----------------------- ----------------- -- - .

COCHIN SHIPYARDLIMITED
(A Government of India Category-1 Miniratna Company, Ministry of Shipping)

SEC/50/2018-I 19 April 2018

Shri Subramaniam M K
Meleth House
Santhi Nagar, Opp Cherupushpam Studio
Udayamperoor PO
Emakularn 682 307

Sub: Information Under Right to Information Act

Dear Sir

Please refer to your RTI application dated 06 March 2018 on the above subject and
received by us on 07 March 2018. The information sought by the applicant is given ad seriatum:

(i) Copy of the order of the administrative ministry for implementation of pay
revision of Board level and below Board level executive and non- unionized
supervisor as per OM No: W -02-0028/2017-DPR (W) -GL-XV /17 dated 04
Aug 2017, of OPE in CSL. Kindly provide the following information with
regard CSL.

Ans: Ministry of Shipping Letter No: SY-l1017/1/2009-CSL dated 31 Jan 2018

enclosed. (Encl - I)

(ii) Copy of minutes Board Meeting held on 05 Feb 2018, relating to pay revision
of Board level and below Board level executives and non unionised
supervisors as per O.M No: W-02-0028/207-DPE (WC)-GL-XN /17 dated 04
Aug 2017.

Ans.: Extracts of the minutes of the Board Meetings regarding Pay revision
and perks and allowance of Board level and below Board level executives
and non unionised supervisors are enclosed. (Encl- II)

(iii) What is the maximum percentage of perks and allowances which will be
disbursed to officers and supervisors from 01.01.2007.

Ans: P&A Dept Circular No: PRL/2(10)/ 07 Vol III dated 02 April 2018 is
enclosed. (Encl - III)

(iv) What is the Pattern of Reimbursement of Incidental Expenses (RIE) for

extra work other than normal duty will be disbursed to officers and
supervisors from 01.01.2017

Ans: Please refer Clause 4.3 and 4.7 of P&A Dept Circular No: PRL/2(10)/
07 Vol III dated 02 April 2018 .

~~: iHllflf-1Cfi 'I1cR", lft.:m. ~~. 1653, ~ ft.:m., ~ - 682015

RegisteredOffice: Administrative Building,P.o.BagNo.1653,Perumanoorpo., Kochi- 682 015
-coR / Phone:+91(484) 2361181/2501200. -q:;[CffI"/ Fax:+91(484) 2370897/2383902
~ / Website:www.cochinshipyard.com CIN: U63032KL 1972GOI002414
 2. The name and address of the Appellate Authority is given below.
Shri Suresh Babu N V
Director (Operations)
Cochin Shipyard Ltd
Perumanoor P 0, post Box 1653
Kochi - 682015

Thanking you,

Company Secretary & CPIO

Enclosed: As stated
 · - -- ------------

No: SY-11017/1/2009-CSL
Government of India
Ministry of Shipping
CSL Section
Transport Shawano Parliament Street
New Delhi dated the 31 January 2018
To
The Chairman & Managing Director
Cochin Shipyard Ltd
Perumanoor PO
Kochi
Revision of Pay Scales of Board and below Board level Executives and non-
Subject:
unionized supervisors w.e.f 1.1.2017.
Sir,
The last revision of the scale of pay of Board level and below Board level Executives
and Non-Unionised Supervisors was made effective from 01/01/2007. Government has
now decided that pay revision and other benefits of these executives w.e.f 01-01-2017 may
be implemented through Presidential Directives.
2. In exercise of the powers conferred by Article 31 of the Articles of Association of the
Cochin Shipyard Ltd, the President is pleased to direct the Cochin Shipyard Ltd to
implement the revised pay scales, Fitment Benefit, Increment. Dearness Allowance and
allowances under 'Cafeteria approach' in respect of Soard and below Board level
Executives and non-unionised Supervisors with effect from 01/01/2017 strictly In
accordance with the parameters and conditions laid down by the Department of Public
Enterprises in their O.M. No. W-02/0028/2017-DPE (WC)-GL-XIIII17 dated 3rd August 2017
(copy enclosed).
3. The payment of House Rent Allowance and allowances other than those under
'Cafeteria approach' based on the revised pay scales. in accordance with Department of
Public Enterprises O.M. No. W-02/0028/2017-DPE (WC)-GL-XIV/17 dated 4th August 2017
(copy enclosed), will be effective from the date of issue of this Directive.
4. Before payment of Variable Pay/Performance Related Pay the matter should be
referred to the Ministry of Shipping, which will make a critical examination.
5. This issues with the concurrence of Financial Adviser of this Ministry.
YO({S faithfully.

