HC Deb 04 July 1922 vol 156 cc164-6
1. Mr. HOGGE

asked the Under-Secretary of State for India whether he is aware that concessions which are drafted to suit the conditions and terms of service of the Indian Civil Service cannot be equitably applied to other services without modification; and whether he proposes to make such modifications?

The UNDER-SECRETARY of STATE for INDIA (Earl Winterton)

The conditions and terms of service of the Indian Civil Service differ in many respects from those of other services. Concessions made to the first-named Service, for example, in the matter of retirement on proportionate pensions, are applied to any other Service or Services if and as required, whether with or without modifications.


asked the Under-Secretary of State for India if he will state precisely what steps have been taken substantially to improve the conditions of the Indian Civil Service, which wore stated to be necessary in the Montagu-Chelmsford Report, other than the grant of overseas allowance, which was offset by the abolition of exchange compensation allowance and the fall in the exchange?


It is difficult to give the full information on this very important subject with which I am anxious to supply the hon. Member within the compass of an oral answer, and I propose, therefore, with his permission, to publish in the OFFICIAL REPORT a statement showing the various improvements in question.

Following is the statement promised:

The main improvements in the conditions of service in the Indian Civil Service are as follows:

Pay (a) the initial pay has been raised 50 per cent.

(b) under the time-scale, officers receive yearly increments. This arrangement mitigates the worst effects of the blocks in promotion which formerly occurred from time to time in different provinces.

(c) a substantial increase has been made in the pay of officers in the ordinary line below the higher selection appointments.

Pension.— The £1,000 annuity is from 1919 being gradually assumed by the State, the 4 per cent. contributions previously enforced being funded for the benefit of officers on retirement.

Leave Rules.—These have been liberalised; greater facilities are given for leave on higher pay, and furlough pay is based on 12 months' salary instead of the average of three years as formerly.

Travelling Allowances and Allowances on Transfer have also been increased.

It is the case that the improvement in pay is to a large extent represented by the overseas allowance, but the statement that this is entirely offset by the abolition of Exchange Compensation Allowance is not accurate. The following table gives the Exchange Compensation Allowance admissible, with a 1s. 4d. rupee on various salaries, and the overseas allowance for the same salaries:

Salary. Exchange Compensation Allowance. Overseas Pay.
Rs. Rs. Rs.
600 37 8 0 150
700 43 12 0 150
800 50 0 0 200
900 56 4 0 200
1,000 62 8 0 *200
2,000 125 0 0 †250
Maximum admissible 138 14 3 250
* On superior scale, 150.
† 250 is drawn on salaries above 1,200 and 1,425 on junior and senior scales, respectively.

The overseas allowance thus greatly exceeds the Exchange Compensation Allowance previously admissible.


asked the Under-Secretary of State for India why exchange compensation has been abolished in connection with the Indian Civil Service; whether he is aware that by its abolition the adjustments of pay on the time scale have brought practically no relief to any civil servant and have actually occasioned loss to many; and whether, under these circumstances, the exchange compensation will be restored?


Exchange compensation allowance has been withdrawn from the Indian Civil Service in common with other Services in India, in pursuance of the general policy of the Indian Government that the allowance should cease to be admissible on the occasion of a revision of pay of a Service previously entitled to the concession. In any case in which the effect of such withdrawal would have been to cause an actual reduction in the emoluments of an officer, a personal allowance sufficient to make up any deficiency has been granted. The answer to the last part of the hon. Member's question is in the negative.


So it ought to be clear that no civil servant will suffer loss. If he has been prejudiced in any way, that will be made up to him?


Yes, that is so—as the result of the withdrawal of this allowance.

Back to