8th Pay Commission: Railway employees’ body demands higher HRA, DA merger and retirement benefits

The Indian Railways Technical Supervisors’ Association (IRTSA) has recommended a separate Consumer Price Index (CPI) for central government employees to calculate Dearness Allowance (DA).

The association says the expenditure basket should include modern expenses such as internet bills, bottled drinking water and health insurance premiums. It has also demanded that 50% DA should be merged with basic pay, following the principle adopted by the 5th Pay Commission.

IRTSA has sought a four-tier House Rent Allowance (HRA) structure instead of the current three-category system. The proposed HRA rates are:
● HRA for A class cities (population 50 lakh and above)- 40%+DA
● HRA for B class cities (population 20 lakh to 50 lakh)- 30%+DA
● HRA for C class cities (population 5 lakh to 20 lakh)- 20%+DA
● HRA for D class cities (population below 5 lakh)- 10%+DA

The Railway employees’ body has recommended that the 7th Pay Commission formula for Night Duty Allowance (NDA), calculated as (Basic Pay + DA)/200, should continue for all employees.

IRTSA has proposed that Children's Education Allowance (CEA) should continue till a child completes post-graduation studies. The association has also sought an increase in reimbursement to Rs 10,000 per month or the actual expenditure.

The association has recommended five financial upgradations under the Modified Assured Career Progression Scheme (MACPS) during 30 years of service. According to the proposal, employees should receive financial upgradation after completing 6, 12, 18, 24 and 30 years of service.

IRTSA has also proposed that employees should be allowed to encash at least 50% of leave available in their account. It has also proposed increasing the leave encashment limit at retirement from 300 to 600 days.

For employees travelling outside headquarters on official work, the association wants reimbursement for accommodation, travel and lump sum expenses to be increased 3X (three times) the rates recommended by the 7th Pay Commission.

The Railway employees’ body has proposed restoration of the Old Pension Scheme (OPS) for employees who joined service from January 1, 2004.

It has also proposed revising gratuity at retirement to one-third of the basic pay plus DA for every completed six months of service.