\\ .: ~(,.~

(Rajasekh ran. )
Under Secretaryto the GoVernme~f In 'a
Tel: 23722253

Copy to:
, \ .u The Department of Public Enterprises (joint Secretary Shri Rajesh Kumar
f':.: i V';~.. .;;;1'<:..1 Chaudhry), Government of India, Public Enterprises Bhawan. Block No. 14. C. G. O.
',I Complex. Lodhi Road, New Delhi

J
':"'
..,fj( "
J f\1 " 1\
..._.,-
c-:
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 .,...--

-f\

COCHIN SHIPYARD LTD

KOCHI-15

SEC/BD1239/2018 22"11February 2018

We are enclosing herewith the extracts of the minutes of 239'" Board Meeting held on 05th
February 2018 for your information and necessary action,
IIQuotel/

Agenda Item No. 27: Grant of Perks and Allowances to Executives and Non Unionised
Supervisors

60, CGM (HR) briefed the Board fully regarding OPE guidelines on Perks and Allowances
to Executives and Non Unionised Supervisors. Regarding Reimbursement of Incidental
Expenses (RIE), it was explained that as per the eXisting scheme, CSL had earmarked 10%
of Perks and Allowances towards RIE which can be availed only if designated number of
extra hours was worked by respective officers and supervisors. The above RIE was a
compulsory element which could not be availed without wor1dng the designated extra hours
and was availed based on a hourly rate. In this respect, no other PSUs have implemented a
similar scheme of setting aside Perks and allowances for compulsory extra hours of work.
Also, the hourly rate fixed for the officers and supervisors (being restricted to 10% of salary)
was lower than that fixed for workmen for overtime, which created an anomaly. Considering
all these factors, the RIE was considered not appropriate in the present scheme of things
and it was not included as a part of perks and allowances in the new proposal. The RIE
would be subsequently decided and brought out as an administrative order which would then
be reported to the Board.

61. Further, it was informed that in the 2007 orders, all facilities like hospitals, colleges.
schools, clubs was to be monetized and included within the basket of 50% of basic pay.
Since CSL did not have any hospital nor school, only 1% of BP was monetized. Regarding
medical, officers and supervisors are covered under a scheme (in lieu of hospital) for which
an insurance policy was taken by the company, and for which the recurring cost (premium)
was collected from the executives and non-unionized supervisors. In the 2017 orders, the
recurring cost incurred on running and maintaining of hospitals, colleges, schools etc would
be outside the basket of 35% of basic pay and as a logical consequence the recurring cost
to maintain the medical scheme for officers and supervisors will now be borne by the
company. In line with this, the entire basket of 35% is now available to be disbursed under
the Cafeteria approach. Leading PSEs like ONGC, GAIL, BPCL, MDL, BEL, GSL etc have
also implemented perks and allowances in this manner and have issued orders,

62. The Board was further informed that the following are the list of per1<:sand allowances
to officers and supervisors who can chose from this basket of allowances upto a maximum
of 35% of their basic pay.

