Central Administrative Tribunal - Bangalore
N A Ganesh Aithal vs Department Of Posts on 15 October, 2025
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OA.No.170/00574/2023/CAT/BANGALORE
CENTRAL ADMINISTRATIVE TRIBUNAL
BANGALORE BENCH, BENGALURU
ORIGINAL APPLICATION NO.170/00574/2023
ORDER RESERVED ON 16.09.2025
DATE OF ORDER: 15.10.2025
CORAM:
HON'BLE MRS. JUSTICE S. SUJATHA, MEMBER (J)
HON'BLE DR. SANJIV KUMAR, MEMBER (A)
Sri N.A. Ganesh Aithal,
Age: 49 years,
S/o N. Ananthaiyaa Aithal,
Working as Staff Car Driver Grade II,
O/O The Executive Engineer (E)
Postal Electrical Division
Bangalore 560 004
Residing at: Flat No. 2145,
Block No. 15, Janapriya Township
Kadabagere village, Magadi Road,
Bangalore 562 130 .... Applicant
(By Shri P. Kamalesan, Advocate)
Vs.
1. Union of India
Represented by Secretary,
Department of Post,
Dak Bhavan, New Delhi 110 001
2. Chief Post Master General,
Karnataka Circle, Bangalore 560 001
3. The G.M,
Postal Accounts Finance,
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OA.No.170/00574/2023/CAT/BANGALORE
Karnataka Circle,
At Bangalore GPO Building,
Bangalore 560001
4. The Executive Engineer (E)
Postal Electrical Division,
2nd Floor, Basavanagudi HO Building,
Bangalore 560 004 ...Respondents
(By Shri K. Gajendra Vasu, Senior Panel Counsel)
ORDER
PER: JUSTICE S. SUJATHA, MEMBER (J)
This application is filed by the applicant under Section 19 of the Administrative Tribunals Act, 1985 seeking the following reliefs:
"a. Quash the O/O GM (Postal accounts & Finance)Karnataka Circle, Bangalore 560 001 letter No. 41/NAGA/Pension IV dated: 28.05.2021 Annexure- A5 issued by Respondent No. 3.
b. Quash o/o Executive Engineer (E) Postal Electrical Division Bangalore 560 004, Revised pay fixation Memo vide letter No. 63 (5) EEE/PeD/BGL/2023-24/1187 dated: 08-23/11-9-2023 vide Annexure-A9 issued by respondent No. 4. c. Consequently direct the respondents to implement the pay fixation Memo vide O/O Executive Engineer (E), Postal Electrical Division, Basavanagudi, Bangalore- 560004 vide letter No. 9(4)/EEE/PED/BGL/2020-21/291 dated: 10/15-6-2020 vide Annexure-A4 issued by Respondent No.4.
d. Grant any other relief as deemed fit into the facts and circumstances of the case, in the interest of justice and equity."
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2. Briefly stated the facts as narrated by the applicant are that he was appointed as Staff Car/Jeep Driver (Group 'C') with effect from 08.09.1999, with Date of Next Increment 01.09.2000 unless otherwise altered, vide office order dated 14.09.1999. The applicant was granted MACP I in Grade Pay of Rs. 2000/- with effect from 08.09.2009 vide OM dated 29.10.2010. The applicant was granted regular promotion as Staff Car Driver Grade II from 22.01.2019 in pay Level 4 of VIIth CPC, corresponding Grade Pay of Rs. 2400/- in VIth CPC. Second MACP was granted to him from 08.09.2019 and his pay was fixed at Level 5 in VIIth CPC vide OM dated 09.06.2020. Pay fixation memo was issued vide letter dated 10/15.06.2020 fixing the pay at Rs.38,100/- with effect from 08.09.2019 (pay fixation on financial upgradation on 2nd MACP). Subsequently, service verification recommendation dated 28.05.2021 was issued to re-fix/revise the pay fixation stating that on promotion the official is not eligible for pay fixation as per MACP Rule of 2009, pay fixation was directed to be revised by the Accounts Officer (Pension) forwarding a copy to the applicant for information, pursuant to which the applicant submitted his representation dated 30.06.2021. In response, it was communicated that the pay fixation given by the office as per the communication kavya shree k CAT, kavya Bangalore shree k 2025.10.17 14:15:21 +05'30' 4 OA.No.170/00574/2023/CAT/BANGALORE dated 28.05.2021 holds good. The applicant again submitted a representation dated 15.12.2022. Revised pay fixation memo dated 11.09.2023 was issued fixing the pay of the applicant as on 08.09.2019 to 30.06.2020 at Rs. 35,900/- and as on Date of Next Increment i.e., 01.07.2020 at Rs. 38,100/-. Being aggrieved, the applicant has preferred this OA.
