7th CPC-Revision of Rates Allowance-Project Allowance and Compensatory Allowance
Recommendations of Seventh Central Pay Commission- Project Allowance and Compensatory (Construction / Survey) Allowance-Revision of Rates
GOVERNMENT OF INDIA
MINISTRY OF RAILWAYS
(RAILWAY BOARD)
PC-VII.No.71/17
RBE NO.156/17
No.E(G)2017/AL 12-2
Rail Bhawan, New Delhi, dt. 12 .12.2017
The General Manager, CAO(R),
All Zonal Railways &PUs
(as per mailing list)
Sub:- Recommendations of Seventh Central Pay Commission- Project Allowance and Compensatory (Construction / Survey) Allowance-Revision of Rates
Consequent upon decision taken by the Government on the recommendations of Seventh Central Pay Commissions circulated vide Ministry of Finance (Department of Expenditure) Resolution No.11-I/2016-1c dated 06/07/2017 and Office Memorandum No. 6/162017-E.II(B) dated 19.07.2017 the rates of Project Allowance and Compensatory (Construction / Survey) Allowance have been revised w.e.f.01.07.2017
2. Accordingly, the Ministry of Rail hve considered the question of revision of rates of Project Allowance and Compensatory (Construction / Survey) Allowance notified vide Board’s letter No.E(G)2008-E.II B dated 29.08.2008) and it has been decided with the approval of the Board that the rates of Project Allowance and Compensatory (Construction / Survey) Allowance which have been covered in the Risk/Hardship Matrix, shall be revised as follows:
| Level in Pay Matrix | Cell Name | Rate per month(Rs) |
| Level 9 and above | R3H2 | 3400 |
| Level 8 and below | R3H2 | 2700 |
Note : i) the term ‘Pay Level’ in the revised pay structure means the ‘Level’ in the Pay Matrix.
Note : ii) Railway employees, whose offices are in the project area, but not specifically for the work of the project, and the projects are covered by the Ministry of Finance’s O.M. No.20011/5/73-E.IV(B) dated 17.1.1975 on project allowance (circulated under Board’s letter No.E(G)73AL12-27 dated 27.11.78 and No.PC-IV/86/Imp/AL-15 dated 14.10.86) shall, however be entitled to Project Allowance only at 50% of the above rates.
(b) Compensatory (Construction/Survey) Allowance
| Level in Pay Matrix | Cell Name | Rate per month(Rs) |
| Level 9 and above | R3H2 | 3400 |
| Level 8 and below | R3H2 | 2700 |
3. Conditions:
(i) In respect of those employees who opt to continue in their pre-revised pay structure, corresponding Level in the Pay Matrix as indicated in Railway Services (Revised Pay) Rules, 2016 would determine the allowance under these orders.
(ii) These rates shall increase by 25% whenever the Dearness Allowance payable on the revised pay structure goes up by 50%.
(iii) All other terms and conditions governing the grant of these allowances shall remain unchanged.
(iv) These orders shall take effect from 1st July 2017.
4. This issues with the concurrence of the Finance Directorate of the Ministry of Railways.
sd/-
(D.joseph)
Dy.Director Estt.(Genl.)
Railway Board
Source: NFIR
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