SI. CATEGORY· % OF BASIC PAY PER MONTH

No. Descriplion Board Level Below Board
Executives Level Executives Supervisors
1 Conveyance Loan Interest - Upto 5% Upto 5%
Subsidy
2 Leave Travel Allowance (LTA) Upto 20% Upto 10% Upto 10%
3 Professional Development Upto 15% Upto 10% Upto 10%
Allowance
4 Children Education Allowance Upto 5% Upto 5% Upto 5%
5 Reimbursement of Local . Upto 10% Upto 10%
 Travel Expenses (RL TE)

6 Transport Allowance · Upto 5% Upto 5%

7 Sports & Fitness Allowance uptc 10% Upto 5% Upto 5%
Personal Home Interest
8 Subsidy cum Maintenance Upto 10% Upto 10% Upto 10%
Allowance
9 Intemet Allowance · Upto 5% Upto 5%
Personal Soft Furnishing
10 Upto 5% Upto 5% Upto 5%
Allowance
11 Telephone Reimbursement - Upto 5% Upto 5%
12 Uniform Maintenance
Allowance · Upto 5% Upto 5%
13 Family Planning Allowance Upto 3% Upto 3% Upto 3%

63. The Board unanimouslypassedthe followingresolution:

Resolution No.239/27

RESOLVED THAT the proposal for payment of Perks and Allowances to all
Executivesand Non UnionisedSupervisorsas per Annexure-I to the agenda placed
beforethe meeting with effect from 0111 January2017 be and is hereby approved.
IIUnquotell

~Ia
Company Secretary
CGM(HR),OGM i/c (Finance), AGM (Finance)

Copy to CGM (Tech & IP), 0(0), OfF), CMO

EXTRACTS OF THE CIRCULAR RESOLUTION PASSED. BY THE BOARD OF
DIRECTORS OF THE COCHIN SHIPYARD LIMITED ON 30TH SEPTEMBER 2017

Resolution No. CRJOB12017

PAY REVISION OF EXECUTIVES AND NON-UNIONISED SUPERVISORS

"RESOLVED THAT approval of the Board be and is hereby accorded to revision of pay for
Board, Below Board Level Executives and Non-Unionised Supervisors as per para 8 (a) to (I)
of the agenda."

For COCHIN SHIPYARD LIMITED

VKALA
~)
COMPANY SECRETARY
 - . ---------------------------

CERTIFIED TRUE COpy OF THE RESOLUTION PASSED BY THE BOARD OF DIRECTORS

OF THE COMPANY AT THEIR 238TR MEETING HELD ON 10TA NOVEMBER 2017 AT HOTEL
VASUNDHARA SAROVAR PREMIERE. VAYALAR, CHERTHALA, ALLEPPEY _ 688 536

Agenda Item No 18: Confirmation of Circular Resolutions

1. The following resolution which was earlier adopted by Circulation were taken on record:-

Circular Resolution No CR 0812017

D. Pay revision of executives and non-unionised supervisors

Date of PaSSing.' 3(jh September 2017

"RESOL VED THAT approval of the Board be and is hereby accorded to revision of pay
for Board, Below Board Level Executives and Non-Unionised Supervisors as per para 8
(a) to (I) of the agenda."

--I/CERTIFIED TRUE COPYI/--

For COCHIN SHIPYARD LIMITED

COMPANY SECRETARY
 r--.

~
r I")C
"-
I , II'

~ ~ ffif11~s / COCHIN SHIPYARD LIMITED

~ / Kochi-l5
(~ l!Cf ~1l"fI'd1 fct31m / P&'A Department)

