The new pay matrix for civilian employees as per 7th CPC
The compensation matrix has two dimensions. It has a “horizontal range” in which each level corresponds to a “functional role in the hierarchy” and is numbered from 1 to 18 inclusively. Within each level, the “vertical range” indicates “pay progression.” They represent the annual financial growth rates of three percent for each level. The starting point of the matrix is the minimum wage determined in accordance with 15th ILC standards or the Aykroyd formula. This was previously described in Chapter 4.2.
An employee is hired at a particular level and advances within that level in accordance with the vertical range. Typically, the movement occurs annually, based on annual increments until the time of their next promotion.
When an employee earns a promotion or a financial upgrade that is not functional, he or she advances one level on the horizontal scale.
The pay matrix will assist in determining the probable path of pay advancement along the career ladder for every employee. Assuming a career lifetime of at least 30 years, it is evident that an employee who has no promotion opportunities in his cadre will be able to advance through at least three levels only through assured financial progression or MACP.
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