WN On FRSR (Pay) Rules, 2023 (2) SB
WN On FRSR (Pay) Rules, 2023 (2) SB
WN On FRSR (Pay) Rules, 2023 (2) SB
PAY FIXATION
Consequent to the acceptance of the recommendations of the Seventh Pay Commission, the Govt. of
India notified its decisions on the report,, vide Notification No.GI M.F. No.1-2/2016-IC, dated 25 th July, 2016.
The existing Pay Bands and Grade Pays as in force immediately prior to the notification, have been
replaced with a Pay Matrix. New functional Levels have been arrived at by merging the Grade Pay with the Pay
in the Pay Band. All the existing levels have been subsumed in the new structure. The new pay structure has
been devised in the form of a PAY MATRIX to provide complete transparency regarding pay progression.
The Basic Pay on the date of implementation i.e., 1.1.2016 is multiplied by a factor of 2.57, rounded
off to the nearest rupee and the figure arrived at is located in the new Pay Matrix in the level that corresponds
to the employee’s Grade Pay on that date. If the figure corresponds to a cell, it is fixed there. If not,
immediate next higher cell will be the new pay.
The PAY MATRIX comprises of two dimensions. It has a Horizontal Range in which each level
corresponds to a functional role in the hierarchy and has been assigned the numbers 1,2 and 3 and so on till
18. The vertical range for each level denotes Pay Progression within that level. These indicate the steps of
annual financial progression of three per cent within each level. The starting point of the Matrix is the
minimum pay.
The Level of posts shall be determined in accordance with the various Levels as assigned to the
corresponding existing Pay Band and Grade Pay or scale as specified in the Pay Matrix.
The pay of employees appointed by direct recruitment on or after 1.1.2016 shall be fixed at the
minimum pay or the first Cell in the Level, applicable to the post to which such persons are appointed.
As per recommendations of the VII CPC Report, the existing provisions on pay fixation on
promotion/appointment have been changed radically with effect from 1.1.2016. Instead of running Pay Bands
and Grade Pay with regular increments, 16 levels of pay have been introduced for all categories of employees
in Groups ‘A’, ‘B’ and ‘C’. In addition, there are two levels one for Apex Scale and one for Cabinet Secretary.
There shall be two dates for grant of increments namely, 1 st January and 1st July of every year,
instead of existing one date i.e. 1st July; provided that an employee shall be entitled to only one annual
increment on either of these two dates, depending on the date of his appointment, promotion or grant of
financial upgradation.
Note: In the normal course, if a Govt. servant was to join a post on appointment/promotion on 1 st January of
a year, but he could not join the post ONLY because 1 st January happened to be a Sunday or Gazetted
holiday, the Govt. servant who join the post on the 1 st working day of the year will be treated to have
completed 6 months of service on 1st of July of that year for the purpose of granting annual increment on that
day. OM dated 13.3.2009.
Mentioned below are the rules and circumstances which necessitates Fixation of Pay:-
Circumstances which give rise to the fixation of pay are:
1. First appointment to any post;
2. Transfer/Promotion from one post to another;
3. On being posted on Deputation (Cadre post to Ex-Cadre post)
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WN ON FRSR (PAY) RULES, 2023(2) SB
4. On promotion from one Ex-Cadre post to another.
5. On being posted to a lower post on one’s own request;
6. On a Pensioner being re-employed, etc.
FR 22(I)(a)(1) deals with fixation of pay of a Govt. servant holding a non-tenure post on
promotion/appointment to a higher post. (Rule 13 of CCS (RP) Rules)
FR 22(I)(a)(2) deals with fixation of pay of a Government servant holding a non-tenure post on
transfer/appointment to another post which is not higher than the post which he was holding.
FR 22(I)(a)(3) deals with fixation of pay of a Government servant holding a post, on transfer at his
own request, to a post with the maximum pay of that post lower than his pay in the post held by him on
regular basis.
FR 22(I)(b) deals with fixation of pay of a Government servant on his first appointment in Government
service.
FR 22(II), deals with grant of pro forma officiating promotion under NEXT BELOW RULE to a
Government servant who is working on deputation under the Government outside his regular line of service or
on foreign service.
FR 22(III) stipulates that appointment or promotion of a Government servant to a post in the same or
identical time-scale of pay should not be deemed to involve the assumption of duties and responsibilities of
greater importance for the purpose of initial fixation of his pay.
FR 22(IV) stipulates that when a Government servant, while holding an ex-cadre post, is promoted or
appointed regularly to a post in his cadre, his pay in the new cadre post should be fixed with reference to his
presumptive pay in the old cadre post which he would have held but for his holding the ex cadre post.