No.PERL/2(10)/07 Vol III 02 Apr 20IS

ifii'Q',('Of'Q ~r If./OFFICE ORDER NO.PERL/031/2018

ifil~ql('OfCft1 .mt 3tfltfitd ~ ~ 3t1<3fi\rlrT m Jffit

PERKS AND ALLOWANCES TO EXECUTIVES &
NON-UNIONISED SUPERVISORS

I. flla;J1fvlCh ~
- fcmrcrr ~ Cfl141(i'1~~ cf;'r ~. ~-02/0028/2017
~
-
~ (S&Rt~'ffI)-~-XIIl / 17 ~ 03.08.2017, 04.08.2017 3lR 07.09.2017
~ ~ 01 ~ 2017 ~ ~ 3lR aM- «R ~ afro ~ CflI~ql(i'lCh1 {!ci'
JltiEl)Cfl('1 ~
c..
~ ~ mfttra1 tR' l"IlllQa~r '3frtT ~ f; I ~ 6fT<'1l <ti fl'm
l"IliJQa~r ~ mnTtrn <t=fa:r ~ 35% cf;'r ~
1fN
"-
~~. ~Ql~~~1 £~Ch)ul' ~
Jltl'j;:r ~
~
.3ffi" ~ ~ wrc:rr;t
~
~r@1c;r f; I
The Department of Public Enterprises vide its OMs No.
W-02/002P.J/20 17-DPE(WC)-(~L-XIII /17 dated 03.08.2017, 04.08.20 I 7
and 07.09.2017, has issued guidelines on Pav Revision of Board and
Below Board level Executives and NOll-Unionized Supervisors effective
from 01 .Jan 2017. Inter-alia the guidelines cover payment of Perks and
Allowances under the concept of 'Cafeteria approach', within a ceiling of
35°/" of revised Basic Pav.

2. 3q~Cf('1 l"IlJ'I~<'!~rr ~ .wRl'R, CflI~ql(>lCh' Q'cf ~ ~ <'lTcIT ~

.:> ~ " "
~ ~
m~ em Crlll"liCflCrl'C!Ci' qyft~ ~ .3ffi" GIl! ~- ~.:> cf;'r
~ f; I ~ 05 Q1{Cffi 2018 Cfl)- 3i1~~rl 239cfi ~ ~ GIl! G:imT
- ~ ~
3ffi ~ ~ 'Q"Cfl' ;;:rQ' m- 3iCrl:mR\rl ~
."
1P-IT f; ~ ~ 01 ~ 2017 ~
~"iCfllii ~ I ~ ~ ~ W.T ~ ~ ~ fc;tm f; ~ CflI~ql(>lCh1~ ~
~ ~ 3iICh~Cfl ~ (JfR~) cf;'r SlRl'iffl ~ 05 ~ 2018 ~ 3mi ~
ii1Tf<R' ~ fvl CfllA a) I
In line with the above guidelines t.he existing Perks and Allowanct's
currently applicable to Executives and Supervisors have been reviewed b\'
the Nomination and Remuneration Committee and by the Board. A new
set of Perks and Allowances has been approved by the Board in its
2391h Meeting held on 05 Feb 2018 and the same would be admissible
from 01 Jan 2017. Inter-alia it has also been decided that the
Reimbursement of Incidental Expenses (RIEl payable to Execut.ives and
Supervisors will stand ..vit.hdrawn from the basket of allowances with
effect from 05 Feb 201 H.
 3. ~~/Gh! ~- JiCi1J'i1R('fICl1tiH ~
~ ~ ~
3ltt ~ ~ 'QCfl a:rQ' m: tR'
~;:tht~~~:
Details on the new set of Perks and Allowances as approved by the
NRC/Board are given below:

