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PM Narendra Modi Forms Task Force To Rationalise Central Government Staff

NEW DELHI:  Prime Minister Narendra Modi has constituted a five-member task force to rationalise central government staff and ensure their maximum optimisation.

The task force will be headed by Establishment Officer and Additional Secretary in Department of Personnel and Training (DoPT) Rajiv Kumar and it will submit its report next month, officials said today.

The prime minister has approved the proposal to constitute a task force to examine the issues of rationalisation and optimisation of human resource in various ministries to align them with financial resources and focus areas of the government, they said.

Minister of State for Personnel Jitendra Singh said rationalisation of staff is of paramount importance for good governance.

"This decision has been taken keeping in line with the Modi government's commitment of maximum governance and minimum government. We are also considering restructuring existing tribunals, autonomous bodies and central public sector undertakings to ensure better optimisation of human resource," he told news agency PTI in New Delhi.

The task force has two joint secretaries from Cabinet Secretariat, one each from the DoPT and Department of Expenditure as members, the officials said.

In his Budget speech for 2016-17, Finance Minister Arun Jaitley had said a task force has been constituted for rationalisation of human resources in various ministries.

"A comprehensive review and rationalisation of autonomous bodies is also underway," he had said.

As per its Terms of Reference (ToR), the task force will take stock and recommend measures to optimise senior positions in the Government of India, covering the posts in the secretariat and outside the secretariat including Chief Vigilance Officers - who act as a distant arm of Central Vigilance Commission to check corruption, various autonomous bodies, regulatory bodies, attached and subordinate offices.

It will also review roles and requirements of these posts, including eligibility criteria and recommend measures to achieve synergy and convergence of purposes and resources, the ToR said.

The task force will review the processes involved in filling these posts and recommend rationalisation and is required "to examine and incorporate global best practices in this regard", it said.

There are about 50 lakh central government employees working in various ministries.

SOURCE-NDTV.COM

After backlash, government to review budget move to tax 60% of employee built EPF

NEW DELHI: Facing a torrent of criticism over the Budget proposal to tax part of the Employees' Provident Fund, the government sought to take some of the sting out of its move, saying that it would only affect top salary earners and defending the step as a measure to create a pensioned society.

A press release issued by the government indicated there would be no rollback. However, it left itself some wriggle room by saying all the suggestions that have been made will be considered.

On the other hand, a senior ministry official said tax wouldn't be levied on 60% of the corpus, as stated in the Budget and reiterated in the press release, but on the interest accrued.

He also added that there would be no cap of Rs 1.5 lakh on the employer's contribution as had been proposed by Finance Minister Arun Jaitley in his Budget on Monday.

"Only the interest component will be liable to tax," the official told ET.

There is no change in the status of Public Provident Fund ( PPF), which will continue to enjoy the 'EEE' or 'exempt, exempt, exempt' status at the stages of investment, accumulation and withdrawal.

"We have noted concerns about changes in tax treatment for EPF/PPF/NPS (National Pension Scheme)," Minister of State for Finance Jayant Sinha had said in a tweet earlier in the day before the government issued its clarification. 

The government said it's considering representations it has received and Jaitley will respond to them in his reply on the Finance Bill.

"We have received representations today from various sections suggesting that if the amount of 60% of corpus is not invested in the annuity products, the tax should be levied only on accumulated returns on the corpus and not on the contributed amount," the ministry said.

"We have also received representations asking for not having any monetary limit on the employer contribution under EPF, because such a limit is not there in NPS. Finance minister would be considering all these suggestions and taking a view on it in due course."

The Budget proposal had been regarded by many as undermining the retirement prospects of salaried employees but the official cited above said the reasoning behind the move had nothing to do with resource mobilisation.

"We want people to move towards a pension," the official said. For those with a monthly salary in excess of Rs 15,000, the Budget said that 40% of the EPF corpus could be withdrawn tax-free but that the rest would be liable to tax unless it was invested in buying an annuity.

Low earners won't be hit In the press release, which restated the Budget position, the finance ministry said the new provision will not affect 3 crore EPF subscribers having a monthly income less than Rs 15,000, who will continue to enjoy 100% exemption on withdrawals. It said the EPF scheme had been set up to cater to such wage earners.

"Out of around 3.7 crore contributing members of EPFO as on today, around 3 crore subscribers are in this category. For this category of people, there is not going to be any change in the new dispensation," it said.

It said about 60 lakh contributing members who have voluntarily accepted EPF are highly paid private sector employees. The changes will apply to these people, according to the press statement.

"What we  are saying is that such employee can withdraw without tax liability provided he contributes 60% in annuity product so that pension security can be created for him according to his earning level," it said. "So what it means is that the entire corpus will be tax-free, if invested in annuity."

The Economic Survey presented before the Budget had alluded to the rich taking advantage of tax exemptions meant for those not so well-off.

Source : http://economictimes.indiatimes.com/

NJCA Circular to continue with strike preparations

Go-Live of Phiringia SO on 29.02.2016.

Phiringia SO has been gone live as 22nd CBS so of Phulbani Division.

Go-Live of Boudhraj SO on 29.02.2016.

Boudhraj MDG has been gone live on 29th February 2016 as 21st CBS SO of Phulbani Division. . The Go-Live has been innagurated by shri Amarendra Kumar Dalabehera, Offctg Postmaster, Boudhraj MDG in the presence of Shri rabinarayan Choudhury, SA, Phulbani HO, Shri Subhasish Karmee, PA, Boudhraj, Shri Jogeswar Panda, SPM, Boudh Court, Shri Rabi Sankar Sahu, SPM, Boudh Bazar, Shri Sanat Karadia, SPM, Malisahi, Shri Sudhir Kumar Sethy, PA, Tikabali now PA, Boudhraj MDG along withh all GDS Staffs.

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Go-Live of Daringbadi SO on 23.02.2016.

Daringibadi SO has been gone live on 23.02.2016 as 20th CBS office of Phulbani Division.