" IRS OFFICERS PROMOTED FROM THE GRADE OF SUPERINTENDENT OF CENTRAL EXCISE ARE ALSO MEMBERS OF AIACEGEO. THIS IS THE ONLY ASSOCIATION FOR SUPERINTENDENTS OF CENTRAL EXCISE AND IRS OFFICERS PROMOTED FROM THE GRADE OF SUPERINTENDENT OF CENTRAL EXCISE THROUGH OUT THE COUNTRY . President Mr.T.Dass and SG Mr. Harpal Singh.

Wednesday, 3 June 2026

MACP upgradation

 

ALL INDIA ASSOCIATION OF CENTRAL TAX

GAZETTED EXECUTIVE OFFICERS

(Earlier known as All India Association of Central Excise Gazetted Executive Officers)

President:                                             Address for communication:                                      Secretary General:

Kajal Kumar Mandal                         Flat No. 6, SE 11, Shastri Nagar, Ghaziabad                           Harpal Singh

Mob. 9957366172      mail Id:aiacegeo2019@gmail.com        Site: cengoindia.blogspot.in       Mob. 9717510598

Chief Patron: Ravi Malik Patrons: A. Venkatesh, C. S. Sharma, M. Nagaraju

Vice Presidents: B C Khatik, K D Venkatraman  (Central) Swapan Kr Das, Subrata Adhikary (East) Ashish Vajpayi, B B Sharma (North) G Srinivas Reddy, G Ananda Sukumar (South) Siddhraj Parmar, Vimal Kishore Soni (West) Joint Secretaries: Manoj Kumar, T J Manojumon (Central) Pradyut Purkayastha, Ashis Maji (East) Rajeev Prakash, Anil Sreedharan (West) Prabhakar Sharma, R B Sahu (North) K Yugandhar Kumar, S M Kosalaya Devi (South); Office Secretary: B C Gupta Treasurer: Manoj Kumar Liaison Secretary: Bhoopesh Organising Secretary: Utkarsh Sharma West Zone Coordinator: R Keny Legal Coordinator: S Sabarwal Joint Organising Secretary: Jayant Dey East Zone Coordinator: Debasish Modak

(Recognised vide F.No.B-12017/17/2022-AD-IV A dt. 14.07.23 of CBIC, Govt. of India)

Ref. No. 35/AIB/M/26                                                                                  Dt. 03.06.26

To,

(1) The Secretary, DOPT, New Delhi.

(2) The Secretary, Department of Expenditure, New Delhi.              

(3) The Secretary, Department of Revenue, New Delhi.                                                                  

(4) The Chairman, CBIC, New Delhi.

Sub: MACP upgradation.

Dear Sirs,

            Kindly refer to the various representations submitted by this Association since very beginning on the subject matter.

2. It is brought to your kind notice with due regards that our officers were getting GP of Rs. 5400 in PB3 after completion of 24 years under ACP Scheme whereas they are getting the same after completion of 30 years under MACP Scheme as also accepted by the CBIC vide F.No.A-26017/84/2014-Ad.IIA. Thus, MACP Scheme has been proved totally disadvantageous & discriminatory to our officers.

3.  This injustice is being done on the pretext of para 8.1 of Annexure-I of MACP OM No. 35-34/3/2008-Estt(D)dated 19.05.2009. In totally arbitrary manner, not only the GP of Rs. 5400 in PB2 & PB3 is being treated separately for the purpose of MACP upgradation but NFS/NFU of Rs. 5400 in PB2 is also being treated as one MACP upgradation whereas it is nowhere mentioned in Para 8.1 that the NFS/NFU would be treated as financial upgradation under MACP scheme. The para 8.1 says that consequent upon the implementation of Sixth CPC’s recommendations, grade pay of Rs.5400 is now in two pay bands viz., PB-2 and PB-3. The grade pay of Rs.5400 in PB-2 and Rs.5400 in PB-3 shall be treated as separate grade pays for the purpose of grant of upgradations under MACP Scheme.

