financial year. So, why not embed this also, along with an improved individual performance-linked system, in the overall pay structure?
The union  government last week declared for the setting up of the 7th Central Pay Commission for its employees. The 7th pay commission can break away from the past by suggesting ways to remodel the way government works instead of sticking to formulating formulas for hiking pay packages.