3. Learned counsel Shri P. Kamalesan representing the applicant submitted that the applicant was granted MACP I with Grade Pay of Rs. 2000/- and granted promotion with Grade Pay of Rs. 2400/-. Referring to paras 4 (i), (ii), (iii), 6 and 7 of Annexure-I to OM dated 22.10.2019 consolidated guidelines regarding MACP Scheme, learned counsel submitted that benefit of pay fixation available at the time of regular promotion shall also be allowed at the time of financial upgradation under the scheme. It was not in the same Grade Pay the applicant was promoted, hence, on regular promotion, he is entitled for the pay fixation which is one regular increment and one additional increment under FR 22 (I)(a)(1) since applicant opted for pay fixation from the date of accrual of next increment. Thus, it was argued that pay fixation memo dated 10/15.06.2020 fixing the pay as on 08.09.2019 at Rs. 38,100/- is kavya shree k CAT, kavya Bangalore shree k 2025.10.17 14:15:21 +05'30' 5 OA.No.170/00574/2023/CAT/BANGALORE correct. As such, the service verification recommendation dated 28.05.2021 to revise the pay fixation is contrary to the MACP Scheme and DOPT instructions/guidelines. Re-fixation/revision of pay unilaterally without providing an opportunity to the applicant is against the principles of natural justice. Accordingly, seeks for the reliefs claimed.
4. Learned counsel Shri K. Gajendra Vasu representing the respondents submitted that the applicant was appointed as a Staff Car/Jeep Driver with effect from 08.09.1999. His initial pay was fixed at Rs. 3050/- in the scale of Rs.3050-75-3950-80-4590/- which corresponds to Grade Pay of Rs.1900/- in VIth CPC and Level 2 in VIIth CPC. After 10 years of service, the applicant was granted MACP I on 08.09.2009 and his Grade Pay was upgraded from Rs. 1900/- to Rs. 2000/- in the Pay Band of Rs. 5200- 20200/- which corresponds to Level 3 in VIIth CPC. The applicant was further promoted to Staff Car Driver Grade II on 22.01.2019. The applicant opted pay fixation from the Date of Next Increment. His pay was initially fixed at Rs. 34,300/- with date of increment on 01.07.2019 at Rs. 36,400/-. The applicant was granted MACP II after completion of 20 years on 08.09.2019. His pay was initially kavya shree k CAT, kavya Bangalore shree k 2025.10.17 14:15:21 +05'30' 6 OA.No.170/00574/2023/CAT/BANGALORE fixed at Rs. 38,100/- with Date of Next Increment on 01.07.2020. As the applicant completed 18 years of service, his Service Book was sent to service verification. The office of General Manager, Postal Accounts and Finance, Karnataka Circle, Bangalore verified his Service Register and recommended for revised pay fixation. As the official got MACP I on 08.09.2009 and was promoted to the post of Staff Car Driver on 22.01.2019, on promotion the official is not eligible for pay fixation as per MACP Rule of 2009. The representation submitted by the applicant was forwarded to office of General Manager, Postal Accounts and Finance, Karnataka Circle, Bangalore for clarification. Clarification was issued by the Pension Section referring to para 4 in Annexure of MACP guidelines dated 19.05.2009 and 22.10.2019 clarifying that in 2009 guidelines it is clearly explained with illustration, hence, the pay regulation given by the office holds good. Thus, justifying the revised fixation of pay, learned counsel seeks for dismissal of the OA.
5. We have carefully considered the submissions of the learned counsel appearing for the parties and perused the material on record.
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6. The point that arise for our consideration is, whether the applicant is entitled for pay fixation with one regular increment on regular promotion and one additional increment under FR 22 (I)(A)(1) having opted for pay fixation from the date of accrual of next increment subsequent to MACP I benefit granted on 08.09.2009 with pay fixation?
7. The undisputed facts are that the applicant was appointed as a Staff Car/Jeep Driver at Postal Civil Wing, Bengaluru on 08.09.1999. His initial pay was fixed at Rs. 3050/- in the scale of Rs. 3050-75-3950-80-4590/- (S-5), which corresponds to Grade Pay of Rs. 1900/- in VIth CPC and Level 2 in VIIth CPC. After 10 years of service, the applicant was granted MACP I on 08.09.2009 vide order dated 29.10.2010 and his Grade Pay was upgraded from Rs. 1900/- to Rs. 2000/- in the Pay Band of Rs. 5200-20200/-, which corresponds to Level 3 in VIIth CPC. The applicant was further promoted to Staff Car Driver Grade II on 22.01.2019 vide order dated 22.01.2019 and he opted pay fixation from the Date of Next Increment. The applicant's pay was initially fixed at Rs. 34,300/- in Level 4 - index 11, which corresponds to Grade Pay Rs. 2400/- in VIth CPC with Date of Next Increment on 01.07.2019 kavya shree k CAT, kavya Bangalore shree k 2025.10.17 14:15:21 +05'30' 8 OA.No.170/00574/2023/CAT/BANGALORE at Rs. 36,400/- in Level 4 - index 13. Thereafter, the applicant was granted MACP II after completion of 20 years of service on 08.09.2019 vide order dated 09.06.2020. The applicant's pay was fixed at Rs. 38,100/- in Level 5 - index 10, which corresponds to Grade Pay of Rs. 2800/- in VIth CPC with Date of Next Increment on 01.07.2020 at Rs. 39,200/- in Level 5 - index 11 vide pay fixation memo dated 10/15.06.2020 (Annexure-A4).