FR 26 regulates the increment of a Govt. Servant.
FR 27 deals with fixation of Pay of a Government Servant at a stage higher than the one admissible
under normal Pay Fixation Rules by grant of PREMATURE INCREMENTS in special circumstances.
FR 35 deals with fixation of pay of an officiating Government servant at an amount less than that
which is admissible under FR 22.
[*Temporary post means a post carrying a definite rate of pay sanctioned for a limited period, whereas a
tenure post means a permanent post which an individual Government Servant may not hold for more than a
limited period]
New appointments after 1.1.2016: Initial pay of persons newly appointed after 1.1.2016, will be fixed at
the minimum of the Level in the Pay Matrix.
Illustration: A Govt. servant who is drawing Rs.88,700 in Level 12 is promoted to a higher post in the
Pay Level 13. His pay will be fixed as:
Basic Pay in the revised pay structure in Level 12 88,700
Pay after giving one increment in Level 12 91,400
In this case, the pay after adding the increment is less than the minimum of higher Pay Level 13 i.e.
1,23,100. Hence, his pay has been stepped up to the minimum and his pay in the promoted post is
Rs.1,23,100. [Rule 13(i) of CCS(RP) Rules, 2016]
Bunching of stages during PAY REVISION: In cases where, in revision of pay, the pay of Govt. servants
drawing pay at two or more stages in pre-revised Pay Band and Grade Pay, get fixed at same cell in the
applicable Level in the new Pay Matrix, one additional increment shall be given for every two stages bunched
and the pay of Govt. servant drawing higher pay in pre-revised structure shall be fixed at the next vertical cell
in the applicable Level.
For this purpose, pay drawn by two Govt. servants in a given Pay Band and Grade Pay where the
higher pay is at least 3% more than the lower pay shall constitute two stages. Officers drawing pay where
the difference is less than 3% shall not be entitled for this bunching.
Revision of pay of employees stagnating at the maximum of the Pay Band and Grade Pay in pre-
revised structure: In case of persons who had been drawing maximum of the applicable Pay Band and
Grade Pay for more than two years as on 1.1.2016, one increment in the applicable Level in the Pay Matrix
shall be granted on 1.1.2016 for every two completed years of stagnation at the maximum of the said Pay
Band and Grade Pay. Grant of additional increment shall be subject to condition that the pay arrived at after
grant of such increment does not exceed the maximum at the applicable Level in the Pay Matrix.
After fixation of pay on 1.1.2016, the date of increment shall be regulated as per the provisions of
Rule 10 of CCS (RP) Rules, 2016. [OM dated 7.9.2016]
FR 22(I)(a)(1) applies not only in respect of promotions to higher appointments to another post (carrying
higher responsibility than the post held by the Govt. Servant) in the direct line of promotion, but also for
appointments to another post, outside the ordinary line which is generally termed as ex-cadre appointment,
provided that in respect of that ex-cadre appointment, the GS elects to draw pay in the time-scale of the ex-
cadre post. However, the option to have the pay fixed in the ex-cadre post on the date of accrual of NEXT
INCREMENT in the cadre post is NOT AVAILABLE.
From one ex-cadre post to another ex-cadre post: In Cases of appointment from one ex-cadre post to
another ex-cadre post where the official opts to draw pay in the scale of ex-cadre post, the pay in the 2 nd or
subsequent ex-cadre post should be fixed under the normal rules i.e. FR 22(I)(a)(1) or (a) (2) with reference
to the pay in the CADRE POST only.
If on the appointment to a Second or subsequent ex-cadre post in a higher pay scale than that of the
previous ex-cadre post, the pay fixed under normal rules w.r.to the pay in the cadre-post happens to be less
than that drawn in the previous ex-cadre post, the difference may be allowed as PERSONAL PAY to be
absorbed in future increases in Pay.