4. It is nowhere mentioned in Para 8.1 or FAQ No. 16 of the DOPT that the nonfunctional scale in Grade Pay of Rs. 5400 in PB-2 is to be treated as a financial upgradation under MACP Scheme. Nothing such to treat NFS/NFU as MACP upgradation is also mentioned either in the Govt. Resolution dated 29.08.2008 or anywhere in MACP scheme, nor it has been recommended by the CPC. The scheme also talks of “financial upgradations under MACP scheme”, not any other financial upgradation. It means that three financial upgradations are to be counted for the purpose which have been given under MACP scheme. No other financial upgradation is to be treated as financial upgradation under MACP scheme.

5. The Para 8.1 of the DOPT instructions is a corollary to para 8 and applicable only to those departments where the Recruitment Rules provide for promotion to the post carrying the same Grade Pay. Since the Grade Pay of Rs. 5400 in PB2 is not a part of the promotional hierarchy of our executive officers under CBIC but a dynamic financial upgradation under CCS(RP)Rules as NFS, it cannot be a part of MACP Scheme which is governed by different set of rules. Moreover, DOPT in its subsequent OM/Clarification dated 05/04/2021 issued on the directions of the Hon’ble Supreme Court post the case of M V Mohanan Nair has also not equated NFS/NFU with MACP upgradation. So, it can’t be treated as MACP upgradation.

6. The para 8 of the DOPT OM provides that ‘promotions earned in the post carrying same grade pay in the promotional hierarchy as per Recruitment Rules shall be counted for the purpose of MACPS’. This means promotion can offset one MACP benefit even if there is no change in grade pay. So what matters is change of grade, not grade pay.

7. The Hon’ble Supreme court also observed under para 9 of the order in the case of M. V. Mohanan Nair v UoI, “Under the Sixth Central Pay Commission, revised pay structure has been implemented with effect from 01.01.2006, whereas benefits of ACP Scheme have been allowed till 31.08.2008. Vide Office Memorandum dated 19.05.2009, the Government of India introduced the MACP Scheme, in supersession of the ACP Scheme w.e.f. 01.09.2008.”

Thus, it is clear that NFU/NFS (non-functional scale) granted after four years of service as part of pay being implemented w.e.f. 01.01.2006 notified under statutory provisions under Article 309 independent of MACP upgradation and MACP Scheme being implemented w.e.f. 01.09.2008 as an incentive scheme, both are totally different and are not dependent on each other. Moreover, no upgradation given prior to the origin of MACP Scheme can be treated as MACP upgradation.

8. As per Para 11 of MACP OM, the grant of time scale in Grade Pay of Rs. 5400/- in PB2 before initiation of MACP scheme is not to be reopened. The para is reproduced as under:

“11. It is clarified that no past cases would be reopened. Further, while implementing the MACP Scheme, the differences in pay scales on account of grant of financial upgradation under the old ACP Scheme (of August 1999) and under the MACP Scheme within the same cadre shall not be construed as an anomaly."

Thus, any benefit/upgradation granted on or before 31.08.2008 can’t be challenged/modified/reopened as per CCS (RP) Rules read with para 11 of MACP Scheme.

9. In view of para 11 of MACP OM, it has also been clarified by the CBIC vide clarification F.No.A-23011/29/2010-Ad.IIA Dt. 20.05.11 under para 4 and 5 that there would be no effect on grant of NFS/NFU during the period between 01.01.06 to 31.08.08. Thus, NFU/non-functional scale granted during ACP period prior to introduction of MACP scheme (i.e. 01.09.2008), can no way be offset with MACP upgradation. The relevant paras are reproduced as under-

“4. Further, the benefits of ACPS of August 1999 had been allowed till 31.08.2008 and only functional promotion(s) is /are counted for the purpose of Scheme. Besides, there is no provision for counting ‘Non-functional Scale’ for the purpose of ACP Scheme.”

5. In view of the above facts and circumstances, there would be no effect on grant of ‘Non-functional Scale’  in PB-2 with grade pay of Rs.5400 during the period between 1.1.2006 to 31.8.2008, as the same is not counted under ACPS and it would not be offset against financial up gradation under the Scheme…………

10. The Hon’ble High Court of Delhi vide its judgment dated 24.08.2012 passed in WP(C) No.5146/2012 in case of Union of India Vs. Delhi Nurses Union (Regd) & Anr. held that the NFS/NFU would also not be treated as financial upgradation under MACP Scheme. The order of the High Court was also upheld by the Hon’ble Supreme Court by dismissing Special Leave to Appeal (C) CC No. 4399 of 2013 filed by the Union of India vide order dated 06.02.2018.

