PRC Option Date Fixation Strategy: How to Avoid Increment Loss
An authoritative strategy guide for Telangana government employees and teachers on exercising their statutory Option Date under Rules 5 & 6 of G.O.Ms.No. 51 (Telangana Revised Scales of Pay Rules) to secure a higher Master Scale stage and avoid permanent pay loss.
- G.O.Ms.No. 51, Finance (HRM.IV) Department, dated 11-06-2021, Rules 5 & 6 — "Exercise of Option and Fixation of Pay in Revised Pay Scales, 2020".
- Rule 6(b) Master Scale Stage Fixation — "Pay shall be fixed in the Revised Pay Scales at the stage next above the amount of existing emoluments as so increased."
- Circular Memo No. 755-A/33/A1/HRM.IV/2021, dated 17-06-2021 — "Procedural Instructions for Option Exercise and Senior-Junior Anomaly Rectification".
Statutory Note: Fundamental Rules (FR 22(a)(i) and FR 22-B) govern regular promotions and the Automatic Advancement Scheme (AAS). For Pay Revision Commissions, Rule 6 of G.O.Ms.No. 51 explicitly overrides the Fundamental Rules through its statutory non-obstante clause: "Notwithstanding anything in the Fundamental Rules or in the Hyderabad Civil Service Rules..."
Statutory Rules on Exercising the Option (Rule 5)
Under Rule 5 of G.O.Ms.No. 51, every government employee holding a post on the effective date of pay revision has the statutory right to opt to remain in the existing scale of pay until the date on which they earn their next increment in the existing scale, or until they vacate the post.
Key Statutory Conditions:
- 6-Month Window: The option must be exercised in writing within a period of six (6) months from the date of publication of the G.O. in the Telangana Gazette.
- Finality: Under Rule 5(2), the option once exercised is final and cannot be revoked under any circumstances.
- Deemed Fixation: If an employee fails to submit an option form within the stipulated 6 months, they are deemed to have opted for the revised scale from the standard effective date.
The Two Strategic Paths
Opt to switch to the revised master scale right from the standard effective date (e.g., 01-07-2018 under RPS 2020 or 01-07-2023 under 2nd PRC). All subsequent increments are drawn in the higher revised scale.
Draw the impending annual increment in the existing scale first. Once that increment raises your existing basic pay, apply the pay revision formula on that higher base to enter the revised Master Scale at a higher stage.
Numerical Demonstration: Avoiding Increment Loss
The following arithmetic demonstration illustrates why an employee whose increment falls close to the effective date often benefits significantly from Option 2:
Existing Basic Pay on 01-07-2023: ₹36,750 (Stage 5 under Scale XI: ₹32,810 – ₹96,890; next increment of ₹1,030 on 01-10-2023 takes pay to Stage 6: ₹37,780).
2nd PRC Simulation Formula: 33.67% Merged DA (as on 01-07-2023, G.O.Ms.No. 2) + 25% Assumed/Simulated Fitment.
| Fixation Parameter | Option 1 (From 01-07-2023) | Option 2 (From 01-10-2023) |
|---|---|---|
| Basic Pay used for PRC | ₹36,750 | ₹37,780 (after annual increment) |
| Merged DA (33.67%) | ₹12,374 | ₹12,721 |
| Fitment (25% Assumed) | ₹9,188 | ₹9,445 |
| Raw Emoluments Total | ₹58,312 | ₹59,946 |
Statutory Fixation (Rule 6(b)) Stage Next Above in Master Scale (RPS 2020) | ₹58,850 | ₹60,480 (+₹1,630 higher stage!) |
Estimated Online Simulator Rounding Next ₹100 Multiple Proxy | ₹58,400 | ₹60,000 (+₹1,600 higher) |
Under Rule 6(b) of G.O.Ms.No. 51, Telangana PRC never rounds pay to an arbitrary ₹100. It strictly fixes pay at the "stage next above" in the continuous Master Scale. In the RPS 2020 scale range (`...57,220 – 1,630 – 62,110...`), the official stages are ₹57,220, ₹58,850, ₹60,480, and ₹62,110.
Therefore, a raw total of ₹58,312 jumps to ₹58,850, while a raw total of ₹59,946 jumps to ₹60,480. By opting from the increment date (01-10-2023), the employee enters the revised scale at an immediate higher stage of ₹1,630/month, which permanently compounds over all future increments and pensions!
Stepping Up of Pay (Senior-Junior Anomaly)
Under the Senior-Junior Anomaly provisions of Rule 6 of G.O.Ms.No. 51 (read with Circular Memo No. 755-A/33/A1/HRM.IV/2021, dated 17-06-2021 and FR 27), if a junior employee draws more pay in the revised scale than their senior colleague in the same cadre solely because the junior exercised a different Option Date, the senior employee's pay is stepped up to equal that of the junior, subject to four strict conditions:
1. Same Cadre & Post: Both the senior and junior belong to the same cadre and the post in which they are officiating / appointed is identical.
2. Identical Pay Scales: The pre-revised and revised scales of pay of the posts are identical.
3. Seniority in Pre-Revised Scale: The senior was drawing equal or higher pay than the junior in the pre-revised scale immediately prior to the revision.
4. Anomaly from PRC Rules: The anomaly arose directly as a result of the exercise of option under the Revised Pay Scales rules.
Statutory Authority & Disclaimer
The Option procedure is governed strictly by Rules 5 and 6 of G.O.Ms.No. 51, Finance (HRM.IV) Department, dated 11-06-2021 and Circular Memo No. 755-A/33/A1/HRM.IV/2021 (read with FR 27 for anomaly rectifications). The numerical simulation above demonstrates standard PRC stage fixation principles. Actual options for future revisions must be executed on the formal Annexure Option Form notified by the Finance Department upon issuance of the respective G.O.
Simulate Both Old and New Basic Pays Now
Enter your current basic pay and projected post-increment basic pay in our calculator to compare gross payouts.