4. "cl;~":tUt~Cft'ol ~ 3I'tftir 3Iliji'tfitl<Qi 3itt amt

Perks & AlloWances under Cafeteria approach
4. I . ~ ~ U<;r tR' ~ CfiI;Qq I <'i Cf> 3-t\"{ 31 ti 1]ICfiC1 ~ ~ ~ (>fJ7T
~ ~
~ " ~ ~
3tR ~ q;)' *ctlln~1 ~fi?c:Cfi)OI ~ ~ ~ 01
~ 2017 ~ ~ ~ 3tR 3=f@ ~ fa"lJ:01f(»ffi1('f ~ <!CmT
,

~~~I
The Perks and Allowances presently applicable to Executives
and Non- unionized Supervisors on the rolls of the company'
will be replaced by the following scheme of Perks and
Allowances effective from 0 I Jan 2017 under a Cafeteria
Approach.
~ ~ ~ ~ ~ Cf't ~ ~r ~ Jr.niitr
~ - I ~ tTftt1
"-
~ JI'T(IT t I
Guidelines on each of the allowances are indicated at Annexure-I to this
order.
I
"l
' CAT~GORY - (~o OF
BASIC PAY PER
! • i II -- '-....,
MONTH
iSfi.R:
I No.
SI. !
,
Description
iGM~~i iM@{~ I
! CflIJ5qIC'lCfi I ~ ~ CfiIJ5qIC'lCfi! ~
II Board I' Below Hoard I Supervisors

-+ _ . ..._. __I . Level

Executives]
,
Level Executives _ _

1 !Conveyance Loan Interest Subsidy -L - Upto 5% l_u~:o""

I 2 l~avc Travel Allowance !LT~L_. __ -l Up.~ :w~;,) Upto 10% 1 Upto 10"'"
'_3..t..1~o~~.~i_on~1Development
. A..Ilowance i Upto I?~ ~Pto 1O"'() Upt o 1()""
r 4 jC_!1ildren Education AU(~~a~~<:._ i U~to 5'!-'<, I Upto.~(. Upto :)""
I 5. ~eimbursem.ent of LocalTravel ! ! Upto 10"';, Upto 10";,
E_~pense_s.tRL}'E) -- ._ ,- I',

b ! ransport Allowance
t--------- _._.__,. .---+----... ..',._
Upto 5(Yt, !
--~ --_.
Upto 5""

7 ji::>portS._ & F'itness.All~wance _ I Uf.>_to 1OO!(t._.~PI () 5% .t LJ PIO ::;""

-~51·
,Personal Home Loan Interest Subsidy , Upw 10%, Upto lO"'n UpLO 1W"
8 jcum Maintenance Allowanc(' ;
g ll;i~rnet All~~a~c~.~ - -- __ i Upt()_~'Yo Ue!~5'1"
10._.
.. I~L.'rs()nal S~~t F.urnishing All(),~~ncc Upto 51~:o
__. Upto 5%, . 1 Upw 5"0
1 l1r('lephone Reimburst~ment . Upto S% Upto ::;";,
! Upto .')""
1'2-luniform
13Family
Maintenance Allo:v(~~~e
pl~~~i'ng Allow~~ce .__ ..... -'-r~~()3:'1""['- Uplo ;)~;,
U~~~..2~~, '~
.
l_!~_l() :~~,;, --:
4.2.
~ . ~ ~ I CflI;6QI<'lCfl 3tR ~e;rq; ;rc;r
~ ct=rvr tt 35"1() ('fCfi

~~~3tR~tt~~T:tif~~
~ ~ I
The percentage of Basic Pay earmarked for each of the
allowances will be the maximum payable for the respective
item. Executives and Supervisors can choose from the set of
Perks and Allowances, limited to 35% of the Basic Pay.

4.3 31ICfltViCfl ~ (~~) ~ I)Iffi~f8 ~ ma:rr <fit ~ 05 qm:rfr

2018 ~ ~ tt ~ ~ ~ ~ I ~ 01 ~ 2017 ~
04 ~ 2018 ~ ~ ~ ~l'rtt ~ .mft;:r ~ ~ ruC"l\1(i ~ ~
nftt <fit C"lGiH4H~ll~(i
..;:)
~ ~ I
The Scheme for Reimbursement of Incidental Expenses (RIEl
stands withdrawn from the basket of Allowances with effcC(
from 05 Feb 2018. Amount already disbursed under this head
during the period 01 Jan 2017 to 04 Feb 2018, shall stand
regulated accordingly.

