The undersigned is directed to refer to this Department's OM No. 16/6/2001-Estt (Pay-1) dated the 14th February, 2006, read with OM of even number dated the 4th January, 2007, which clarified that on transfer to the lower post/scale under FR I 5(a), the pay of a Government servant holding a post on regular basis will be fixed at a stage equal to the pay drawn by him in the higher grade. If no such stage is available, the pay will be fixed at the stage next below the pay drawn by him in the higher post and the difference may be granted as personal pay to be absorbed in future increments. If the maximum of the pay scale of the lower post is less than the pay drawn by him in the higher post, his pay may be restricted to the maximum under FR
2. Further, it was clarified vide the OM No. No. 13/9/2009-Estt (Pay-1) dated the 21 October, 2009 that consequent upon implementation of the revised pay structure comprising grade pays and running Pay Bands, w.e.f. 1.1.2006 in cases of appointment of Government servants to posts carrying lower Grade Pay under FR 15(a) on their own request, the pay in the pay band of the Government servant will be fixed at a stage equal to the pay in the pay band drawn by him prior to his appointment against the lower post. However, he will be granted grade pay of lower post. Further, in all cases, he will continue to draw his increments based on his pay in the pay band + grade pay (lower).
3. The above Office Memorandum also provides that in case the transfer to a lower post was Made subject to certain terms and conditions then the pay may be fixed according to such terms and conditions.
4. All Ministries/Departments are requested to revise the Terms/Conditions of such transfers in line with the para 2 above.