11. The Para 8.1 of the MACP Scheme has also been dealt with by the Hon’ble Madras High Court vide WP No. 11535/2014 in the matter of UoI & Ors vs S. Balakrishnan & Ors. Union of India assailed the order of High Court vide SLP No. 15396/2015. The same was dismissed by the Hon’ble Supreme Court and the Review petition was filed by Union of India was also dismissed. It was established by this order that-

(i) NFU/Time scale/NFS (Non-Functional Scale) cannot be offset with MACP upgradation.

(ii) GP 5400 PB3 is not higher than GP 5400 PB2 observing that the government proceeded as Grade Pay of Rs. 5400/- in PB3 is higher than the Grade Pay of Rs. 5400/- in PB2.

(iii) Next higher Grade Pay after Grade Pay of Rs. 5400/- in PB2 is Grade Pay of Rs. 6600/-.

(iv) Grade Pay of Rs. 6600/- in PB3 is to be given after Grade Pay of Rs. 5400/- in PB2 as MACP upgradation.

12. Hon’ble Delhi High Court in WP (C) No. 9357/2016 in Hari Ram & Anr Vs Registrar General case ordered on 20.12.2017 that NFU/NFS granted after 04 years of service would not count as financial upgradation for the purpose of MACP Scheme based on S. Balakrishnan verdict. The order of the Hon’ble High Court of Delhi has been implemented without further appeal.

13. As per the judgment of the Hon’ble High Court of Madras in Writ Petition No.13225/2010 titled Sh. M. Subramaniam Vs. Union of India, the officers are entitled for grant of NFS/NFU after continuous service of four years in the pay scale of Superintendent got on account of ACP/MACP. The SLP filed by UOI was dismissed establishing that NFS/NFU is independent of ACP/MACP upgradation being given after four years of it. The said decision was upheld by the Hon’ble Supreme Court in Civil Appeal No.8883 of 2011. Review Petition filed in it by UOI was also dismissed.

14. Further, in terms of Para 1(x)(e) of Resolution dated 29.08.2008 issued by the Department of Expenditure and notified in Gazeette, the grant of Grade Pay of Rs.5400 in PB-2 (referred to as ‘NFS/NFU’) on completion of 4 years regular service in Grade Pay of Rs.4800 in PB-2 to the group-B Officers of Revenue Department is revision of pay scale. It is, therefore, neither ACP/MACP nor promotion and therefore, it cannot be offset against MACP.

15. The Hon’ble High Court, Ernakulum [Order dated 04.07.2013 in OP (CAT) No. 919 of 2013 (Z)] N K Gopinathan & Allath Sundaran in para 7 also held as under:

"It was also found that the non-functional scale granted to the respondents was neither by way of promotion nor under the ACP/MACP Schemes. Learned counsel for the petitioners contended that the non-functional scale granted to the respondents should be treated as financial up-gradation and then, they were not entitled to financial up-gradation from the grade pay of Rs. 6600/- to Rs. 7600/. At the same time, the learned counsel admitted that the non-functional scale was applicable to all the employees covered by the orders in respect of the same and it was not financial up-gradation coming under the ACP/MACP Schemes. Therefore, such an argument advanced by the learned counsel has no legs to stand. The Tribunal has considered the questions in their right perspective and arrived at right conclusions. We find no infirmity or jurisdictional error with the orders passed by the Tribunal."

The Special Leave Petition preferred before the Supreme Court against the said decision has also been dismissed vide Civil Appeal Nos. 2941-42/2014 on 06.02.2018.

16. The Hon’ble High Court of Delhi vide its decision dated 22.01.2019 in WP(C) No. 4195/2015 in case of Shaira A. Khan also held based on the above dismissal of Civil Appeal Nos. 2941-42/2014,

            “The Special Leave Petition preferred before the Supreme Court against the said decision  before Hon’ble High Court, Ernakulam vide Order dated 04.07.2013 in OP (CAT) No. 919 of 2013 (Z) (supra) has also been dismissed after grant of leave vide Civil Appeal Nos.2941-42/2014 on 06.02.2018. Thus, the issue that the grant of Non-Functional Scale did not tantamount to promotion or grant of benefit under the ACP/MACP Schemes stands approved by the Supreme Court.”