4.4 ~ fH"lf;la~1l ~ JramR, ..;:)

3Ff4 C"li
<'I , ~, ~ ~ ~ ~
31c:H1:t=tlCi1f~3IT ~ ~ C1m ~ ~ ~ ~ 3fTCI(ff ~ Cfll
;rc;r
e,
ct=raf ~
35% ~"fftm ~ ~ ~ ~ I
In accordance with the OPE guidelines the recurring cost
incurred on running and maintaining of infrastructure
facilities like hospitals, colleges, schools etc would be outside
the ceiling of ~5°/b of basic pay.

4.5. ~ ..;:)..;:)
va- 3tt<l tt ~ ~ ~ ~ ~ ~ 3fiRIT{
..;:)

3fm q:;( ~ .mfta; ~I ~ afi <'Il1T~ ~, ~ ~ ~ mfrcTf

~. ~ zret ~ ~ QT3iT{ / ,f"(1ld\5fl ~ ~ ~ ;-;:rr;:rr
~ I ~ ~ ~~ffiVc:r~6"~ I ..;:)

Payment on account of Perks & Allowances would be subject

to Income Tax as per Income Tax Act on the subject.
Wherever applicable, vouchers/documentary proof should be
submitted for claiming exemption under the IT Act. Dcta ils
are mentioned in t.he respective paragraphs.

4.6 (13fr CflI:Q41C4Cfll 3ftt jltiEi'lq;(i

(.
~ ~/~ ..;:)
~ m
~ ~ ~ <fiT lFITlr Cflt, ~ <t ~ ~ 6' I ruCfl(,"q Cfll
6{ fae-Jlll eN 15 .ffitc;r ~ ~ ~ $Q'RQ'RIQfHQ'RQ'fi ~ ~
~ ~ ~ ~ I {!Cfi iIR ~ ~ ~ TIft ru("(i~ll ~
~ 4ftaQ(1 Ci11ft ~ ~ ~ 6" I ~ ~ ~ 1 ~ ~ 15
~ (i<tl tfr 4fta~Ci1 ~ ~ ~ ..;:)
~
------------ ------ - - - .- --- ------------------

All Executives and Non-unionized Supervisors shall exercise

their option for the type of Perks/ Allowances, which they
would like to draw. The option should be exercised through
their ESS/MSS portal before 15th April of every financial year.
Option once exercised cannot be changed in that financial
year. Changes shall be permitted only during the period of 1st
April to 15th April every year.

4.7. ~ 01 ~ 2017 ~ 31 1f1"it 2018 nq; ~ 3{qfU ~.

~ 3ffi" ~ lIT ~ tft ~ ~ mCfl(>'q lIT ~ q~CjACI1
~ ~ m I 3fTl)", 3q~Cf(1
.;)
tifil(1IC11tiH.
" .;)
~ 01 ~ 2017
~ 04 ~ 2018 nq; ~ JmlU ~ ~ ct; ~ ~ ~
~ 35% ct; ~ ~ ~ 3tR (1~CI1til'{ ~
.;)
~ ~

For the period 01 Jan 2017 to 31 Mar 201B, there would be no

change in the option already exercised on Perks and
Allowances. Further as mentioned above, the amount drawn
as RIE for the period 01 Jan 2017 to 04 Feb 201B would stand
frozen within 35% and accordingly be factored.

4.B. (1~1fm~ 01 ~ 2017 ~ 31 ~ 2018 nq; cfi'r 3fCrtt:t

~, mnr 3tR ~ 3mt ct ifitr WR tT( ~ ~ ~

3ttt c;rm" .3rarnTt ~ .;)

mr Cfl)" ~ ~r ct ~ .;)"
c;j:;qg:ft ~ ~
tT( ~ m CflI~ql(>fCfll Jfir 3tfitflCfl(1
c
~ em ~ 2018 ~
ct; ~ en ~ "A" m(1~(1 f.f;<rr ~ I
Accordingly for the period 01 .Jan 2017 to 31 Mar 201B, the
difference between eligible and drawn allowances will be
considered and arrears as applicable disbursed to all
Executives and Non-unionized Supervisors, on the rolls of the
company in terms of this order, in two installments during the
month of April 201B.