8. On verification of the Service Book of the applicant, office of General Manager, Postal Accounts and Finance, Karnataka Circle, Bangalore recommended for revised pay fixation as per the service verification recommendation dated 28.05.2021 (Annexure-A5) to refix the pay of the applicant, which has been duly considered and a revised pay fixation memo has been issued by the Respondent No. 4 after considering the representations submitted by the applicant in this regard. The main reason assigned for refixation of pay is that the applicant got MACP I on 08.09.2009 and was promoted to the post of Staff Car Driver Grade II on 22.01.2019. On promotion, the official is not eligible for pay fixation as per MACP Rule of 2009. In this regard, it is beneficial to kavya shree k CAT, kavya Bangalore shree k 2025.10.17 14:15:21 +05'30' 9 OA.No.170/00574/2023/CAT/BANGALORE refer to the MACP Scheme of 2009. Para 4 of Annexure-I of OM dated 19.05.2009 (MACP Scheme, 2009) reads thus:
"4. Benefit of pay fixation available at the time of regular promotion shall also be allowed at the time of financial upgradation under the Scheme. Therefore, the pay shall be raised by 3% of the total pay in the pay band and the grade pay drawn before such upgradation. There shall, however, be no further fixation of pay at the time of regular promotion if it is in the same grade pay as granted under MACPS. However, at the time of actual promotion if it happens to be in a post carrying higher grade pay than what is available under MACPS, no pay fixation would be available and only difference of grade pay would be made available. To illustrate, in case a Government Servant joins as a direct recruit in the grade pay of Rs. 1900 in PB-1 and he gets no promotion till completion of 10 years of service, he will be granted financial upgradation under MACPS in the next higher grade pay of Rs. 2000 and his pay will be fixed by granting him one increment plus the difference of grade pay (i.e. Rs. 100). After availing financial upgradation under MACPS, if the Government servant gets his regular promotion in the hierarchy of his cadre, which is to the grade of Rs. 2400, on regular promotion, he will only be granted the difference of grade pay between Rs. 2000 and Rs. 2400. No additional increment will be granted at this stage."
9. The applicant's case squarely falls under the illustration provided in para 4, supra. The applicant as a direct recruitee joined the government service (Staff Car/Jeep Driver) in the Grade Pay of Rs. 1900/- in Pay Band-1 and gets no promotion till completion of 10 years of service. As such, financial upgradation (MACP-I) under MACP Scheme was granted in the next higher Grade Pay of Rs.
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OA.No.170/00574/2023/CAT/BANGALORE 2000/- and his pay was fixed by granting him one increment. After availing the financial upgradation under the MACPs, the applicant gets his regular promotion in the hierarchy of his cadre on 22.01.2019 as Staff Car Driver Grade II which is to the Grade Pay of Rs. 2400/-. In terms of this para, the government servant will only be granted the difference of Grade Pay between Rs. 2000/- and Rs. 2400/- (as per VITH CPC), no additional increment will be granted at this stage. As the applicant was promoted to Staff Car Driver Grade II after the implementation of the VIIth CPC on 22.01.2019, the CCS (Revised Pay) Rules, 2008 would not be applicable. On the other hand, after the implementation of the VIIth CPC, pay fixation is governed by the CCS (Revised Pay) Rules, 2016. Hence, the difference of Grade Pay does not arise when the fixation is made under VIIth CPC.
10. In terms of Annexure-I to OM dated 22.10.2019 (issued after VIIth CPC coming into force), there shall be three financial upgradations under the MACPS, counted from the direct entry grade on completion of 10,20 and 30 years of services, respectively, or 10 years of continuous service in the same Level in Pay Matrix, whichever is earlier (Para 1). The relevant paras of the said kavya shree k CAT, kavya Bangalore shree k 2025.10.17 14:15:21 +05'30' 11 OA.No.170/00574/2023/CAT/BANGALORE Annexure-I to the OM dated 22.10.2019 are extracted hereunder for ready reference:
"2. The MACPS envisages merely placement in the immediate next higher level in the hierarchy of the Pay Matrix as given in PART A of Schedule of the CCS (Revised Pay) Rules, 2016. Thus, the level at the time of financial upgradation under the MACPS can, in certain cases where regular promotion is not between two successive Pay Levels, be lower than what is available at the time of regular promotion. In such cases, the higher level attached to the next promotion post in the hierarchy of the concerned cadre/organization will be given only at the time of regular promotion.
3......
4. (i) Benefit of pay fixation available at the time of regular promotion shall also be allowed at the time of financial upgradation under the Scheme [as prescribed in Para 13 of CCS(Revised Pay Rules), 2016].
(ii) There shall, however, be no further fixation of pay at the time of regular promotion if it is in the same pay level as granted under MACPS.
