The Government of India set up several high level commissions to look into remuneration, working and performance of the Central and State Governments in India. Here we have highlighted two reports of recent commissions only.
6th Pay Commission
The 6th Pay Commission headed by Justice Srikrishna delivered its report on March 2008. This report makes many recommendations that assume the existence of an effective performance management system within the Government. For example, the following key provisions require a credible system of performance evaluation in the Government:
- Annual increments to be paid in the form of 2.5 per cent of total pay in the pay band and grade pay. High performers will be given an increment of 3.5 per cent.
- Performance-related incentive scheme introduced over and above pay to replace the ad-hoc bonus scheme and productivity-linked bonus.
Even other proposals of the 6th pay Commission, including the one related to the increase in minimum salaries at various levels, assume that greater financial incentives will translate into better services and results. A performance management system is therefore required to ensure that expectations of better results are realized.
- Report of the 6th Pay Commission
- Chapter 2.5 on Performance Related Incentive Scheme
- Studies on Formulating the Concept, Principles, and Parameters for Performance-Related Incentives (PRI) in Government
Second Administrative Reforms Commission
The Second Administrative Reform Commission, chaired by Mr. Veerappa Moily has also delivered several reports that argue for better governance and results management. In particular, its 10th Report entitled, recommends a system of performance agreements between the minister and secretary to government of India. These covenants are expected to contain clear, measurable and comprehensive targets for delivery of results.
The Performance Management Division in the Cabinet Secretariat is working to ensure effective implementation of the key recommendations of these two important high-level commissions
Hota Committee on Civil Service Reforms