RBE No.156/2017: Project Allowance

RBE No.156/2017: Project Allowance

No.E(G)2017/AL 12/2, dated 12.12.2017

Sub: Recommendation of Seventh Central Pay Commission – Project Allowance and Compensatory (Construction/Survey) Allowance – Revision of rates.

1. Consequent upon the decision taken by the Government on recommendations of the Seventh Central Pay Commission circulated vide Ministry of Finance (Department of Expenditure) Resolution No.11-1/2016-IC, dated 06.07.2017 and Office Memorandum No.6/1/2017-EII(B), dated 19.07.2017, the rates of Project Allowance and Compensatory (Construction/Survey) Allowance have been revised w.e.f. 01.07.2017.

2. Accordingly, the Ministry of Railways have considered the question of revision of Rates of Project Allowance and Compensatory (Construction/Survey) Allowance notified vide Board’s letter No.E(G)2008/AL 12-4, 14.11.2008 (RBE No.177/2008) (Corresponding to MOF’s O.M.No.6(3)/2008-E.II.B, dated 29.08.2008 and it has been decided with approval of the Board that the rates of Project Allowance and Compensatory (Construction/Survey) Allowance which have been covered in the Risk/Hardship Matrix shall be revised as follows:

(a) Project Allowance:

Notes:

(i) The term ‘Pay Level’ in the revised pay structure means the ‘Level’ in the Pay Matrix.
(ii) Railway employee, whose offices are in project area, but specifically for the work of project, and projects are covered by the Ministry of Finance’s O.M.No.20011/5/73-E.IV(B), dated 17.01.1975 on Project Allowance (circulated under Board’s letter No.E(G)73AL 12-27, dated 27.11.1978 and No.PC-IV/86/Imp/AL-15, dated 14.10.1986 (RBE No.194/1986), shall however be entitled to Project Allowance only at 50% of the above rates.

(b) Compensatory (Construction/Survey) Allowance:

3. Conditions:

(i) In respect of those employee who opt out to continue in their pre-revised pay structure corresponding Level in the Pay Matrix as indicated in Railway Services (Revised Pay) Rules, 2016 would determine the allowance under these orders.
(ii) These rates shall be increased by 25% whenever the Dearness Allowance payable on the revised pay structure goes up by 50%.
(iii) All other terms and conditions governing the grant of these allowances shall remain unchanged.
(iv) These orders shall take effect from 1st July, 2017

This issues with the concurrence of the Finance Directorate of the Ministry of Railways.

Download Railway Board Circular RBE No.156/2017