PSU union wants DA merged with basic salary

GOA: The National Confederation of Officers’ Association (NCOA) the nodal union for the approximately 3 lakh officers working in central PSUs has asked the government for a merger of their 50% Dearness Allowance with ‘Basic salary’, as is done for senior-level employees. This demand comes in wake of the government’s decision to revise the pay scales of PSU employees once in ten years instead of every five years as was done earlier.

The next revision in pay scale is due from January 1, ’07. “Our primary concern is security. The costs of living is increasing and with pay scales to be revised only every ten years, our demand is realistic,” said Ashok Rao, secretary general, NCOA on the sidelines of the Second All-India Congress of NCOA meet held in Goa.

If accepted and though it only marginally increases an employee’s basic salary, the merger will have a significant impact on other perks like home rent, transportation, allowance, etc.