(iii) However, at the time of actual promotion if it happens to be in a post carrying higher pay level than what is available under MACPS, then he shall be placed in the level to. which he is promoted at a cell in the promoted level equal to the figure being drawn by him on account of MACP. If no such cell is available in the level to which promoted, he shall be placed at the next higher cell in that level. The employee may have an option to get this fixation done either on the date of promotion or w.e.f. the date of next increment as per the option to be exercised by him.
5.........
6. Fixation of pay on grant of financial upgradation under MACPS on or after 01.0.1.2016 shall be made as per Rule 13 of kavya shree k CAT, kavya Bangalore shree k 2025.10.17 14:15:21 +05'30' 12 OA.No.170/00574/2023/CAT/BANGALORE CCS (RP) Rules, 2016 issued vide Department of Expenditure notification dated 25th July, 2016 and in terms of provisions contained in DoP&T OM No. 13/02/2017-Estt.(Pay-I) dated 27.07.20 17.
6.1........
7. With regard to fixation of his pay on grant of promotion/financial upgradation under MACP Scheme, a Government servant has an option under FR22 (1) (a) (1) to get his pay fixed in the higher post/ Pay Level either from the date of his promotion/upgradation or from the date of his next increment viz. 1st July or 1st January, subject to provisions in the Scheme."
11. Rule 13 of CCS (Revised Pay) Rules, 2016 reads thus:
"13. Fixation of pay on promotion on or after 1st day of January, 2016.- The fixation of pay in case of promotion from one Level to another in the revised pay structure shall be made in the following manner, namely:-
(i) One increment shall be given in the Level from which the employee is promoted and he shall be placed at a Cell equal to the figure so arrived at in the Level of the post to which promoted and if no such Cell is available in the Level to which promoted, he shall be placed at the next higher Cell in that Level."
It is true that benefit of pay fixation available at the time of regular promotion shall also be allowed at the time of financial upgradation under the Scheme as per 4 (i), supra, but subject to (ii) & (iii) of Clause 4. Clause 4 (i) cannot be read in isolation. On the conjoint kavya shree k CAT, kavya Bangalore shree k 2025.10.17 14:15:21 +05'30' 13 OA.No.170/00574/2023/CAT/BANGALORE reading of Clause 4 as a whole, Clause 4 (iii) gets attracted in the present case.
12. Further, a Circular dated 06.09.2021 has been issued by the Department of Posts, Ministry of Communications, Government of India, providing clarification on MACP Scheme, wherein it is stated as under:
"2. The matter has been examined and it is clarified that if a Central Govt. employee who is promoted to either Postman/Mail Guard or Postal/Sorting Assistant or Inspector Posts cadre (i.e. to the post which carry higher Grade Pay / pay Level in Pay Matrix than what is available under MACPS and have the element of direct recruitment) through Limited Department Competitive Examination (LDCE) immediate after availing the benefits of 1st financial upgradation under MACP Scheme (not TBOP/BCR Scheme), the benefit of 2nd financial upgradation under MACP Scheme (in the next Grade Pay w.r.t. Grade Pay / pay Level held by Government servant) shall be admissible to him/her on completion of 20 years service from direct entry grade in terms of para-28(B) of OM dated 19.05.2009 & para-27(B) of OM dated 22.10.2009, if otherwise, admissible and the employee fulfils the other eligibility conditions.
In such cases, fixation on such regular promotion immediate after availing the benefit of financial upgradation under MACP, shall be subject to the provisions of para 4 of the OM on MACP Scheme as this Directorate OM No. 20-27/2015- SPN-II dated 20.08.2018 stands withdrawn vide OM No. 20- 27/2025-SPN-II dated 29.06.2021. As such, no pay fixation benefit with increment would be available and only difference of grade pay would be available or shall be placed in the level to which he/she is promoted at a cell in the promoted level equal to the figure being drawn by him/her on account of kavya shree k CAT, kavya Bangalore shree k 2025.10.17 14:15:21 +05'30' 14 OA.No.170/00574/2023/CAT/BANGALORE MACP. If no such cell is available in the level to which promoted, he/she shall be placed at the next higher cell in that level."
(emphasis supplied) It is thus clear that, no pay fixation benefit with increment would be available and only difference of Grade Pay would be available (corresponds to VIth CPC) or shall be placed in the level to which he/she is promoted at a cell in the promoted level equal to the figure being drawn by him/her (corresponds to VIIth CPC) on account of MACP as per this Circular dated 06.09.2021. The word 'or' plays a significant role. It is disjunctive, not conjunctive. Thus, there are two limbs, viz., 1) Only difference of Grade Pay would be available or, 2) Shall be placed in the level to which he/she is promoted at a cell in the promoted level equal to the figure being drawn by him/her on account of MACP. These two limbs cannot be read in conjunction since the phrase used is 'or', not 'and'. Adding the Grade Pay difference of Rs. 400/- under the CCS (Revised Pay) Rules, 2008 to the VIIth CPC Pay matrix level is thus illogical.
