7th Pay Commission – No Annual Increment – “This will be treated as an efficiency bar,” it said in the report submitted to the government.
The 7th Pay Commission has recommended that Central government employees should not be allowed to earn annual increments if they fail to meet performance criterion. For this, it has sought upgradation of performance benchmark to “very good” from “good” level.
The 7th pay Commission has also recommended introduction of the Performance Related Pay (PRP) for all categories of central government employees.
The panel said, “There is a widespread perception that increments as well as upward movement in the hierarchy happen as a matter of course. The perception is that grant of Modified Assured Career Progression (MACP), although subject to the employee attaining the laid down threshold of performance, is taken for granted.”
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