8th Pay Commission: Minimum 5 promotions, MACP scheme change in employees' wishlist; what's the current rule?

Central Government Employees are expecting that the 8th Central Pay Commission (CPC) will not only increase their salaries but also ensure a higher number of assured promotions throughout their service years.

"To consider the existing anomalies in the MACP scheme and to recommend minimum 5 promotion in service with very defined hierarchical structure and MACP in the promotional hierarchy," the staff side NC-JCM said.

MACP (Modified Assured Career Progression) ensures that all central government employees enjoy at least three promotions during a service period of 30 years.

What’s the current MACP rule

Currently, three promotions are assured at 10, 20, and 30 years of service to all employees under MACP.

The 7th Pay Commission also faced the demand for increasing the frequency of MACP. However, it made no changes to the then-existing rules, saying there was no justification for increasing the frequency of MACP as the pay-related resentments were already addressed by the revision of pay structures.

"Although a number of demands were received for increasing the frequency of MACP as well as to enhance the financial benefit accruing out of it, this Commission feels that the inherent issues in the existing pay structure owing to which there was widespread resentment have been set right by way of rationalisation of pay levels, abolition of pay band and grade pay and introduction of a matrix based open pay structure,” the 7th CPC said.

"Hence, there is no justification for increasing the frequency of MACP and it will continue to be administered at 10, 20 and 30 years as before," it added.

Currently, an employee moves to the immediate next level hierarchy in the pay matrix on promotions through MACP. The fixation of pay follows the same principle as that for a regular promotion in the pay matrix

The 7th pay commission, however, recommended changing the benchmark for performance appraisal for MACP as well as for regular promotions. "The Commission recommends that this benchmark, in the interest of improving performance level, be enhanced from ‘Good’ to ‘Very Good.’"

The 7th CPC noted that the pay matrix will help chart out the likely path of pay progression along the career ladder of any employee. "For example, it can be clearly made out that an employee who does not have any promotional prospects in his cadre will be able to traverse through at least three levels solely by means of assured financial progression or MACP, assuming a career span of 30 years or more," it said.