4.9. ~ 01 ~ 2017 ~ ~ 2018 nq; ~ ~ tlalfilCflDi.

~(.. .;) ~ ct CfiRUf ~ ~ mrr ms ~ CflI~ql<'lCfll 3tR
trta-~ ~ ~~. 3itR ~ ~ .;)
~ tft ~ Cfl(>f ~
j
ct
tifHI4)"fIi1! ;:m-;;ft ~
~'~"" ill?; ~ ~ ~ 35% CfCfi ~ c;rm
" mrrfUc:r
~ .;) 3tR ~ Iem m(1~(1 ~ ~
In the case of those Executives and Supervisors who have left
the services of the Shipyard on account of retirement. death
etc during the period 01 Jan 2017 to Mar 2018, revised Perks
I

&. Allowances applicable limited to 35% of basic pay after

adjusting/ recovery of sum already paid, as detailed above will
be disbursed.
 4.10. Ill>< alt, ~ 3iR ~ <iii ~ uftT ~kif.llSrl iffi01'i 'R
~ ~ ~ uB fa"Q" CflA:c;1I~4't q;'r ~ er ~ ,
However the arrears on perks and allowances, will not be
allowed to those who left the service of the Company on the
following grounds:
til Dismissal
[ii] Resignation without permission or notice
(iii) Resigned and left the service without discharging Bond
liability at the time of leaving the Company.

~
~ ~ - ~ romm~~
4.11.3q14Cfi("lI(jH'II~ ~ ~
~
ifll"liCfiCi1 "QCf qtft~
3'1"@ ~
~I
* mftUaT
~ ct
~, ("IT.
3{CrtS"ikCi1
~ ~
q; m-tT tr c;rr7f fc:fim ~ ,
,
Modification "-if any to the revised Perks and Allowances Scheme
as above, quantum of payment etc 'will only be made applicable
with the approval of the Nomination and Remuneration
Comm ittee / Board.
5. ~ ~ "QCf ~ ~tCfi q; 3f6jS"i~C;Ci1 ~ JIrtT ~ ~ t ,
This issues with the approval of CMD. "fL_/-c:-,,_ (. /
//
(~ a- ~ I K J Ramesh)
~ ~ ~ (~mm.r.r)
CGM (HR)

~R ITo

All Executives / supervisors}

D(F) / 0(0) Thro' Intranet
CGMs / GMs / DGMs
AGM (Admn) to CMD

lJI~ffi~I Copy to:-

General Secretary to : CSOA/ CSSSA
 A nnexure.r

PERKS AND ALLOWANCES UNDER CAFETERIA APPROACH

W.E.F. 01 JAN 2017
1. Conveyance Loan Interest Subsidy

1.1. All Executives and Supervisors will be eligible for drawal of

conveyance loan interest subsidy for conveyance leans
availed from any source including CSL at the rate limited to
a maximum 5% of Basic Pay per month. In the case of those
Executives and Supervisors who availed conveyance loan
from Shipyard at concessionaJ rates of interest, the
difference between Government rate of interest charge on
conveyance loans for the respective categories as on 01 April
every year and CSL rate of .interesr as applicable will be
recovered on a monthly basis.

2. Leave Travel Allowance (LTAJ

2. I. Executives and Supervisors will be paid Leave Travel

Allowance (LTA) as indicated below:

; Category / Amount:'--"-- .
I
I _ _ __
Board Level - Executives '-i" ~_.()r.._Jl~~!c~~y (!'tf~J. I
i
I Upto 20 % of Annual
--------
other Executives &
-_ - tI _ Ba sic' Pay

._p~!:yi~or~_ __ ._
I Upto 10 <Yi, of Annual
-_L _, .. ' ..
Basic
'- --~-
...
Pay --.....
....