Illustration: An Assistant Accounts Officer of the Department of Posts drawing a pay of Rs.44,900 in the Pay
Level 6 is appointed as a Section Officer (ex-cadre) in the Central Secretariat in the Pay Level 8. The post of
Section Officer is obviously not in the direct line of promotion of Assistant Accounts officer. In the post of SO,
the AAO has the choice to elect either his pay as AAO plus a Deputation Allowance of 10% of such pay in the
Pay Level or pay fixed in the Pay Level 8 of the post of SO under normal rules. If the AAO chooses the latter
alternative, then his pay in the scale will be fixed as under:-
Pay as AAO on the date of deputation - 44,900
Pay after adding one increment in Level 6 - 46,200
Pay fixed in the ex-cadre post (SO) - 47,600
FR 22(I)(a)(1) will not apply to cases of Govt. servants appointed to higher posts through UPSC and in those
cases where the UPSC has made a specific recommendation regarding pay to be given. In cases where the
UPSC recommends, that the pay should be fixed “under normal rules”, then the pay may be fixed under FR
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WN ON FRSR (PAY) RULES, 2023(2) SB
22(I)(a)(1) subject to fulfillment of conditions of assumption of higher responsibilities. In such cases, the
benefit of choosing the date of fixation is not admissible. In all cases of appointment through UPSC, the
manner in which the Pay to be fixed should be indicated. [GIO(9), FR 22]
Government servant is appointed from one post to another where the appointment to the new post
does not involve assumption of duties and responsibilities of greater importance than those
attached to the old post including appointment to a non-functional selection grade, his pay will remain
unchanged. If there is no such equal stage in the new post, his initial pay in the new post will be fixed at the
stage next above his pay in respect of the old post and he will draw his next increment in the new post on
completion of the period when an increment is earned in the time scale of the new post.[FR 22(I)(a)(2)]
[Non-Functional Selection Grade: Applicable in the case of senior officers stagnating long without getting
promotion, an in-between stage is created to accommodate them till such time they get their normal due.
Those posts created for such reason do not have any function attached to the post. They will perform the
duties of the posts in which they are stagnating, e.g., 14,300 in case of Civil Servants]
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WN ON FRSR (PAY) RULES, 2023(2) SB
FIXATION OF PAY WHEN TRANSFERRED TO A LOWER SCALE AT ONE’S OWN REQUEST FR 15(a)
In case of transfer to a lower Level of post in the Pay Matrix, the pay of the Government Servant
holding a post on regular basis will be fixed in the revised pay structure at the stage equal to the pay
drawn by him in the higher level of post held him. If no such stage is available, his pay will be fixed next
below in the Lower level and the difference in pay may be granted as Personal Pay to be absorbed in future
increments. If the maximum of the lower post happens to be lesser than the pay being drawn by him in his
present post, his pay will be fixed at the maximum of lower post.
Illustration: A,B,C,D,E and F in tht order of seniority in the grade of Assistant Accounts Officer’s Postal are
all on deputation to other Ministries and Public Sector Undertakings, with effect from 1.4.2016. Consequent on
Mr.X an Accounts Officer of the Postal Directorate, retiring from 31.10.2016, Mr. G another AAO, who is junior
to all the six AAOs on deputation, is promoted as officiating Accounts Officer with effect from 1.11.2016.
Though ABCDEF are senior to G, Mr.A alone will get the benefit.
Wrong Fixation under FR-27: Once the fixation done by Competent authority under FR-27, is found, on a
later date, to have been done on an incorrect data, that authority is not competent to reduce the same
subsequently. [GIO(13), FR-27]
FR-35
Pay of an officiating Government Servant may be fixed at an amount less than that admissible
under these rules. It is resorted to appointments by transfer on deputation. It should not be invoked in
respect of Regular Cadre promotion where –
a. the employee becomes due for promotion;
b. the employee falls within the zone of consideration and fulfils all qualifications prescribed for
promotion.
Restriction under FR-35 shall not exceed limits prescribed by the Government of India from time to time.
After implementation of VII CPC, the pay under FR 35 shall be restricted in a manner so that the
increase in the Basic Pay of the post held by the Government servant (prior to the officiating appointment)
shall not exceed 12.5% subject to a maximum of Rs.6700 per month. Any increase in excess of 12.5% of the
Basic Pay with a further ceiling of Rs.6,700 per month shall be treated as substantial increase for the
purposes of FR 35.
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WN ON FRSR (PAY) RULES, 2023(2) SB
INCREMENT
Increment means annual increase in pay. After implementation of VII CPC report, there shall be two
dates for grant of increments namely, 1st January and 1st July of every year, instead of existing one date i.e. 1 st
July; provided that an employee shall be entitled to only one annual increment on either of these two dates,
depending on the date of his appointment, promotion or grant of financial upgradation.
The increment in respect of an employee appointed or promoted or granted financial upgradation
during the period between the 2nd day of January and 1st day of July (both inclusive) shall be granted on 1 st
day of January and the increment in respect of an employee appointed or promoted or granted financial
upgradation during the period between 2nd day of July and 1st day of January (both inclusive) shall be granted
on 1st day of July. The increments are as specified in the vertical Cells of the applicable Level in the Pay
Matrix. [Rules 9 and 10 of RP Rules, 2016]
Note: In the normal course, if a Govt. servant was to join a post in a grade pay on
appointment/promotion on 1st January of a year, but he could not join the post ONLY because 1 st January
happened to be a Sunday or Gazetted holiday, the Govt. servant who join the post on the 1 st working day of
the year will be treated to have completed 6 months of service on 1 st of July of that year for the purpose of
granting annual increment on that day. OM dated 13.3.2009.