13. Learned counsel for the applicant vehemently argued that benefit of pay fixation available at the time of regular promotion shall also be allowed at the time of financial upgradation under the kavya shree k CAT, kavya Bangalore shree k 2025.10.17 14:15:21 +05'30' 15 OA.No.170/00574/2023/CAT/BANGALORE scheme. No further fixation of pay at the time of regular promotion would be attracted if it is in the same Pay Level as granted under MACPs, but as the applicant's promotional post was carrying higher Pay Level than what is available under MACPs, the applicant is entitled to further fixation of pay at the time of regular promotion either on the date of promotion or with effect from the Date of Next Increment as per the option to be exercised by him. In a nutshell, the argument of the learned counsel for the applicant is that, on regular promotion, the applicant is entitled for pay fixation which is one regular increment and one additional increment under FR 22(I)(a)(1) since he opted for pay fixation from the date of accrual of next increment but the same cannot be accepted for the reasons stated herein.
14. In this context, it is beneficial to refer to the DoPT Note dated 03.05.2024. The relevant paragraphs are extracted hereunder for ready reference:
"2. The matter has been examined in light of the provisions of the ACP/MACP Scheme and the instructions issued thereunder. The following observations are conveyed in this regard:
i. MACP Scheme which became operational vide this Department's OM dated 01.09.2008 provides that three kavya shree k CAT, kavya Bangalore shree k 2025.10.17 14:15:21 +05'30' 16 OA.No.170/00574/2023/CAT/BANGALORE financial upgradations are to be granted on completion of 10, 20 and 30 years of service from the date of entry or whenever a person spends 10 years in the same grade pay/ level, whichever is earlier. It may also be added here that every financial upgradation including non- functional grades granted is to be treated as an offset against one financial upgradation under the scheme. ii. Para 4 of Annexure I of the OM dated 01.09.2008 issued by this Department provides the following: "Benefit of pay fixation available at the time of regular promotion shall also be allowed at the time of financial upgradation under the Scheme. Therefore, the pay shall be raised by 3% of the total pay in the pay band and the grade pay drawn before such upgradation. There shall, however, be no further fixation of pay at the time of regular promotion if it is in the same grade pay as granted under MACPS. However, at the time of actual promotion if it happens to be in a post carrying higher grade pay than what is available under MACPS, no pay fixation would be available and only difference of grade pay would be made available...."
iii. Reference is also invited to DoPT's OM No. 35034/3/2008-Estt.D (Vol.Il) dated 04.07.2017 which inter alia provides that since the concept of Grade Pay has been substituted with the Pay Level in the Pay Matrix on the recommendations of the 7th CPC, if an employee gets his promotion/ NFS benefit after the grant of MACP benefit then it is appropriate to place him in the next available cell in the Pay Level to which he has been promoted/granted NFS without the fixation benefit which shall be viewed as `Placement' and not `Fixation' as provided in the OM ibid. Further, the D/o Expenditure's kavya shree k CAT, kavya Bangalore shree k 2025.10.17 14:15:21 +05'30' 17 OA.No.170/00574/2023/CAT/BANGALORE OM dated 31.07.2018 and 28.11.2019 issued with reference to `next increment' will not apply where the placement has been done in light of this Department's OM dated 04.07.2017.
It may be noted that the spirit of the MACP Scheme is to provide relief to the stagnated employees who could not get promotion even after being eligible during the prescribed period. The increment granted under promotion and MACP is covered under the same Rule viz. FR 22 (1) (a)(i). Therefore, grant of increment benefit twice i.e. on MACP and promotion/NFSG would place the seniors at a disadvantageous position and result in pay anomaly."
(emphasis supplied) A Reading of this Note makes it clear that since the concept of Grade Pay has been substituted with the Pay Level in the Pay Matrix on the recommendations of the VIIth CPC, if the employee gets his promotion/NFS benefits after the grant of MACP benefit, then it is appropriate to place him in the next available cell in the Pay Level to which he has been granted promotion/NFS without the fixation benefit which shall be viewed as 'Placement' and not 'Fixation'.
15. After the implementation of the VIIth CPC, the applicant's pay on promotion is fixed solely based on the pay fixation kavya shree k CAT, kavya Bangalore shree k 2025.10.17 14:15:21 +05'30' 18 OA.No.170/00574/2023/CAT/BANGALORE methodology under the CCS (Revised Pay) Rules, 2016 and the consolidated guidelines on MACP scheme as per DoPT OM dated 22.10.2019. At the cost of repetition, it is stated that the applicant got promoted as Staff Car Driver Grade II with effect from 22.01.2019. Therefore, the grant of the Grade Pay difference of Rs. 400/- does not arise and he has to be placed in the level to which he is promoted at a cell in the promoted level equal to the figure being drawn by him on account of MACP since the applicant's promotional post was carrying higher Pay Level than what is available under MACP Scheme. Accordingly, on the date of his promotion on 22.01.2019, no fixation is admissible.
