Monday, June 23, 2014

Confused with Kuensel

Salary revision explained from Kuensel
"Salary: The recent salary revision, which will be effective next month has triggered a debate on how much the actual rise was. People’s Democratic Party had pledged to increase the salary and allowances of the civil service and the local government leaders, and introduce the 20 percent house rent.
Here is an example of how the new revision works.
A fresh post-graduate diploma teacher earns a basic monthly salary of Nu 14,460. He is entitled to 20 percent salary allowance of Nu 2,892. This takes the salary to Nu 17,352 excluding other entitlements and allowances.
For civil servants, the existing allowances have been merged to their basic salary and on that increased by four to 10 percent in a downward revision.
This means that the recent pay revision for civil servants in P5 cadre (officer level) would get a raise of six percent on Nu 17,352, which is now the new basic salary. This takes the basic salary to Nu 18,392, an increase of Nu 1,041.
On this ( Nu 18,392) they would now get a 20 percent house rent allowance, which amounts to Nu 3,678.
So the starting salary for a fresh post-graduate teacher in P5 level becomes Nu 22,070. The raise gives them an additional monthly income of Nu 5,719."

Dear Madam Tshering Palden, I am confused with your pay calculation for first grade teacher. 20% of 10710=2142/- is the salary allowance which we use to get  but you have calculated as  20% of 14460=2892/- which is not true. As far as I am concern I have calculated here in my previous post please go through it and also for your kind information I have again shown below in the table for clarification. We should not misinform our nation.
Position
Existing Pay Scale
Revised Pay Scale
HRA

Min
Incr.
Max
Min
Incr.
Max

P 5
14460
290
18810
17495
350
22745
3500
 

Existing Pay Scale
Revised Pay Scale
Basic
Allowance
Previous allowance
6% of 14460
New allowance
New basic
14460
2142
2142
893
2142+893=3035
14460+3035=17495
As you have written that HRA amounts to 3678, no it is 20% of new basic 17495 which amounts to Nu.3500. 

Monday, June 02, 2014

Actually there is no increase in the Revised Pay

With the revised pay scale the government has stated pay growth ranging from 19% to 25% for civil servant from O to EX level. But when we see the real increase in the pay-scale it is disheartening to see that the actual pay rise is only about 6% which is taken back as TDS. For instance lets calculate the first grade teacher's pay.
Old basic pay=14460/- and New basic pay=17495/-
Difference: 17495-14460=3035/-
Allowance before=2142/- given by DPT
Actual increase=3035-2142=893/-
Actual pay growth= 893/14460= 0.617*100= 6.17%
But the new government's politics and mastermind calculated as
3035/14460=0.209*100=20.9=21% so cleaver including previous pay allowance. The 6% pay he or she get as Nu. 893 and for sure this will be deducted as TDS, so actually there is no pay rise. Of course more increment but TDS also deducted as par increment. The 20% HRA and increased in the basic pay seems to be beneficial but I think it is not sufficient, any way something is better than nothing. However, I urge government to do justice because in the name of pay increase everything is going to be expensive.

 
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