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Pay hike proposal released

home 24 December, 2008 - After much discussion and controversy surrounding the civil service pay hike, the government today released the original Pay Commission recommendations with the intention to receive feedback from the public.

“Though I promised only a part of report will be put up, we have decided to release the report in it’s full form because of keen interest by the people, it will also allow the lawmakers to receive public opinion before debating on the pay issue” said the Prime Minister Lyonchhoen Jigmi Y Thinley.

Position Numbers Starting salary Revised salary
Prime Minister 1 Nu 78,000 Nu 180,000
Cabinet Ministers 10 Nu 78,000 Nu 130,000
Speaker, NC chairman 2 Nu 78,000 Nu 130,000
MPs 58 Nu 30,000 Nu 60,000
Auditor General & heads of ECB, ACC, RCSC   Nu 33,970 Nu 70,000
 
Position No of Civil Servants Starting salary Revised salary Increase
EX/ES-1 24 Nu 33,970 Nu 60,030 77%
EX/ES-2 29 Nu 28,500 Nu 46,175 62%
EX/ES-3 179 Nu 24,090 Nu 38,480 60%
P-1 371 Nu 18,970 Nu 29,600 56%
P-2 414 Nu 16,755 Nu 25,740 54%
P-3 1,477 Nu 14,690 Nu 22,380 52%
P-4 1,615 Nu 13,080 Nu 19,460 49%
P-5 5,048 Nu 10,710 Nu 16,924 58%
S-1 1,245 Nu 9,855 Nu 14,715 49%
S-2 1,871 Nu 8,930 Nu 13,380 50%
S-3 1,658 Nu 8,160 Nu 12,160 49%
S-4 1,014 Nu 7,240 Nu 11,055 53%
S-5 1,833 Nu 6,700 Nu 10,050 50%
O-1 560 Nu 6,355 Nu 9,140 44%
O-2 486 Nu 5,970 Nu 8,385 40%
O-3 414 Nu 5,425 Nu 7,690 42%
O-4 499 Nu 5,040 Nu 7,055 40%
Total civil servants 18,737
 
GSC I 740 Nu 4,790 Nu 6,705 40%
GSC II 906 Nu 4,560 Nu 6,385 40%

Note: 20% housing allowance and other allowances for politicians, Constitutional post holders, Secretaries and Officials at EX/ES-1 level are not reflected here

He said that the same public opinion would help the cabinet in coming to a decision on it’s ongoing discussions on the pay issue.

However the separate Ministry of Finance proposal on the pay hike is still to be released and is being discussed. It is, therefore, not clear on which proposal or combination of proposals the hike will finally be based on.

As reported by Kuensel earlier, the Pay Commissions report recommends a 77 percent raise at the higher level and a 40 percent increase at the lowest level. (see box). The report also confirms recommendations of high raises and big allowances for secretaries, politicians and constitutional post holders in a top down approach.

The proposal also includes salary increase for the new local government. All Gups, Mangmis, Gedrungs and Tshogpas will be getting a 50 percent hike.

The report recommends scarcity allowances for teachers, doctors, aviation engineers audit and ACC staff in addition to the pay hike. Teachers teaching at the Community, Primary, Lower Secondary, Middle Secondary, Higher Secondary and all trainers with diploma including vocational institutes will get a 20 percent scarcity allowance.

Lecturers with post graduate or higher degrees teaching at a minimum of first degree level in an institution will get 35 percent scarcity allowance followed by 30 percent for those lecturers teaching medicine, math, IT, engineering, Physics, maths, econometrics and stats. There is a 25 percent for those teaching at a Diploma level in the above subjects.

Non Formal Education Instructors current salary of around Nu 4,500 will be increased to Nu 6,000. Class 10, 12 and graduate students employed on temporary basis will see an increase from Nu 3,000 to Nu 5,000. Elementary Service Personnel like sweepers, gardeners and caretakers will see an increase from Nu 3100 to Nu 5000. RAPA artists and performers will get a 45 percent flat rate increase.

Doctors, nurses and health technicians will get a 20 percent allowance. General doctors with MBBS and dentist with first degree a 30 percent allowance. And senior doctors with Master Degree and beyond, a 40 percent. Flight safety engineers get 25 percent with 20 percent for communications and navigation engineers.

All RAA and ACC officials involved with auditing and investigation and related professional activities get a 20 percent scarcity allowance.

The Pay Commission has also recommended the Performance Index System where performing civil servants get more annual performance increments with none for non performing ones.

The Commission has also recommended that the fixed annual 2 percent increment is not enough to match the cost of living and instead recommended the increment be linked to the Consumer Price Index of the National Stastical Bureau at 7 percent per annum or actual increase in CPI whichever is lower. This should be paid as a separate allowance and called the Cost of Living Adjustment.

The entire pay hike will cost the government 2.269 billion every year.

Meanwhile, the commission has advised that for corporations, the total hike should be 20 percent of the company’s revenue and not more then a single digit of high revenue companies.

The pay hike will be discussed on January 19 in the ongoing parliament session. The Pay commission recommended that the proposal be implemented from first July 2008.

By Tenzing Lamsang


 
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