OUR DEMAND FOR HRA ON THE BASIS OF CENSUS 2011-- SUCCESS
Revision of the
classification/upgradation certain cities/towns on the basis of
Census-2011 for the purpose of grant of House Rent Allowance and
Transport Allowance to Central Government employees
The
Union Cabinet, chaired by the Prime Minister Shri Narendra Modi, has
given its approval to the proposal of the Ministry of Finance,
Department of Expenditure for reclassification/upgradation of certain
cities/towns on the basis of Census-2011, for the purpose of grant of
House Rent Allowance (HRA) and Transport Allowance to Central Government
employees.
On
the basis of the final population figures of Census-2011, two cities
have qualified for being upgraded from 'Y' class to 'X' class and 21
cities have qualified for being upgraded from 'Z' to 'Y' class for the
purpose of HRA. Six cities have qualified for being upgraded from "Other
Places" to specified higher class for the purpose of Transport
Allowance.
The
revised classification of cities shall take effect from 01.04.2014. The
impact on the exchequer on account of upgradation of 29 cities, would
be approx. Rs.128 crore for the year 2014-15.
Background:
HRA
and Transport Allowance are admissible to Central Government employees
depending upon employees' Basic Pay (including NPA where
applicable)/Grade Pay and the classification of the city/town where they
are posted. The existing classification of cities/towns in different
classes viz. 'X', 'Y' and 'Z' for the purpose of HRA and 13 specified
cities classified earlier as 'A-1'/ 'A' and "Other Places" for the
purpose of Transport Allowance, is as per the criterion recommended by
the 6th Central Pay Commission. The existing qualifying
limits of population for classification for HRA purpose is 50 lakhs
& above for 'X', 5 - 50 lakhs for 'Y' and below 5 lakhs for 'Z'
class city. Transport allowance is payable at 'higher rates' in 13
specified cities classified earlier as 'A-1' / 'A' (that is those cities
having population of 20 lakhs & above) and at 'lower rates' in all
other places.
The
classification of cities/towns for this purpose is revised on the basis
of their population as reflected in the decennial census report. The
existing classification of various cities/towns is based on 2001 Census
figures. The criterion of population for this purpose has been followed
as recommended by the Central Pay Commissions.
Cities/towns to be upgraded on the basis of census-2011 for grant of House Rent Allowance
Cities to be upgraded/re-classified as "X"
Ahmadabad(UA)
Pune (UA)
Cities to be upgraded/re-classified as "Y"
Nellore (UA)
Gurgaon (UA)
Bokaro Steel City (UA)
Gulbarga (UA)
Thrissur (UA)
Malappuram (UA)
Kannur(UA)
Kollam (UA)
Ujjain (M. Coprn.)
Vasai-Virar City (M. Corpn.)
Malegaon (UA)
Nanded-Waghala (M.Corp.)
Sangli (UA)
Raurkela (UA)
Ajmer (UA)
Erode (UA)
Noida (CT)
Firozabad (NPP)
Jhansi (UA)
Siliguri (UA)
Durgapur (UA)
Cities/towns to be upgraded on the basis of census-2011 for grant of Transport Allowance
Cities
to be added for higher rates of Transport Allowance (i.e. which have
population of more than 20 lakh to qualify for earlier classification as
“A-1”/ “A” as stipulated in O.M. No. 21(2)/2008-E.II(B) dated
29.8.2008):
Patna (UA)
Kochi (UA)
Indore (UA)
Coimbatore (UA)
Ghaziabad (UA)