(Railway Board)
No PC-V/2011/M/3/AIRF
New Delhi, dated 01.07.2014
The General Secretary
4, State Entry Road,
New Delhi-110055
Sub:-Implementation of MACP Scheme over Indian Railways-Discrepancies-reg.
The undersigned is directed to refer to AIRF’s letter No.AIRF/MACP (162), dated 05.05.2014. A copy of each of the references made to DoP&T on the specific issue and their reply is enclosed herewith. Since, DoP&T is the nodal department of Govt. on MACPS, this Ministry cannot deviate from the instructions/clarifications issued by them.
DA: As above.
Yours faithfully,
for Secretary/ Railway Board
Copy to: DE(IR), Railway Board-for information.
DOPT Instruction
Government of India
Department of Personnel & Training
Establishment (D)
Reference notes on pre-page.
2. The issue relating to grant of third financial upgradation under MACP Scheme to employees who have completed 20 years of service after earning first promotion has been considered by this Department in consultation with the Department of Expenditure.
3. Specific reference of Ministry of Railways was illustrated as under:
i) Date of joining as JAA (GP Rs. 2800/-) (on DR basis) – 12.11.1984
ii) Date of 1st Promotion as AA                                                   — 08.11.1987
In the above case, as he could not complete 24 years of service as on 31.08.2008, he could not avail 2nd ACP. The employee was allowed 2nd MACP w.e.f. 01.09.2008 and his eligibility for grant of 3rd MACP will be on completion of 30 years of service ie. w.e.f. 12.11.2014.
4. The basic concept of MACP Scheme is to provide 1st, 2nd and 3rd financial upgradations to an employee in consideration of completion of 10/20/30 years of regular service in the same scale/Grade Pay respectively. Regular service for grant of benefits commence from the direct entry grade. The Scheme also provides for grant of financial upgradation whenever a person has spent 10 years continuously in the same grade pay.
5. Even though the illustrations No. (i), (ii) and (iii) of para 28 of the Scheme suggest that while 2nd MACP could be given after overall 18 years and the 3rd one after overall 28 years, the fact remains that in both the cases the crucial 2nd and 3rd MACPS is being given only after the mandatory 10 years residency for the 2nd and 3rd MACP respectively. Thus, the 3rd MACP is intended to be given based on either 10 years from the 2nd MACP/Promotion or 30 years of the overall service. Either of these two conditions needs to be fulfilled. In this case, neither of these is fulfilled. The 2nd MACP is rightly given on 1.9.2008 – the date of effect of the MACPS itself. Now either 10 years from 01.09.2008 or overall 30 years service will need to be fulfilled for grant of the 3rd MACP ie. w.e.f. 12.11.2014. Hence, the proposal of the Ministry of Railways is not found to be covered within the parameters of the MACP Scheme.
6. In view of the above, it is not possible to agree to the proposal for grant of third financial upgradation under MACP Scheme to employees who have completed 20 years of service after earning first promotion as the same involves alteration of the basic concept of the MACP Scheme.
7. This issues with the approval of JS(E).
(Mukta Goel)
Director (E-I)

Ministry of Railways
DOPT I.D.No.35034/4/2013-Estt(D) dated 10.09.2013