16. The concept of Grade Pay will not apply where the placement has been done in the light of DoPT's OMs referred to supra. It is made crystal clear that the increment granted under promotion and MACP is covered under the same Rule viz., FR 22 (I)(a)(1). Therefore, grant of increment benefit twice on MACP and promotion would place the seniors at a disadvantageous position and result in pay anomaly. The claim of the applicant is answered negatively by the DoPT Note dated 03.05.2024. Further, Circular dated 07.11.2024 issued by the Department of Posts regarding kavya shree k CAT, kavya Bangalore shree k 2025.10.17 14:15:21 +05'30' 19 OA.No.170/00574/2023/CAT/BANGALORE clarification on change of Date of Next Increment in terms of Rule 10 of CCS (Revised Pay) Rules, 2016 reiterates the same. The relevant clarification para is reproduced below:
"3. Further, the DoP&T vide ID Note No.35034/08/2024-P.P. D(MACP) dated 14.10.2024 has clarified that the increment granted on promotion and MACP is covered under the same Rule, viz., FR 22(I)(a)(1). Therefore, grant of increment benefit twice, i.e., on grant of MACP and promotion/NFSG, both would place the seniors at a disadvantageous position and create pay anomaly. It is mentioned that D/o Expenditure's OM dated 31.07.2018 and 28.11.2019 issued with reference to 'next increment' will not apply where the 'placement' has been done in light of DoP&T OM dated 04.07.2017."
(emphasis supplied) Illustration No. 3 (ii) reads thus:
3 Assistant 08.12.2022 If, opted for Regular promotion
(ii) Accounts pay fixation after availing 1st Officer w.e.f. DNI MACP. Pay fixation (Level-8) i.e. without increment 01.01.2023 (simple placement) in terms of in terms of para 4 para 4 (iii) (iii) ibid. Thus, DNI of MACPS. shall remain the same (1st January) as per Rule-10 of CCS (RP) Rules, 2016.
The next annual increment shall be admissible on 01.01.2024.
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OA.No.170/00574/2023/CAT/BANGALORE This clarification of change of Date of Next Increment (DNI) in terms of Rule 10 of CCS (Revised Pay) Rules, 2016 has been given pursuant to a reference received seeking clarification on the following issue:
"Whether or not the Date of Next Increment (DNI) will be changed in terms of Rule 10 of CCS (RP) Rules, 2016 in respect of those employees who are promoted on regular basis on the posts carrying higher pay scales/granted non functional scale in the higher pay level subsequent to availing financial upgradation under MACP scheme in lieu of that regular promotion/non-functional scale."
It further clarifies and throws light on the subject dispute. In terms of this clarification, on regular promotion after availing 1st MACP, pay fixation has to be made without increment which is nothing but simple placement. Thus, the Date of Next Increment shall remain the same i.e., 01.07.2020 as per Rule 10 of CCS RP Rules, 2016. Hence, the claim of the applicant that he is entitled for pay fixation twice i.e., with one regular increment on regular promotion and one additional increment under FR 22 (I)(a)(1) from the date of accrual of next increment as well as difference of Grade Pay of Rs. 400/- is not in conformity of the pay fixation Rule of 2016, MACP Scheme and the clarifications issued thereafter referred to supra.
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17. The details of pay fixation of the applicant are as under:
(i) Pay Fixation on Promotion (Initial Fixation) i.e. 22-01-
2019)
1 Level in the revised pay Pay 5200-20200
structure : Level 3 Band
2 Basic Pay in the revised Grade 1800 1900 2000 2400 2800
pay structure : ₹ 34000 Pay
(01-07-2018 to 21-01-
2019 before promotion)
3 Granted promotion in Levels 1 2 3 4 5
Level 4 (Staff Car Driver
Cell
Gr.II)
1 18000 19900 21700 25500 29200
4 Pay in Level 3: 2 18500 20500 22400 26300 30100
₹34000 3 19100 21100 23100 27100 3 1000
4 19700 21700 23800 27900 31900
5 20300 22400 24500 28700 32900
5 Pay in the upgraded 6 20900 23100 25200 29600 33900
Level i.e. Level 4 (Initial 21500 23800 26000 30500 34900
7
Fixation): ₹34300
(eitherequal
(either equaltotoorornext 8 22100 24500 26800 31400 35900
higher to ₹34000 in Level
4)
9 22800 25200 27600 32300 37000
10 23500 26000 28400 33300 38100
11 24200 26800 29300 34300 39200
12 24900 27600 30200 35300 40400
13 25600 28400 31100 36400 41600
14 26400 29300 32000 37500 42800
15 27200 30200 33000 38600 44100
16 28000 31100 34000 39800 45400
17 28800 32000 35000 41000 46800
Pay Fixation Explanation:
Prior to the promotion to Staff Car Driver Grade-II effective from 01-07-2018 to 21-01-2019, the employee was drawing a basic pay of Rs. 34,000/- in Level 3, Cell 16. As per the kavya shree k CAT, kavya Bangalore shree k 2025.10.17 14:15:21 +05'30' 22 OA.No.170/00574/2023/CAT/BANGALORE provisions of RR of Staff Car Driver/MACP, he became eligible for placement in the next higher pay level, i.e., Level 4.
