Compensatory (City) Allowance: RBE No.11/1987 – B-2 class City Rates

No.PC-IV/86/Imp/AL-12, dated 27.01.1987

Sub: Recommendations of the Fourth Pay Commission – Decisions of the Government relating to grant of Compensatory (City) Allowance and House Rent Allowance to Railway employees – Grant of Compensatory (City) Allowance at the 14 special localities at B-2 class city rates.

1.     Please refer to Note below para 1(i) of this Ministry’s letter of even number dated 06.10.1986 (RBE No.183/1986) on the subject cited above. In the following 14 cities Compensatory (City) Allowance at the pre-revised rates applicable to B-2 class city is admissible to Railway employees under special orders issued in this Ministry’s letter No.PC-III/74/JCM/5, dated 11.10.1979.

1Asansol8Bhilai
2Durgapur9Jammu
3Gauhati10Alwaye
4Rourkela11Vijayawada
5Meerut12Bhavnagar
6Nasik13Ajmer
7Goa14Rajkot

The cities – Meerut, Nasik, Bhilai, Vijayawada and Rajkot have already qualified for classification as B-2 class cities for CCA on the basis of population figures of 1981 Census and have accordingly been classified in the orders issued in this Ministry’s letter No.E(P&A)II/83 HRA-4, dated 11.03.1983. While there is no need for continuance of the Special orders for CCA in respect of these cities, the question of grant of revised rates of CCA applicable to B-2 class cities in respect of other cities has been considered carefully. The President is pleased to decide that in the cities – Asansol, Durgapur, Gauhati, Rourkela, Goa, Jammu, Alwaye, Bhavnagar and Ajmer – the Compensatory (City) Allowance shall be paid to Railway employees belonging to Groups ‘B’, ‘C’ & ‘D’ at the following revised rates applicable to B-2 class cities.

Pay range (Basic pay)Amount of CCA (Rs. p.m.)
Below Rs.95020
Rs.950 and above but below Rs.150020
Rs.1500 and above but below Rs.200020
Rs.2000 and above20

2.     The grant of Compensatory (City) Allowance in terms of these orders shall be subject to the same terms and conditions as laid down in this Ministry’s letter No.PC/66/HRA 1/21, dated 26.07.1967 as amended/ modified from time to time.

3.     Pay for the purpose of these orders, will be ‘Pay’ as defined in Rule 2003 (21)(a)(i) FR 9(21)(a)(i) R-II. In the case of persons who continue to draw pay in the scales of pay which prevailed prior to 01.01.1986 it will include, in addition to pay in the pre-revised scales, dearness pay, dearness allowance, Additional Dearness Allowance, Ad-hoc DA and Interim Relief appropriate to that pay, admissible under orders in existence on 31.12.1985.

4.     These orders shall be effective from 01.10.1986. For the period from 01.01.1986 to 30.09.1986, the above allowance will be drawn at the existing rates on the notional pay in the pre-revised scale.

Download Railway Board Circular RBE No.11/1987 

Forward reference ⇒ RBE No.

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