17. In the case of V. K. Sharma Vs Union of India (Principal Bench, Delhi OA No. 1622/2014) also NFU granted after 04 years of service was not counted as financial upgradation for the purpose of MACP Scheme. The decision of Hon’ble Tribunal was upheld by the Hon’ble High Court.  Further, SLP No.012340 of 2018 of UOI in V.K. Sharma was dismissed by this Hon’ble Court.

18. The NFS/NFU being revision of pay scale is part of pay notified under CCS (Revised Pay) Rules, 2008 cannot be amended/revised/curtailed by an executive order as has been done by the Govt. By issuing executive instruction, Govt. illegally & irrationally resorted to modify statutory rules i.e. CCS (Revised Pay) Rules, 2008 issued under Article 309 of the Constitution, which is not sustainable in view of the settled law. In the case of Ajaya Kumar Das Vs State of Orissa & Ors. in Civil Appeal No. 4977 of 2009, as per Para 10 that executive instruction cannot over rule/override statutory rules issued under Article 309 of the Constitution. The same thing was observed by the Hon’ble High Court of Madras in Writ Petition No.13225/2010 titled Sh. M. Subramaniam Vs. Union of India in which SLP as well as Review Petition filed by the Govt. was dismissed by the Apex Court.

19. The Non-Functional scale/Non-Functional upgradation (NFS/NFU) is part of Pay Rules and it is applicable w.e.f. 01.01.2006, whereas the Hon’ble Supreme Court in the Civil Appeal No. 1579 of 2021 in the case of Union of India vs. R. K. Sharma & Ors has held that MACP is not part of pay but it is incentive. Accordingly, DOPT issued OM dated 13.07.2021 that MACP is incentive and like other allowances, it has been introduced w.e.f. 01.09.2008. Thus, NFS/NFU cannot be treated as MACP, both being two different entities and being implemented from two different dates.

20. So, our officers are entitled for grant of 2nd financial upgradation under MACP Scheme in Grade Pay Rs. 6600 and 3rd financial upgradation in Grade Pay Rs. 7600 after joining as direct Inspector. Accordingly, the officers joining one level below Inspector are entitled GP of Rs. 6600/- on 3rd MACP upgradation. The fixation of Grade Pay of Rs.5400 in PB-2 was due to revised pay scale and the same could not be offset as a financial upgradation under MACP Scheme as the scheme or Govt. Notification dated 29.08.2008 issued under Article 309 does not lay any provision for offset of NFS/NFU with the financial upgradation under MACP Scheme. There is also no provision to offset financial upgradation under MACP Scheme by time scale. And any clarification could not override the resolution issued under Article 309.

21. The grant of grant of NFS in the Grade Pay of Rs. 5400 in PB-2 cannot be treated as a financial upgradation under MACP Scheme being against the spirit of MACP Scheme, which mandates placement in immediate next higher Grade Pay. Neither para 8.1 nor MACP Scheme or DOPT FAQ dated 01.04.2021 (Q.16) says that the NFS/NFU granted in Rs. 5400 PB2 would be offset against financial upgradation under MACP scheme.

22. NFS/NFU is granted after four years regular service in Grade Pay of Rs.4800 in PB-2 or equivalent. MACP Scheme provides placement in the immediate next higher Grade Pay which is Rs. 6600. It is reiterated that the Hon’ble High Court of Delhi vide its judgment dated 24.08.2012 in WP(C) No.5146/2012 titled Union of India Vs. Delhi Nurses Union (Regd.) also granted Grade Pay of Rs. 6600 after NFS/NFU without offsetting it with the financial upgradation under MACP Scheme. The order of the High Court was upheld by the Hon’ble Supreme Court as well.

23. From comparative study of ACP & MACP scheme, an employee was entitled to 1st benefit/financial upgradation after completion of 12 years of regular service as per ACP scheme, if the regular promotion was not available during that period. The employee was entitled to the 2nd benefit/financial upgradation after completion of 12 years of regular service from the date of the first benefit/financial upgradation i.e. after completion of a total of 24 years of regular service, subject to fulfilment of prescribed conditions whereas under the MACP scheme, the employee is entitled to three benefits/financial upgradations on completion of 10, 20 and 30 years of regular service instead of two benefits/financial upgradations on completion of 12 and 24 years of regular service. The other distinction between the ACP Scheme and MACP scheme is that the former (ACP Scheme) assured the promotional grade, whereas the latter (MACP Scheme) only assured higher grade pay.