Placement in Higher Level (Initial Fixation): the applicant was placed in the promoted pay level (Level 4) at Cell 11, i.e., Rs.34,300/-. This is the equal or next higher cell to Rs.34,000/- in Level 4 up to Date of Next Increment i.e. 30.06.2019.
(ii) Pay Fixation on Promotion (Date of Next Increment) i.e. 01-07-2019) As per Rule 13 of Central Civil Services (Revised Pay) Rules, 2016, 1 Level in the revised pay Pay 5200-20200 structure : Level 3 Band 2 Basic Pay in the revised Grade 1800 1900 2000 2400 2800 pay structure : ₹ 34000 Pay (01-07-2018 to 21-01- 2019 before promotion) 3 Granted promotion in Levels 1 2 3 4 5 Level 4 (Staff Car Driver Cell Gr.II) 1 18000 19900 21700 25500 29200 4 Pay after giving Annual 2 18500 20500 22400 26300 30100 Increment in Level 3: 3 19100 21100 23100 27100 3 1000 ₹35000 4 19700 21700 23800 27900 31900 5 20300 22400 24500 28700 32900 5 Pay in the upgraded 6 20900 23100 25200 29600 33900 Level i.e. Level 4 21500 23800 26000 30500 34900 7 (Placement): ₹35300 (eitherequal (either equaltotoorornext 8 22100 24500 26800 31400 35900 higher to ₹35000 in Level
4) 9 22800 25200 27600 32300 37000 10 23500 26000 28400 33300 38100 kavya shree k CAT, kavya Bangalore shree k 2025.10.17 14:15:21 +05'30' 23 OA.No.170/00574/2023/CAT/BANGALORE 11 24200 26800 29300 34300 39200 12 24900 27600 30200 35300 40400 13 25600 28400 31100 36400 41600 14 26400 29300 32000 37500 42800 15 27200 30200 33000 38600 44100 16 28000 31100 34000 39800 45400 17 28800 32000 35000 41000 46800 Pay Fixation Explanation:
Prior to the promotion to Staff Car Driver Grade-II effective from 01-07-2018 to 21-01-2019, the employee was drawing a basic pay of Rs. 34,000/- in Level 3, Cell 16. As per the provisions of RR of Staff Car Driver/MACP, he became eligible for placement in the next higher pay level, i.e., Level 4.
Annual Increment: An annual increment was granted in the same level (Level 3) effective from 01-07-2019, increasing the pay from Rs. 34,000/- to Rs. 35,000/- (Level 3, Cell 17).
Placement in Higher Level: As per the MACP guidelines and subsequent clarifications, the applicant was placed in the promoted pay level (Level 4) at Cell 12, i.e., Rs.35,300/-. This is the equal or next higher cell to Rs.35,000/- in Level 4.
kavya shree k
CAT,
kavya Bangalore
shree k 2025.10.17
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OA.No.170/00574/2023/CAT/BANGALORE
(iii) Pay Fixation on MACP-II on 08-09-2019 (Initial Fixation) 1 Level in the revised pay Pay 5200-20200 structure : Level 4 Band 2 Basic Pay in the revised Grade 1800 1900 2000 2400 2800 pay structure : ₹ 35300 Pay (01-07-2019 to 07-08-
2020 before MACP II) 3 Granted financial Levels 1 2 3 4 5 upgradation under Cell MACPS in Level 5 1 18000 19900 21700 25500 29200 4 Pay in Level 4: ₹35300 2 18500 20500 22400 26300 30100 3 19100 21100 23100 27100 3 1000 4 19700 21700 23800 27900 31900 5 20300 22400 24500 28700 32900 5 Pay in the upgraded 6 20900 23100 25200 29600 33900 Level i.e. Level 5: 21500 23800 26000 30500 34900 7 ₹35900 (either equal to or next higher to ₹35300 in 8 22100 24500 26800 31400 35900 Level 5) 9 22800 25200 27600 32300 37000 10 23500 26000 28400 33300 38100 11 24200 26800 29300 34300 39200 12 24900 27600 30200 35300 40400 13 25600 28400 31100 36400 41600 14 26400 29300 32000 37500 42800 15 27200 30200 33000 38600 44100 16 28000 31100 34000 39800 45400 17 28800 32000 35000 41000 46800 Explanation of Pay Fixation:
Prior to the grant of MACP-II on 07-09-2019 (01-07-2019 to 07- 09-2019), the employee was drawing a basic pay of Rs. 35,300/- in Level 4, Cell 12. As per the provisions of MACP-II, he became eligible for placement in the next higher pay level, i.e., Level 5 w.e.f. 08.09.2019.
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CAT,
kavya Bangalore
shree k 2025.10.17
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OA.No.170/00574/2023/CAT/BANGALORE Placement in Higher Level (Initial Fixation): the applicant was placed in the promoted pay level (Level 5) at Cell 8, i.e., Rs.35,900/-. This is the equal or next higher cell to Rs.35,300/- in Level 5 up to Date of Next Increment i.e. 30.06.2020.