2.2. The LTA AlJowance will be paid on monthly basis to all those
who are on the rolls of the Shipyard along with the salary.

2.3. There would be no income Tax exemption as per rules for LTA
drawn. However in the case of those who submit. necessary
vouchers of travel performed etc, on request the same shall be
considered as Leave Travel Concession, for Income Tax
Exemption as applicable subject to rules.

3. Professional Development Allowance (PDA)

3.1. For enrichment of professional knOWledge, Executives and
Supervisors will be paid a Professional Developme~lt Allowance
(PDA) as indicated below for purchas~ of Professional Boo~s.
Encyclopedia, Manuals, -Journals, Audio VIsual AIds, payment
for mornberahip fees in professional bodies etc.
 Category -r---' Amount -
% of Basic Pay (Max)
!
: ~_oar-d-Le-v-c-'l--_
.-- .....
--.··------;.l-~_-_-U-Pto __ l
15 0;', of Bas_i(;_JJ~'
, All other Executives &. I Upto 10 (X,of Basic Pay ,
: Super~isors __
._. ..L..--.

3.2. The PDA applicable will be paid on a monthly basis.

4. ChUdren's Education ~owance (CEA)

4.1. Executives and Supervisors will be granted Childrens'

Education Allowance upto 5 %1 of their Basic Pay on a monthlv
basis. Income Tax benefit as applicable will be allowed.

5. Reimbursement of Local Travel Expenses (RLTE)

5.1. Executives and Supervisors owning a motor vehicle in their

own name and not availing facility of Company car/vehicle,
and using conveyance for official purpose and commuting
from residence to office and back will be entitled to
Reimbursement of Local Travel Expenses upto 10<%of Basic
Pay per month. The RLTE amount would also cover for
maintenance of the vehicle and such other purposes.

6. Transport Allowal!£~

6.1. Executives and Supervisors not possessing conveyance in

their own name and not availing Reimbursement of Local
Travel Expenses or the facility of Company car, will be paid
Transport Allowance upto 5 'Xl of Basic Pay per month.

7. Sports and Fitness Allowance (SFA)

7.1. To develop a passion for physical fitness, improved health and

promotion of sports, a Sport and Fitness Allowance upto
amount equivalent to 10 <Yo of Basic Pay in t.he case of Board
level executives and 5 % of Basic Pay in case of all other
Executives and Supervisors will be paid per month as Sports
and Fitness Allowance.

8. Home Loan Interest Subsidy cum Maintenance Allowance

8.1. Executives and Supervisors will be allowed personal home

loan interest subsidy for Housing loan availed in their names
or maintenance of an existing home in their own names, upto
10 % of basic pay per month, towards repayment of interest
on House building loans taken/amount incurred for
maintenance etc.
 9. Internet Allowance

9. J. An amount upto 5 % of basic pay per month will be paid to all

Executives and Supervisors for their use of Internet at home
for enriching knowledge in their respective spheres of work.
10. Personal Soft ~rnishing Allowance

10. I. An amount upto 5 oil) of basic pay per month will be paid to all
Executives and Supervisors for purchase, repair or
replacement of Household furniture and other durables and
appliances.

11. Telephone Reimbursement

1J. 1. For expenditure on residential telephone, Fax etc an amount

upto 5 % of Basic Pay per month will be paid to all
Executives Below Board level and Supervisors.

12. Uniform Maintenance Allowance

12.1. An amount up to 5(X)of Basic Pay per month will be paid to all
Executives and Supervisors as washing/stitching ane!
maintenance of uniforms/working dress provided for.

13. Family Planning Allowance

13.1. In line with the DPE directive, allowance at the rate of 3% of

basic pay per month shall be payable to all eligible executives
and non-unionized supervisors.

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