24. CBIC own clarification dated 02.01.2023 says that NFU is not linked to the number of promotions/financial upgradations. The Department of Expenditure resolution dated 29.08.2008 clearly states that NFS/NFU to Rs. 5400 shall be granted after 4 years of service in Rs. 4800 grade pay, irrespective of whether that grade was attained through promotion or ACP/MACP scheme.

25. The stand that NFS/ NFU will be offset with the financial upgradation under MACP scheme misinterprets both the MACP scheme and the NFU provisions. This position is contrary to the Ministry of Finance Resolution dated 29.08.2008 and CBIC clarification dated 02.01.2023.

26. Our officers are entitled to three financial upgradations under MACP scheme independent of NFS/NFU and Grade Pay of Rs. 6600 in PB3 after Grade Pay of Rs. 5400 in PB2 as per the Ministry of Finance Resolution dated 29.08.2008. The related OMs/clarifications to offset NFU/NFS with MACP upgradation were issued without amendment of the original resolution or rules and such OMs/clarifications are illegal as well as contrary to the Resolution dated 29.08.2008.

27. The relevant Resolution dated 29.08.2008 by the Ministry of Finance states that Group B Officers in the pay scale of Rs. 7500-12000 (pre-revised) shall be granted Grade Pay of Rs. 5400/- in PB-2 on completion of 4 years in the grade. This resolution does not differentiate between regular promotion or ACP/MACP as the means of reaching GP Rs.4800/-. Further the OM dated 21.11.2008, issued by the Department of Revenue clarifies that Four years shall be counted from the date the officer is placed in the pay scale of Rs.7500-12000 (pre-revised). Therefore, placement in the grade (not grade pay), whether by promotion or MACP, is the qualifying condition.

28. It is undisputed fact that the resolution dated 29.08.2008 is a statutory policy document and it explicitly provides that officers in Grade Pay of Rs. 4800 shall be granted Grade Pay Rs. 5400 after four years of service in that grade. The resolution does not make any distinction between those who attain Rs. 4800 via promotion and those who do so via financial upgradation under ACP or MACP.

29. The Madras High Court in M. Subramanian held that any clarification cannot override a resolution issued by the Ministry of Finance. The Supreme Court dismissed the government appeal in that matter further affirming the binding nature of the said judgment. However, NFS/NFU is a separate mechanism provided under the Govt. resolution dated 29.08.2008 and is not part of the MACP scheme. NFS/NFU is a time-bound scale and it is distinct from MACP. So, it was decided by the Hon’ble court that NFS/NFU would be granted after 4 years of getting pay scale of Superintendent as ACP/MACP upgradation. Further, NFS/NFU has not been categorically denied by the CBIC to officers who have got three financial upgradations prior to due date of NFU. The NFS/NFU arises by the completion of four years in GP of Rs. 4800 or equivalent and is not a promotion nor is it counted as an additional MACP upgradation. This position has been clarified even by the CBIC in its clarification dated 02.01.2023. The benefit of NFS/NFU after achieving the grade pay of Rs. 4800/- or equivalent through MACP has already attained finality in M. Subramaniam vs UOI up to Apex Court. Further in their letter F. No. A-23011/06/2021-Ad.IIA, dated 02.01.2023, Central Board of Indirect Taxes and Customs have clarified that NFU is not linked with number of promotions.

30. The Hon’ble Supreme Court in the case of UOI & Ors. Vs Ex. HC/GD Virender Singh in SLP (C) No. 16442/2021 in Para 9 of the order held, “9. As rightly held in R.K. Sharma (supra), the aforesaid reasoning given in the case of Balbir Singh Turn (supra), in our opinion, has not been accepted by the three Judge Bench decision in the case of M.V. Mohanan Nair (supra), which in clear terms holds grant of financial upgradation under the MACP Scheme is not a matter of pay structure, but an incentive scheme brought into force to relieve stagnation which operates on its own terms. We may add that the pay scales are fixed and revised by the rules which are enacted in exercise of powers conferred by the proviso to Article 309 and clause (5) of Article 148 of the Constitution of India. Therefore, vide Notification dated 29th August 2008, the Central Civil Services (Revised Pay) Rules, 2008 were enacted vide G.S.R. No. 622(E). Rule 1(2) states that the Rules, as enacted, shall be deemed to have come into force on 1st January 2006. The aforesaid Rules neither postulate nor have any provision for grant of financial upgradation under the MACP Scheme.………………………”