(iv) Pay Fixation on MACP-II on 01-07-2020 (DNI Option) As per Rule 13 of Central Civil Services (Revised Pay) Rules, 2016,
(i) One increment shall be given in the Level from which the employee is promoted and he shall be placed at a Cell equal to the figure so arrived at in the Level of the post to which promoted and if no such Cell is available in the Level to which promoted, he shall be placed at the next higher Cell in that Level.
1 Level in the revised pay Pay 5200-20200 structure : Level 4 Band 2 Basic Pay in the revised Grade 1800 1900 2000 2400 2800 pay structure : ₹ 35300 Pay (01-07-2019 to 07-08- 2020 before MACP II) 3 Granted financial Levels 1 2 3 4 5 upgradation under Cell MACPS in Level 5 1 18000 19900 21700 25500 29200 4 Pay after giving one 2 18500 20500 22400 26300 30100 Regular increment and 3 19100 21100 23100 27100 3 1000 Additional Increment 4 19700 21700 23800 27900 31900 In Level 4: ₹37500 5 20300 22400 24500 28700 32900 5 Pay in the upgraded 6 20900 23100 25200 29600 33900 Level i.e. Level 5:
₹38100 (either equal to or 7 21500 23800 26000 30500 34900 kavya shree k CAT, kavya Bangalore shree k 2025.10.17 14:15:21 +05'30' 26 OA.No.170/00574/2023/CAT/BANGALORE next higher to ₹37500 in 8 22100 24500 26800 31400 35900 Level 5) 9 22800 25200 27600 32300 37000 10 23500 26000 28400 33300 38100 11 24200 26800 29300 34300 39200 12 24900 27600 30200 35300 40400 13 25600 28400 31100 36400 41600 14 26400 29300 32000 37500 42800 15 27200 30200 33000 38600 44100 16 28000 31100 34000 39800 45400 17 28800 32000 35000 41000 46800 Explanation of Pay Fixation:
Prior to the grant of MACP-II on 07-09-2019 (01-07-2019 to 07- 09-2019), the employee was drawing a basic pay of Rs. 35,300/- in Level 4, Cell 12. As per the provisions of MACP-II, he became eligible for placement in the next higher pay level, i.e., Level 5 w.e.f. 08.09.2019.
In accordance with Rule 13 of CCS (RP) Rules, the fixation was carried out as follows on 01-07-2020 Date of Next Increment as per official option:
Annual Increment - The employee was granted the annual increment in the same level (Level 4) effective from 01-07-2019, which increased the pay from Rs. 35,300/- to Rs.36,400/- (Level 4, Cell 13).
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CAT,
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OA.No.170/00574/2023/CAT/BANGALORE MACP Increment - An additional increment under MACP was applied in the same level, further increasing the pay to Rs.37,500/- (Level 4, Cell 14).
Fitment into Higher Level - The resulting pay of Rs.37,500/- was then placed in Level 5 at the equal or next higher cell, which is Rs. 38,100/- (Level 5, Cell 10).
Hence, the employee's pay was fixed at Rs. 38,100/- in Level 5, Cell 10 with effect from 01-07-2020.
18. It is settled that pay fixation can be revised having regard to the error(s) discovered subsequent thereupon as a corrective action. A copy of the service verification order dated 28.05.2021 (Annexure-A5) (recommending the Senior Accounts Officer, Postal Electrical Division, Bangalore to refix the pay) was forwarded to the applicant. Pursuant to which, the applicant has submitted representation dated 30.06.2021 which has been considered and reply has been issued in terms of the communication dated 13.07.2021 reiterating that "As per para 4 (iii) in Annexure of MACP guidelines dated 19.05.2009 and 22.10.2019, pay of the official is to be placed in equal or next stage only as promotion is kavya shree k CAT, kavya Bangalore shree k 2025.10.17 14:15:21 +05'30' 28 OA.No.170/00574/2023/CAT/BANGALORE given after MACP upgradation." Again, the applicant has submitted the representation dated 15.12.2022 to the Chief Postmaster General, Karnataka Circle, Palace Road, Bangalore - Respondent No. 2. Subsequent to which, finally revised pay fixation memo dated 11.09.2023 (Annexure-A9) has been issued. Hence, it cannot be construed that the impugned revised pay fixation memo is in violation of the principles of natural justice. As such, no exception can be found with the impugned revised fixation memo.
19. For the reasons aforesaid, revision of pay made as per memo dated 11.09.2023 (Annexure-A9) cannot be faulted with.
20. Resultantly, OA lacks merit and is accordingly dismissed.
No order as to costs.
Sd/- Sd/-
(DR. SANJIV KUMAR) (JUSTICE S. SUJATHA)
MEMBER (A) MEMBER (J)
/ksk/
kavya shree k
CAT,
kavya Bangalore
shree k 2025.10.17
14:15:21
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