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Sixth pay binding on public charitable trust

(Querist) 28 February 2012 This query is : Resolved 

I have a query as:
Is sixth pay regulations' are binding for an NGO under a public charitable trust ?

I am an employee of such organization, and my company has adopted arbitrary rules in adopting 6th pay.

Kindly guide me as per the law of the land.

Thank you very for much for your kind support and co-operation in advance.

Thanks & Regards,
Dhaval M. Vakharia
Sankaranarayanan (Expert) 28 February 2012
That you have to find from the finace ministry or finace department.
Kirti Kar Tripathi (Expert) 28 February 2012
Recommendations of pay commission are only for Government employee or Government establishment adopting recommendations not for NGO.
Raj Kumar Makkad (Expert) 28 February 2012
If NGO voluntarily adopts the recommendation of 6th Central Pay Commission then you being its employee are also entitled to get your salary accordingly but this is not mandatory for the NGO to follow its recommendations.
Dhaval (Querist) 28 February 2012
Hello Raj,

Thanks for your response.

Again, even if NGO voluntarily adopts recommendations of 6th pay, the adoption is also in parts. Like:
1). They declared adoption from Jan 2011 and there will not be any arrears.
2). In reference to 6th pay, the employee's pay structure is raised to only 30%.
3). Encashment of leaves(ELs) is kept only half, while 6th pay CPC is recommending whole. etc.

Even if all these, one can not ask NGO to accept 6th pay fully and entirely, since its not a government department.

Did I interpreted you correctly ?

Once again thanks for your time & guidance.

Thanks & Regards

Sudhir Kumar (Expert) 28 February 2012
Since you are not a Govt employee, not paid out of the Govt budget there is no application of 6th Pay Commission on you. Your case was never presented before the Commission. Even for Govt employees it was a recommendation and became binding only when notifications on various recommendations have been issued by President under provision to Article 309 of the constitution.

Now coming to what you call arbitrary application of the principles. In case the NGO borrows some guiding principles so that it may be able to enhance some salary of staff then they should not be punished for their benevolence to the extent to adopt the 6th PC fully. As long as they are not paying below minimum wages they cannot be punished.
Kirti Kar Tripathi (Expert) 29 February 2012
If terms of adoption is decided by the NGO, the employees are entitled for same only to the extent of adoption not beyond it.

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