31. Our officers have totally been discriminated by the wrong implementation of MACPS because of being forced to get after 30 years of service under modified ACP Scheme what they were entitled to get within 24 years in original ACP Scheme, i.e., pay scale of Rs. 8000-13500/- equivalent to the grade pay of Rs. 5400/- in PB3 as also accepted by CBIC in F.No.A-26017/84/2014-Ad.IIA. These employees/pensioners are at loss instead of getting any benefit by the implementation of MACPS. The contention that NFS/NFU is to be offset against MACP benefit is contrary to the MACP Scheme which provides that whenever a person has spent 10 years of service continuously in the same grade pay, he/she is eligible for financial upgradation. A specific NFS/NFU linked with 4 years of service can no way be termed as financial upgradation under MACPS. The NFS/NFU has also not been offset with MACP by the State Governments like Uttar Pradesh etc., where the scheme has also been drawn based on the recommendations of 6th CPC. Moreover, NFS/NFU can no way be termed as financial upgradation under MACPS particularly when granted prior to inception pf MACP scheme. It is also mentioned in MACP OM itself that past cases would not be opened. The CBIC also issued circular that the NFS/NFU granted prior to inception of MACP scheme, i.e., 01.09.08 would not be counted as MACP upgradation.  

32. As per the provisions of MACPS-

(i) Screening committee is constituted (para 4).

(ii) Recommendations of screening committee are placed before appointing authority (para 5).

(iii)The employees are to give option under FR22 (1) (a) (1) (para 7 of Annexure).

(iv) APAR benchmark is required for MACP upgradation (para 17 of Annexure).

No such condition is applicable for the grant of NFU/Non-functional Grade Pay/time scale/NFS/NFG after four years of service as it is governed and granted under CCS(RP)Rules, 2008 w.e.f. 1/1/2006 and can’t be offset with MACP upgradation. The MACP requires a screening committee, APAR benchmarks, specific options under FR22(1)(a)(1) etc. whereas the NFS/NFU is a time-bound scale granted automatically after four years of regular service in the Grade Pay of Rs. 4800 without such conditions.

33. As per the Govt Order F. No. 35034/3/2015-Estt. (D) dated 28.09.2016:

“Fixation of pay will follow the same principle as that for a regular promotion in the Pay Matrix……”

Therefore, the administration cannot take a stand that any financial upgradation automatically granted after 4 years on the basis of pay structure on completion of 4 years of service shall amount to Financial Upgradation under MACP. For MACP Financial Upgradation, it MUST follow pay matrix of Regular Promotion. For MACP Financial Upgradation, the fixation of pay MUST follow the same principle as that for a “regular” promotion in the pay matrix. The NFU granted after 4 years, does not follow the same principle as that for regular promotion. In short, its neither a pay structure in pay matrix for the promoted “Regular Superintendent” nor its for promoted ‘Regular Assistant Commissioner”. The NFU is purely a pay structure for those who had completed 4 yrs of service.

34. It is also worth noticing that a government servant gets many financial upgradations regularly. For example, every year he/she gets salary upgradation by annual increment, every 6 months he/she gets DA upgradation, HRA, LTC upgradation whenever any upgradation in basic etc. Therefore, these are not counted as a part of MACP Financial Upgradation because of not being mentioned in the MACP guidelines. Similarly, NFU is also not mentioned in the MACP guidelines and hence, not to be considered as MACP upgradation like other upgradations are also not considered.

35. The replacement of words ‘GRADE PAY’ in para 1 of Annexure to DOPT OM Dt. 19.05.2009 from ‘GRADE’ in the Resolution dt. 29.08.2008 is arbitrary. Accordingly, in para 1 of the DOPT OM dt. 19.05.09, the words '10 years of continuous stay in grade pay' should be '10 years of continuous stay in a GRADE' as per the Resolution.

