 "Govt clears performance-linked payment for CIL officers")
The Cabinet has approved the recommendations of the Committee of Secretaries to regularise the 2007 Pay Revision implemented by CIL with effect from January 1, 2007 in the loss making subsidiaries, an official release said.
The decision was taken at the Cabinet meeting chaired by Prime Minister Narendra Modi.
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It also approved the payment of Performance Related Pay (PRP) to executives and non-unionised supervisors of CIL and its subsidiaries.
"The payment would be out of the corpus created by pooling the profits of CIL subsidiary companies, duly setting off the losses of the loss making subsidiaries and stand-alone profits of CIL, excluding dividends received from its subsidiary companies," it said.
This will be with the condition that the corpus for payment of PRP should be treated as a yearly corpus with no provision for carrying it forward to subsequent years, it added.
This would ensure equity among executives who are transferable, across the subsidiaries companies, and would also help in keeping up the morale of executives working in loss making central public sector enterprises (CPSEs) and the Central Mine Planning and Design Institute (CPMDIL).
Welcoming the decision, Coal Secretary Anil Swarup tweeted, "Coal India rewarded for sterling performance. Government approves Performance Related Pay (PRP)."
There are nearly 19,000 officers at CIL.
CIL was formed as a holding company in September 1975 with five subsidiary companies. The policy regarding recruitment/appointment, posting, inter-company transfer and other personnel related issues of all executives of CIL and its eight subsidiary companies are centrally administered by CIL, the holding company.
As such, all executives in CIL and its subsidiaries are drawn from a common centralised cadre and they are all considered to be employees of the holding company that is CIL.