In the case of Government Servants proceeding on leave or going on deputation out of India while
officiating in a post, a certificate from the competent authority to the effect that the Government Servant
would have continued to officiate but for proceeding on leave/going on deputation out of India is necessary to
count the period at (iii), (iv) & (v) above.
Withholding of increment: A competent Disciplinary Authority can impose a penalty of withholding
increment of a Government Servant in two ways, i.e., with cumulative effect or without cumulative effect. If
it is with cumulative effect, the entire period of the punishment, is lost so far as earning further increment is
concerned and will put the Government Servant to a recurring loss. If it is without cumulative effect, the loss
will be for a temporary period of the punishment and after the punishment is over, the withheld increments
will be restored and the future increments drawn on due dates.
Advance Increments: An authority who is competent to create a post may grant advance increments(pre-
mature increments) not only to the incumbent of the post created under his own powers but also to those
who appointed to other posts in the same cadre on the same scale of pay created with the concurrence of
higher authorities. This power to grant advance increments is invoked also in cases where the pay of a
Government Servant has to be fixed under certain circumstances & also to remove anomalies in fixation of
pay[FR-27].
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WN ON FRSR (PAY) RULES, 2023(2) SB
FIXATION OF PAY ON RE-EMPLOYMENT
Pensioners who are re-employed shall be allowed to draw pay only in the prescribed scales of pay for
the posts in which they are re-employed. No protection of pay of the posts held by them prior to retirement
shall be given.
In the case of Ex-servicemen and Civilian officers who retired before attaining the age of 55 years and
who are re-employed, their pension shall be ignored for initial pay fixation to the following extent:-
(i) In the case of Commissioned Officers of Defence Service and Officers holding Group ‘A’ posts in the
Civil side at the time of retirement, the first Rs.15,000 of pension; and
(ii) In the case of Defence personnel below the rank of Commissioned Officers and Officers holding Group
‘B’ or lower posts in the Civil side at the time of retirement, the entire pension.
[Pension is fully ignored means that PENSION is not deducted from the re-employed pay]
2(i) In all cases where the pension is fully ignored, the initial pay on re-employment shall be fixed at the
minimum or the first Cell in the Level, applicable to the post to which he is appointed, in the revised pay
structure of pay of the re-employed post as per Rule 8 of CCS(RP) Rules, 2016.
(ii) In cases where the entire pension and pensionary benefits are not ignored for pay fixation, the initial
pay on re-employment shall be fixed at the same stage as the last basic pay drawn before retirement. If
there is no such stage in the re-employed post, the pay shall be fixed at the stage next above that pay. If the
maximum pay in Level applicable to the post in which a pensioner is re-employed is less than the last
pay drawn by him before retirement, his initial pay shall be fixed at the maximum pay of the re-employed
post. Similarly, if the minimum pay is more than the last pay drawn by him before retirement, his initial pay
may be fixed at the minimum pay of the re-employed post. The benefit of ignoring the whole pension or
first Rs.15,000 of pension, is admissible only in the case of pensioners who retire before attaining the age of
55 years. In other cases, the whole amount of pension will be taken into account for the purpose of initial
fixation of pay in the re-employed post.
(iii) The re-employed pensioner will in addition to the pay of the re-employed post be permitted to draw
separately any pension sanctioned to him and to retain any other form of retirement benefits, viz.,
Commutation Amount, Retirement Gratuity. However, Dearness Relief on pension will not be admissible during
the period of re-employment.
iv) Once the initial pay of a re-employed pensioner has been fixed in the manner indicated above, he may
be allowed to draw normal increments as per provisions of Rules 9 and 10 of CCS(RP) Rules, 2016. The pay
and gross pension taken together should not at any time exceed Rs.2,25,000 p.m.
Drawal of Allowances: The drawl of various allowances, namely, DA, HRA, etc., and other benefits based on
pay shall be regulated with reference to the pay that is fixed on re-employment. Pay for the purpose of grant
of these allowances and benefits will be the pay fixed before deducting the non-ignorable part of pension.
[Paras 4,5 and 9 of CCS(Fixation of Pay of re-employed pensioners) Orders 1986, read with OM No.3/4/97-
Estt.(Pay-II), dated the 7th November, 1997 and GIDs (13) and (14) thereon and OM dated 1.5.2017]
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