36. Here is the RESOLUTION of Govt. of India after 6th CPC

 

 

                       

According to the Govt. Resolution,

A.      There will be three upgradations under (Modified) ACP scheme. (1 above)

B.      The financial upgradation will be available after 10, 20 and 30 years of service whenever a person spent 10 years continuously in the same grade. (iv above)

C.      There is also no mention that NFU/NFS granted after 4 years of service as the part of pay scale would be treated as Financial Upgradation under MACP Scheme.

However, the DOPT OM changed the para (iv) of the resolution as follows.

1.       There shall be three financial upgradations under the MACPS, counted from the direct entry grade on completion of 10, 20 and 30 years service respectively. Financial upgradation under the Scheme will be admissible whenever a person has spent 10 years continuously in the same grade-pay.

From the above, it is evident although the intention of Govt. is to give financial upgradation under MACP scheme after 10 years of continuous stay in the grade. But DOPT changed this to 10 years of continuous stay in the grade pay.

37. The 6th Central Pay Commission, on the recommendations of which the MACP Scheme was introduced, very specifically said under para 2.2.19.x that the grade pay of Rs. 5400/- in PB2 and PB3 is one and same. The 6th CPC made following observation and recommended:

“The scale of Rs. 8000-13500/- is the entry grade for Group A posts for which the Running Band PB-3 has been recommended. Many Group ‘B’ posts had been extended the scale of Rs. 8000-13500/- even though these continued to be Group ‘B’ posts. All such Group ‘B’ posts shall now be placed in the running band PB-2 alongwith a grade pay of Rs. 5400. To ensure that existing parity in terms of pay scale of these posts vis-à-vis the entry scale of Group A posts is not disturbed, the same grade pay of Rs. 5400/- has been prescribed.”

38. The 7th Central Pay Commission also observed and reported very specifically under para 7.1.4.b that the Grade Pay of Rs. 5400/- in PB2 and PB3 is common (one and same). Based on this para, Level-9 and Level-10 have been introduced by the govt to undo the pecuniary difference of Rupee zero between the Grade Pay of Rs. 5400/- in PB2 and PB3.  The 7th CPC made following observation and recommended:

“In so far as the non-functional upgrade is concerned, in the newly restructured pay matrix the earlier situation of a common grade pay i.e., 5400 prevailing in PB2 and PB3 has now been rationalized. Accordingly, the non-functional upgrade will henceforth be from level 8 to level 9. In the case of all such cadres/services where non-functional upgradation is presently available across two levels, for example, from GP 4800 to GP 5400 (PB 3) the same will now be available across only one level for example, from GP 4800 to GP 5400 (PB-2) or in the new matrix from level 8 to level 9.”

39. The OM issued by DOPT vide No. 35034/3/2008-Estt. (D) Dt. 09.09.10 also clarifies at 3(B) that an officer appointed in pay scale of Rs. 5500-9000 (pay scale of our Inspector enhanced later to 6500-10500) would get-

(1) Ist ACP upgradation in Rs. 6500-10500 (pay scale of our   Superintendent later enhanced to Rs.7500-12000).

(2) IInd ACP upgradation in 10000-12500 equivalent to GP 6600.

(3) IIIrd MACP upgradation in GP 7600 in immediate next higher Grade Pay.

40. Thus, it is evident from the above submissions that-

(i) NFU/NFS granted after 4 years service as the part of pay scale can no way be offset with MACP upgradation.

(ii) GP of Rs. 5400 in PB2 and PB3 is one & same and can’t be treated separately because higher grade pay is to be given as MACP upgradation. GP of Rs. 5400 in PB3 is no way higher than the GP of Rs. 5400 in PB2.

40. In view of above, it is requested to kindly grant-

(i) GP of Rs. 6600/Level-11 & 7600/Level-12 as 2nd & 3rd MACP upgradation to all of our officers recruited/appointed as Direct Inspector in GP of Rs. 4600/Level-7.

(ii) GP of Rs. 5400/Level-10 & 6600/Level-11 as 2nd & 3rd MACP upgradation to all of our officers recruited at one level below the Inspector.

41. An early response in the matter is very much expected and requested.

Thanking you.

Yours sincerely,

                                                                                                                                                       

(HARPAL SINGH),

Secretary General.